Evening star., 1962-04-22
CRISIS
Continued From Page Al

activity. To prove they mean
business. the military high COM
mand has moved in battle
troops and police have reached
PeroniSt and Communist Of
ficeS.
No one in the rundown me-
tropolis knows how violence
will be avoided. The Peronist
lieutenants say they are deter
mined to take the full fruits of
their victory. And they domi-
nate the powerful General Con-
federation of Labor which con-
trolls 3 million workers.
Consequently, apprehension
Is deepening in the country
with each passing April day.
Deep FOrebOding
On the surface all is rela-
lively calm Overloaded streets
burst with cars and buses con-
trolled by neither traffic light
nor sympathy for pedestrians.
On side streets and main
thoroughfareS restaurants of
all shapes and sizes are crowded
with shoppers and office work
ers eating their usual diet of
steak and "papaS fritaS"
Ifrench fried potatoeS).
But the foreign exchange
houses tell the tale of deep
foreboding. When they opened
after two weeks closure fol-
lowing the election in March.
everyone with enough pesos
rushed to get dollars. At times
the crowds overflowed the side
walks into the streets and
blocked traffic.
They bought up all our dol
lars in the first hour said a
haraSSed exchange broker at
the exchange counter. Then |
they started buying German,
French, English money-any-
thing. Just so it is stable"
Down the counter q well-fed
woman with loaded shopping
bag was raking in Mexican
gold coins the size and color
OF tinsel covered chocolate
pattieS.
Power Struggle
In the ornamental Congress
building confusion Of another
kind holds sway. Here is the
battle-ground for finding some
kind of legal" solution ac-
ceptable to both the military
and the PeroniSts. Representa-
tives of the divided democratic
parties helpleSsly debate in the
shadow Of a brutal power strug-
gle they do not quite compre-
hend.
Their division is the weakness
OF Argentina. Together, two
large democratic parties con-
troll well over so per cent of
the electorate. The 2.5 million
votes the Peronists received on
March 18 were only IS per cent
Of the total.
Yet the majority is racked |
by bitter rivalry between sup
porters Of Arturo Frondizi,
leader Of the larger Intransigent
Radicals. and Ricardo Balbin,
leader Of the smaller Popular
Radical Party.
Instead of looking toward
unity, these two groups COM
pete for the floating bloc of
PeroniSt votes. Their compe-
tition rests on the secret con-
viction that the military will
effectively outlaw Peronist
leaders and deny them the votes
they won. But in order to re-
ceive the benefits Of that ban,
no democratic politician can
afford to implicate himself
in it. l.
The result is a political
tmpaSse. The generals and ad-
mirals are pushing the fragile
government of new President
Jose Maria Guido to ban Peron-
ism and invalidate the elec-
tions. But the majority demo-
cratic parties in Congress are
baking. While they procrasti-
nate, the government sinks still
lower in both popular and
military confidence.
Labor Opposition
The congressional division is
reinforced by wholesale oppo-
sition of organized labor. The
PeroniSts control the so-called
'"62" unions Of unskilled work
ers in the gigantic General
Confederation Of Workers. They
fully realize that a defeat in
the political arena this time
could well break their hold over
the disillusioned workers.
1T would be suicide for us
to compromise now" said one
OF the few intellectuals remain
ing in the Peronist movement.
I'VE would be telling our people |
that we realize we have no
chance to come back to power"
The new austerity program
announced by Minister of Eco
nomics Federico Pinedo has
provided another rallying cry
for the Peronist banner. A rev
20 per cent surcharge on all
imports, a 10 to 13 per cent in
crease in sales taxes, a 81 per
cent increase in gasoline prices
all are estimated to raise gen.
eral cost of living in Argentina
by 10 per cent.
Economist Pinedo argues
quite logically that the increase
is necessary to end a whopping
$500 million budget deficit and
a foreign trade deficit which
ran to half a billion dollars last .
year. But the politicians argue
also quite logically-that the
brunt of rising living costs will
fall most heavily on the work
ing class shoulders.
Strike Threats
Labor leaders in the capital
are busy behind closed doors