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1 1 (October 2015)

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     ince taking   office as a maverick outsider
         nearly nine years ago, Ecuadorian
         President Rafael Correa has transformed
the country by centralizing economic and political
power under  his authority and suppressing
potential opponentsin the privatesector, media,
and civil society. He has implemented acostly
populist agenda, which has bolstered his
popularity-initially tapping increased oil
revenue but gradually becoming more dependent
on Chinese loans and investments.' The steep
decline in the price of oil and other commodities
has forced Correato cut spending and to propose
tax increases. As a result, popular unrest has
intensified in the last year, testing his popularity
just as he decides whether to seek an
unprecedented  fourth term.
Mercurial and belligerent, Correatook power by
railing against his country's old political order-
much  like Hugo ChAvez in Venezuela. Mimicking
ChAvez, Correa has waged acontroversial battle


with independent media and civil society,
drawing increasing criticism from the
international community for cracking down on
freedom of expression; an editorial in the
Washington  Post in January 2012 branded him
Ecuador's bully.2 Yet, in spite of his irascible
behavior and numerous  corruption scandals
involving membersof  hisfamily and political
inner circle, Correa's fragmented opposition has
yet to coalesce around a significant rival.3
Recent polls show that Correa's approval remains
at more than 60 percent.4 Analysts attribute his
resilient popularity to the windfall from oil prices
earlier in his term, significant growth in the
public-sector payroll, and cash transfers to well
over one million low-income Ecuadorians. A
slowing economy  and fiscal deficit will curtail
Correa's ability to shore up support through
social spending, so only the depth of Ecuador's
economic  crisiswill determine his political fate.


1


AMERICAN ENTERPRISE INSTITUTE

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