Otto Guevara for Costa Rica President

Failing to see any representation for his values in Costa Rica’s traditional parties, Guevara founded the Movimiento Libertario in 1994 to challenge the conventional orthodoxy of Costa Rican politics which he saw as lurching towards greater corruption and less respect for the individual rights of his people. He believes that the principles of moderate intervention of the State and more economical freedom as the best way to improve the lives of the Costa Rican people.

First elected to congress as the sole representative for the Movimiento Libertario in 1998, Guevara earned recognition as Costa Rica’s best legislator by the press every year of his first term. In 2002, Libertarian Movement, with Guevara as the presidential candidate, elected 6 members to Congress out of 57 seats, but few weeks later they lost a Congressman, declared independent. After a split within the party that saw a group of libertarian members leave, Guevara said his party was moving to be liberal and no libertarian. 2006 saw the Libertarian Movement Party again elect 6 members to congress, but they lost again other Congressman. As a presidential candidate in 2006, Guevara earned almost 10% of the vote. In 2009, Guevara is elected presidential candidate for third time.

Perhaps surprisingly, the most successful libertarian party in recent years has arisen in Latin America, where left and right wing variants of statism have been the norm for much of the 20th century. In Costa Rica, the ten-year-old Movimiento Libertario has managed to elect six diputados to the country’s 57-seat congress. The chief architect of that success was Otto Guevara, who served as the party’s first elected diputado, from 1998 to 2002. In late July, he spoke with Reason during a visit to Washington, D.C.’s Cato Institute.

The Otto Guevara  Costa Rica’s Libertarian revolutionary.        

 Interview with Julian Sanchez.

Costa Rica is a substantially socialist country, with a state monopoly on alcohol, a state monopoly on insurance. There’s a state monopoly in telecommunications, in agriculture, in fuel refinement and distribution. Education is constitutionally free, mandatory, and run by the state. Ninety-three percent of the population, girls and boys, attends public, state schools.

Costa Rica, like a majority of the Latin American states, experimented with a development scheme based on import substitution. It closed its borders, turned inwards. The state began to make inroads in many other industries—production of fertilizers, of cement, of cotton, of tuna. They had state tuna catching boats! Bankrupt industries were bought by the state with the idea of saving jobs. That’s how the state ended up running industries that make chocolates or catch shrimp. It led to $7 billion in losses for Costa Ricans.

In the 1980s, a new form of politics emerged. In the ’70s, they had put people on the public payroll. That was no longer sustainable. So they began a practice of instead granting privileges to unions and forced firms to buy licenses for, say, running cabs. These privileges were politically assigned, and as there were three principal banks, heavily controlled by the state, until recently loans, too, were politically assigned.

There were a range of giveaways to the poor as well, like the bono alimenticio to pay for food. A lot of people stopped working because food was guaranteed. Then came the bono de la vivienda or the bono de vivienda popular: $10,000 as a gift of the state for housing. To free education, they added a new benefit called the beca, or bono escolar to pay for schoolbooks.

This is the origin of our movement. Nobody was defending liberty. And it was being lost at an accelerated rate.

……More tomorrow

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