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1970-1973, SOCIALISM
When Salvador Allende was elected president in 1970, the regime was said to constitute the peaceful transition to socialism. Allende and Popular Unity– the coalition consisting of socialist and communist parties– managed to pass an amendment to the Constitution that legalized the expropriation of the mining companies. This resulted in the nationalization of major copper mines and large industries (such as the telecommunications industry dominated by ITT) which contributed to increased public spending on social services. Unemployment fell from 8 percent in 1970 to 3.8 in 1971, and the waged sector received 62.9 percent of the total national income, compared to the 37.1 percent received by the propertied sector.
Allende and Popular Unity continued the Agrarian reform initiated by the Frei government, and by 1972, practically all privately-owned farms of over 80 basic hectares had been eliminated. The government further introduced innovative measures such as the “milk-bars” in Santiago, which guaranteed low-cost milk and dairy products to the poor, and devoted increased funding to health and education institutions. The government also articulated housing as “the right of all Chilean families, regardless of their income level (…)”, and they set as a goal the construction of 80 thousand dwellings in 1971; the highest figure undertaken by the public sector in the history of Chilean housing, and a number that was to a great extent attained.















