Well, if he's going to continue down the path of the Castros...
1. Oil sells a lot more readily and profitably than sugar.
2. Cutting high government official salaries would be popular anywhere/anywhen.
3. Foreign visitors possess no "inherent" right to free speech while visiting in another country. Chucking them out may be tacky, but is within Chavez' purview. Ironies rarely deter national leaders.
I think Chavez' dictatorial status is pretty clear, but it is important to remember that his support -- particularly among the urban poor -- is huge. This was true prior to his (and his party's) consolidation of power across the spectrum of government (his rule by decree, voted to him by the legislature, is actually within the Constitutional framework under which he was elected). Chavez is not simply a junta leader with support of the 3 or 4 best regiments in the nation's military, he is very demonstrably the leadership choice of a convincing majority of Venezuelans.
I wouldn't think this would encourage foreign investment, however, and so far Chavez has increased services to the poor but has not enacted a sea change in the basic economic framework of Venezuela.
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