Breakingviews - Bolivia’s president snared by his own success

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Breakingviews - Bolivia’s president snared by his own success
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(Reuters Breakingviews) - Bolivian President Evo Morales, who stepped aside on S...

People wave national flags during a protest against Bolivia's President Evo Morales in La Paz, Bolivia November 10, 2019. REUTERS/Carlos Garcia Rawlins

Protests broke out shortly after the Oct. 20 presidential elections, when a preliminary vote count inexplicably stopped, and then restarted to show Morales suddenly had the over 10% margin of victory he needed to avoid a run-off. After the democracy watchdog Organization of American States released a report indicating that the results were likely bogus, the military put pressure on Morales to resign.

But the future for Bolivia’s economy is uncertain – even without political shenanigans. A commodity boom that helped create prosperity is over. The country has been running both a trade deficit and a fiscal deficit. An economic model that worked with higher fuel prices – selling natural gas and minerals and handing out the income through heavy government spending – is going to have to change.

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