Editing Salvador Allende (section)

===Key Policies:===
Nationalization: On July 11, 1971, Allende proposed a constitutional amendment to nationalize the copper industry, which was unanimously approved by Chile’s Congress, including opposition parties, on July 16, 1971. The amendment declared copper mines as national property, to be managed by the state-owned CODELCO (Corporación Nacional del Cobre de Chile). The nationalization was framed as a sovereign act under international law, with the state asserting ownership over natural resources. Allende’s government argued that the U.S. companies had earned “excess profits” far beyond their initial investments, justifying limited or no compensation. The nationalization law required compensation, to be determined by the Chilean government, minus deductions for “excess profits” earned since 1955. The Comptroller General was tasked with assessing the companies’ book value and profits. Anaconda’s subsidiaries, including Chuquicamata (the world’s largest open-pit copper mine), were valued at approximately $500 million (book value) by the company. However, Allende’s government calculated that Anaconda had earned excess profits of over $774 million between 1955 and 1970, due to high copper prices and low taxes (a common trick by US companies operating in foreign countries to lower the taxes they pay). After deductions, the Comptroller General determined that Anaconda (and Kennecott) owed Chile money, effectively offering no net compensation. This was based on Anaconda’s book value (which was their declared tax basis) was offset by excess profits, unpaid taxes, and environmental damage caused by their mining practices. The government proposed paying $0 for Anaconda’s assets, arguing the company’s profits had already exceeded its investment. Allende also nationalized the country's telephone company, owned by ITT and paid them compensation based on the same formula.

Land Reform: His government accelerated agrarian reform, redistributing land to peasants, which alienated wealthy landowners.

Social Programs: Allende planned to use the increased revenue from the copper mining operations to expanded healthcare, education, and housing, increasing wages to workers and providing free milk to schoolchildren. These measures boosted his popularity among the working class.

Foreign Policy: Allende strengthened ties with non-aligned nations, even hosting Fidel Castro in 1971. This was used by the U.S. propagandists to assert he was a communist and to promote the idea Chile was a potential Soviet foothold in Latin America.