Venezuela's Weak Strongman Hugo Chavez

Hugo Chávez has been busy lately. On July 22, the Venezuelan president arrived in Moscow to finalize a number of bilateral energy and military agreements, including several arms deals that (according to a Russian newspaper) are reportedly worth around $2 billion. (His previous weapons acquisitions from Russia total some $4.5 billion.) On July 31, he announced plans to nationalize the Spanish-owned Bank of Venezuela, his country's third-largest bank. That same day--the last day of an 18-month period during which he could exercise extraordinary powers granted by Congress--Chávez enacted 26 new laws that expanded considerably his control over the economy, the armed forces, and national elections. A few days later, on August 3, he vowed to 'accelerate the socialist revolution' after Venezuela's November elections. Even though he has been embarrassed repeatedly over the past year, Chávez remains brazen and blustery. Flush with oil wealth, he continues to project a powerful image. But in reality, Chávez is rapidly losing influence in Latin America, and he has been for some time now.