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During his government, Allende instituted a plan called the "Chilean way to socialism" (''La vía chilena al socialismo'') or "socialism within pluralism" in attempt to address the unequal distribution of wealth in the Chilean economy, but which led to widespread disruption and social polarization. Upon assuming power Allende expropriated private sector business, middle class and [[bourgeois]] property and began to implement an agrarian reforms and a program to nationalize vital industry. Allende posted some of his supporters to oversee these expropriations and nationalization, including David Silberman <ref>http://www.jta.org/1976/02/06/archive/family-of-former-chilean-jewish-official-seeking-his-where-abouts</ref> (disappeared) who was assigned to oversee the "nationalization" of Chile's largest copper industry: Chuquicamata. The media wrote extensively of Allende's failures. Strikes and shutdowns caused massive inflation and unrest, and the conservative-controlled Chilean Congress sought to reject Allende's proposals whenever possible, causing considerable political gridlock.
During his government, Allende instituted a plan called the "Chilean way to socialism" (''La vía chilena al socialismo'') or "socialism within pluralism" in attempt to address the unequal distribution of wealth in the Chilean economy, but which led to widespread disruption and social polarization. Upon assuming power Allende expropriated private sector business, middle class and [[bourgeois]] property and began to implement an agrarian reforms and a program to nationalize vital industry. Allende posted some of his supporters to oversee these expropriations and nationalization, including David Silberman <ref>http://www.jta.org/1976/02/06/archive/family-of-former-chilean-jewish-official-seeking-his-where-abouts</ref> (disappeared) who was assigned to oversee the "nationalization" of Chile's largest copper industry: Chuquicamata. The media wrote extensively of Allende's failures. Strikes and shutdowns caused massive inflation and unrest, and the conservative-controlled Chilean Congress sought to reject Allende's proposals whenever possible, causing considerable political gridlock.
===Economic crisis and food shortages===
The economic, political, social and cultural situation of the country could not have been worse. Chile broke the world record for inflation, with 143%. The Central Bank announced that a total of 36 367 million escudos were issued that year, which implied an increase of 174.4% over 1971. In a high-level meeting of the Communist Party, the Minister of Finance gave equally gloomy statistics: the 140 nationalized companies left 50 000 000 escudos of losses in 1792; during the month of October alone, 6 000 000 escudos had to be printed to cover their enormous "financial hole"; and a third of the 1973 fiscal budget was spent on buying foreign foodstuffs.
The exasperation of the Chilean consumer with inflation and shortages was demonstrated in daily acts of violence. Calama: 200 people assaulted two trucks carrying Argentine meat for Antofagasta, forcing them to go to the city slaughterhouse, which (said a neighbor) did not receive "not even bones from the authorities".
Despite the proximity of the parliamentary elections, the government decided to face the problem. The Minister of Finance announced, on radio and television, that rationing had arrived in Chile: "The Government is aware that there is a set of difficulties, derived from the shortage of products indispensable for consumption; from rampant speculation; and from the black market, difficulties that have tended to worsen in recent times".
The Minister's revelations provoked an avalanche. Former President Eduardo Frei Montalva defined them as "a clear and definitive action for the totalitarian control of the country". Chistian Democrat Senator Juan Hamilton described the speech as "shameless and sinister". "Those who have plunged the country into hunger, want to impose dictatorship through the stomach. Whoever does not submit to the JAP ("Popular supply boards") and the Popular Unity Party Coallition, will not eat".
The Government's ineffable official comment was transmitted by Bosco Parra: "It is not rationing - he said -. On the contrary, it is a search for a solution to the existing problems. It is the establishment of standards for the identification of needs.
Allende himself tried to minimize the problem, saying: "There will be no food rationing, but a truly equitable and humane distribution of essential items for consumption. distribution of essential items for family consumption".<ref name=UP>{{cite web|url=https://chile-pinochet-nuestro.blogspot.com/2012/07/chile-bajo-la-unidad-popular.html|title=CHILE - BAJO LA UNIDAD POPULAR|publisher=Chile Pinochet Nuestro|author=Jaime Antonio Urrutia Mansilla}}</ref>
===Congress accusations===
===Congress accusations===