Regardless of what one thinks about the United States’ policy of isolating Fidel Castro and the Cuban trade embargo, there is no question that Castro, weakened by the withdrawal of Russian support, poses a threat to no one other than the Cuban people. The reality is that Castro, who sent troops to Angola and various other places in support of “the evil empire” never really did much harm to the United States in South or Central America. Hugo Chaves, the leader of Venezuela is another matter.

Chaves is not a communist, but then again communism is no longer a viable political movement. He is, however, a populist attempting to expand Venezuela’s influence throughout the region. His rallying cry to allies and potential supporters in other countries is a strongly anti United States policy. Chaves is fanning the flames against Washington which always existed to some extent in South America. Within Venezuela, he has undertaken massive rebuilding of the country’s armed forces and a civilian militia with the objective of repelling the United States attack which has never even been hinted at by Washington.

Chaves is a real threat and cannot be overlooked because his popular anti Washington platform is being fueled by the massive Venezuela oil revenues. With oil selling for around $70 a barrel, Venezuela is flushed in cash. Money goes a long way in South America, particularly when it finds its way into the pockets of leaders. Chaves is shrewd and cannot be underestimated. If he has his way, he will lure other countries on the continent, one by one into his informal alliance.

As he saw it, he began his expansion with Ecuador and Peru. With the latter country, Chaves suffered a setback last week with the election for Peruvian President of Alan Garcia over Ollanta Humala. Garcia ran on a anti Chaves platform while emphasizing that his objections to the Venezuelan leader don’t mean that he supports the U.S. government. By voting for Garcia, the Peruvian people demonstrated that they wish to preserve their own national democracy and not become a satellite of Venezuela or a pawn in the master plan of Chaves for regional domination.

Prior to the election, Chaves asserted that he would sever relations with Peru if Humala lost. Only time will tell if he carries out that commitment. Moreover, Chaves is likely to attempt to expand his influence and upset delicate political balances in other South American countries including Chile and Argentina.

It’s easy for Americans to shrug their shoulders and wonder what difference any of this makes to us in the United States.

Thinking along those lines is short sighted. The current economy of the world and the United States is critically dependent on natural resources including oil and copper which are plentiful in South America. To the extent that Chaves can deprive the United States of those resources, either by cutting off the flow to the United States, or by simply wrecking the oil infrastructure, as he is doing in Venezuela, then Chaves will be dealing a significant blow to the American economy. We are not suffering without Castro’s sugar and most of us are getting a long fine without his cigars. Reductions in oil and copper would be another matter.

Furthermore, to the extent that Chaves induces turmoil in South America, which he is doing, this will promote dissatisfaction among people and provoke more of them to want to immigrate to the United States legally or illegally. The result will be further pressure from the South on the United States border which is already a delicate situation. Throughout our history, we have had a rather bizarre relationship with South America which has shifted from paternalism to indifference and back again at numerous points. The time has come to wake up, consider carefully what is happening and try to influence current developments in a delicate manner.