AUA Why Nations Fail - Daron Acemoglu | Page 497

that democracy would be created in Brazil by the many social groups that opposed the military coming together. He said that what was needed was a “reactivation of civil society … the professional associations, the trade unions, the churches, the student organizations, the study groups and the debating circles, the social movements”—in other words, a broad coalition with the aim of re-creating democracy and changing Brazilian society. The Scânia factory heralded the formation of this coalition. By late 1978, Lula was floating the idea of creating a new political party, the Workers’ Party. This was to be the party not just of trade unionists, however. Lula insisted that it should be a party for all wage earners and the poor in general. Here the attempts of union leaders to organize a political platform began to coalesce with the many social movements that were springing up. On August 18, 1979, a meeting was held in São Paulo to discuss the formation of the Workers’ Party, which brought together former opposition politicians, union leaders, students, intellectuals, and people representing one hundred diverse social movements that had begun to organize in the 1970s across Brazil. The Workers’ Party, launched at the São Judas Tadeo restaurant in São Bernardo in October 1979, would come to represent all these diverse groups. The party quickly began to benefit from the political opening that the military was reluctantly organizing. In the local elections of 1982, it ran candidates for the first time, and won two races for mayor. Throughout the 1980s, as democracy was gradually re-created in Brazil, the Workers’ Party began to take over more and more local governments. By 1988 it controlled the governments in thirty-six municipalities, including large cities such as São Paulo and Porto Alegre. In 1989, in the first free presidential elections since the military coup, Lula won 16 percent of the vote in the first round as the party’s candidate. In the runoff race with Fernando Collor, he won 44 percent. In taking over many local governments, something that accelerated in the 1990s, the Workers’ Party began to enter into a symbiotic relationship with many local social movements. In Porto Alegre the first Workers’ Party administration after 1988 introduced “participatory