Explaining the Long-Term Maintenance of a Military Regime: Panama before the U.S. Invasion

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Abstract
Before the U.S. invasion of December 1989, Panama experienced one of the longest periods of military rule in the modern-day history of Latin America. While numerous authoritarian military regimes emerged in the region during the 1960s and established for themselves a relatively high degree of autonomy from both domestic and international actors, only those in Panama, Paraguay, and Chile survived until the late 1980s. And of these three surviving military regimes, only Panama's was ended through the application of external military force. For the past several years, there has been considerable discussion of the factors that seem best to account for General Manuel Antonio Noriega's personal ability to resist U.S. pressure from 1987 until 1989 and to largely insulate himself from the political and economic constraints of Panamanian domestic politics. However, much less attention has been devoted to discussion of the factors that explain the long-term maintenance of the military authoritarian regime in existence for fifteen years prior to his assumption of power. This analysis suggests that the long-term maintenance of Panama's military authoritarian regime was due in large part to its ability to acquire substantial amounts of foreign capital. During the 1970s, such capital was preferentially obtained from the international banking community. During the 1980s, it was obtained through illicit activities of various kinds, including participation in the growing international drug trade.

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