Many commentators, left, right and center, have argued that the advent of a ‘globalized economy’ ruled out a radical social transformation. Yet Venezuela, which is profoundly globalized and integrated into the world market via trade and investments, has made major advances in social reform. What really matters in relation to a globalized economy is the nature of the political economic regime and its policies, which dictate how the gains and costs of international trade and investment are distributed. In a word, what is decisive is the ‘class character of the regime’ managing its place in the world economy. Chavez certainly did not ‘de-link’ from the world economy; rather he has re-linked Venezuela in a new way. He shifted Venezuelan trade and investment toward Latin America, Asia and the Middle East - especially to countries which do not intervene or impose reactionary conditions on economic transactions.