Here are the articles for this week:
Latin America is enjoying the good times - at last
Security in Colombia: fear of missing out
Rio’s Exploding Manholes Menace Residents and Highlight Aging Infrastructure
Questions:
1) To what extent should Latin America be optimistic about the coming decade's political, economic, and social realities?
2) Thinking about the region as-a-whole, what changes need to be made (or continue to be made) in order to facilitate a brighter future?
Remember that blog posters have a fair bit of flexibility with regards to the extent they focus solely on these questions or even these articles. You should focus extensively on at least one question and one article but can draw from other stories and address other questions as well.
Blog posters (those who signed up) should include their posts as a comment on this original post. Other participants should include their posts as comments on either this original post or on the comments/posts of their classmates.
Enjoy!
From articles that I have read previously, the assigned articles and first-hand experiences in a couple Latin American countries, I strongly believe that this optimism is completely justified. The fact that different countries are targeting the creation of a middle class show that finally Latin American can prosper as a whole, not simply the elite upper class.
ReplyDeleteIn my experience in Brazil I could clearly identify that the government social programs, like Bolsa Familia and Zero Fome, are being well received by its citizens. These program have provided a strong foundation for a bright future, as these programs help students focus in school and in having to work to help their families. I noticed that the population. specially students, were extremely involved politically as protests and strikes were a very common could be seen essentially daily. I also had the opportunity to chat with many locals about politics. Former President Lula is admired by nearly everyone in Brazil for his efforts to end extreme poverty by programs that provided families with housing, and by his personal goal of bringing electricity to every household in Brazil. Still there is plenty of work to be done. The article about Rio definitely places a negative, unrealistic picture of Rio de Janeiro. The city is extremely developed. Its transportation system can rival and beat many US cities. The only other Latin American country that I have been to is Mexico, and it shares a lot of the same qualities as Brazil. I think the outlook is positive throughout other countries as well.
Violence is a big concern throughout Latin America. In my opinion this can be traced back to the lack of proper schooling. This is due to the negative role that corruption plays governments. Nepotism is not a rare sight, therefore many students are taught by under qualified teachers, therefore not providing these students with the proper education. Also the lack of opportunities is apparent for recent graduate students that do not have any professional connections.
There are definitely reasons to be optimistic, but it is not at that point yet. Things like racism, classism, nepotism, corruption, etc. are rampant throughout Latin America. Through the continuing education of its people, positive strides are being taken.
Diego,
DeleteI definitely agree that violence is a big concern for Latin America and an area that needs to be focused on further. However, I think the violence is more than just about lack of education and the corruption of the government. In one of the classes I took last semester, we discussed how there are different types of violence: political-military, symbolic, structural and interpersonal violence. A lot of the violence that occurs in many Latin American countries is interconnected with issues related to gender and social structures. For example, structural violence occurs when social structures of a society gradually kill citizens by blocking their access to basic human needs, and this continues to occur in many countries like Brazil. So I think the issue of violence is complicated and is a problem that will be hard to remedy since it does encompass so many other issues.
I think Diego's point about the growing middle class is key; a strong, stable middle class is indicative of a legitimate democracy and an socioeconomically equal state. I also believe that violence poses an eminent threat. With this said, the most important factor facing Latin American countries in the near future is, as the article stated, diversifying their economies. Commodity based economies are most vulnerable to the volatility of market fluctuations.
DeleteIn response to question #2, I'll start by saying that there are several important changes that need to be made in Latin America as a whole to facilitate, and perhaps even guarantee a brighter future for the region as a whole. However, not only does Latin America need change, but it also needs to continue what it is doing now and possibly even build on its actions. As Diego has mentioned, social welfare programs like Fome Zero and Bolsa Familia are building a larger and more defined middle class. If these welfare programs are continued and improved, not only could the middle class become more pronounced, but poverty cycles can be ended as long as new generations are introduced to the middle class.
DeleteThese welfare programs also help keep children in school (which Diego already has touched on), which could potentially deter increased violence in the future. The base of the point is that to discontinue what they are doing now would lead to a soon-to-be spiral into underdevelopment once again.
Latin America is clearly experiencing growth unlike any other major region in the world today. North America and Europe are both experiencing economic struggle giving Latin America its opportunity to shine and be seen as a “better” economy. This being said I think it is certainly correct for the nations of the reason to be optimistic about their economic futures. There certainly is more work to do in order to be greatly successful and I believe this region will achieve this.
ReplyDeleteIt takes time for rapidly growing countries to get used to their new success. From the Rio article we can draw that the city is not necessarily prepared for the large increase in population. With more people a city needs larger and stronger infrastructure. This includes the roadways and underground systems that were ailing according to the article. For a city to be considered a legitimate it needs to sharpen small-scale things like that up. This can be tied to one of the BBC article that mentioned there is more money to be spent by the newly grown/created middle class. A country that hasn’t had a history of a large amount of wealthy people that contribute to the growth of the country needs to adapt. These newly wealthy or at least wealthier people will execute projects that can provide business for them and help to the city they live in. For example if someone started or directed a construction company to slowly rebuild the underground infrastructure of the city, ridding or reducing the risk of the manhole explosions the city would see an increase in jobs available as well as improved infrastructure. A win would manifest for the average citizen in the area and a win the people involved in the construction company. Going back to the countries not being ready yet for this growth that they have experienced, I will simplify that thought by saying these countries just need to get their feet wet, which is what they are doing now. Once the region grows accustom to the rise in population and opportunity new social programs and political action will accommodate the issues that are being seen now.
I don’t think it is possible to not be optimistic about this region solely based on the numbers shown in the BBC article. It is statically obvious that Latin America is growing faster than the rest of the world. Besides the statistics, this region holds optimism through the recent changes in political statuses of several nations. Take the Columbian example; the people are taking control of their own government. While this is certainly unstable now it shows progress towards a long lasting regime because large amounts of the country are fighting hard for their own beliefs and are receiving recognition. They are shaping their nation. This region is just a bit behind the more “developed” world. They are growing much like the larger powers did and will soon be at that status.
As you mentioned above regarding investment in projects like infrastructure improvements, continuing economic growth patterns should be observable in Latin America’s future. However, I think it is critical to note the importance of who is doing the investing. According to the BBC article, the “biggest investor in Latin America, accounting for 43% of all foreign direct investment” is the EU. While those living in Latin America who have the financial wherewithal should invest in these projects, I think it wise to remember that much of this year’s economic success is largely due to Latin America’s standing as an investment opportunity for individuals and companies in the EU. That said, Latin America has fair cause to celebrate its success and to capitalize on it in the coming years.
DeleteWhile I do agree that there are certainly reasons to be optimistic when considering the political, economic, and social realities of Latin America, I can't help but despair at the same time. As others have already pointed out, the issue of violence in these societies is one which threatens to unravel all of the gains which might be cause for optimism. According to a study on homicide conducted by James D. Fearon of the Stanford Political Science Department, "Homicide rates have been increasing markedly in Latin American and Caribbean countries since the early 1990s. There has been a slight tendency for higher homicide levels in drug producing or trafficking countries, but not very large. Basically, there has been an increase in homicide rates in the whole region." While this is, in and of itself, alarming, it becomes even more so when viewed in light of the fact that Latin American Economies are growing rapidly (as described in the BBC article), and that many of these nations are struggling to democratize. Why? Because, as Fearon points out, "Homicide rates tend to be higher in countries with greater income inequality," and also "tend to be higher in democracies versus autocracies. This is true both across countries and when we look at the effect of transitions to democracy within countries." Though it could be pointed out that the income inequality in many of these countries is becoming less extreme, (the BBC article does indeed state that "Years of growth have spawned a thriving middle class [which] has more disposable income than ever before") this only acts to exacerbate the problem, for in actuality, "Homicide rates tend to be highest in middle income countries." This all seems to suggest that all of the so-called improvements taking place in this region may, in the end, have the opposite effect that we expect them to have. In short, that the rate of violence will continue to increase, opening the door for opportunistic individuals/groups to swoop in and offer increased protection in exchange for reduced civil liberties. It is a pattern which has been all too common throughout this region, which seems trapped in a state of path dependence (wherein the set of decisions one faces for any given circumstance is limited by the decisions one has made in the past, even though past circumstances may no longer be relevant.). Thus, quite possibly in the end, the increased violence leads to more authoritarian leaders taking the reigns, which leads to a decrease in freedoms (political/social) and a return to the consolidation of wealth (economic) in the hands of the elites. A familiar path, and a tragic one at that.
DeleteAccording to the BBC article Latin America is expecting better days...At least economically. Many places in Latin America that are seeing economic growth are also the same countries that have always been better developed in comparison to the rest of Latin America. While the economies of countries like Argentina and Brazil are underperforming, they are much better off than countries like Nicaragua or Paraguay. I think it is important to mention a country like Paraguay in this kind of situation. Having just visited the country in December of 2012, I must say that the title of “developing country” suits it well. Much more of the land that was previously vacant is being bought and used for private property, which I will attribute to the small but slowly growing middle class. Nevertheless, Paraguay is one of the poorest countries in Latin America with an extremely high rate of inequality. The fact that a paved road means improvement for such a country indicates just how poor it really is. But can we say that this kind of improvement is something to be highly optimistic about? I would argue no, on the grounds that there are tons of other factors that are holding Latin America back. Factors which Diego mentioned in his blog post.
ReplyDeleteImprovement is a tricky word to be using to describe these situations and The Economist article about the FARC and ELN situation in Colombia highlights this. As Colombia reaches progress with its strongest guerilla group, the FARC, it has also reached a setback with the second strongest guerilla group, the ELN. The violence and terror caused by both groups have been plaguing the country for decades, which makes any progress a good sign. The FARC have declared that they will stop their signature kidnapping for ransom and pursue peace talks with the government. The ELN, on the other hand, feels as if it is being left out and is childishly continuing the violence to prove a point. The aforementioned progress with the FARC is positive because by pursuing peace talks the guerilla group, the government might be able to significantly lower the violence that takes place at the hands of the FARC. The ELN’s reaction to the peace talk accentuates the problem of corruption in Latin America. Instead of viewing the peace talks as a step forward, the ELN view the FARC’s actions as an insult.
Corruption plays a huge role in Latin America, which slow economic growth can not fix. Perhaps if governments could pursue talks or negotiations with some of the most corrupt players in their countries, kind of like what Colombia has achieved with the FARC, then maybe there’d be more call for celebration of improvement.
You are so right that economics are not the only way to measure improvement. In one of my other classes we've been discussing how American that is to look at countries and say whether or not they're improving based on GDP or other economic measures. While many countries in Latin America haven't seen much improvement in that area, they've seen vast improvements in education, health, and overall quality of life, which I feel is worth noting. Money is not the only way to make a country better.
DeleteThat's really awesome that you were in Paraguay though, I've heard incredible things. Latin America is so huge, I just want to go everywhere!!
The EU and many economies of the world are still going through financial troubles from the ‘Great Recession’ that started around 2008 . Countries that were members of the EU are focusing on bailing out countries, such as Greece, so the Union doesn't collapse instead on being able to use that time and energy to focus on economic development and increased political security and fairness. Gideon Long, the author of the BBC Latin American article this week, displays that economies of Latin America grew at an average of about 3% last year as a whole while the average growth for economies around the globe were only 2.2%. Some extraordinary cases of economic development and growth were seen in Panama, which exceeded over a 10% total increase. These economic stabilities of these countries exert the progress that politics have made in Latin America by creating stable countries, politically and economically.
ReplyDeleteThe optimism of the political future for Latin America should be positive. Many improvements have been made in the last decade, including the election of Vincente Fox, a non-PRI president for Mexico. Additionally, as the article states, peace talks are finally beginning and taking action from FARC and the Colombian government as stated in ‘The Economist’. Although there are still problems politically throughout Latin America, such as the re-election of a PRI member as President of Mexico, or the copious amounts of inequality gaps throughout Latin America, the improvement it has seen in the past years is incredible. The future holds an even greater opportunity and success for Latin America. Rome was also not built overnight.
I believe that government spending and financing in Latin American countries is an issue that needs to be taken seriously. On the first note, corruption is widespread throughout many countries starting from local authority to the leaders of the nation. When I first read the New York Times article on the deteriorating, fire-spitting manholes of Rio de Janeiro, it made me think of my experience living in Costa Rica for six months. While I was there, I traveled all across the country every weekend using their highways, roads, bus stations, and other infrastructure to travel to my destinations (the country is about the size of West Virginia). What would have been a 2-3 hour trip had turned into a 5-6 hour trip creating long delays of travel and inefficiency due to highways, roads, and infrastructure not being updated, or not being there at all. If the government of Costa Rica wasn't as corrupt, more efficient financially, and had greater political and legislative efficiency, people would not lose hours of time and opportunity cost by driving through deterioration and out of date infrastructure (Costa Rica though is considered to be one of the most democratic countries in all of Latin America). In order to see more productive societies in Latin America as a whole, corruption needs to stop at all levels so a country can use all potential resources to develop and grow as a whole. Additionally, education must be a priority for each of these countries in order to continue their success.
As some others have already mentioned in their responses, it is obvious that violence is a problem throughout Latin America. While it is clear that the economy is on the rise throughout a majority of the region, some of this violence is overshadowing this economic success and is a huge issue for Latin American citizens. In order to facilitate a brighter future, this violence certainly needs to be addressed. Citizens cannot feel too happy and positive with their country just because the economy is on the rise, if they are constantly in fear of their own health and safety. Violence is not the only issue either. There are some serious problems having to due with the infrastructure of countries, especially in Brazil. Antonio Carlos Costa, a president of a human rights group mentioned in one of the articles, mentions that "(Brazil) is economically strong, but we do not have a culture of protecting human life." This seems like a huge concern to me, and something that should take precedence over the economy or other financial issues. If continued economic success and growth means that old infrastructure like that in Brazil becomes overburdened or not capable of absorbing this type of growth, it will continue to be a very serious problem.
ReplyDeleteI found the article, "Latin America is enjoying the good times--at last", to be a refreshing contrast to the majority of news (especially news concerning Latin America. That being said, its distinctly optimistic approach to Latin American economic and political policy makes me question its validity. Perhaps the article does not acknowledge the full complexity of the issue. This is especially highlighted in the article's contrast to the other articles this week. While Latin America may be experiencing prosperity in economic growth in modern times, it perhaps comes at the cost of poor (sometimes dangerous) infrastructure, and insufficient mediation to minimize violence.
ReplyDeleteIn response to question two. The Times and BBC article both suggest that changes need to be made if Latin america is going to see a bright future. The institutions within in Latin america need to continue to shift from extractive to inclusive. The rents that are gained by these institutions need to be redistributed into the community whether that be through infrastructure, social programs or long term sustainability. The problem is that in many LA countries we have these extractive institutions with these elites who horde the rents and only use them for personal gain.
ReplyDeleteAs far as I'm concerned, Latin America most definitely has the right to feel optimistic. They have seen growth rates above and beyond those of the majority of the world, and they have really pulled themselves up by their bootstraps to become a nation that is taken very seriously. From debt, political turmoil, and corruption to democracy and economic success in such a short time is definitely something to recognize. Obviously there is still work to be done, but the rate of improvement in Latin America has been impressive.
ReplyDeleteI was in Chile last year, and what I saw was much different than what I was prepared for. People said things to me like "so will you be living in a hut?" or "will you be able to use the internet?". But in fact, Chile is a highly developed, functional society, not much different from the United States. I had prepared myself to live less comfortably, to "rough it" in a sense, but upon arrival I realized Chile is no longer "developing" but practically fully developed. I was able to go about my life in basically the same fashion I would in the United States. I had no problem finding a store that sold the charger my laptop needed, I saw American movies in theaters comparable to those in North America, and I was even able to find beauty products that I used. While we had to hang our clothes outside to dry and wash our dished by hand, my home had hot water and a stove, and access to many of the channels we watch here. I had access to the internet, I had a prepaid cell phone, and actually the public transportation was far more streamlined and convenient there than any I've encountered in the United States. Needless to say, I did not go without while I was in Chile. Practically anything I wanted, I was able to find, signifying the immense progress that has been made in South America. Obviously Chile is one of the fastest growing, better off countries in Latin America, but they are a beacon of hope for the rest of countries trying to rise up in the world.
There is not doubt that over the last few decades countries in Latin America have experienced prime economic conditions, historically speaking stable political atmospheres and in most cases very active societies. There is however much to be done in the coming decades, which will truly determine the lasting success of these good times.
ReplyDeleteRecently, David Rohde and other journalist and economist at the Atlantic have pointed out many of the economic struggles that face Latin American countries. For many people Brazil (a so-called "BRIC" country) and its economic success is a model of how the region should follow. Yet, over the past year Brazil growth has fallen from a record high 7.5% to a little over 1%, economists wonder whether Brazil is a rising economic power or just experiencing a temporary boom (Ruth Costas, BBC). As a region Latin America has grown more than 3% with some countries growing much more aggressively, 6-10% (Gideon Long, BBC). In my opinion, Brazil like many countries around the world is experiencing the effects of the world depression but shows great diversification in their economy. The upcoming Olympics and World Cup should help motivate the government to invest in infrastructure. Many however would say that the true problem of the infrastructure is expanding out of the urban regions to the more rural interior where the resources and livelihood of the country exists. For this Brazil should look to Ecuador which has invested close to $1.5bn to improve rural and urban infrastructure under the Correa administration. Not only has Ecuador invested in infrastructure but also they have done so using Ecuadorian resources and Ecuadorian workers (www.marketresearch.com).
Regionally speaking the creation of the inter-American Development Bank and other institutions seem to be steps in the right direction for regional stability and autonomy from the international and for that fact foreign financial systems. In fact, as of this year poverty has dropped from 40-30% of the population as a result of social investment (World Bank).
Politically the focus of the international communities is on the transition to the "new left". Hugo Chavez, Cristina Fernández de Kirchner, Raul Castro, Rafael Correa, and Evo Morales have all emerged as powerful leftist leaders through democratic elections. According to Foreign Policy, the move to the left represents a transition from the political tradition of the region to a more representative system. In Bolivia, the election of the first Indian president not only represents a focus on the social welfare of native people but also a victory for a people that only three decades earlier "could not enter the main plaza in La Paz" (Morales). But there still remain pockets of political instability that can threaten the overall security in the region.
In Mexico as a result of the NAFTA, rural farmers in the southern states have found it difficult to impossible to compete with subsidized corn coming from the American mid-west. This development has led to an increase in groups like the Zapatistas who have taken to violent means of competition. In South America, the FARC and ELN continue to threaten the stability in Colombia and surrounding countries. Whether or not the FARC becomes part of the Colombian government we must not forget the legacy of violence that they will leave behind not to mention the void left behind that will most likely be filed by other militant groups (The Economist).
It is my opinion that Latin Americans should be optimistic about their future! For the first time in over 500 years they are deciding what course of action to take, they have begun to diversify and become more autonomous then ever before. Yet there are still rational apprehensions. Regardless of the recent developments, Latin America must focus on maintaining economic growth, cooperation with the international communities and protecting the rights of their people's and unique cultures.
Question #2:
ReplyDeleteI think that the BBC News Article - "Latin America is enjoying the good times - at last" explains it best. Although I think Latin America as a whole undeniably deserves to be optimistic about where it's at now as well as the positive future it has, there are of course areas that need to improve. The article first talks about the huge gap between the rich and the poor throughout Latin America, however earlier on, the article describes an evolving, thriving middle class in Latin America which sprung from 103 million middle-class members to 152 million in six years. Can it get better? Yes, but the change is in motion. Next, the article talks about the lack of money coming from taxes which then leads to little ability for government spending. Now some argue that minimal government spending is a good thing but specifically in this case, the lack of money from taxes isn't allowing Latin American governments to spend on social policies. The article then talks about the problem of Latin American countries and their tendency to be overly reliant on either a single commodity or industry to drive each economy. If countries such as Chile, Venezuela, Paraguay, and the Caribbean can find more commodities to export and "diversify", they can lessen the risk of relying on one commodity and expand their economies. The most important things in my opinion that Latin America needs to continue to do, which aren't necessarily changes, is to keep the level of inflation on the decline and also eliminate the trend of overspending that has proved costly for Latin America governments in the past.
I agree with your final statement but I also believe that Latin American governments need to focuses on increasing their government funds through taxes which will limit their spending debt and establish communication between the public and governmental officials. However I know that there is no simple answer to how and when they should collect taxes due to corruption and distrust between the people and the government.
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