JAMONOMICS

Gulf oil spill - A hole in the world | Naomi Klein | Environment | The Guardian

2010-07-19T09:56:00.000-04:00

Gulf oil spill - A hole in the world | Naomi Klein | Environment | The Guardian

Everyone gathered for the town hall meeting had been repeatedly instructed to show civility to the gentlemen from BP and the federal government. These fine folks had made time in their busy schedules to come to a high school gymnasium on a Tuesday night in Plaquemines Parish, Louisiana, one of many coastal communities where brown poison was slithering through the marshes, part of what has come to be described as the largest environmental disaster in US history.

"Speak to others the way you would want to be spoken to," the chair of the meeting pleaded one last time before opening the floor for questions.

And for a while the crowd, mostly made up of fishing families, showed remarkable restraint. They listened patiently to Larry Thomas, a genial BP public relations flack, as he told them that he was committed to "doing better" to process their claims for lost revenue – then passed all the details off to a markedly less friendly subcontractor. They heard out the suit from the Environmental Protection Agency as he informed them that, contrary to what they have read about the lack of testing and the product being banned in Britain, the chemical dispersant being sprayed on the oil in massive quantities was really perfectly safe.

But patience started running out by the third time Ed Stanton, a coast guard captain, took to the podium to reassure them that "the coast guard intends to make sure that BP cleans it up".

"Put it in writing!" someone shouted out. By now the air conditioning had shut itself off and the coolers of Budweiser were running low. A shrimper named Matt O'Brien approached the mic. "We don't need to hear this anymore," he declared, hands on hips. It didn't matter what assurances they were offered because, he explained, "we just don't trust you guys!" And with that, such a loud cheer rose up from the floor you'd have thought the Oilers (the unfortunately named school football team) had scored a touchdown.

The showdown was cathartic, if nothing else. For weeks residents had been subjected to a barrage of pep talks and extravagant promises coming from Washington, Houston and London. Every time they turned on their TVs, there was the BP boss, Tony Hayward, offering his solemn word that he would "make it right". Or else it was President Barack Obama expressing his absolute confidence that his administration would "leave the Gulf coast in better shape than it was before", that he was "making sure" it "comes back even stronger than it was before this crisis".

It all sounded great. But for people whose livelihoods put them in intimate contact with the delicate chemistry of the wetlands, it also sounded completely ridiculous, painfully so. Once the oil coats the base of the marsh grass, as it had already done just a few miles from here, no miracle machine or chemical concoction could safely get it out. You can skim oil off the surface of open water, and you can rake it off a sandy beach, but an oiled marsh just sits there, slowly dying. The larvae of countless species for which the marsh is a spawning ground – shrimp, crab, oysters and fin fish – will be poisoned.

It was already happening. Earlier that day, I travelled through nearby marshes in a shallow water boat. Fish were jumping in waters encircled by white boom, the strips of thick cotton and mesh BP is using to soak up the oil. The circle of fouled material seemed to be tightening around the fish like a noose. Nearby, a red-winged blackbird perched atop a 2 metre (7ft) blade of oil-contaminated marsh grass. Death was creeping up the cane; the small bird may as well have been standing on a lit stick of dynamite.

And then there is the grass itself, or the Roseau cane, as the tall sharp blades are called. If oil seeps deeply enough into the marsh, it will not only kill the grass above ground but also the roots. Those roots are what hold the marsh together, keeping bright green land from collapsing into the Mississippi River delta and the Gulf of Mexico. So not only do places like Plaquemines Parish stand to lose their fisheries, but also much of the physical barrier that lessens the intensity of fierce storms like hurricane Katrina. Which could mean losing everything.

How long will it take for an ecosystem this ravaged to be "restored and made whole" as Obama's interior secretary has pledged to do? It's not at all clear that such a thing is remotely possible, at least not in a time frame we can easily wrap our heads around. The Alaskan fisheries have yet to fully recover from the 1989 Exxon Valdez spill and some species of fish never returned. Government scientists now estimate that as much as a Valdez-worth of oil may be entering the Gulf coastal waters every four days. An even worse prognosis emerges from the 1991 Gulf war spill, when an estimated 11m barrels of oil were dumped into the Persian Gulf – the largest spill ever. That oil entered the marshland and stayed there, burrowing deeper and deeper thanks to holes dug by crabs. It's not a perfect comparison, since so little clean-up was done, but according to a study conducted 12 years after the disaster, nearly 90% of the impacted muddy salt marshes and mangroves were still profoundly damaged.

We do know this. Far from being "made whole," the Gulf coast, more than likely, will be diminished. Its rich waters and crowded skies will be less alive than they are today. The physical space many communities occupy on the map will also shrink, thanks to erosion. And the coast's legendary culture will contract and wither. The fishing families up and down the coast do not just gather food, after all. They hold up an intricate network that includes family tradition, cuisine, music, art and endangered languages – much like the roots of grass holding up the land in the marsh. Without fishing, these unique cultures lose their root system, the very ground on which they stand. (BP, for its part, is well aware of the limits of recovery. The company's Gulf of Mexico regional oil spill response plan specifically instructs officials not to make "promises that property, ecology, or anything else will be restored to normal". Which is no doubt why its officials consistently favour folksy terms like "make it right".)

If Katrina pulled back the curtain on the reality of racism in America, the BP disaster pulls back the curtain on something far more hidden: how little control even the most ingenious among us have over the awesome, intricately interconnected natural forces with which we so casually meddle. BP cannot plug the hole in the Earth that it made. Obama cannot order fish species to survive, or brown pelicans not to go extinct (no matter whose ass he kicks). No amount of money – not BP's recently pledged $20bn (£13.5bn), not $100bn – can replace a culture that has lost its roots. And while our politicians and corporate leaders have yet to come to terms with these humbling truths, the people whose air, water and livelihoods have been contaminated are losing their illusions fast.

"Everything is dying," a woman said as the town hall meeting was finally coming to a close. "How can you honestly tell us that our Gulf is resilient and will bounce back? Because not one of you up here has a hint as to what is going to happen to our Gulf. You sit up here with a straight face and act like you know when you don't know."

This Gulf coast crisis is about many things – corruption, deregulation, the addiction to fossil fuels. But underneath it all, it's about this: our culture's excruciatingly dangerous claim to have such complete understanding and command over nature that we can radically manipulate and re-engineer it with minimal risk to the natural systems that sustain us. But as the BP disaster has revealed, nature is always more unpredictable than the most sophisticated mathematical and geological models imagine. During Thursday's congressional testimony, Hayward said: "The best minds and the deepest expertise are being brought to bear" on the crisis, and that, "with the possible exception of the space programme in the 1960s, it is difficult to imagine the gathering of a larger, more technically proficient team in one place in peacetime." And yet, in the face of what the geologist Jill Schneiderman has described as "Pandora's well", they are like the men at the front of that gymnasium: they act like they know, but they don't know.

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A Shocking Plan: Bruce Goldings War

2010-05-28T09:51:00.007-04:00

Naomi Klein in her book ‘The Shock Doctrine: the Rise of Disaster Capitalism,’ chronicles throughout modern history how a leaders have often used crisis’ to push through unpopular legislation. From South America in the 1970’s through the dissolution of the USSR in the 1990’s and ending in the current era of the war in Iraq, it is evident that during turbulent times, when people are confused and are in need of direction, there is a window for strong and decisive action to take place. I urge Jamaicans during these times to hold the bar of accountability as high as it ahs ever been as opposed to lowering it in sympathy to the hard position our leaders have found themselves in.

Here in Jamaica, our world is tilting. Events in Tivoli and West Kingston as well as the greater metropolitan area are quickly dissolving the public's’ sense of reality. When students cannot get to school to do their examinations, and businesses cannot open; when people are constantly barraged with the sound of bullets flying through the air nearby, it is clear that our points of reference for reality are swiftly disappearing. We are entering a realm of suspended animation, a sort of twilight zone that is all too familiar to war torn areas such as Iraq and Palestine. Our Government has during this time stripped the public of their right to freedom of movement, as well as their habeas corpus rights. Mark Shields, the former deputy commissioner, has labeled the events unfolding in West Kingston as a war that must be continued and won. But by whose design and at what cost?

The Golding administration has been losing popularity with the public steadily. The worsening economic situation as well as this current fiasco with the extradition of duddus has placed calls on the PM to resign. Such calls are not unusual in history but when one places them in the context of unfolding events one has to wonder if this ‘war’ isn’t a tad bit convenient for the PM. History shows us that during a time of war, leaders regain popularity and tend to win elections. Is this the JLP’s war? Should we expect an election to be called soon? Will we forget the past in exchange for a promise of future action coupled with what seems to be bold action taking place now?

What else is interesting is that in the face of a difficult road ahead to passing the next IMF test, is it possible that the government will use these events to cover more drastic economic reform in a desperate attempt to qualify for our next US$100 million disbursement? Certainly desperate times call for desperate measures as our PM reiterated in Parliament yesterday, using similar rushed and unusual legislation in other countries to counter violent uprising as justification for his new agenda.

What we must do is pay attention to the action of our leaders. Now that they have taken away some of our rights, we should not allow them to take away our voice. We cannot give our leaders free pass to do as they wish, and it is now more than ever that we need accountability. So as we prepare for the Prime Minister’s onslaught of ‘new’ legislation, we must pay attention to the devil in the details. We want to know what will be in these ‘extraordinary legislation.’ The noticeable absence of mention of the anti-corruption bills during his speech today replaced by an unbalanced focus on anti-gang legislation was for me all too telling. We the people need to place the focus back on the politicians and corruption within government if action in West Kingston is to have any lasting impact. So I urge all Jamaicans to stay conscious in these weary times. I give my heart out to those who have lost loved ones and our security forces that have given their life. Let it not be in vain.

article written: 27th May 2010

The Prime Minister's Speech on the Extradition and Apology

2010-05-18T14:11:00.005-04:00

A Period of Reflection | Reports

My fellow Jamaicans……I have spent the last several days in deep contemplation about the issues that have caused so much anxiety throughout the society including the reaction to my statement in Parliament last Tuesday and the events and circumstances that led up to it.

The Views of the Public/Consultations/Expressions Of Support

I have listened very carefully to the views expressed by members of the public. I have also consulted with my Cabinet and parliamentary members, the party organization and various civil society groups. I thank those who have expressed their support and have urged me to find a way to deal with these matters and to put them behind. I respect the views of those who feel that, in the circumstances, I should step aside.

Divine Guidance

I have asked God to guide me in my response and the decisions I must make. I regret the entire affair and it has been deeply painful for me, members of my family and you who have been hurt and disappointed.

My Remorse to the Nation

In hindsight, the party should never have become involved in the way that it did and I should never have allowed it but I must accept responsibility for it and express my remorse to the nation.

The Question of Trust

The way in which this matter has been handled has raised the question of trust. Several persons and organizations have expressed their disappointment. I should not have been surprised because I had raised the bar as to what they should expect of me and what has transpired has fallen short of their expectations. And here I want to personally thank the wide cross section of persons who took the trouble to write to me, not all complimentary but all expressing the deep anguish that they experienced over what had transpired. Others have offered their prayers and to all I am deeply grateful.

Forgiveness and Atonement

I am aware that trust can only be restored by forgiveness and atonement. That will take time and I am committing myself to do everything that is humanly possible to repair the damage that has been done to that trust. In return I ask for your forgiveness.

The Christopher Coke Extradition Matter

This matter of the extradition has consumed too much of our energies and attention and has led to a virtual paralysis that must be broken.

I crave your understanding, the government has never refused... never refused... the request for the extradition of Christopher Coke. It has simply asked the US authorities to provide additional information that would enable the Minister to issue the authorization in compliance with the terms of the treaty. In the controversy that has ensued, we sought the opinion of one of Jamaica’s most eminent lawyers, Dr. Lloyd Barnett, who advised that the issues involved were not sufficiently settled in law, and therefore the Attorney-General should seek a declaration from the Court before exercising her authority.

Issues of Non Compliance

I wrestled with the potential conflict between the issues of non-compliance with the terms of the treaty and the unavoidable perception that because Coke is associated with my constituency, the government’s position was politically contrived. I felt that the concepts of fairness and justice should not be sacrificed in order to avoid that perception. In the final analysis, however, that must be weighed against the public mistrust that this matter has evoked and the destabilizing effect it is having on the nation’s business. Accordingly, the Minister of Justice, in consideration of all the factors, will sign the authorization for the extradition process to commence.

Manatt, Phelps & Phillips

The engagement of Manatt, Phelps & Phillips by Mr. Harold Brady was an effort to secure assistance in resolving the stalemate because the party was concerned about the negative effect it was having on relations between Jamaica and the United States. I sanctioned this initiative but made it clear that it was to be kept completely separate from the government. As I later discovered, those instructions were not followed. Having sanctioned it, I cannot escape responsibility for it or the developments that have ensued although I was not myself involved in those activities.

When I was asked in Parliament whether the government had engaged the services of Manatt, Phelps & Phillips, I answered truthfully and definitively that it had not done so. It is felt that I should, there and then, have acknowledged the party initiative led by Mr. Brady. On reflection, I should have and tonight I express my profound regret and offer to the Parliament and people of Jamaica my deepest apologies.

It took time for me to make my statement last Tuesday because of the efforts I had to make to find out exactly what had transpired in this Manatt, Phelps & Phillips affair. I felt I had a duty to make that statement and I spoke on the basis of the information that has been presented to me.

Nation of Jamaica

The business of the country and the challenges that we have to overcome require that they be tackled with urgency and unquestioned authority. The economic programme that has restored stability after the tumultuous impact of the global recession and is showing early signs of recovery requires firm hands and certain leadership. The transformation of the government to improve the delivery of services despite the budgetary constraints and the stimulation of the investments that are needed to restore the jobs that were lost and create new ones require strong management unfettered by the ghost of the recent ordeal. The worrying crime problem must be confronted with vigour, confidence and determination. The social partnership being built through the Partnership for Transformation to bring a new collaborative and consultative approach to policymaking requires commitment and direction.

Should I Step Aside?

Yesterday, I indicated to the Central Executive including my parliamentary members that I was prepared to step aside as Prime Minister. A new Prime Minister would need to be assured of the support of the Party and a Special General Conference would have to be convened to elect a new leader so that a new Prime Minister can be appointed. The offer was rejected and I was asked to reconsider. I know that to continue requires on my part a recommitment to the purposeful change that we had promised.

Jamaica: The Way Forward

Not Business As usual

I thought deeply about it last night and recognized that if I am to continue it cannot be business as usual. We have done well on some fronts but there are issues:

Such as crime and violence to which much more effort and determination will have to be brought.
Our legislative programme on which so much of our manifesto commitments were based will have to be renewed.
Tough and uncompromising measures to deal with the pervasive crime problem and to stamp out corruption will have to be matters of urgency.

PSTU

I will be tabling in Parliament the proposals emanating from the Public Sector Transformation Unit for the restructuring of government to invite public comment before a final decision is taken. I intend to transfer some of my portfolio responsibilities to other Ministers to enable me to focus more on the issues that drive change and transformation.

Political and constitutional reform

I intend to concentrate much of my efforts on advancing some of the unfinished business of our mandate. In our election manifesto, we committed ourselves to a wide range of political and constitutional reform measures to transform the way politics is conducted and the way government operates, to stamp out corruption and hold public officials to account. Some of these have already been implemented or are at an advanced stage. These include:

Appointment of a Special Prosecutor to fight corruption
Whistleblower legislation to aid in fighting crime and corruption
Independent Commission to investigate abuses by the security forces
Fiscal responsibility legislation to, among other things, exert control over our fiscal deficit and accumulation of debt
Reform of the Libel laws to enable greater transparency and accountability in government

However, having to grapple with the effects of the global recession consumed so much of our energies that we have not been able to move as fast as I would have liked on some important elements of the reform package.

Going forward, I intend to put the following measures on fast track:

Measures to reverse the institutionalization of political tribalism and garrisons as manifested in many constituencies across political lines including my own constituency, an issue I propose to anchor in the Partnership for Transformation and with a commitment to implement the recommendations.
Provisions for the impeachment of public officials
Term limits for the office of Prime Minister
Vesting constitutional authority in the Contractor-General and Electoral Commission
Laws to regulate political party financing
Enacting into law certain provisions of the Political Code of Conduct with appropriate oversight and penalties for violations
Criminal sanctions for breaches of the award of contracts
Parliamentary oversight in the appointment of certain statutory positions

I intend, also, to seek parliamentary approval for the anti-crime Bills, the DNA Evidence Act and new criminal gang legislation to strengthen our capacity to fight crime including measures to prevent the award of government contracts to individuals linked to criminal activities.

Conclusion: Much to accomplish as a people

The nation’s business cannot continue to be disrupted and distracted by the ordeal of the last several months. We must put it behind us and move on and I hope that after tonight we will be able to do so. And we must do so with humility. Our lapses at times into what comes across as arrogance and disrespect must not be allowed to happen, for we are the servants of the people. Again, I express my regret to those who were offended.

There is much that we have to accomplish as a people and many serious challenges that must be overcome but, together, we can make it work and ensure that our people enjoy a better life.

May God continue to bless Jamaica and provide the strength and support we all need.

Actions Speak Louder Than Words

2010-05-18T09:23:00.005-04:00

Judging by my title you probably think you know what I am going to say. The Prime Minister last night shocked the nation (or the small percentage that I don’t already know) when he announced in his PSA that he was giving the Justice minister the order to sign the extradition request for Dudus. He made it clear that he never said the government was not going to sign the extradition treaty, but that that they wanted clarification on the powers of the Justice Minister on the matter (blah*stalling*blah), and to ensure that Dudu’s rights were being protected as a citizen of Jamaica. While I do not believe this was the real reason for the delay, the signing of the extradition treaty in my eyes vindicates the government, not totally, but mostly from the previous mess. The issue of Bruce misleading the nation on the Mannatt issue is another very serous issue and should warrant a resignation in my books – if it was not for last night.

For those of us that struggled and managed to listen on after Bruce said the word ‘sign the extradition’ then you probably would have heard the MOST important part of his message. Basically, the Prime Minister plans to push through legislation that has been around for years literally, aimed at stomping out corruption and the vicious violence politics nexus that beholds the country. To do this he plans to fast track:

Measures to reverse the institutionalization of political tribalism and garrison;
Provisions for the impeachment of public officials;
Term limits for the Office of the Prime Minister;
Vesting constitutional authority in the Contractor-General and the Electoral Commission;
Laws to regulate political party financing;
Enacting into law certain provisions of the Political Code of Conduct with appropriate oversight and penalties for violations;
Criminal sanctions for breaches of award of contracts;
Parliamentary oversight in the appointment of certain statutory positions.

(JIS link)

Judging by the saddened state and demoralized situation the PM has found himself in, I have reason to believe that his words are sincere. After all, sources do confirm that the PM did in fact resign on Friday morning, but was convinced by his party later in the day to do otherwise. Also, these measures are not JLP created, but are the result of both national, regional and international consultations as well as detailed research and analysis of the Jamaican crime and corruption situation. I do believe that if implemented properly, they can work.

Now the reason why I support this is because I think Bruce is the best shot of all the possibilities of implementing these reforms. Serious doubts are in mind as to whether or not they would be implemented had he resigned and someone else taken over, because most Jamaicans would have left it at that and the whole affair would be over. But the situation goes much deeper than one prime Minister. this is Bruce's shot at vindication.

I am hopeful. Call it overly optimistic, naive or ignorant. But I think I’m looking at the basic economics of the situation here. Bruce is between a rock and a hard place, and if he cares as much about his legacy, integrity and reputation as much as he seems to, then there is a slight glimmer of hope for redemption and rectification.

We can seize the opportunity to try and make these nice words turn into actions; if they do, they are good actions. -- Dr Carolyn Gomes, The Gleaner May 18 2010

Jamaica Gleaner News - Living in a state of emergency - Letters - Tuesday | May 4, 2010

2010-05-04T07:21:00.000-04:00

Jamaica Gleaner News - Living in a state of emergency - Letters - Tuesday | May 4, 2010

Within the past week,there was the unfortunate story of my cousin and uncle who were ministering in a depressed community in Kingston early at night, when their jovial singing and praise were interrupted by shouting and chaos. Several men had invaded a small shop less than five yards away with guns and shot a young man to death. In the midst of the chaos, a resident in the community shouted at my confused cousin to 'jump over the fence!' This advice was followed and thankfully both my cousin's and my uncle's life's were spared.

When I think about the state of Jamaica I cannot help but take that advice metaphorically. The moral state of the country, rampant violence and lack of integrity of our political leaders cause me to consider the realities of facing a life in Jamaica. We are living in a state of emergency. These criminals show no fear for either the law or God.

But who or what in Jamaica must murderers fear? The position of the current administration to protect an alleged drug don has moral implications. When a prime minister goes as far as to publicly intervene in issues rightfully outside his purview, doesn't this signify an 'OK' to other men of questionable character? Are our political leaders not condoning rather than condemning the associated lifestyle? This is an issue I think is more serious than the current worries over losing visas.

In relation to the events that inspired this letter, my condolences go to the family of the deceased. I pray that somehow justice will come to you in these turbulent times. To the rest of Jamaica, I know with the lack of credible leadership, a moral compass or efficient justice system, it seems like misguided and overly optimistic hope is all we have left. But please don't jump the fence yet. We owe it to the families of the 547 that have been killed thus far.

I am, etc.,

ANDREW WALCOTT

Jamaica Gleaner News - LETTER OF THE DAY: Better management of Riverton landfill needed - Letters - Saturday | April 24, 2010

2010-04-30T13:39:00.000-04:00

Jamaica Gleaner News - LETTER OF THE DAY: Better management of Riverton landfill needed - Letters - Saturday | April 24, 2010

The Editor, Sir:

Anyone who has ever lived in Kingston or Spanish Town for more than a month would have been privy to the disaster that is the Riverton landfill on fire. I understand that these fires happen for several reasons ranging from spontaneous combustion to deliberate creation by humans. However, there is yet to be any study as to what exactly are the long-term health effects of this frequent nuisance.

In speaking with health experts and senior members of the Ministry of Health, I found that what exactly is in the fumes and smoke emitted from the landfill would wholly depend on what exactly is in the landfill. This is the problem because no one knows what goes into the landfill, since no such records are required and no such studies have been done. Even more disturbing is the fact that since there is no industrial landfill in the country, it is assumed - not unreasonably - that most industrial solid waste ends up in the landfill. This could include toxic and harmful substances, with disastrous side effects on nearby populations.

Immediately surrounding the landfill are approximately 12,000 residents, 6,000 of whom live in the Riverton community. A few of these residents, including young children, venture over to the dump to search for recyclable materials such as plastic and glass bottles, which they then sell. While the venture performed is an important one for the environment, and financially beneficial to those who engage in it, it is also a very dangerous one that has ended in serious injury and even death by unfortunate accidents associated with inherent risks of just being near heavy trucks and machinery.

The landfill is also a major emitter of methane, a greenhouse gas that is twenty times more efficient than carbon dioxide at trapping heat in the atmosphere. Methane is expelled through a natural process from the decomposition of plants, food, and other biodegradable items. Instead of contributing to global warming, this gas can be trapped and used for energy production. It has been done in many other countries in the world, so why not here?

Research

These are some of the issues the citizens of Jamaica face with respect to the Riverton landfill. I strongly urge the Government and our universities to consider carefully the idea of conducting research to know what exactly is going into the landfill, and to fully understand just what are the long-term health effects of the fumes from these fires. This would inform better policy in terms of solid waste management and deciding health priorities. It would also hasten the new move towards a cleaner and safer waste-to-energy programme currently being reviewed by the National Solid Waste Management Authority in conjunction with the Petroleum Corporation of Jamaica, as well as the construction of an industrial waste disposal site.

The citizens of the country as well as the environment deserve better, and we must give it to them.

DIvest Divest Divest!

2010-03-10T06:46:00.002-05:00

So i was doing some research and i came up on some studies that Capri has done on Jamaica's debt and realized some very interesting things. some of which a lot of people don't know, including my public sector teacher (who is from the states). Capri also ran some tests to test some scenarios to see the result if we were to choose certain paths to deal with the debt problem. I will outline what they were basically sating. One thing that i finally realized was that our central government spending is actually much less than our revenues. Much much less! Therefore the focus on Public Sector wages is somewhat misguided and quiet frankly a scapegoat in the whole situation.

First of all it was don't in October 2008, and as we know a LOT has changed since then, but i still think it is relevant in deciding what we should do. Indeed some of the recommendations may be even more urgent than ever.

Scenarios and outcomes:

1. Do nothing - if Jamaica was to do nothing our debt/GDP ratio will drop bellow 100 in 13 years and we get a balanced budget it 8 years.

2. If we borrow only from foreign rather than domestic sources (doubled foreign debt ratio) - balanced budget in 8 years.

3. If we only borrowed from multilateral at much cheaper interest rates - debt/GDP ratio equals in 12 years and reach balanced budget in 7 years

4. If we stopped absorbing debt from non-central gov organizations (Air J, JUTC, Sugar Companies etc.) - 10 years to debt/GDP ratio is equal, 6 years to balanced budget.

5. If we increased tax revenue by 3% - Debt/GDP ratio met in 9 years, and balanced budget in 4 years.

6. If we had constant 3% growth - balanced budget in four years.

So it see, the debt problem is solved not through stifling public sector wages, regardless of how inefficient they are, but rather through cutting off some unprofitable entities. More obviously we need economic growth, or increased revenues by at least 3% to bring the debt/GDP ratio below 100% in less than 10 years.

Capri presentation*

Riverton City Dump

2010-03-05T23:56:00.002-05:00

It's something no one really wants to talk about, because we are all guilty. The Riverton Dump services the metropolitan area of Kingston and Spanish Town and is quickly becoming a scathing embarrassment. But while some may scoff at those who derive a livelihood from scavenging through the trash we leave behind, we should really be looking at ourselves.

There was a time long ago when we didn't have to pay these things much attention, but today the world is different. the dump is a breeding ground for diseases and because of the inadequacies of disposing of medical garbage, it serves as a facilitator of the transmission of STD's. Unfortunately, the general public is not really aware of what happens at the dump and just how sad the situation is for the poorest of the poor.

The dump also negatively affects corporate Jamaica. With the frequent occurrences of spontaneous combustion which results in fires that last days on end, businesses are unable to remain open due to heavy smoke.

While plans to develop the dump have been on the table, so far i have not seen any indication that the dump has been upgraded as planned.

In line with environmental aims of the OYW 2010 summit that I was a part, the Jamaican Ambassadors have decided to tackle the problem of the Riverton City dump and try to raise awareness and mobilize an effort that will lead to some solutions.

I will make sure to keep you all posted!

Spotlight on the UN CSD Youth Caucus

2010-02-20T11:51:00.001-05:00

Spotlight on the UN CSD Youth Caucus

Should youth be involved in the UN or focus on other global decision-making arenas? What has more impact?

Jamaica Gleaner News - Fitch upgrades Jamaica ratings to 'B-' - Lead Stories - Wednesday | February 17, 2010

2010-02-17T09:50:00.001-05:00

Jamaica Gleaner News - Fitch upgrades Jamaica ratings to 'B-' - Lead Stories - Wednesday | February 17, 2010

Is the new JLP economic reforms really having an effect?
Despite these developments, Jamaica just went through at least 12 quarters of negative growth in GDP.
The loan which was given to us by the IMF really doesn't do much a part form stay in the BOJ, so what is the plan?

One Young World 2010

2010-02-16T19:46:00.002-05:00

After all is said and done, what now? That is the question facing the over 800 delegates that attended the inaugural One Young World Summit in London last week. The euphoria that filled the air evolved over two days into an epiphenomenal sense of meaning and purposeful action to create change consumed everyone. But now that it is done, can we really make a difference?

Yes we can, through spreading the word to as many people as possible! Knowledge has power to change actions and people. We must force each other to do the right thing through enlightening each other of what the right choices are. We can take civil action through writing to MP’s and the newspaper. And we can get our friends involved. So be the change my friends!

I invite you all to visit these sites and find a way that you can help make a difference, feed a starving person, or reduce global warming. It starts with YOU and ME!

Progressive Government: What did we expect?

2009-12-18T07:41:00.008-05:00

Image via Wikipedia

An IMF deal in the making, there had to be some changes. Yesterday night the Jamaican Minister of Finance announced a broadening of the Tax base to include items such as female sanitary napkins, sugar, corned beef and bread. The excuse is basically that they need more revenue o pay back there debt as well as run the government. At the same time the government has been undertaking a public sector cut programme that will identify and see the realization of possible savings in the government apparatus.

There is no denying that some amount of inequity has been reached. The tax exempted items had always been those that the poorest of society need to maintain some amount of decent living. The position of this government seems to be a more 'progressive' type of taxation which no doubt will be easier to collect and will almost definitely raise government revenue, but how will this affect the poor, and who's idea was this anyway?

Of course we need not look any further than Washington to realize where all of this is coming from. The IMF negotiations have been going on for well over 6 months, but not a word has been said about the conditions. Definitely, the broadening of the tax threshold to include the items most needed by the poor is as a result of IMF conditionality, and we certainly would not be getting any 1.2 billion dollars if it were not done. The government acts as though they have no idea what the IMF wants, however there is the Article IV Consultation reports that came out in June 2008, which outlines basically everything the IMF thinks the government should do. There is no hit and miss in these negotiations, we know what they want and Shaw is giving it to them.

So what did we expect? As long as Jamaicans continue to live in the cloud of ignorance as we currently do, these things will continue to occur and take us by surprise. The information is there, we must hold our government more accountable by equipping ourselves with knowledge.

O yeah, and all now there is no talk of how we plan to pay this money back.

Orane concerned global crisis blowing Caricom off course - JamaicaObserver.com

2009-06-21T21:03:00.001-04:00

Orane concerned global crisis blowing Caricom off course - JamaicaObserver.com

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Number of World Billionnaires takes a nose-dive

2009-03-12T00:14:00.000-04:00

The financial crisis is taking its toll on the world's richest people, wiping 332 names off the Forbes Magazine's 'rich list' of world billionaires.

LINK

The Two C’s and one Boat: An old debate for new problems

2009-03-08T13:53:00.003-04:00

People and politicians are now fixated with the economy and the response that governments are having worldwide in order to fix the worlds problems. It would seem like the majority of people are in favor of some sort of government intervention whilst there are a few who are absolutely against it and there are probably fewer who would favor a totally planned economy. Frequently we are bombarded about thoughts on what the governments involvement in the economy should be if any at all. Some calling for big government and some want small government.

What seems abundantly clear to me is that during the previous century, neither ideal has performed particularly well. The birth of the big government during the period after the great depression didn’t see a boom in the American economy, but what we saw was greater stability and overall growth. At the same rate, the deregulation of the Clinton years saw an economic boom along with the advent of a credit bubble dwarfed only by the current crisis and the great depression. Although Clinton had a higher approval rating than Bush when leaving office, both left an economy on the brink of destruction.

What we have to understand is that there is a trade-off that does not get popularized because this is not politically convenient for any politician to really say. The trade off is between slow sustained growth and quicker more sporadic and more volatile growth. Politicians would rather promise economic boom and prosperity rather than forecast slow growth. But with both of these comes their trade offs, one has severe economic implications while the other has political implications.

Towards "Rational Act(ions)"

The fundamental problem here is not a new one. It has perplexed our liberal philosophers from the conception of their thought. How does one get people to act rationally? How do you get people to make good decisions in a world where you may be rewarded for acting irresponsibly? Their answer was the nuclear family structure. If one have a spouse to look after and children to inherit our world, they believed that people would make all their decisions based on fear of implications for their families well being. Today, although professed to still be the best structure for families, it is slowly being eroded. Feminist have been the group of people dealing with this phenomena and trying to explain exactly why this is happening. Single parenthood is becoming for whatever reasons the most popular way of parenting in many ‘liberal’ societies.
What we now have is a breakdown in the functionalist’s societal workings. Some may be forced to call it a degeneration of society, but from a postmodern perspective, it may just be the next step(even though they don't believe in progress). What needs to happen is an adaptation process should occur and the government should be a facilitator. The economy and economic regulations needs to adapt to the social changes that have occurred. The current family structure does not serve the purpose of acting as moral fiber for the rest of society. Instead it acts as a consumption unit that is obsessed with elevating its lifestyle to a superficial iconographic image sold to us through the mass media.

The government is not equipped to deal with these problems, but they have great potential to support any positive change that might occur. Whether it comes from civil society, NGO’s or politicians themselves. But there is no set in stone way of doing this, society changes and so too should approaches. So in the words of Barack Obama – The question shouldn’t be whether our government is too big or small, but if it works.

Boom Bust, Booom and BUST! Another upper class spending spree?

2009-02-28T11:52:00.007-05:00

If anyone has ever looked into the effects of a recession they would realize that some things remain the same. The rich stay Rich, and the poor get poorer. You think that the severity of the recession and whether or not it becomes a depression would have an effect on this pattern. But it doesn’t. All that happens is the more severe the recession, the greater inequality that develops and the smaller the amount of high elites that benefit from the disaster that unfolds.

The Great Depression
This was probably the worst economic disaster ever recorded. But what happened in the interim. We would see that the big banks in the United States bought out all the smaller banks. They consolidated market shear and in the end increased their own stability and wealth.

Russia after the fall of the Soviet Union also experienced one of the worst depressions recorded. Their GDP fell by about 50 percent between 1990 and 1995. So what do we know about Russia now. They have one of the most powerful oligarchies in the world

“Known as oligarchs, these businessmen wield a great deal of influence over Russia's political and economic life.

They bought most of Russia's national resources at bargain basement prices, often in return for favours to key politicians.” BBC 2000

This group rose to power during the turbulent 90’s after massive deregulation and privatization was said to be the cure to Russia’s economy. State assets were sold at rock bottom prices and the most powerful businessmen who were usually the members of the old soviet power structure purchased everything.

Today
Well this probably won’t be the same story today since we are no longer blaming communist policies or market irregularities like too much regulation for the ills in the worlds economy. Instead we are blaming a lack of regulation and free market principles as the root cause of the problem. The solution today is not less regulation but more.

President Barrack Obama has signed into law the largest stimulus package ever by the US government and the government has continued to purchase banks in order to build trust in the financial sector and maintain some amount of stability.

This recession will have exactly the opposite effect than what every other recession has had because there is a paradigm shift. State intervention is seen as the solution to economic ills. The United States will see a middle-class benefiting while a upper-class become practically stagnant in growth after an 8 year reign.

Jamaica
Our economy has always behaved differently because the market does not operate efficiently at all in Jamaica. However I believe that those who will profit from Jamaican turbulence don’t even live in Jamaica. They live among other places in China and Spain. A state visit from his majesty in February as well as the Chinese Vice President cannot be dismissed as just courtesy visits. The queen said she always wanted to come to Jamaica, but why now? Probably it has something to do with the massive investment Her country has made in our tourism industry building all of the biggest hotels we have now. I have already explained the relationship between China’s ‘altruism’ and their national interest.

The sale of some of Air Jamaica's most lucrative routs to Virgin Atlantic for less than 5 percent of its actual worth may have been signs of faulty neoliberal policies spreading wings in Jamaican political economic thought. but if you dismissed it as policies of a previous administration, get this - The new administration wants to sell the entire air line! lets just wait and see how much it goes for.

What we may see in this time is other governments and other middle classes benefiting from Jamaica’s strategic position and resources rather than our own. If we are not careful, we may not benefit at all.

The Chinese are HERE!!

2009-02-16T09:49:00.004-05:00

So, the Chinese Vice President was in Jamaica some time around Valenties day...

they signed a line of credit to Jamaica worth 100 million US dollars to purchase chinese goods and loaned us another 10 million for concessional financing.

Jamaica has 2.5 million people and bauxite with some lime stone and hotels.

What does china see in us, and why are they lending us so much money?

well its a simple strategy. they are slowly creating a jamaican dependency for chinese products and services. It's the Chinese way. Soon we will all belearning and speaking Chinese.

Awesome!

Child Labour in Jamaica! =O

2009-02-14T10:48:00.004-05:00

Apparently Jamaica has problem with child labour and the indiscriminately enforcing International Labour Laws in the workforce. Now I don’t expect you know all these laws, but in your experience, do you believe Jamaica to have a serious problem with treating the workforce fair? And do children in Jamaica work too much?

context
The International Labour Organization has recently released a damning report on labour conditions in the island. According to the Observer in the report several concerns were mentioned including
• Restrictions on the right to collective bargaining and the right to strike,
• Sexual harassment
• The existence of gender bias in the workplace.
• Wage differences between both sexes, particularly in the top end of the labour market.

Research of the ICFTU says that 4% of children between five and seventeen were involved in some form of economic activity including begging. Also it was found in 2000 that girls under the age of 11 were soliciting sex.

The ministry responded by acknowledging that there is a problem, but the research grossly exaggerated many of their stated problems and that Jamaica is not even on the radar in terms of violations of International Labour Standards.

Observer Article

Jamaican Walmart for Latin America?

2009-02-13T20:29:00.004-05:00

Pricemart is one of my country's two real wholesale shops. The other is Megamart that to my knowledge has two branches. One branch is in Barbican and the other is in Portmore that is a satellite city to the capital.

Today there was the signing of the Confucius center to be built by the Chinese at the University of the West Indies Mona campus and this is of course as a result of the growing interest in Jamaica as a hub for exporting Chinese manufactured goods to the rest of Latin America and the Caribbean. The total population of this region is approaching some 900 million people and most of the countries rank as emerging markets of the developing world.

I am currently reading the book "the world is flat" by Thomas Friedman who postulates a great thesis and explains that through telecommunications, the Internet and greater technology in general, the world has become extremely small and hyper-charged. He explains in detail the evolution of Wal-Mart and how their success lied in their ability to become super-efficient through Supply Chaining.

I believe that the Jamaican Private sector should take advantage of this opportunity that has come solely from our strategic position in the Western World. I propose to business people in the country to explore the possibility of establishing a retailer store like Wal-Mart with headquarters in Jamaica that will have braches all across South and Central America to sell to and further develop these emerging markets with consumer items.

The rational behind this is that China is currently one of the worlds cheapest producers of manufactured items. Also the Wal-Mart model has shown us the benefits of taking advantage of crude and ingenious inventory management through giving the suppliers direct preview to sales figures so they can accurately match output to consumption. This is the direction the most successful type of retailing is going towards. This is proved by the fact that sales by Wal-Mart stores in the United States surpassed expected sales for the month of January in 2009 amidst the worst financial crisis the world has seen in over sixty years.

We as a country cannot afford for this opportunity to pass as annual sales of Wal-Mart that serves a population of about 400 million in the United States, is almost 30 times our Gross Domestic Product. If we are able to capture and take advantage of this market, it would not only boost our services sector, but we will also gain important links to a part of the developing world that we have neglected for so long.

Jamaica! Land of wood and Water...

2009-02-13T09:28:00.001-05:00

Just my Views on Economics and Jamaica!

please comment!