Cuban Economic Crisis

Cuba is representative of a different type of society which has in many ways, not embraced modern technology due to the embargo and the lack of imports into the country; therefore, it falls behind in many areas due to strict government control and limits the ability of its people to experience meaningful economic growth (The Heritage Foundation, 2017). In this context, the people of Cuba face significant challenges because they cannot seek opportunities for growth and development which have a significant impact on their incomes and families (The Heritage Foundation, 2017). From this perspective, there are important considerations to make regarding the Cuban economy and its lasting impact on limiting economic prosperity for its people (The Heritage Foundation, 2017).

Cuba is an island country in the Caribbean, 90 miles south of the Florida Coast. It has had a contentious and violent history since it was claimed by Spain in 1492, but now has a 99.8% literacy rate, an infant death rate lower than many developed countries and an average life expectancy of almost 78 years (CIA, 2012). In 1959, Fidel Castro led a successful revolution and deposed Fugelico Batista, who fled to exile in Portugal. This had quite an effect on American foreign and economic policy because up until Castro, America owned all of Cuba's oil production, 90% of its mines, and 50% of its cattle, sugar and railroad industries. The capital city, Havana, was a tourist destination for Americans, and the U.S. Mafia shared power with Batista by controlling the islands drug trade, prostitution and gambling industries. This economic disparity continued to enrich many Americans and a few Cuban business owners, but resulted in a huge gap between rich and poor, lack of social services, and a crumbling infrastructure on the Island.

However, the unemployment rates of the USA are 9.6% (2010 est.) and 9.1% (2011 est.). It seems a bit higher than Cuba.

Although the Cuban revolution evidently proved detrimental to the Cuban economy, the U.S is not to blame because along with culturally benefitting Cuba, up until the embargo, we provided an ample source of income, thus contributing greatly to the Cuban economy. In the 1880s the US consumed the majority of Cuba’s exported sugar, tobacco, cocoa, coffee, tropical fruits, and nuts and in return the U.S exported cereals, meats, manufactured goods, condensed milk, vegetable oils, cheese, and fuel, back to Cuba. Following the Spanish-American war in 1898, the U.S essentially acquired Cuba and U.S occupation resulted in tariffs reduced by 52%, reduced taxes, expanded railways and communications, established a land market liberalizing the land tenure

The Cuban Embargo is restricting Cuba as a whole from progressing and advancing their technology. They face economic constriction through the embargo, which inhibits them from trading with other countries, cutting off the availability to necessary resources like current medical supplies. The U.S has continued to bully Cuba with the embargo. Even after 50 years, the United States has taken limited action to end the embargo and has attempted to keep Cuba under foot. As their own sovereign state, they have the obligation to make their own decisions as a country rather than live under the blanket control of a nation living with a 50 year-old temper tantrum demanding nothing but democratization.

Cuba and the United States of America have completely opposite economies. Cuba’s economy is based on the few natural resources that the country owns while the economic system in The United States is capitalist and can be recognized for its noticeable development in agriculture, energy, and other resources that keep the country expanding and provides jobs as well as a good quality of life for its residents. On the other hand, Cuba’s economy, is predominantly poor, to the point where a very huge percent of its population suffers from

Cuba is a very diverse country, but it is very poverty-stricken and is still decades

Cash is not abundant in Cuba, especially for the poor to middle class families. An example of this would help move “product” from point a to b and in return, the employers can provide your family with food for a month.Government officials will often times take kickbacks for awarding large contracts to foreign companies . In return get money back from the investment in the company.

On January 8th, 1959, Fidel Castro and his rebel army marched triumphantly into Havana, Cuba, having overthrown corrupt dictator Fulgencio Batista the week earlier. It was the fruition of the Cuban Revolution, and the dramatic shift in power was about to radically alter the country’s political, social and economic course forever. The positive and negative effects of the revolution on the Cuban people, however, as well as the condition of Cuba’s economy pre and post-revolution, is subject to heated debate. Castro’s iron-fisted regime was the introduction of communism into the western hemisphere, and now, over fifty years later, the Cuban Revolution continues to be one of the most controversial events of the twentieth century. Despite the criticism levelled at Fidel Castro and his communist regime, however, the Cuban Revolution was necessary in improving the quality of life for the majority of Cuban citizens. The four fundamental categories on which to assess this are healthcare, education, economy and governance. By comparing the country’s overall performance under Fulgencio Batista versus under Fidel Castro in these areas crucial to a fully-functioning nation, it can be shown that the Cuban Revolution was a necessary and positive change in Cuban society which benefitted the majority of citizens.

Adjustments have been since then so that independent businesses in Cuba may trade with the United States, resulting in, “the United States [becoming] Cuba’s fifth largest trading partner since 2007,” (Lee and Renwick 5). Even though Obama came into office in 2008, and a year later reversed more of the restrictions set forth in the Helms-Burton Act, the actual lift of the embargo and Helms-Burton seems to not be as close as the media makes it seem. Since Raul Castro has come into office, also in 2008, he has claimed he would work towards normalizing relations with the United States, and further stated that he would leave office in 2018. Castro leaving office marks the end of the period the Castros have been in power, and leaves question to how the state of Cuba could potentially thrive. In my opinion, after reading many articles that bought forward the many problems Cuba is to overcome, I feel that Cuba has a long way to go in terms of achieving economic prosperity. However, I also deeply believe that the leaders of both Cuba and the United States are paving the roads needed to reach that level of prosperity. Journalists who have visited Cuba have come back claiming, “private businesses have blossomed due to the relaxation of limits of remittances from Cuban Americans to the island,” (O’Neil 2). This statement, and others like it, leaves me to feel

Secondly, Cubaneeds to repair its corrupt, failing state-run economy. The reality of thisstruggling economy is that Cuba’s resources are plenty, and its

The Cuban embargo was set up in October 1962 by President John F. Kennedy. Cubans’ name for the embargo, ‘el bloqueo’ meaning ‘the blockade’, is arguably more fitting rather than ‘embargo’ which is what the United States call it. This is because the U.S policy aims to limit other countries from engaging in business with Cuba. John F. Kennedy began the embargo with the intention of punishing Fidel Castro’s management of allowing the storage of Soviet nuclear weapons in Cuba. The embargo aimed to reform the communist system, encourage democracy and to improve human rights in Cuba. However, the embargo did not accomplish this. Instead it imposed unselective hardship on the Cuban population and because of it, the Cuban government had an excuse

On February 8th, 1962, president John F. Kennedy placed a trade embargo on Cuba through "Proclamation No. 3447: Embargo on All Trade with Cuba" to "...promote national and hemispheric security by isolating the present Government of Cuba and thereby reducing the threat posed by its alignment with the communist power."

The United States’ and Cuba’s relationship has always been very volatile and open to change. Since the early twentieth century, the two countries have been close but separated at the same time. For a country that is as close as it is to the U.S., Cuba couldn’t be has isolated. Now this relationship wasn’t always bad, but do to the policy decisions of both countries they have a rocky relationship. In recent times, the United States has begun rethinking its harsh policy against the small island nation. In this essay, I will explain the history of the embargo, the issues with it, and what the future looks like for both countries. The Cuban Embargo has been ineffective at spreading democracy, solving human rights issues, and has harmed the economy,

President Barack Obama stated “In Cuba, we are ending a policy that was long past its expiration date” (qtd. in LeoGrande 939) in regard to the USA embargo against Cuba. The embargo started on 1960, as an idea of the Eisenhower’s administration to cause the collapse of the emerging Cuban Socialist Regime by provoking economic pressure. In 1962, President J. F. Kennedy, formally implemented the total embargo of trade between the United States and Cuba, prohibiting any commercial and financial relations between American businesses and the Island, and declaring that severe monetary penalties will be implanted to those that violate the embargo. Over the years, the embargo has limited USA and Cuba trade possibilities,