Panam A Country With A Sound Economy

The Panama Canal was built in the early 20th century. Before this marvelous canal was built, it was just an idea to the world. The French had first attempted to build this plan, this dream, to connect the Pacific ocean and Atlantic ocean, creating a much easier, faster, route from America to the Asian markets. However, the French encountered disease, death, and corruption. After this drastic end to the French's journey to creating the canal, the Americans had a different perspective and look on this plan that the French previously failed. Roosevelt wanted the America to be percieved as if they had world power. He wanted to protect and preserve American interest. The Americans helped Panama gain independence when Colombia rejected proposed project in Panama. When America embarked on this project, Americans left their families for Panama and started under the leadership of John Stevens, who built many successful railroads. Soon, the making of this Canal would generate thousands of jobs yearly, for skilled and unskilled workers who returned home with riches. The Panama Canal was the biggest industrial project in history.

The Latin American countries have been subject to many changes ever since the American continent was discovered. These changes have mainly affected the economy, culture and power changes these countries have suffered throughout the years. According to Jon Charles Chasteen on his book “Born in Blood & Fire” During the twentieth century, there were three main events that changed the course of Latin American countries and their economies. These three events were, the emergence of nationalism, the end of World War II, and the Cuban revolution. However, in my point of view, the event that created more impact in Latin America and the future of these countries has been Cuban Revolution. It is not a secret that the Cuban Revolution created a big impact to the country’s future, unfortunately this revolution not only changed Cuba, but also the entire region of Latin America.

Panama’s exchange rate regime is fixed to the US Dollar (Exhibit 6). The fixed exchange rate to the US dollar has influenced the success of Panamas economy. For this, Panama is one of the world’s top retirement countries, since there is no exchange risk for US dollars. As far as Panama using the dollar as its currency, it also contributes to Panamas low inflation rate 2.6% (Panamas Economy) and its status as one of the most stable economies in Latin America. Panama is

John Latane wrote his article The Effects of the Panama Canal on Our Relations with Latin America in 1914 and claims that since the Panama Canal, new policies are being formed, “The building of the canal has, in the first place, rendered inevitable the adoption of a policy of naval supremacy in the Caribbean Sea, and, in the second place, it has led to the formulation of new political policies to be applied in the zone of the Caribbean…” He goes on to say how these policies have given the U.S. control of canal routes, ability to acquire naval bases in the area, set up satellites, and requires governments to be constitutional and have the consent of its citizens. The scope the Panama Canal goes beyond just the simple control of a waterway. By having the canal, the U.S. was inserting greater dominance in the Caribbean Sea and in Latin American countries. The Monroe Document was designed by the U.S. to keep European powers from interfering with

Before reading this article, I initially was actually was pretty clueless as to what the purpose behind the Panama Canal was. So to learn that it all was created just to prevent ships from sailing the long distance around South America made a whole lot of sense as to why they would have created the canal in the first place. I would think that this would of had to have made a positive impact on importing and exporting goods between continents. Also, not to mention the canal made it much safer for the men and women who work on these ships. Furthermore, with the amount of ships that travel through the canal, “14,000 ships between the Atlantic and the Pacific each year,” I am surprised to hear that it was a once abandoned constructions project

Panama is an isthmus or a land bridge in Central America that links North America to South America. The Atlantic Ocean (this includes the Caribbean Sea) lies north of the country while the Pacific Ocean is to the south. Panama borders the Republic of Columbia to the east and the Republic of Costa Rica to the west. (See Figure 1 in Appendix: Map of Panama). Approximately, 3.86 million people live in this country and 1 million live in its capital Panama City. Major cities to consider entering the business market are: Panama City (its largest city and capital) on the pacific side and Colon, located on the Atlantic side, is the second largest free zone in the world, “which has become a vital trading and transshipment center serving the region

The world changed when there was a canal built in Panama in Central America. It was the longest canal that anyone has ever tried to build in that time. While many people searched for a way through in years earlier, no one thought to build a canal across. Other countries viewed this chance taken by the U.S. a worthless process because France made an attempt, but failed. Once it was built, people around the world viewed Panama as an important part to their economy.Many looked at the U.S. as a hero because they finished the canal. Connecting the oceans was hard, dangerous, and expensive work, but improved equipment helped with the building of it and also helped fight against the tropical diseases.

With a GPD of $135.7 billion (2014 est.), The República Dominicana’s economy is in a very strange shape. Originally based on sugar and other commodity export (coffee, cocoa, tobacco), though when prices went low through most of the 1980s and early 1990s, the Dominican Republic resolved to diversify its economic base. With the introductions of New Trade Zones, manufacturing has boosted to manufacturing sector to 17% of GDP by the year 1996.

Amid chaotic and drastic changes within Latin America, there is one country whose economy’s improvement has outshone the rest. According to a recent interview by CNN to the current vice president at Council of the Americas, it was possible to know that “Peru is currently Latin America’s fastest growing country”. Additionally, drastic reforms and innovative policies have fostered an environment that favours economic development. Although there is a lot left to do regarding public investment, the country has experienced drastic growth and several changes during the past years. Currently, the new president and the newest reforms have influenced the government and now the country is focusing on exporting processed goods instead of raw materials.

Dominican Republic has a good level of government integrity but this country does not appear in neither the raking of the least corrupt country or the most corrupt country. Therefore, thinking about doing a business in this country sounds like a great idea. The government system is a democratic republic; and the chief of the state and head of government is the president. There is a cultural emphasis on government integrity and property rights, and contracts are strongly enforced. The tariff rate can be as low as 0 percent and as high as 99 percent. However, after CAFTA-DR entered into effect, most of the U.S exports to the country are entering duty free, while others are going through a phase-out process of up to 20 years ending in 2025. This country had a mixed economy system, which includes a variety of private freedom, combined with centralized economic planning and

As the population of Latin America and the Caribbean ballooned to 190% increase in 1995, the living conditions of these people have steadily deteriorated. In 1990, 40 percent lived in poverty. The region’s per capita gross domestic product (GDP) had declined since 1980. On the contrary, while the majority of Latin America suffer deprivation, a tiny benefit from economic boom brought about in large measure by the selling of public assets and the opening of the region’s labor market to multinational companies. U.S. corporations and their subsidiaries earned $16.2 billion in profit in 1995.

The construction and completion of the Panama Canal has a number of important foreign policy implications. First it led to the United States' supporting factions who separated from Panama, and from Colombia, it also led to granting land rights to the United States over the Panama Canal Zone. The Panama Canal had massive allegations for American foreign policy and military might; it greatly shortened the sea travel distance for both make it easier for the U.S to exercise its influence in the Pacific Rim.

From a distance, the Panama Canal seems like an imperialist relic, a historical leftover from a nearly forgotten chapter of US history. Up close, however, it is apparent that the Panama Canal is one of the world’s great waterways, the highly efficient economic engine for a rather prosperous Latin American country. The creation of the Panama Canal was an unprecedented feat of engineering, the most costly single effort ever before mounted anywhere on earth. It affected the lives of tens of thousands of people at every level of society and of virtually every race and nationality. It marked a score of advances in engineering, government planning, and labor relations. The American effort to build the Panama Canal began in 1904. The first ship sailed through the canal in 1914, ten years and $326 million later. The canal would not be fully open to commercial traffic for another six years. Landslides shut it down for most of 1915 and 1916, and then briefly in 1917 and 1920. Strikes hit the canal in 1916 and 1917. World War I practically closed it to commercial traffic, and work continued on clearing dangerous hills, fixing locks, and finishing all the ancillary construction required by the canal. The Panama Canal finally opened to civilian traffic on July 20, 1920, after an additional six years and $53 million, costing twice its initial estimate, after adjusting for inflation.

The Nicaragua undergoes a major project in building a canal which is three times as long as Panama Canal. This project is expected to transform the Central America and the regions around it. The building of canal will transform the country’s growth and double the economy and boost employment opportunities. This will reduce the unemployment problem in

The country has been able to take advantage of the region’s positive prospects and should continue to do so in coming years. The country has good prospects for economic growth and foreign direct investment (FDI), import cover levels are comfortable, and political risk is relatively low.