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Santo Domingo.- The Government yesterday rebuked a report published by the U.S. magazine Foreign Policy, which ranks the Dominican Republic 93 among its list of Failed States.

However the Presidency’s Chief of staff Cesar Pina Toribio said the fact that that same magazine improved the country’s ranking five spots over last year satisfies the government.

“But we all also have our reserves because of the criteria used by this magazine to conduct the evaluation, for being proper of a circle of intellectuals which responds to that magazine," Pina said.

According to the official the criteria used by the intellectuals who sponsor the magazine aren’t “absolutely objective.”

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COMMENTS
77 comment(s)
Written by: Juango, 7 Oct 2010 11:00 AM
From: United States, far S. Florida (formerly Santo Domingo)
A typical response from an elitist, Dominican Politico. Always blaming others and never taking personal responsibility for anything negative. Was it not Somosa (Nicaragua) who made similar comments years ago??....something along the line of ,,, "they (reporters) just are not getting the real story, they are talking to the wrong (ungrateful) people." DR is a Failed State for most dominicans. There is a small minority that prospers and thrives in the corrupt political environment, who will always denounce any person who questions the DR as a "Failed State", just as Pina Torribio has done.
Written by: gmiller261, 7 Oct 2010 11:09 AM
From: United States

"A typical response from an elitist" so true, not our fault.

Dominicans have such a hubris entitlement mentality.

Did you read that crap LF's wife was Twittering?

They are so removed from reality it is a joke.

Written by: Chubbydubby, 7 Oct 2010 11:19 AM
From: Dominican Republic
Pineapple? r u guys translating the names? Good article but be careful traslating ppl names.

Cheers !
Written by: jamien, 7 Oct 2010 11:29 AM
From: Dominican Republic
wake up people!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!
Written by: xwill7, 7 Oct 2010 11:44 AM
From: United States, El cuarto bate
Pineapple lol !!!
Written by: synapse, 7 Oct 2010 11:53 AM
From: United States

Dominicans refuse to accept that they are a backward BANANA REPUBLIC. But the reality is that it will take many more decades to evolve out of the corrupt foundation of its institutions. If they want to improve things I suggest that they start by Depoliticizing the Police and Army. I know I would sleep better there if I stopped worrying more about the police and military than the criminals.
Written by: EDITOR, 7 Oct 2010 12:07 PM
From: Dominican Republic
Thanks for the heads up....Ed.
Written by: JimHarrington This user is banned, 7 Oct 2010 12:10 PM
From: United States
A banana republic with a handfull of elitest paid officials getting salaries more than any other nation pays their senators and presidents.

It is shameful that the DR still get support from foreign aid agencies while the fat cats get fatter.
Written by: dreadlocks, 7 Oct 2010 12:27 PM
From: United States
JimHarrington, you hit the nail on the head. after all, the lending institutions are in collusion with the elites, who perpetuate this system. if strings were attached, such as demands that some senator cannot earn 20 times the amount a clerk in his office earns, then maybe some housecleaning would take place.if you want to borrow 500 milllion dollars from me, i get to set some rules. capiche?
Written by: Atabey, 7 Oct 2010 1:01 PM
From: United States, NYC
That slowly will happen. But I agree, it's taking toooooo long. And even when the population is "educated formally" as the case of Puerto Rico demonstrates, corruption and the like are still serious matters. Or take the USA. It's a never ending problem that needs strong institutions and continuous monitoring. But best practices and good governance will only come about through more, not less interaction with the outside world. While all these measurements show DR as a "near Failed State" it nevertheless makes clear that DR HAS MOVED in the right direction; not fast enough for sure, but still it hasn't taken a turn for the worse as many here claim. Under all the corruption and poorly governed state of affairs, a deep current is underway. Will its forces prove strong enough to one day wash away the filth and corruption that now plagues us? That's an open question that will be answered in the future. Certainly there are stats that do not point in the right
Written by: Atabey, 7 Oct 2010 1:04 PM
From: United States, NYC
direction, as Juanb pointed out yesterday with the PIB stat that only an incredible 2.4% of the national budget goes toward education! Even Balaguer had far greater resources dedicated towards education! So LF has got to do more to restore that lost pledge of his original campaign. A nation with so many uneducated people will not a democracy produce. With over 30% of the budget dedicated towards interest payments, the squeeze on the vital sector of education is noticeable. And too many will suffer from the same illiterate lives of their parents and grandparents. With the far more illiterate and shortchanged population from Haiti that swells the DR migration pool, DR is not well served by this dastardly educational picture.

But there are points to allows us to see the light and a better future ahead: To wit, the ever greater involvement and penetration of international business relationships and political and social connection with the outside world. DR has begun
Written by: Atabey, 7 Oct 2010 1:11 PM
From: United States, NYC
a process that ONLY in the last few years has brought about a modern Statistical arrangement to its poorly managed State and Nation. Believe it or not, it has only been within the last few years that DR has taken on the much needed task of up-grading and modernizing many of the most elementary statistical task that any viable nation and state must have at its disposition. Many international comparisons could not adequately be made with regards to DR because the statistical basis was not strong enough or was utterly lacking. Then we have the case of the overall physical and environmental transformation of the republic. An enormous task for any nation, especially one lacking a clear and important resource to gain the fiscal capital to underwrite such a task: petroleum for instance. Lacking such a resource, DR has had to cobble together a scheme that includes tourism, construction, remittances from a large Dominican foreign community, etc into a plan of action. All this with
Written by: Atabey, 7 Oct 2010 1:25 PM
From: United States, NYC
with the strong deficits of education and corruption left to her by the pillaging and anti-social governments of the past. That corruption and mis-management should have reared their ugly faces in this process of modernization is sad but a constant of every attempt at modernization, just check out the process under other nation-states for historical evidence. Again, this is not to white wash our corrupt and inept officials and business elite, it's to place them and our process within some international context. DR needs more Civic organizations to take the lead, demand positive changes and the like. More international recognition and coordination with outside expertise will help this process along. I suggest more coordination with the large Dominican community in the US and elsewhere will strongly help this process along. As the better practices many in these communities have worked under, can help Dominicans back home transition into them toward better practices. I hope.
Written by: colodrm, 7 Oct 2010 1:29 PM
From: Dominican Republic
I love the Dominican Republic. I'm married to a Dominican national and I am very happy with my family. It is true, The Dominican Republic is a failed state. The elites always like taking advantage of the pobres. This will all change soon because, if I am correct, there will be a serious crack down on corruption and street crime in the near future. The big change will be an increase in jobs which will increase the political strenght of whom I refered as the pobres.
Written by: Atabey, 7 Oct 2010 1:35 PM
From: United States, NYC
I agree.
Written by: PatDiamond, 7 Oct 2010 1:48 PM
From: Botswana, La reconnaissance est une lachete'
atabey
With 30% Of the budget going to Interest payment the squeeze on educatution is noticeable
---------------------
From 40 years after it's independence to 1947 your neighbor to the west Had to pay 80 cent off every dollar not for interest but toward that debt owed to France in order to be recognized as a free and independent country, can you imagine what effect that burden had on the development of that country.
Written by: dreadlocks, 7 Oct 2010 1:57 PM
From: United States
colodrm says this

This will all change soon because, if I am correct, there will be a serious crack down on corruption and street crime in the near future. The big change will be an increase in jobs which will increase the political strenght of whom I refered as the pobres.

atabey agrees. so, then, gentlemen, three questions.
1 who is going to do this downward cracking?
2. upon whom are they going to crack down?
3 where are the jobs going to come from? from picking up the pieces and parts of the crackees?
Written by: Atabey, 7 Oct 2010 2:21 PM
From: United States, NYC
PatDiamond,

What was done to Haiti is pure 100% dreadful. It was a vital part of the system that made Haiti an nonviable nation-state. But again, a significant part. Awful rulers and elite mis-management also contributed to the picture. That heavy burden also help's explain, again partly, Haiti's invasion of the Spanish part of the island. I say partly because there is always an imperialist tinge to revolutionary causes. And Haiti's revolutionary's energy sadly for us, came at our expense. But that's history for you. We need to look towards a better future for our love ones. I hope Haiti prospers greatly in the coming decades and her people obtain a far better and healthier future. More Haitians will help themselves to the many opportunities offered by this New Haiti, an DR will have less migratory flows and Much better economic/ financial and interpersonal interactions with Haiti. Those are some of my hopes.
Written by: dreadlocks, 7 Oct 2010 2:33 PM
From: United States
. I say partly because there is always an imperialist tinge to revolutionary causes.

never though of it that way. i must go read up on some revolutionaries to see if they really wanted empires.
Written by: hellborn25, 7 Oct 2010 2:49 PM
From: United States, words of wisdom from the nutcracker
It is a failed stated becaused until the country decides to solve there energy problem, it will forever be a banana republic , leo will continue look the other way on goverment corruption, nepotism, and abuse of power by the military and police.
Written by: Atabey, 7 Oct 2010 2:52 PM
From: United States, NYC
Perhaps the correct word should be "expansionist" tinge. But either way, I meant a sense of expanding beyond the borders to give breath and scope to the revolutionary ideas. And far too many revolutionary leaders have used this convenient excuse to let us say, add to the physical domain of the revolutionary power. With the built-in advantageous that a centralizing theme generates and the engine of destruction at hands, a revolutionary army, the process takes place very rapidly. Look at Napoleon Bonaparte and the French Revolution.
Written by: PatDiamond, 7 Oct 2010 3:53 PM
From: Botswana, La reconnaissance est une lachete'
Atabey

Point well taken- Now what is so hard to believe a country like DR with all its looks of modernity can be so far behind the rest of the region in simple matter such as the Human development index as pointed out here before. Jamaica have a higher debt burden(40 cent of each dollar going to debt repayment) but is so far ahead, It is my humble opinion this disparity have all to do with the mind set of the ruling class in DR. The idea of style over substance,a corrupt political elite . As you know Globalization is a race to the bottom(companies that move to China 10 years ago are relocating to other places like Vietnam in search of cheaper labor source). As Haiti become more political stable (Nov 2010 second democratic Presidential and general election without Lavalas on the ballot ) and better infrastructures are coming on line without an educated workforce to move up the ladder of development you guys will simply plateau out.
Written by: PatDiamond, 7 Oct 2010 3:55 PM
From: Botswana, La reconnaissance est une lachete'
cont
For DR will not be not be as attractive as it used to be in that labor pool (currently Haiti labor rate is $4.00 per day while yours is double that if I recall). With the Castro brothers application of Chinese democracy you guys are going to have some serious competition in the region.
Written by: Atabey, 7 Oct 2010 4:25 PM
From: United States, NYC
Pat,

I'll tell you that far too much negativity and zero-summing goes into your thinking. You aren't far off many of our DT contributors. Many believe as you do that it's a race to the bottom and this isn't generally the case. Sure, the nature of Globalization has to be viewed far boarder than many here are willing or, in some cases unlikely to comprehend, given its complicated web-like patterns of interaction amongst the nations of the world. The imbalances of the major nations, the currency manipulations of the largest economies, all these factors and others make this a tricky field to engage in fruitful discussions on DT. But be that as it may, let me just state that while DR will perhaps lose some heavy labor intensive operations to Haiti, in the boarded sense DR will gain al the more so if Haiti advances because Haiti's market will grow to demand the resources that DR will gladly sale it. Comparative advantages will play its part too. The real question for the Global
Written by: Atabey, 7 Oct 2010 4:33 PM
From: United States, NYC
Economy will be: when will China re-value its currency the Yuan and turn the focus of its expansion inward? Thus creating greater domestic demand to drive her future economy. They are still fighting this battle and until this gets settled we will also have less potential export possibilities. Of course, you say but look at Vietnam, they have picked-up some of the Chinese export market and other nations are in line, Cuba?, for future expansion. This, of course, brings me back to my on-going battle with Dread and others about the 1966 offer that Balaguer only partially accepted. How different would the DR look today if he had accepted the entire plan? Wow! Instead of battling today with the likes of Vietnam and others, DR would have long ago have achieved the market access and more importantly, large scale capital investments that would have made her back in the late 1960s and early 1970s a powerful export platform economy. The educational deficit would have been solved
Written by: Atabey, 7 Oct 2010 4:37 PM
From: United States, NYC
and many of the statistical measurements and accounting disciplines would long be cemented into the heart of the developmental model. Instead, many of these enterprises are being built-up today with many difficulties and forceful countermeasures by disgruntle mafia type interests that have long monopolized these areas of operation. And instead of having to deal with strong social deficits in education and other areas, sanitation and housing, DR would be in the hunt for better foreign projects like the one made by Intel to Costa Rica back in 1998. Intel went to Costa Rica because CR had made a strong presentation and had the assets, a relatively well educated populace, strong institutions and the rule of law to its advantage. While we still have mafioso type syndicates, like the Truckers' Union, that operate under a slogan "We are the Real Power or Owners" that drives foreign investors to seek better disciplined grounds to invest their assets in.
Written by: Belly, 7 Oct 2010 4:56 PM
From: United States, Seattle, W.A.
PatDiamond

Point well taken- Now what is so hard to believe a country like DR with all its looks of modernity can be so far behind the rest of the region in simple matter such as the Human development index as pointed out here before.

Human development index:

Dominican Republic = 777
Jamaica = 766
Cuba = 863
PR= 942
Haiti = 542
Panama = 840
Costa Rica = 854
Hondura = 732
Nicaragua = 699

So I ask you What do you mean by "so far behind"? Once again people check your "facts"
Written by: Atabey, 7 Oct 2010 4:57 PM
From: United States, NYC
The other point is that DR just needs some export growth and sustainability in the other areas of her economy in order to advance out of its problems. We are not talking a giant economy here. But one that with the a stable monetary and fiscal handling will generate enough growth to support a good lifestyle for many. Sure, some excess population will need to immigrate, that's understandable and was partly one of the major devices used in driving the Puerto Rican economy forward during the modernization drive of the post WWII era. Operación BootStrap.
Written by: colodrm, 7 Oct 2010 4:58 PM
From: Dominican Republic
Written by: dreadlocks, 7 Oct 2010 1:57 PM
From: United States
colodrm says this

This will all change soon because, if I am correct, there will be a serious crack down on corruption and street crime in the near future. The big change will be an increase in jobs which will increase the political strenght of whom I refered as the pobres.

atabey agrees. so, then, gentlemen, three questions.
1 who is going to do this downward cracking?
2. upon whom are they going to crack down?
3 where are the jobs going to come from? from picking up the pieces and parts of the crackees?

Answers:
1. You have to understand that all the people in the government are not corrupt. There are many that realize the country has to change for the better and quickly. Most Dominicans I know love their country and are the first to admit its problems. In the near future you will see these people adressing the public about these problems..

I will answer question 2 &3 the next time around.
Written by: Atabey, 7 Oct 2010 5:06 PM
From: United States, NYC
It's difficult with the playoffs going on. But I agree with you Colodrm. And Belly just demonstrated how not so off the scale DR is after all its mis-management and corruption. DR is a rich country poorly managed. When more people do the right thing her potential will blossom.
Written by: PatDiamond, 7 Oct 2010 6:01 PM
From: Botswana, La reconnaissance est une lachete'
Belly- What I was referring to was an article published here few month ago which stated " The DR is bellow average of Latin America and the rest of the carribean region in the human developmental index". If this paper have an archives you should be able to look it up.

Atabey- we are not far apart on this topic- Brazil of the 90's was a basket case rampant corruption daily devaluation of the peso due to inflation,crime was rampant, all they had to offer the world was the allure of the girl from Ipanema, Yet within 2 terms of Lula they became an economic powerhouse . What changed? the natural resources were always there.(If you remember upon Lula's election the elite, the private sector of Brazil even American capitalism was very nervous for here was the man from the union, a f%^cking socialist being elected as president) Hence What I said yesterday on this topic"nothing will change in DR short of a revolution of the mind". There most be a new level of consciousness.
Written by: Atabey, 7 Oct 2010 6:46 PM
From: United States, NYC
But Pat,

Check out my postings on the Forum section of DT on this point. Before Lula came into the picture there was the administration of one Fernando Cardoso. This guy is the unsung hero of the great Brazilian export boom of the last 8 years along with Lula. It was during his administration that tough neo-liberal reforms were enacted, privatization of state own businesses and the Real Plan came to be. I posted an interesting piece on how this inflationary cycle was destroyed: it was actually based on ticking the general population that inflation was tamed. And the government did it based on the economic plan of 4 economists in Brazil: read or listen to how it was done @

http://www.npr.org/blogs/money/20....29523/how-fake-money-saved-brazil
Written by: Atabey, 7 Oct 2010 7:02 PM
From: United States, NYC
What DR needs is good fundamentals: solid fiscal and monetary controls, better institutional cohesion and better social management of resources. After the banking fiasco of 2003-4, that placed DR back several years in the hole, the imposed conditions to achieve fiscal health set-back many projects. And I think that LF chose to continue his Metro and other projects at the expense of the social programs, especially education, where he had said so much would be invested. Now it's alright to criticize his choice preference. I've stated that spending 2.4% of the GDP is very low indeed. In fact, Balaguer spent a much higher percentage.

You say they should look at Brazil. Yes, but I would add Costa Rica also. Similar size nation, having several important similarities with DR. But their commitment to education and institutional cohesion have placed Los Ticos above many of their neighbors. Respect for the law and a far lower level of criminality and corruption.
Written by: Belly, 7 Oct 2010 8:19 PM
From: United States, Seattle, W.A.
PatDiamond

Belly- What I was referring to was an article published here few month ago which stated " The DR is bellow average of Latin America and the rest of the carribean region in the human developmental index". If this paper have an archives you should be able to look it up.

The article was talking about the average spent on education according to each country's GDP.

Here is again

Human development index:

Dominican Republic = 777 and Education budget = 2.3% of GDP
Jamaica = 766 and Education budget = 6.1% of GDP
Cuba = 863 and Education budget = 18.7% of GDP
PR= 942 and and Education budget = n/a of GDP
Haiti = 542 and Education budget = 1.5% of GDP
Panama = 840 and Education budget = 4.5% of GDP
Costa Rica = 854 and and Education budget = 5.1% of GDP
Hondura = 732 and and Education budget = 3.8% of GDP
Nicaragua = 699 and and Education budget = 3.1% of GDP

Written by: dreadlocks, 7 Oct 2010 8:20 PM
From: United States
ATABEY, go read an article by Geoffrey King called Varieties of Neoliberalism in Latin America. you might learn something.
Written by: Belly, 7 Oct 2010 8:23 PM
From: United States, Seattle, W.A.
Now based on this numbers I would dare to say DR has the most effective education system based on results of each dollar spent on education. Of course unless somebody can prove to me that somebody is doing better with as little as DR has spent on education. Just think for a second what the results could be if DR was in par on expenditure on education as Cuba's 18.7% of GDP. Then we really would have been what ATABEY likes to call the tiger of the caribbean.
Written by: dreadlocks, 7 Oct 2010 8:45 PM
From: United States
that of course presumes that dollars spent translates into a progression of results. there is no relationship between the two.
Written by: Atabey, 7 Oct 2010 8:47 PM
From: United States, NYC
Belly,

The "Tiger of the Caribbean" was what could have been achieved had Balaguer taken AND IMPLEMENTED the entire USA offer of 1966. The devaluation of the Peso Dominicano, the elimination of import duties, and the 20% GDP collection for internal social development. Remember that the US representative urged Balaguer to establish a National Educational System financed by a MODERN system of taxation and accounting. You appear to forget having read the academic article. ¿Qué Pasa?
Written by: Belly, 7 Oct 2010 8:50 PM
From: United States, Seattle, W.A.
Atabey

Relax! I was using your phrase to represent the difference that it could have been if DR was to focus on education more. I mean DR it self on our own, nothing that included the 1966 proposal which yo already know my opinion about it.

Tranquilo paisa, Yo no tengo nada en su contra!
Written by: Atabey, 7 Oct 2010 8:50 PM
From: United States, NYC
By the way, belly, I posted a reply to the PR post.
Written by: Ricardolito, 7 Oct 2010 8:57 PM
From: Dominican Republic, vieja Santo Domingo
An appalling heading when the DR was ranked in the third category from the bottom and is NOT on the brink NOR is a failed state even according to this magazine so why the heading or the old picture?? In fact there are 92 countries ranked worse than the DR and less than 70 ranked above so how about getting the story correct .There are only 3 latin american countries in higher categories and they do NOT include Brazil nor Costa Rica which is far from law abiding especially in the capital .
So even if some of the critisism written here may be correct , the actual articles both today and yesterday are unbalanced .
Written by: dreadlocks, 7 Oct 2010 9:01 PM
From: United States
Atabey, i really would like to know why it is that you make statements, duck questions, then repeat the same statements some time down the road. you are yet to give me an explanation of why you state, over, and over, and over again, that devaluation of the Dominican peso would have been a good idea. not only that, but that letting it free float , after devaluation, would also have been a good idea. i asked you N times, where N is any number larger than 3...still no reply.
Written by: Atabey, 7 Oct 2010 9:14 PM
From: United States, NYC
Again Dread you are a work in progress!

First, the plan under which DR was going to be integrated into the Caribbean Division of labor WAS CONDITIONED on her, DR, allowing its national currency to be de-valued versus the Dollar. Do you understand that? Second, this was done to improve DR's position for the growth or promotion of an export platform. Foreign capitalists were not going to put their funds and end up in a situation where they couldn't export competitively. Third, this export platform was to have unconditional entry into the US market. The world largest market in 1966. So the number of plants would have been incredible to say the least. Fourth, the combination of PR capital and other foreign capital investments were to be mixed with domestic DR capitalist investments to form joint control of the vast export platforms to be developed in DR. Why do you need to be spoon fed all this information? It is in the academic paper!
Written by: dreadlocks, 7 Oct 2010 9:20 PM
From: United States
you are the guy who does not understand, Atabey. you swear by this paper. the paper suggests that the currency would have been devalued. you agree with the paper, hammer and tongs. that is why i ask you why you agree that devaluation would have been a good idea. i can read, Atabey. i know that they said it. i am asking YOU why you agree. i am asking you for your reason to believe that it would have been a good strategy. do not tell me what some guy wrote. tell me why YOU, ATABEY, agree with it. i disagree with the devaluation component, and i can say why, in my own words. now, i want you own words for agreeing.
Written by: Atabey, 7 Oct 2010 9:28 PM
From: United States, NYC
But I'm a bit curious as to why Belly and you seem to always side-step the Educational demands of the US representative Soloman to Balaguer; his urging and demands that Balaguer establish a National Educational System. Those musings don't sound like the typical calls from an Imperial intent on maintaining the small nations ill-educated? Aren't consistent with the Big Bad US Empire wanting to keep its satellites and people ignorant? Again, the main point of that academic paper, now included in a text BTW, was to show that local agents, even under US urging take and make decisions that often go against the stated choice preferences of the Regional Great Power, in this case the USA. Often domestic consideration and lack of elite consensus have more to say about why certain choices prevail in any given historical point in time. Dread there is still time to learn; all it takes is a willing mind. Unless you can show me a valid alternative: TINA rules.
Written by: Atabey, 7 Oct 2010 9:38 PM
From: United States, NYC
i am asking you for your reason to believe that it would have been a good strategy. do not tell me what some guy wrote. tell me why YOU, ATABEY, agree with it. i disagree with the devaluation component, and i can say why, in my own words. now, i want you own words for agreeing.

But Dread here's my point: I assumed that you of all people would be versed in these matters: why it is that de-valuation of a local currency is necessary to develop an export platform. Why it is favored, to promote the more extensive use of all the resources of the overall economy to be so structured, for maximum effect of the plan. All these points I assumed you would understand. And while I understand that it was not going to be a cake walk, what in life ever is? But if this had been accomplished back in the late 1960s, 1966-1970 specifically DR would be a modern developed economy. In my estimation, in better overall condition vis-á-vis PR.
Written by: dreadlocks, 7 Oct 2010 9:42 PM
From: United States
Atabeys Theory...if you cannot convince them with logic, baffle them with bullshirt! he accuses me of side stepping. i just asked him for the Nth , plus one, time, about devaluation, and nary a response. i guess i take it that he has no answer, and is just blindly following the article, like one of the lemmings in the Pied Piper of Hamelin... yes..that is the ticket.
Written by: dreadlocks, 7 Oct 2010 9:49 PM
From: United States
Atabey states..... But Dread here's my point: I assumed that you of all people would be versed in these matters: why it is that de-valuation of a local currency is necessary to develop an export platform. there is nothing that says that devaluation will necessarily make your exports cheaper. it depends on what you export. if you export primary products, then yes. if you are going to manufacture, there is a little matter known as FACTOR INPUTS. some of these have to be imported. you know them, Atabey. machines, technology, information, components, and energy. yesss....things like oil....so, even if you devalue, the inputs cost you more, and drive up the cost of the product to the end user. besides, the fact that imports become more expensive does not mean people stop buying them. it depends upon the substitutability, and price elasticity of demand. the fact that medicines, and washing machines, and refrigerators, and automoblies become more expensive , does not mean lower demand.
Written by: Atabey, 7 Oct 2010 9:49 PM
From: United States, NYC
Dread, you either don't read between the lines or have some other reading deficiency. Why on earth do nations who have an Export Led Industrialization model de-value their currencies? If not to stay competitive and assure their foreign and domestic capitalist a secure return on their investments? Remember, they have to stay competitive and this is done under agreements with the dominant power, the USA and the Dollar. The division of labor has to be respected if you want to achieve success. If your labor cost increase relative to other exporting platforms guess who loses, if all other cost inputs stay the same? What's wrong with you Dread?
Written by: dreadlocks, 7 Oct 2010 9:51 PM
From: United States
what is wrong with me is that i am reading the ravings of a guy who has no clue.
Written by: dreadlocks, 7 Oct 2010 9:54 PM
From: United States
please, Atabey, explain what you mean when you say that THE DIVISION OF LABOR HAS TO BE RESPECTED. i am baffled. maybe it could be the proverbial bullshirt.
Written by: Atabey, 7 Oct 2010 10:04 PM
From: United States, NYC
You know what Dread go pick some other person to pick your dementia. I'm not going to continue on that Quixotic quest. So read a good economics text and check out what happened to all the nations that followed the advise of the US, and applied the Export Led Industrialization model. It;s true that the US sought Import Substitution as the means toward modernization, but in the case of the DR THEY GAVE HER A CHOICE: Export Led Industrialization. DR blew its opportunity! The nations that applied this model did do a 'Bit" better than the DR, no?
Written by: dreadlocks, 7 Oct 2010 10:07 PM
From: United States
i have read many good economic texts. it is obvious that you are yet to read one.
Written by: juanb, 7 Oct 2010 10:32 PM
From: Dominican Republic

I can withhold comment no longer.

Atabey, you have tried to make a reasoned defense of where our state is right now, but your arguments do not hold water.

""If the cat didn't stop to pee, he would have caught the mouse." The only important word there is ""IF'".



Yes, IF we could just improve our manufacturing we would be much better off. But the fact is that we can't because our electrical system discourages anyone from relocating here AND our transport system charges outrageously for their services, AND our work force is mostly uneducated and incapable of learning because it has no training in "how to think", AND our government is ranked among the most corrupt in the world AND there is no will to improve. The status quo is just fine for those in charge. They all live wonderful lives and the fact that most Dominicans struggle just to survive is of no interest to them.

Right now our options seem to be LF, MVM, HM, and they just don't cut it. We have no good options.
Written by: Atabey, 7 Oct 2010 10:57 PM
From: United States, NYC
Juanb,

One moment.

"if you are going to manufacture, there is a little matter known as FACTOR INPUTS. some of these have to be imported. you know them, Atabey. machines, technology, information, components, and energy. yesss....things like oil....so, even if you devalue, the inputs cost you more, and drive up the cost of the product to the end user. besides, the fact that imports become more expensive does not mean people stop buying them. it depends upon the substitutability, and price elasticity of demand. the fact that medicines, and washing machines, and refrigerators, and automoblies become more expensive , does not mean lower demand."

And these were supposed to enter duty free into the DR. Read the paper more carefully. But Balaguer and the domestic monopolists didn't want to give up their monopolies. Who lost out? The vast majority of people in DR who neither had vast sums of money nor worked making many of the factor inputs for the export market.
Written by: Atabey, 7 Oct 2010 11:17 PM
From: United States, NYC
Juanb,

I never did get your take on the 1966 offer to create in the DR an Export Led Industrialization model. Did you ever read the academic paper? At the moment in time, the USA was still promoting the Import Substitution model of development in LA. This model at first appeared to be the one most nations preferred and all seemed perfectly until the huge uncompetitiveness this scheme generated internally caused the system to collapse. Of course, it didn't help that the price of oil went far higher and faster than anyone thought possible. But after the aborted Civil war of 1966, the DR was offered by the USA an opportunity to engage with Puerto Rico in a Caribbean connection called the Triangle Trade.

The paper is now part of a text in Economic Development. Sadly, a negative case example.
Written by: dreadlocks, 7 Oct 2010 11:24 PM
From: United States
Juanb, forget it. tis guy is a one trick pony, and has beaten this poor topic into dust. he believes that IF the DR had entered into triangle trade, it would be sending men to pluto by now.
Written by: Atabey, 7 Oct 2010 11:31 PM
From: United States, NYC
"The status quo is just fine for those in charge. They all live wonderful lives and the fact that most Dominicans struggle just to survive is of no interest to them.

Right now our options seem to be LF, MVM, HM, and they just don't cut it. We have no good options."


So let me ask you Juanb. Why are the Brazilian here? Why is the US interested in helping LF? Will LF and other governments continue to spend such measly sums on education? I don't buy that DR is forever doomed and that DR will never have a modernization worth living. I don't buy that LF and the rest of the gang WANT UNDERDEVELOPMENT as a scheme for their wonderful lives. I just don't buy it. Has LF broken many promises he made? Of course, he's a politician after all; but that he wants to somehow under-develop DR. That sounds too 1960 revolutionary and part of some wild left-wing conspiracy theory hatched up in a room with Lenin's portrait hanging down. I honestly don't think LF wants poor results for DR.
Written by: dreadlocks, 7 Oct 2010 11:32 PM
From: United States
Atabey offers more hilarity........And these were supposed to enter duty free into the DR....well, Atabey, the decision to impose duties is made by the recipient, not the exporter. what you are saying is that the plan called for the Dominican government to forego the revenue from import and excise duties. it is not the duties that make the product expensive at the outset, Atabey. it is the EXCHANGE RATE. that , Atabey, is a function of devaluation. you also said that the currency would free float against a basket of other currencies, which leaves me mystified, because i see no reason to devalue, and then let the value be decided by free market forces. i am baffled, once again.
Written by: dreadlocks, 7 Oct 2010 11:37 PM
From: United States
i am just dying from laughter... Atabey wants to know why the US is interested in helping LF. prove that they are.
Written by: Atabey, 7 Oct 2010 11:42 PM
From: United States, NYC
Once again Dread your leftist inclinations are all too obvious. The 1960s are long gone, get with the program. Mario Vargas LLosa did and look what it has brought him this early morning. There is still time Dread. Remember TINA rules.
Written by: dreadlocks, 7 Oct 2010 11:49 PM
From: United States
poor Atabey. he has no clue to what he is talking about, so he has to resort to aspersions and innuendo. my leftist inclinations are no more obvious than is your ignorance of the topic. you may be a shill for globalization, but, as i said before, you will never fully understand the topic with your woeful lack of basics. no amount of quips and wisecracks can change that. only textbooks, and some classes.
Written by: Atabey, 8 Oct 2010 12:15 AM
From: United States, NYC
Dementia Dread dementia. Drink stronger coffee.
Written by: dreadlocks, 8 Oct 2010 1:30 AM
From: United States
what you need is some learning. as i said in the other thread, you are a wannabe academic with no basics. lightweight. cotton candy. you might know some subject, but this surely is not it.
Written by: colodrm, 9 Oct 2010 12:18 PM
From: Dominican Republic
Written by: dreadlocks, 7 Oct 2010 1:57 PM
From: United States
colodrm says this

This will all change soon because, if I am correct, there will be a serious crack down on corruption and street crime in the near future. The big change will be an increase in jobs which will increase the political strenght of whom I refered as the pobres.

atabey agrees. so, then, gentlemen, three questions.
1 who is going to do this downward cracking?
2. upon whom are they going to crack down?
3 where are the jobs going to come from? from picking up the pieces and parts of the crackees?

Answer for question #2:

The crackdown will be on the many corrupt Fiscals, police officials, politicians and street crime. Dreadlocks, I assuming that you have never lived in a typical Dominican community and have never walked the streets of the Barrio. I have noticed that you are always critical of the Dominican Republic but I believe your actual street knowledge is lacking.
I will answer #3 next time.
Written by: dreadlocks, 9 Oct 2010 1:29 PM
From: United States
colodrm, do not assume anything about me. you can just answer the questions, preferably in order. the first one you seem to have conveniently ignored...i need to know WHO is going to crack down on the corrupt actors, since they are all part of one big mafia. if you can tell me WHO is going to be in the vanguard of the cleanup, we can proceed. and, while we are at it, where i live has nothing to do with the questions i asked. street knowledge is irrelevant. we are not talking about pickpockets and chainsnatchers in this thread.
Written by: colodrm, 9 Oct 2010 2:25 PM
From: Dominican Republic
Written by: dreadlocks, 7 Oct 2010 1:57 PM
From: United States
colodrm says this

This will all change soon because, if I am correct, there will be a serious crack down on corruption and street crime in the near future. The big change will be an increase in jobs which will increase the political strenght of whom I refered as the pobres.

atabey agrees. so, then, gentlemen, three questions.
1 who is going to do this downward cracking?
2. upon whom are they going to crack down?
3 where are the jobs going to come from? from picking up the pieces and parts of the crackees?

Answers:
1. You have to understand that all the people in the government are not corrupt. There are many that realize the country has to change for the better and quickly. Most Dominicans I know love their country and are the first to admit its problems. In the near future you will see these people adressing the public about these problems..

I will answer question 2 &3 the next time around.
Written by: colodrm, 9 Oct 2010 2:25 PM
From: Dominican Republic
Dreadlocks,,,,,,I answered the first question 2 days ago. You must have missed it. Apparently you did not read the answer to the second question either. I truly believe you have no real living experience in the Dominican Republic. What most refer to as an ARM CHAIR QUARTERBACK.

I will post a copy of the my first question directly after this posting. Ther not enough room left on this one.
Written by: dreadlocks, 9 Oct 2010 3:40 PM
From: United States
colodrm, you must be delinquent in the taking of your meds. you could not have answered two days ago, as the question was only asked yesterday. secondly, i probably have more time living in this country than you do. since i missed the answer, help me out. tell me WHO is going to crack down. yes, which people are going to clean the place up. this is real simple...not rocket science.
Written by: colodrm, 9 Oct 2010 5:28 PM
From: Dominican Republic
Dreadlocks......you original question was posted October 7, at 1:57 pm, not October 8th. It's you whom have missed the appointment with meds.
Your intent is to criticize all that do not agree with you. I am not going to play your game.
I love this country, I'm sorry but I do. My intent is to help provide jobs andf other opportunities for as many as God will allow. Of course, you have the right to continue posting comments as you prefer but I will no longer waste my time reading them.
Written by: dreadlocks, 9 Oct 2010 6:44 PM
From: United States
i take that to mean you cannot answer the question. next, i expect you to blame me for asking it.
Written by: dreadlocks, 9 Oct 2010 6:51 PM
From: United States
hey, colodrm, if my reading serves me well, you said........It is true, The Dominican Republic is a failed state. . that is pretty strong language that i myself never used.
Written by: Vivacuba, 9 Oct 2010 10:44 PM
From: Dominican Republic
The biggest failed state of all is the accuser! Time has will continue to prove this fact obvious to many expect those in utter denial.
Written by: Ricardolito, 10 Oct 2010 11:52 AM
From: Dominican Republic, vieja Santo Domingo
Again I notice that writers are complaining about the irregulatity of electricity but the same can be said about water .I only get water for 3 or 4 hours early in the morning and need the water tank on the roof .. I am told to save water but in fact my use is limited already by irregularity of supply ..and this is in Zona Colonial
But even with poor supplies of water and electricity , hopeless garbage collection, horrific public transport , I notice that even in the poor barrios of the capital ,nearly everyone seems to have food and a roof over their head ...so on a visual assessment of a failed state , I think we are moving away rather towards that definition ..I would far rather live in the DR than any of the countries ranked worse than us .
Written by: dreadlocks, 10 Oct 2010 12:44 PM
From: United States
i would rather live in the DR than in most of the countries ranked ABOVE it, Ricardolito. the headline of the article is not well thought out, because in no way is the DR in the category of failed states, using the criteria which are applied to establish status.
Written by: pkaide1, 10 Oct 2010 4:25 PM
From: United States
Failing state my @#$, This is nothing but an excuse for the international community to look for an excuse to put pressure in the whole island unification.

California is a failing state,
Florida is a failing state and NY is in the same path.
Written by: mfebs, 11 Oct 2010 3:37 PM
From: United States
I think that this article and ranking by foreign policy is wrong. a failed country and a poor one are not the same thing. In no way is DR a failed state, not just DR but a number of the countries mentioned do not fall into this category. Yes we have bad infrastructure and poverty along with other problems but we still have a functioning society and government. They really need to crop that list.
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