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Chávez in Haiti, a Clear Alternative to the “International Community”Last week, after the passing of Venezuelan president Hugo Chávez, Haiti declared three days of national mourning. President Martelly stated that Chávez was a “great friend of Haiti who never missed an opportunity to express his solidarity with the Haitian people in their most difficult times.” It’s not the first time Martelly had such kind words for the Venezuelan president. Last year, Martelly told the press that it was Venezuelan aid that was “the most important in Haiti right now in terms of impact, direct impact." In February, Martelly attended the 11th summit of the Bolivarian Alliance for the People of Our Americas, a regional political organization spearheaded by Venezuela, and announced that Haiti was debating joining the group as a full member. While most of the coverage around Chávez’s legacy in Haiti and the greater Caribbean has focused on the Petrocaribe initiative, which provides subsidized fuel to the region, Chávez developed close ties to the Haitian people well before Petrocaribe. Following the earthquake of 2010, Chávez, in cancelling Haiti’s debt to Venezuela, declared, “Haiti has no debt with Venezuela -- on the contrary, it is Venezuela that has a historic debt with Haiti." As Chávez was quick to point out, it was Haiti that provided a vital safe-haven for Latin American independence hero Símon Bolívar before he went on to liberate much of South America from Spanish rule.
Opposition to 2004 Coup
In 2004, following the U.S.-backed coup against Jean-Bertrand Aristide, Chávez was one of only a few voices in the region condemning what had taken place and refusing to recognize the coup government. Chávez told the Organization of American States that, “The President of Haiti is called Jean-Bertrand Aristide, and he was elected by the people." He formally extended an offer of asylum to Aristide in March of 2004. Perhaps the solidarity was in part due to the fact that just two years previously Chávez had been temporarily ousted in a coup, and similar actors were involved in both the Venezuelan and Haitian coups. As detailed in a 2004 investigation by Mother Jones, the International Republican Institute was active in both organizing and training those involved in the 2004 coup in Haiti as well as opposition factions before the 2002 coup in Venezuela, and its point man in Haiti at the time – Stanley Lucas, now an advisor to Martelly – had been in Venezuela some seven times prior to the coup. Senior Bush administration officials Roger Noriega and Otto Reich also actively supported both the Venezuelan and Haitian coups.
One with the People
In 2007, President Chávez traveled to Haiti; Brian Concannon and Mario Joseph described the scene at the time:
Venezuela’s President Hugo Chávez found a hero’s welcome when he visited Haiti on March 12. People from Port-au-Prince’s poor neighborhoods lined the streets of the capitol to cheer, to chant, to dance and sing, with the infectious enthusiasm of Haitian celebrations. President Chávez returned the affection. He jumped from his motorcade and joined the party, marching, even running with the crowd. At the National Palace, Mr. Chávez climbed up on the perimeter fence to shake and slap hands, like he had just scored a World Cup goal. He publicly thanked the Haitian people for their hospitality and enthusiasm, and for their historic support for liberty in the world.
President Chávez and the Haitian people hit it off so well for reasons of principle and of practice. Haitians consider Chávez a leader in the global fight against the global power inequalities that keep people in Haiti, Venezuela and the rest of Latin America poor, hungry and uneducated. They see him standing up to the most powerful leader in today’s world- President Bush (whose name was frequently invoked that day, not charitably) – and to the World Bank and other powerbrokers. Even better, unlike their President Aristide (whose name was frequently, and charitably, invoked), Chávez keeps getting away with standing up to the powerful.
Petrocaribe
Of course, while the solidarity between Chávez and the Haitian people has long existed, the more recent direct impact of this solidarity has been through the Petrocaribe initiative. The agreement, which was nearly blocked by the U.S. government and major oil companies, has provided Haiti with 23.6 million barrels of oil since 2008. Through the agreement Venezuela finances part of Haiti’s fuel import bill, allowing for a portion to be paid up front and the remainder to be used as a loan with a long maturity and low rates. Since the program’s inception, Venezuela has provided oil worth nearly $2.5 billion. Haiti has paid back over $1 billion of that and although Venezuela cancelled nearly $400 million in debt after the earthquake, Haiti retains a debt of roughly $950 million to Venezuela. Most of this will be paid back over a period of 25 years at a 1 percent interest rate. In the meantime, there is a two-year grace period. The IMF estimated fiscal year 2012/2013 external debt payments to be 0.1 percent of GDP, or less than 0.5 percent of government expenditure.
Jake Johnston / March 12, 2013
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When Will Glenn Kessler Question the Counterfactuals of the Deficit Hawks?Dean Baker / March 12, 2013
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The Prosecution of Arthur Anderson Did Not Reduce Employment in the Accounting Industry by 28,000Dean Baker / March 12, 2013
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New CBO Estimates Show How Shifting to Chained CPI Would Harm Poorly Compensated Workers and Others Struggling to Afford the BasicsShawn Fremstad / March 11, 2013
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As Cholera Continues to Spread, Some Turn to Composting to Help Fight itAs of March 4, 2013, cholera has killed 8,057 Haitians and infected nearly 650,000 more. Despite some claims of progress, the epidemic, which was introduced by United Nations troops, has been significantly worse in 2013 than during the same period the year before. From January 1, 145 cholera victims have officially been reported dead, compared to just 22 last year. Worse, this occurred during the dry season, when cases generally taper off. The latest bulletin from the U.N. Office for the Coordination of Humanitarian Affairs (OCHA) noted that compared to February 2012, this year “the Centre department has seen an increase of 67 per cent during this period, while the Artibonite and Ouest departments have seen increases of 38 per cent and 35 per cent respectively.”
Three weeks ago the U.N., after 15 months of dodging and evading, formally rejected a claim brought on behalf of over 6,000 cholera victims for damages. The claimants had also demanded the U.N. provide funding for the new infrastructure needed for the clean water and sanitation that would eradicate the epidemic. A new, 10-year, cholera eradication plan was announced less than a week later. The ambitious plan, if carried out, would provide lifesaving infrastructure, which previously had been blocked due to political pressure from the United States. Yet, while the plan was welcomed as a positive step forward, there is little funding available for its implementation. The U.N., for its part, committed just $23 million, a far cry from the $2.2 billion needed.
While the infrastructure which is needed may be a long way off, some groups are already looking at new solutions to combatting the cholera epidemic and creating a more sustainable country in the process. Isabeau Doucet reports for The Guardian:
"If we can take all the poop that's making people sick right now," said Dr Sasha Kramer as she stuck a thermometer into a large mound of faecal waste in the middle of Troutier, Port-au-Prince's city dump, "and turn it into this really valuable resource that could be used for reforestation or for increased agricultural production, then you really take a problem and turn it into a solution."
Every week, Soil (Sustainable Organic Integrated Livelihoods) collects the human waste from 56 dry toilets built in camps for displaced earthquake victims, and mixes it with chips of sugar cane bagasse, a byproduct of local rum production.
And it’s not just NGOs which are taking part:
The Haitian government recently built several sewage treatment plants that process traditional pit latrine waste in open-air stabilisation ponds. It and sewage treatment companies such as Jedco are experimenting with the alchemy of transforming a potentially deadly substance into a rich and much-needed fertiliser.
In order to treat human waste safely and kill pathogens, the waste must sit for at least seven days at 50C, according to the World Health Organisation. After six to nine months, the potentially toxic waste is transformed, with low carbon emissions, into fertile soil, simultaneously helping to fight cholera and deforestation, and revive food production.
The government has opened two sewage treatment plants on the outskirts of Port-au-Prince and there are a number planned for other major cities in the coming years. The plants are the first ever in Haiti’s history. SOIL is exploring ways to transform their composting process to be able to handle waste from pit latrines, which are currently emptied at the government sewage plants, and not just the dry toilets that they distribute.
In addition to composting, the sewage treatment plants hope to be able to use the water they are treating for irrigation. Together, the reuse of waste could have a large impact on sustainability. Doucet continues:
In Haiti's northern region of Cap Haïtien, where Soil built its first toilets in 2006, there is now a farm and the compost is used to grow peanuts and fight malnutrition. Collaborating with farmers and Scouts, Soil aims to fight Haiti's extreme deforestation – it has only 2% forest cover – by planting 10,000 mango, cashew, orange, lemon and other indigenous fruit trees.
Please see below for a series of pictures from the SOIL composting site in Port-au-Prince and from the Haitian government’s two new sewage treatment plants.
Jake Johnston / March 11, 2013
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Big Bank Immunity: When Do We Crack Down on Wall Street?Dean Baker
Truthout, March 11, 2013
Dean Baker / March 11, 2013
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Latin America and the Caribbean
Senior French Official Compares Chávez to French Statesmen De Gaulle and BlumAlexander Main / March 11, 2013
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Moderate Deflation Is Just an Inflation Rate That Is Too LowDean Baker / March 11, 2013
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Medicare Doesn't Make Health Care Industry Lobbyists DisappearDean Baker / March 11, 2013
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Latin America and the Caribbean
Unprecedented Show of Support and Honor at the Historic Funeral of Hugo ChávezThe funeral for Venezuelan president, Hugo Rafaél Chávez Frías, was held the morning of Friday March 8th, at the Military Academy in Caracas, Venezuela. 55 countries sent delegations to the funeral. 33 of them were headed by presidents or heads of government. In a strong show of unity and support, every single one of Latin America’s presidents, and most of the Caribbean’s heads of state were present at Chávez’s funeral (though the presidents of Brazil and Argentina left early).
This is a turnout with few precedents. The death of U.S. President John F. Kennedy in 1963 brought together a total of 19 heads of state. The funeral of President Ronald Reagan in 2004 gathered 36 former and current heads of state. The death of Hugo Chávez brought together at least 38 former and current heads of state.
The governments of Spain, France, Portugal, Lebanon, Finland, Sri Lanka, Vietnam, Australia, Syria, Greece, Ukraine, Croatia, Jordan, Slovenia, Turkey, Gambia, China, and Russia sent fairly high level delegations to represent their governments at the funeral. Spain’s royal heir, the prince of Asturias, attended, as did the General Secretary of the Organization of American States José Miguel Insulza, the Reverend Jesse Jackson –who spoke at the funeral, actor Sean Penn, and the much celebrated Venezuelan orchestra director Gustavo Dudamel, who missed one of his shows at the Los Angeles Philharmonic to direct the Simón Bolívar Symphonic Orchestra at the funeral.
Though much of the major media has ignored this international show of recognition for the government of Hugo Chávez, these responses to his death are a clear affirmation of respect and acknowledgement for his legacy, from Latin America and around the world.
CEPR and / March 10, 2013
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The Strange Attack of Jeffrey Sachs on Paul KrugmanIn a Huffington Post column today, Jeffrey Sachs picks up where he left off in a co-authored column with Joe Scarborough that appeared in the Post last week. There are two main threads to Sachs' argument. The first is that we would have been much better off with an ambitious public investment agenda than the actual stimulus package that was passed by Congress. The second is that we would have been better doing nothing than getting a stimulus of the sort we got, or even worse, getting a larger stimulus of the same variety.
It is difficult to believe that Sachs thinks he is really quarreling with Krugman on the first point. Krugman has been a vocal advocate of exactly the sort of public investment that Sachs is advocating. (There may be an issue as to how such a stimulus should have been paid for. Sachs is advocating tax increases on the wealthy and a financial transactions tax, as has Krugman. It is not clear whether he thinks these tax increases should have been put in place in 2009 when the economy was collapsing.)
The real point of disagreement is the best route if you don't get a big public investment stimulus. Sachs' position seems to be that the sort of tax cuts and modest spending increases that were part of the Obama stimulus were worse than nothing. He argues that the tax cuts were largely used to pay down debt as was the case of much of the spending, which took the form of transfers like food stamps and unemployment insurance. The net effect then is to raise the debt without providing much boost to the economy.
Sachs' claim does stand at odds with much research on the topic. The standard Keynesian models, used by the Congressional Budget Office and others, showed the stimulus creating in the range of 2-3 million jobs. This view also has been borne out by empirical work on the effect of the stimulus.
Dean Baker / March 10, 2013
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Washington Post Does Front Page Sales Pitch for Trade Agreements, AgainDean Baker / March 09, 2013
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Labor Market Policy Research Reports, February 23 – March 8, 2013The following is a collection of the latest labor market policy research reports:
Center for Economic and Policy Research
The Human Capital Dimensions of Sustainable Investment: What Investment Analysts Need to Know
Thomas Kochan, Eileen Appelbaum, Carrie Leana and Jody Hoffer Gittell
Center for Law and Social Policy
Implementing Earned Sick Days Laws: Learning from Seattle's Experience
Liz Ben-Ishai
Center on Budget and Policy Priorities
Changes in TANF Work Requirements Could Make Them More Effective in Promoting Employment
Liz Schott and LaDonna Pavetti
Demos
Discredited: How Employment Credit Checks Keep Qualified Workers Out Of A Job
Amy Traub
CEPR and / March 08, 2013
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Use Antitrust Policy to Break Up Mammoth BanksDean Baker
Debate Club (U.S. News & World Report), March 8, 2013
Dean Baker / March 08, 2013
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Latin America and the Caribbean
New York Times Reports False Statement on Venezuela’s Economic Growth During Chávez YearsMark Weisbrot / March 08, 2013