Term Paper: U.S. and Latin America

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[. . .] S., so they add little money to the local economy: they therefore do not benefit positively the local economy. It is difficult to see what benefit Panama receives from U.S. troops stationed in the U.S., and it is well-known that U.S. troops are in Panama solely to safeguard its national interests with regard to the canal, not to help Panama.

Chile-U.S. fair trade agreement

The U.S.-Chile trade agreement (I will not call it fair, as it is not), is an extenspion of the failed NAFTA. This agreement, between the U.S., Canada and Mexico, was set up with the broad aims of liberalising trade between these countries; in effect, what happened was a further insurgence of U.S. business to Mexico, creating many of the problems already discussed under 'Mexico and the use of U.S. branch plants (or maquiladors)': deteriorating trade balances, lost jobs, trampled rights, and inadequate economic development (as discussed further in the report to be found at (http://www.americasnet.net/news/groups_oppose_ftaa.pdf).

As stated in a report by the senior economist of the American Farm Bureau, John Skorburg, "the U.S. will send more exports to Chile this year" (Skorburg, 2002). He continues, "there is potential for U.S. exports to Chile to grow in bulk...more than three quarters of U.S. agricultural goods will enter Chile tariff-free within four years" (Skorburg, 2002). This report does not paint a pretty picture of an agreement that is - in public, and on the international stage - supposed to encourage fair trade between the U.S. And Chile; an agreement that is fair would encourage trade from Chile to the U.S. In a similar manner, and certainly would not allow the entrance of goods to Chile - tariff-free - that are already manufactured in bulk in Chile, thus leading to the potential for the destruction of this industry within Chile, leading to dependence on foreign - U.S. - goods.

It seems, therefore that even 'fair trade' agreements between the U.S. And Chile are not fair, and do not add anything positive to the country concerned in the agreement; NAFTA is pretty much wholeheartedly dismissed by development workers, and it seems that this FTA with Chile will attract the same sort of condemnation.

Conclusions

As we have seen through the discussions of these case histories, the relationship between the U.S. And Latin America is not a positive one for Latin America, rather it is always an exploitative relationship, from which the U.S. gains huge advantages, and from which, Latin America emerges just as poor and hopeless as before the U.S. intervention.

Citations

O'Brien, T. (1999). The Century of U.S. Capitalism in Latin America. University of New Mexico Press.

Ropp, S.C. (2002). Panama Canal. In World Book Encyclopaedia for Macintosh.

Skorburg, J. (2002). An analysis of U.S.-Chile Trade. To be found at http://www.ifbf.org/commodity/pdf/200301_uschiletrade.pdf[Accessed 14th December 2003]. http://www.americasnet.net/news/groups_oppose_ftaa.pdf"U.S.-Chile Trade Agreement Rolls Back Progress in Trade Policy and Tramples on Workers Rights'" Press Release, Miami, June 6, 2003. [Accessed 14th December 2003].

Bibliography

The following books are also useful in the further examination of the issues presented in this paper:

Agosin, M. (1995). Foreign Direct Investment in Latin America.

Atkins, E. (1980). Sixty Years in Cuba. Arno Press.

Bagley, B. "La Globalizacion de la delincuencia organizada," in Foreign Affairs en Espanol, Vol 3, num 2 (2003) pp. 110-137

Bulmer-Thomas, V. (1994). The Economic History of Latin America Since Independence. Cambridge University Press.

Bushnell, D. (1993). Colombia: A Nation In Spite of Itself. Berkeley: University of California Press.

Cockcroft, J.D. (1989). Neighbours in Turmoil: Latin America. Harper and Row.

Galeano, E. (1967). Open Veins of Latin America.

Naylor, R.T., Wages of Crime: Black Markets, Illegal Finance, and the Underworld Economy. Ithaca, NY: Cornell University Press, 2002.

Roberts, Kenneth. "Neoliberalism ant the Transformation of Populism in Latin America: the Peruvian Case" World Politics 48 (Oct 1995)

Sherman, J.W. (2000). Latin America in Crisis. Westview Press. [END OF PREVIEW]

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