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100% behind you Simondg!
Jankozak: If you would like to make the case that the immensely strong correlation evident between NAFTA and the damage to the average Mexican’s economy does not prove causation, may I remind you that it ALSO doesn’t disprove it! I much prefer to obtain my information regarding how someone’s life was altered, after a “free” trade agreement or any other form of calamity, from a human being that actually had to survive the process than from a highly educated, unethical, posturing economist sitting behind a desk anywhere in the world, especially Washington D.C. Easy for them to spin what happened since they certainly did not experience their family’s life and dreams go up in flames at the same time NAFTA kicked in–of course, so very coincidentally. Please don’t misunderstand me, I place great value on education and have had the privilege of assisting wonderful universities in the US, including Ivy League. I also graduated from a public university in CR and I can truly tell you that some of the best lessons I’ve ever learned about local situations have come from speaking with real people–residents, farmers, community leaders–what you may call regular folk and I call honest folk. They may not be as educated, but their experience is invaluable and irreplaceable. It takes a huge amount of arrogance to tell someone that you just ran over with a tractor trailer that they really weren’t hurt by you at all, to tell them that they were REALLY hurt because their country’s poor infrastructure allowed it! I guess the correlation rule doesn’t apply here, hmm? Trade agreements such as NAFTA and the like have done enough damage to show that CAFTA will only serve to run over Ticos/as and then come up with some Costa Rican defect to explain the root cause of their new woes. Coincidentally (there goes that word again), it will be a defect that was there before the agreement (as your Mexican example illustrated) yet had miraculously not caused X or Y problem, but now it could. I’ve seen Costa Ricans take on huge bullies before and other times I’ve only read about it, but be assured that wonderful loving Ticos/as have the intelligence and plain common sense to see beyond such spins!
I am not Costa Rican. I am not from the United States either. I happen to be from a small Central European country, which has been lifted from (excuse my words) s*** to prosperity. I am from the Czech Republic. My country has been in much worse situation than is Costa Rica today in the early 90s, with infrastructure, agriculture and industry essentially decimated by four decades of communist rule. I still remember having to wait in lines every Thursday outside of the local grocery store in late 1989 to be able to buy two loaves of bread that would serve our family of four for the upcoming week. similarly like Costa Rica today, the politicians in my country put to a popular vote (referendum) the critical decision of whether or not we should join the European Union. Although many claim that the EU is about a lot more than economic integration, it is principally about that. The populists in my country at that time were rallying around similar arguments like those in the NO crowd here in Costa Rica today — they claimed Czech farmers would be unable to compete with subsidized EU farmers, they claimed we would lose our national sovereignty, they claimed that mass unemployment would occur in the north as coal mines would be shut down etc. etc. etc. You can take a look at the Czech economy now some three years later. A booming modernized highly diversified economy bolstered by stable political institutions, strong civil society. Had the Czechs decided to say NO to the European Union at the critical decision making time, they would have become an island in Europe similar to that of Switzerland… with some minor differences… the Czechs did not have the economic resources to afford not joining the EU. Similarly, Costa Rica cannot afford not joining CAFTA. If it decides not to say yes to CAFTA, there will be dire consequences — perhaps not immediately visible, but in the short run, we will see FDI dropping, potentially even large MNCs moving to other CA countries offering more favorable conditions. Whether you like it or not, MNCs drive global economy today and without them, Costa Rica will be left behind.
I did not really get to my main message as I got carried away a little. The Czechs did not get to where they are today simply because they said YES to the EU. We had to tie our belts, work hard and adjust to a new way of life.
I feel that those in the NO crowd are principally those individuals and groups that are unwilling to change the status quo. They are individuals and groups who are unable to envision a better future not only for themselves but for the country as a whole. But I should clarify something. Simply saying YES to CAFTA will not make Costa Rica better off. The YES is a mere prerequisite. Once Costa Rica says YES, then the hard part will come… Ticos will need to slowly but surely start changing their ways, improve their work ethic, start showing up for business meetings on time, and in general, simply put themselves to work. Free trade and capitalism is not for lazy people… On the other hand, those who work hard will find themselves better off!
It seems you’ve had a very difficult, but successful experience in the Czech Republic and EU, as per your accounts–and you were there right? You have a right to your opinion. If you express a contrary one with respect, people will listen even if they don’t agree, but if you express it with disdain then you’ve lost your audience. I tell you what, I won’t pretend to know what happened in your country and you need to consider that your associating your vastly different experience with what has happened in Central America & Mexico–a totally different context. Part of the problem is that CR has not been held back by communism and the EU is not the US. On the respect issue, your assumption that the “NO” crowd is lazy or just seeking to maintain the status quo is as arrogant as your assumptions regarding the Mexican situation. I for one own and run two business, study at Columbia University, have lived in CR for almost a decade, first visited CR in 1982 and continue to visit often and have family & friends there–Needless to say, I don’t consider myself a slacker and I do believe I’ve lived thru much of what your pretending to assess in CR. As far as Ticos/Ticas who say “NO”, it has nothing to do with their laid back nature or lack of work ethic, it has to do with their belief that although they may not ALL be able to drive around in BMWs–there is MUCH more to LIFE than $$$$. I can’t say what the whole country will choose on Sunday, but it should be on their terms and not based on transplants from other places with vastly different cultures, backgrounds, struggles and goals. Stop to consider that Costa Rica’s #1 export is tourism NOT manufactured products. A tourists comes to see the natural beauty of this wonderfully diverse country. Do you really think CAFTA will worry about CR’s environment, my friends at MINAE (Ministry of Environment) are absolutely sure it won’t and as a Tropical Biologist, I agree with them. One of the unfortunate legacies of communist governments has been devastated environmental conditions, maybe to your country this was not something you were used to protecting, but Costa Rica still has immense beauty that should not be squandered not only based on an economic factor–I mean really, why kill the goose that lays the golden eggs of tourism? Also because LIFE has a value greater than CAFTA could provide and one that CAFTA does NOT respect. That agreement will create irreversible damage to the diversity of life, any chance of striving for a more sustainable development in a country I love deeply and obviously see from very different eyes than you. Not to mention the negative social impact it will have. As a Cuban who also became a Tica at heart at the tender age of 19, I say to you, Pura Vida JanKozak–think about what that means for a moment….PS. Unless you choose to express your concerns with more respect towards those you disagree with, I will not be responding any further. Of course I understand your inclination, I have had to practice great restraint to respond respectfully to your rude and arrogant remarks…
– I believe I was not disrespectful in my last comment posted on this website. I do not drive around in a BMW and I agree with you that there is much more to life than $$$. I do believe also that through hard work, anyone can succeed particularly in a business environment free of politically inspired barriers whether it be unnecessary taxes, tariffs or subsidies.
– I have been in Costa Rica long enough to know business customs and work ethic of this culture and am surprised that many businesses continue to operate… At many occasions, I have been in the “client” position having to literally beg for the supplier to supply me with price quotes and the service or product itself and this despite the fact of expressly stating that I could become a potentially important account for the company.
– I am strongly against monopoly that creates inefficiency particularly in the telecommunications and insurance industries. I would be inclined to continue protecting the energy monopoly for some time still as energy is a delicate issue particularly in this part of the world that does not produce much of its energy and needs to import. Costa Rica is doing a great job in seeking energy independence through investing in water and wind energy.
– Environmental protection is the job of the government only to a degree. The principal responsibility lies with the people and the businesses themselves. I would hope that the tourism industry would do all it can to ensure the environment remains protected whether by the government or by a general consent throughout the private sector.
– I agree with you that in order for sustainable development to take place it needs to be informed by local decisions, local customs, local values, local knowledge. I am afraid however that the vast majority of Ticos/Ticas do not necessarily understand the implications of CAFTA (approval or rejection). The politicians here have done a very poor job at explaining this matter to the population at large and I feel in fact that they have contributed to a greater confusion actually. So how can this referendum ensure that the real interests of Costa Rica are taken into consideration?
Janozak – written before your last post
jankozak – you compare apples with oranges. Costa Rica already has a healthy work ethic even if they have a cultural tendency to be late. I have employed people in Europe and here and the difference is that Tico’s, generally speaking, appreciate the opportunity far more than any European I have ever employed.
I would have thought that having lived under communist rule you would be fed up with Government interference and yet you favour more tax and more market manipulation!
The reason the Czech farmers did not lose out is because other farmers, in the U.K. for example, were paid not to produce; it’s the exact opposite of fair trade and yet another Government flimflam. Now you propose that Costa Rica should tax it’s own people more to produce goods that they already have! Or worse, you propose subsidizing the farmers using CR tax payer’s money and or, dropping out of the sector altogether; what you seem to forget is that in the Czech case you were indirectly subsidized by the E.U. and the U.S. will not, as far as I’m aware, be paying to subsidize Costa Rican farmers.
Moreover, why should Costa Rica get out of farming? If it’s such a bad business, or it’s not modern as you say, why doesn’t the U.S. get out of it? The fact is that agriculture is the next boom; prices are going through the roof due to massive demand. Chinese demand for coffee is beginning to pick up and all soft commodities are at record highs and will move much higher.
This is not, as you seem to intimate, a matter of left wing or right, of socialist dogma versus capitalism. It is more an issue of common sense and not the simplistic argument used by the YES camp; I’ve heard them calling NO voters communists. How absurd.
You should represent the NO Vote! So far you’ve confirmed to me that TLC is a fraud.
simondg – You are right in pointing out the differences between the way EU has treated its new members and the lack of that element under the CAFTA arrangement. But you have also rightly recognized the importance of the emerging economies in Asia and their growing demand for agricultural and other goods. Why do you think the Arias administration has invested so much of its resources into courting Beijing not only to be able to position Costa Rican products there but also to promote cheaper Chinese imports… It is also my understanding that great efforts are being made to promote Costa Rica as a tourism destination for the increasingly thirsty affluent Chinese… So why should Costa Rica be so concerned about exporting its agricultural products to the United States? Under CAFTA, manufacturing companies in Costa Rica will be in a more advantageous situation to export to the U.S. On the contrary, manufacturers in other CA countries may find themselves in a better position to export to the U.S. which could ultimately lead to forcing multinational corporations currently established in Costa Rica to relocate elsewhere. I am not saying the NO camp is a communist camp… I am just failing to see a coherent argument against CAFTA. At least, the YES camps highlights the advantages CAFTA will bring in terms of creating more favorable conditions for FDI, increasing competitiveness and gradually removing inefficient government monopolies.
Your words inside quotes JanKozak: “We had to tie our belts, work hard and adjust to a new way of life…I feel that those in the NO crowd are principally those individuals and groups that are unwilling to change the status quo. They are individuals and groups who are unable to envision a better future not only for themselves but for the country as a whole…. Ticos will need to slowly but surely start changing their ways, improve their work ethic…Free trade and capitalism is not for lazy people… On the other hand, those who work hard will find themselves better off!”
Oh heaven’s forbid, you’ve been a real doll implicating Mexico’s problems after NAFTA on themselves and expressing your highest regard for all of us “lazy” and visionless people in the “NO” crowd and Ticos alike who may not want your type of lifestyle….Who knows, maybe it’s a language problem for you and not a perceptual one, but somehow I doubt it because the arrogance is not punctual, it’s perrvasive…Why in the world do you want to live in CR if you want to make it like the Czech Rep? Costa Rica welcomed you into her territory, have some respect for their right to have a different culture than your own…
For my friends in the Forum:
A frustrated professor once demanded to know from an indigenous person why he was so irresponsibly late for their trip down the river. “Don’t you understand the concept of time,” he shouted as he nervously looked at this watch, the indigenous man smiled and said, “you are sadly mistaken professor, I have ALL the time in the world, YOU just have a watch.” …Funny thing about perception…..Pura Vida!
I love Costa Rica which is also one of the reasons why I registered on this website. I have lived here for many years and have many Costa Rican friends here that I consider to be my family. I love this country, its nature, its culture, its people. On the contrary, I do not seem to be willing to return back to the Czech Republic precisely because I find elements of Czech and European cultures in general not to be compatible with the kind of a life that I wish to live here in Costa Rica. You saying that I should leave if I don’t like Costa Rica reminds me of my times in the United States when I criticized the Bush administration while in college when my fellow classmates from the Republican camp ran out of arguments… “Go home if you don’t like it here” always seemed to be their favorite escape route from any discussion that they could not complete with a well reasoned through argument. I am not advocating for a culture change… All I am saying is that under CAFTA there will be more competition, which will likely require all of us here (not just Ticos) to move faster, work more to deliver more and better results than our competition. Note, work more does not imply work longer hours. Work more can also mean finding more efficient ways of doing things. In the end, all of us should benefit from better and cheaper products and services and ultimately more time to be able to enjoy Costa Rica and all it has to offer. After all that is what competition is all about.
Funny thing about perception and how it colors what we think we see and hear! This was what I put on the post:
“Why in the world do you want to live in CR if you want to make it like the Czech Rep? Costa Rica welcomed you into her territory, have some respect for their right to have a different culture than your own…”
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Just because you have been less than polite doesn’t mean I was following suit. I did NOT at any time try to tell you to leave Costa Rica (as you can read for yourself), I simply asked you to RESPECT it and it’s culture. If you love it, then help make it better without obliterating what it is today. Otherwise, it starts to sound like a bad marriage destined for divorce (and not because of any request from me)…As for having more than enough well reasoned thoughts–there’s that arrogance again….I really think it’s time I stop wasting them on someone who can’t seem to face how he/she devaluates those you disagree with (calling stupid=lack of reasoned thoughts, lazy, lacking work ethic, visionless, etc.) and reads my posts as if she/he had written them. I was taught by a wonderful woman in Monteverde, CR that it’s not enough to tolerate others, you must do everything in your power to respect them. You obviously have your business/personal reasons for defending CAFTA in CR. It makes me sad that you’re proposing they transform a culture and place you say you love even more than your homeland. I also have my personal reasons–I love Costa Rica and although I don’t believe Ticos/Ticas are perfect, I love and respect them enough to accept who they choose to be…Take a deep breath JanKozak because you need to stop attacking in order to stop feeling attacked….in all earnest, Be well and Pura Vida!Costa Rica has done well for itself, it doesn’t need a trade agreement with a country run by all too powerful political machines, the republicrats (republicans now sleeping with the democrats and this is the offspring). You can’t tell one party from the other if you look close enough and what that will do for Costa Rica is to put it in the fast lane to lose the identity that it has for some of the most laid back people in the world. Costa Rica will be in the fast lane for a huge trade deficit as they have little resources other than the slave labor that outsiders want to exploit. You must look at what NAFTA has done to other countries, do you think CAFTA will be any different? I think not.
ArtI have no business/personal reasons for defending CAFTA in CR. I have an interest in seeing Costa Rica move ahead. I have an interest in seeing improvements in Costa Rica’s education and health care. I have an interest in seeing infrastructure improvements. I have an interest in seeing more Ticos obtaining meaningful employment. I have an interest in seeing the country advance. In order for this to happen, the government needs to generate more tax revenue… This is not going to happen by increasing taxes but rather but creating more favorable conditions for economic activity. Isolating Costa Rica from other Central American countries and other business/trade partners is not the way to go. Many developing countries are begging for more trade rather than aid. While Costa Rica does not need aid, it would certainly benefit from more trade. Cheers, Jan
On balance this deal will give CR more U.S. goods at lower cost and that’s about the extent of it.
Redbaron – You mentioned meeting the Monge family, did this include his daughter?
I do understand and recognize that the U.S. is likely to benefit from CAFTA more than Costa Rica, but that does not mean Costa Rica will not benefit at all. In fact, this is the case of any trade deal… The larger economy is always bound to benefit more than the smaller one…
Also, I hope you are not trying to compare Costa Rican employees at Intel to those working in Mexican maquiladoras. In fact, Costa Rican labor is a lot more expensive than labor in other Central American countries. Costa Ricans are a lot more educated and qualified than their CA fellow neighbors. However, it should not be assumed that this is how it is always going to be. If Costa Rica stays out of CAFTA and its CA neighbors do the homework in this area, all of a sudden Costa Rica may no longer look as attractive a place to put capital to a good use as in El Salvador or elsewhere… Yes, Costa Rica has done well for itself but it could do a lot better.
STATUS QUO
1. Costa Rica’s poverty level has remained at 20% for the past 20 years
2. The government is no longer able to maintain the strong social safety nets in place due to increasing constraints on government expenditure
3. Foreign investors continue to be attracted by the country’s democratic stability and highly educated and qualified labor… but that may not hold forever…
4. The government continues to experience difficulties dealing with its internal and external deficits
5. Because of rising import prices and labor market rigidities, combating inflation continues to prove problematic
6. Tax reform is badly neededAt last, what identity are we talking about here? What laid back people are you referring to?
No, it was a son & a nephew that were incredibly kind to offered to drive my friend and I back to San Jose from Golfito–an 8 hr drive. He was a very charming man and shared some very comical Monge father & family moments that I still recall whenever I see someone ‘a bit robust’ sit on one of those white plastic garden chairs (LOL). Just the kind of hospitality I have always encountered in that wonderful country. I never worry if I get into a jam over there (anywhere) because someone has always offered to help me–
Gotta love that place! :->A lot of ifs aren’t there? You cannot figure out how Costa Rica will benefit with ifs. I personally think that if Costa Rica rejects CAFTA then there will be other countries that will think about kicking CAFTA out of their country. I know how the government has taken over the educational system in this country with all their hooks and they will do the same to Costa Rica. Costa Rica will benefit from CAFTA for a short time but in the long run inflation and the lack of natural resources will cause that edge to go and end up with a worse situation than they now have. With CAFTA, Intel and IBM will be in a good position to control the wages that they pay by having many USA politicians in their back pockets. The USA will loose more jobs to Costa Rica and Costa Rica will loose to more of their local companies being put out of business by unbalanced financial backing. In the long run I cannot see CAFTA doing any good for Costa Rica.
Costa Rica’s poverty level won’t change with CAFTA, if the people can’t find work now with their skill level then how will CAFTA change that, welfare?
How will CAFTA resolve increasing government constraints, are you telling me that CAFTA will take over the government? Oh, perhaps CAFTA will hand a lot of money over to the government to fix this problem. How many hooks would come from that?
Foreign investors will invest in Costa Rica for a long time that is unless the USA stops all trade with Costa Rica…. Where is the CAFTA type agreement that the USA has with China? “but that may not hold forever” is just another “IF”.
Tell me how well the USA has done in balancing it’s own multi trillion national debt?
Your point 5 is about Costa Rica or the US of A? Seems like it is a big problem in the USA.
Again in your point 6 are you talking about the USA or Costa Rica?
How can the USA solve problems for Costa Rica that it can’t solve for itself?The Costa Rican’s have a true democracy, that is a good part of their identity. Many of the Ticos that I have met are not always looking to become slaves to their lifestyle, they enjoy their families and love to spend time with them. Laid back, that is my term for someone who is not caught up in the rat-race. Someone who can be happy with family and friends and not with things.
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