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Poverty and Economic Devastation in Jamaica - Essay Example

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This essay researches the term ‘globalization’, massive, powerful multinational corporations and it's impact on the history of economical development of Jamaica. It also focuses mostly on the issues of poverty and devastation in Jamaica and projection on what it could be in the future. …
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Poverty and Economic Devastation in Jamaica
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Extract of sample "Poverty and Economic Devastation in Jamaica"

JAMAICA: A HELPLESS PAWN IN THE GLOBALIZATION GAME The term ‘globalization’ has evolved into arguably the most familiar – and the most dreaded (given that the population of developing countries far outstrips the number of people in their developed counterparts) word in commerce when viewed in the context of the world economy. Massive, powerful multinational corporations now exert major influences in the political, economic and social spheres all over the world. A multinational corporation can herald positive change, hence by itself it is not a bad phenomenon; it is only when it starts swelling in size, bloating with wealth, and spreading its greedy tentacles of influence to exert a near-monopolistic stranglehold over an industry on a growing international basis, that it develops into a engine for negative change. In today’s world, due to their significant influence with international institutions like the World Trade Organization (WTO), World Bank (WB) and International Monetary Fund (IMF), multinational corporations have developed into powerful players who can influence governments, public policy and general populations all over the world (Shah). The negative role of multinational corporations was foreseen as early as 1776 by the father of Economics, Adam Smith. In his ground-breaking book, “Wealth of Nations,” that set the foundation for the field of modern Economics, Smith wrote that corporations would eventually work to cleverly escape the laws that govern the market, they would narrow the competition, raise their profits and try to meddle with setting of prices and control of trade. Their negative role is because their “interest is never the same with that of the public, and (they) have generally an interest to deceive and oppress the public, and who accordingly have, upon many occasions, both deceived and oppressed it” (Shah). The increasingly negative role of multinational corporations epitomizing the entire globalization process is portrayed exceedingly well by Stephanie Black in the insightful documentary film, “Life and Debt.” Jamaica’s problems began in 1962 when it secured independence from England. Totally devoid of any support or assistance from its former occupier, the fledgling nation was soon floundering as a result of mounting problems, the major ones being a struggling economy characterized by chronic debts, illiteracy, and an ancient medical system. The country badly needed finance to address its problems. It approached private banks, only to get the cold shoulder treatment. The sole way out was to seek help from the IMF and WB. Much to its relief, both the world organizations responded immediately and positively, but the unfortunate nation was soon to painfully understand the ‘strings’ that came attached with such finance (Clifford). The IMF and WB are puppets controlled by their biggest shareholders, the United States and West European nations. Multinational corporations from these controlling nations get their readily cooperating governments to employ strong arm tactics to direct the IMF and WB to attach mandatory ‘strings’ whereby the target country should set up multinational-friendly controls all over its territory. Target countries have no alternative but to toe the line, thereby effectively ending any chance of developing self-sufficiency at least in some economical sectors, and condemning themselves to a steady slide down the abyss of poverty and debt. Jamaica is a prime example of such a target country (Clifford). The Jamaican government was forced to eliminate price controls and privatize state industries. As a result, dozens of factories shut down, which affected the economy badly. A body blow, in the form of falling commodity prices, was delivered to the country’s crucial bauxite industry (which comprises 53% of Jamaican exports). Jamaica’s increasing isolation was exacerbated by the growing international role of the North Atlantic Free Trade Area featuring the U.S, Mexico and Canada (Hyland). Jamaicans are either forced to work in Free Trade Zones for minimal wages, or take up low-paying, menial jobs in tourist resorts, or stoop to doing chores like selling souvenirs to tourists and braiding their hair. Stephanie Black’s documentary focuses a harsh, critical and eye-opening formal exposition on Jamaica in its role as a victim of multinational corporations and globalization (Clifford). Black’s documentary is initially seen through the eyes of a tourist in Jamaica, with a voiceover taken from Jamaica Kincaid’s book, “A Small Place.” Belinda Becker’s melodious voice narrates about the various pleasure spots that a tourist can find in Jamaica, and then swiftly follows it up with a stark portrayal of the harsh reality that lurks underneath the polished veneer (Clifford), thereby successfully contrasting the luxury and freedom that tourists are used to in “tourist Jamaica,” with the totally different deteriorating poverty, weariness and dissatisfaction that characterizes the true “local Jamaica” (Tomicki). The film shows tourists relaxing with cool beers alongside posh hotel swimming pools, and enjoying games of volley ball on sunny beaches. Local Jamaicans are shown enviously eyeing never-before-seen luxuries contained in the tourists’ suitcases as they dream about geting away from their bleak, frustrating lifestyle. An interview with former Jamaican Prime Minister Michael Manley forms a crucial part of the film. Manley frankly discloses how IMF financing lured Jamaica into economic slavery under the ruthless control of foreign multinational corporations. Black interviews Jamaican farmers, who relate how their fruit totally lost out to the rampant, low-priced, chemical-laden fruit of the rich Dole and Chiquita multinational corporations that are well- supported by the U.S government. Black dryly comments that many tourists have no inkling that the fruits they consume at their hotels have originated from the U.S., and not Jamaica (Tomicki). Perhaps the most poignant scene in the film is that of a Jamaican dairy farmer who, against the backdrop of a poverty-stricken nation where starvation is widespread, is forced to destroy gallons of fresh milk because cheaper, imported milk powder has proven to be a more acceptable alternative. Another scene depicts Jamaican garment factory workers who toil in appalling conditions in Kingston’s Free Trade Zone for an unbelievably low wage of $ 30 per 6-day working week. The film delivers a master thrust by depicting an IMF official complacently smiling (he is probably mentally adding up profit figures), as he disinterestedly advises Jamaicans to try growing peppers as a more profitable cash crop, while reminding them that they still have their thriving tourist industry to bolster their economy. At this point, the viewers tend to identify with the weary and dissatisfied Jamaicans interviewed in the film (Tomicki). Stephanie Black makes strategic and ingenious use of music and tradition flashbacks throughout the documentary to subtly highlight the somber atmosphere in the beleaguered country. The film opens with Buju Banton strolling through a shanty town in Jamaica singing “Destiny,” and the documentary concludes with a similar stroll by Yami Bolo. The film scene involving the traditional Jamaican Nyahbinghi ceremony portrays how Rastafarians truly understand what their country is going through and where it is ultimately headed. The Rastafari movement emerged as a platform to fight local poverty and disenchantment. In rhetoric liberally interspersed with recitations from the Bible, the movement’s leaders urge fellow-Jamaicans not to emulate other WTO protestors by docilely accepting globalization with bowed heads, but to do their best to break the economic shackles that are affecting their country, their livelihood and their future (Tomicki). Stephanie Black has done a wonderful job of confirming allegations that the plight of Jamaica was engineered by misguided IMF and WB policies. Oppression by foreign controllers has led to a spurt in crime and crime-related violence in Jamaica. The country has lately created headlines all over the world due to the involvement of Jamaicans in international drug trade. Jamaica does not produce cocaine, but has developed into an important transit route in its global distribution network. Burdened with poverty and unemployment, disillusioned by bleak future prospects, Jamaicans are increasingly lured by high rewards (between $ 2,800 and $ 7,200 per trip), to smuggle cocaine to Europe as “drug mules” (Hyland). In the latest development, the earlier trend of globalisation which involved developed countries exploiting business opportunities in developing countries, has given way to a two-way process that heavily featured rising economic interdependence. As a result, multinationals are slowly and reluctantly evolving into new corporate entities called “Globally Integrated Enterprises (GIE)”, which are founded on the principles of joint cooperative origination, composite production and outsourcing to specialists. The aim of a GIE is no longer to exploit countries or workers, but to operate in new vistas conducive to business growth in a progressive society. It is expected that the end result would be a revamp of geopolitics, trade and education (Palmisano): vital ingredients towards making the world a better place. The million dollar question is however, “When?” While fervently hoping that the GIE development will benefit Jamaica in the long run, it is expected that the current Cricket World Cup tournament taking place in the West Indies this year (March 12 to April 28) will prove to be a welcome boost in tourism generated revenue to Jamaica and its beleaguered citizens. References used: Clifford, Robin. “Life and Debt.” Reelingviews.com. N.d. 14 Mar. 2007. Hyland, Julie. “Britain: Behind the Row Over Jamaican ‘Drug Mules.’” World Socialist Web Site. 2002. Palmisano, Samuel J. “The Globally Integrated Enterprise.” Cfr.org. 2006. Shah, Anup. “The Rise of Corporations.” Globalissues.org. 2002. Tomicki, Hadley. “Review of Stephanie Black’s Documentary, ‘Life and Debt.’” Jahworks.org. 2001. 14 Mar. 2007. Read More
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