Cell Phone Pics

I finally learned how to upload pictures from my cellphone. I'm actually impressed with the quality. If I had known about this before I would have snapped more shot of daily life. Expect a lot more photos accompanying future posts.

Center of the city where SAMSUNG placed a large screen for passerbyers to watch the World Cup.

Llama fetus offering in the Witch's Market.

The dead pigeon that fell from the sky right in front of me last week.

Yup, the taxi drivers in Santa Cruz replace their stripped down cabs with lawn chairs.

Road block from last week that cut off Santa Cruz from the rest of the country.

Protesters circle around a TV camera to plead their case to the general public.

Friends back in Santa Cruz. From Left: Me, Vivi, Salim (Vivi's Brother), Leo (his son), Claudia (Sister-in-Law), Eduardo (The Anti-Narco Traffic Military Scuba Specialist on vacation from his post in the Amazon), Nancy (Rotary Club President of the Santa Cruz Chapter)

Saya, the Afri-Bolivian band we saw when Hendricks visited.

Cell Phone Pics

Poverty by Political Party

The US Census Bureau released a new report showing poverty rates in each US state. The dark blue states in the first graphic represent those with the highest poverty rates with at least a sixth of the population living in poverty.

The second graphic below shows each state's party affiliation (with results taken from the most recent presidential election). Republicans are in red, Democrat in blue.

Notice how Republicans control 13 of the 15 states with the highest poverty rates. The state of the economy is the central issue in the upcoming midterm elections. We can already see the success of the GOP policy agenda. Why can’t the rest of America be so observant?

Poverty by Political Party

With Shoelace Robinson hurt, who's the new face of Michigan sports?

It looks like my hard work with Sports Marketing back in college is finally paying off. Apparently, the University of Michigan finally decided to use this beautiful face as its new poster boy for its Sports Marketing program. The school deftly waited until after they booted Loyd Carr and for Rich Rod to start winning before promoting this new look. A wise decision indeed. I'm liking this pizza delivery boy Athletic Director more and more.

I also want to give a shout out to Case for somehow finding the link to the Michigan Sports Marketing website.

With Shoelace Robinson hurt, who's the new face of Michigan sports?

“The Asian nations’ interest in American politics stems not just from America’s standing as the sole global superpower, but also from a growing belief among Asian leaders that the era of United States hegemony will soon be over, and that the polarization of its politics symbolizes America’s inability to adapt to the changing nature of global capitalism after the financial crisis…

“What if America decides to ignore the global reinvention of capitalism and opts instead for a nostalgic rerun of the experiment in market fundamentalism? This would not prevent the rest of the world from changing course.” -- Anatole Kaletsky, Blaming China Won’t Help the Economy, 9/26/2010

Applying this to what we’ve witnessed occurring back home, I’ve come to a simple conclusion. While the rest of the world is abandoning failed neoliberal policies, the US is still stuck in a Red Scare, running from any policy that does not resemble 100% free market based economics.

Quick Updates

Since I've been in Santa Cruz, I've been horrible at updating the blog, but there's lots to catch up on.

In a courtroom setting with five "judges" grilling her with questions ranging from specific laws, to interpreting bills in congress, to explaining the legal system of the new constitution, Vivi passed her law exam with High Honors. She informed me that from now on I must address her as Doctora Viviana. Congratulations Doctora!

A few days ago I was walking in the plaza. A pigeon sudden dropped from the sky and landed with a thud right in front of me. It was quite the surprise. If only I knew how to upload pictures from my cell phone, you'd all get to see the dead bird.

Evo's socialist government has more or less kicked out American businesses and multinational corporations. That's why I'm always surprised to see the large Halliburton compound a block away from the state oil company's offices and the "Coca Social." McDonalds is gone, but why hasn't Halliburton come under attack? It's one of the first names to come to mind when thinking of modern day corporate imperialism.

Last weekend we camped out by a set of waterfalls and went rappelling down them the following morning. After the 95 meter falls (about 300 ft.) a few months back, the 20 mtr drop felt like a tiny hurdle. While thinking about adventure sports and my inability to find a good launch pad to enable me to keep up with paragliding, I've started to have the strong urge to learn how to kite board. Too bad they also don't have kite boarding in La Paz.

On an overnight trip to Samaipata (my favorite pueblo outside of Santa Cruz), we deboarded our bus to walk across the road block filled with protesters closing off the only path into and out of the city. Blockades are popular protest strategies here in Bolivia. I always wonder if these blockades are successful in gaining public support for a cause. It seems to me that the protesters just cause traffic and a hassle for the local population. But in their defense, the large majority of the backup was filled with trucks, thus laying siege to the city by cutting it off from outside commerce. I also later learned that this particular protest actually had merit. Earlier that morning, two kids were run down and killed by a taxi outside of the market. Protesters justly marched to protect their children and demanded the city add speed bumps in front of this heavily populated area.

Tonight kicks off Santa Cruz's Bicentennial (200 years of Independence, Take that Spain!). Festivities have been going on all month and really picked up this past week. Expect a more in depth post when the celebrations wind down and I get back to La Paz early next week and have ample time to write to you all. Happy Birthday Santa Cruz!

Quick Updates

Poverty Measures

I've always contended that GDP does not offer a full spectrum report of an economy's health. A rich elite or corporate monopolies can easily inflate GDP numbers to make a country feel richer than it is.

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In Hypothetical Nation A, one rich industrialist earns $1 billion annually and the ninety nine other people living there only earn an income of $1. GDP per capita is $10 million. Critics argue that national income eventually spreads throughout society, but they ignore the fact that the wealthy elitist in Nation A could import the marble to build his houses, invest his cash in foreign banks, and still take advantage of desperately low local wages. GDP of $10 million doesn't reflect the reality of poverty in this fictitious society.

Last week I read a report that said that the average Bolivian is roughly $6,000. If 40% of the country lives on $1.25 a day, to say that the average person has this sort of disposable income is just as misleading as Nation A's reported GDP indexes. Many new development measures try to incorporate health, education, income disparity, etc. Unfortunately, it's extremely difficult to scientifically capture the impact of these in statistically comparable formulas or to objectively weigh the importance of health care compared to education. The most recent theory I've read about is based on adding in yet another "standard of living" measure.

Since I haven't individually scrutinized all the new popular alternative measures (The UN is adopting the Multidimensional Poverty Index, the Economist magazine is pushing a Standford University working paper, and the University of Michigan we explored the Human Development Index), I've begun to wonder about another simple way to compare development or a country's wealth: Median income. Median income eliminates extreme outliers like the rich industrialist in Nation A, while emphasizing the middle range incomes. In societies with large income gaps and high inequality, a median will show its weight by exposing the large lower class. If a society is rich -- not to be confused with a nation containing lots of rich individuals -- but if a society is rich, the wealthier median income should reflect this. The richest nations should have the wealthiest middle and should reflect a smaller class of poor and underprivileged.

A median income measure would face the same defense as proponents of GDP provide. Although it doesn't directly take into account health, education, income distribution, etc, economies with high GDP tend rank higher in these categories. But what a median income measure accounts for that GDP does not is income disparity. GDP measures lose sight of reality in countries with poor indexes. Alternative measurement formulas require too many estimates, subjective weighting, and try to incorporate more than they can demonstrate with a single number. A median income measure would make sure that the middle is accounted for. This more accurately reflects a society as a whole and doesn't let the rich out weigh the more populous poor. Unfortunately, current business models favors measures that add weight to corporate interests. While academics constantly propose then discuss new complicated alternatives, GDP will remain the conventional way to measure and compare a nations wealth.

Poverty Measures

“ 'There is really no debate about climate change in China,' said Peggy Liu, chairwoman of the Joint U.S.-China Collaboration on Clean Energy, a nonprofit group working to accelerate the greening of China. 'China’s leaders are mostly engineers and scientists, so they don’t waste time questioning scientific data.' The push for green in China, she added, 'is a practical discussion on health and wealth. There is no need to emphasize future consequences when people already see, eat and breathe pollution every day.'

And because runaway pollution in China means wasted lives, air, water, ecosystems and money — and wasted money means fewer jobs and more political instability — China’s leaders would never go a year (like we will) without energy legislation mandating new ways to do more with less. It’s a three-for-one shot for them. By becoming more energy efficient per unit of G.D.P., China saves money, takes the lead in the next great global industry and earns credit with the world for mitigating climate change.

'China is changing from the factory of the world to the clean-tech laboratory of the world,' said Liu. 'It has the unique ability to pit low-cost capital with large-scale experiments to find models that work.' China has designated and invested in pilot cities for electric vehicles, smart grids, LED lighting, rural biomass and low-carbon communities. 'They’re able to quickly throw spaghetti on the wall to see what clean-tech models stick, and then have the political will to scale them quickly across the country,' Liu added. 'This allows China to create jobs and learn quickly.' ” -- NYTimes, 9/18/2010

Civil Rights, Bolivian Style

Bolivia is trying to pass an anti-racism law. President Evo Morales wants it to be illegal for the media to racially insult people publicly. This is a great idea, as racism between the indigenous Andean and the western Amazonian folk is even more blatant than Blacks/Whites at home. A common reason for not hiring someone is, "You're Colla. We're only looking for Camba!" -- which I witnesses firsthand within the American owned, Bolivian operated company I worked for!

What really strikes me about the proposed law is the public outrage. While an anti-racism law seems necessary to me, the rich East Side Cambas are trying to block it in courts, crying First Amendment-type freedom of speech violations. Critics vocally worry that this is the socialist government's first step in silencing opposition.

Since MAS (The Socialist Movement Party) controls Congress, the courts, and the executive office, I assume the anti-racism law will easily pass. But that doesn't mean that it's not a steep, uphill battle for legal protection for racial equality in Bolivia. Even though politics back home in the States sometimes feel overly conservative, it's important to remember how recent and progressive the Civil Rights movement was. It just takes some time for the rest of the world to catch up.

Civil Rights, Bolivian Style

Micronesian High School Staff Bulletin

In Micronesia (which I think is either part of or near the Philippians) my friend Leora is working as a teacher. Here's the daily bulletin her principal sent out to the teaching staff last week. Pay extra attention to Number 8.

Click the scanned graphic to enlarge.

Micronesian High School Staff Bulletin

"Since 1960 [Latin America] has seen the lowest growth in productivity of any region in the world, not least because around half of all economic activity takes place in the informal sector. Second, despite some recent improvement, its income distribution is still the most unequal anywhere. This has acted as a drag on growth and caused political conflict."

But...

"Marketing people are beginning to talk about a “Latin American decade”. If the region can keep up the growth of the past few years, it will double its income per person by 2025, to an average of $22,000 a year at purchasing-power parity...Half a dozen countries may have achieved developed-country status, with an income equivalent to Spain’s today." -- A Special Report on Latin America, The Economist, 9/9/2010

“For those who claim that [letting the Bush tax cuts expire] is bad for growth and bad for small businesses, let me remind you that with those tax rates in place, this country created 22 million jobs, raised incomes and had the largest surplus in history." -- President Obama

Corrupt Politicians Hinder Santa Cruz Development

Santa Cruz is even dirtier than I remember. Coming from La Paz, I've spent the past week trying to analyze how Bolivia's richest region can feel so poor. In a place where real estate costs more than in all other cities across the country, I remain utterly confused. While city streets are painted with graffiti and trash stained side walks, individual wealth can be seen everywhere, from the most per capita Hummers I've ever seen by far to high quality kitchen appliance stores plopped right in the middle of street markets. People sport American and European designer clothes. Expensive restaurants with foreign priced plates and drinks scatter the city. But beyond the night life scene of discotecs, karaoke bars, and fine dinning, Santa Cruz offers no other outlets for entertainment. All non-economic categories that measure a city's wealth point to Santa Cruz being a dilapidated zone, void of all commerce. Streets outside of the quarter square mile center remained unpaved. There are no public parks. There are no visible public works projects. A river of open sewage circles the middle vein of the city. For the city that collects the largest tax revenues of the country, evidence of public funds is invisible to eyes using anything other than a black light at a Santa Cruz nightclub.

Private sector monopolies and corrupt politicians prevent Santa Cruz from living up to its powerhouse potential. Private monopolies control electricity, cement, water, and all factory production in the country. The very powerful people running these industries limit opportunities for others to participate in the Bolivian economy by pocketing all profits and paying absurdly low wages. These industrialists, or robber barons, contribute little to society. When they leave their money in foreign banks they contribute to national banks' volatility. Importing luxury goods keeps Bolivian money from recirculating in the national economy. These wealth industrialists hoard all of Bolivia's wealth and hider the country's development.

Conversely, corrupt government officials equally impede development needs. Since weak governments lack funds to enforce restrictions on the ruling elite or their monopolies, the socialist government of Evo Morales elected to seize control of industry. Conservatives argue that governments are less efficient than markets. But Evo argues that even government ownership can provide more social benefit and economic stimulate than foreign owned and monopolized industries can. While there is merit to Evo's revolution, government corruption halts progress. A corrupt government cannot ensure institutional stability. It cannot effectively manage industrial sector development nor healthy competition while frequently stolen funds are removed from state run businesses and ministries. Building a strategic bridge might be a wonderful means to accelerate commerce, but when the project's funds disappear, little is accomplished. Redistribution becomes a myth. Instead of a rich private sector elite, corrupt socialist officials simply shifts the power to a rich political elite.

Typical solutions to the constant public/private sector fights have failed. Heavily taxing the rich and powerful, for instance, has done nothing but solidify institutional instability. The progressive third world government lacks enforcement for tax collection. When officials attempt to step up enforcement, tax collectors then cave to bribery. Even law abiding citizens not naturally inclined to avoid paying their societal dues succumb to tax evasion. Average citizens feel no obligation to give away their hard earned pennies when officials freely rob public funds. Public will fades.

Before a socialist government can effectively limit the power of private monopolists, the government must first rid itself of corruption so as to stabilize and strengthen state ministries and projects. The government can then establish restrictions on market saturation and monopoly powers by enacting laws, policies, and taxes that encourage health competition within industries -- a task that is impossible without institutional stability and adequate means of enforcement. As a tattered Santa Cruz best exemplifies, corrupt leadership is equally as inept at spreading wealth as private monopolies are. Although internally fighting corruption is even more difficult than fighting an external private sector, cleaning up industry requires it. If Bolivia wants to undergo wealth redistribution, the nation must fix its culture of corruption, which inhibits so much growth.

Corrupt Politicians Hinder Santa Cruz Development

Dead Prez -- Propaganda

Dead Prez -- Propaganda

Issues Highlighted by Party Candidates

Here's an interesting look into the issues 2010 candidates discuss on their websites (courtesy of FiveThiryEight).

Issues Highlighted by Party Candidates

"All y'all records sound the same. I'm sick of that fake thug, R&B, rap scenario all day on the radio. Same scenes in the video, monotonous material, y'all don't hear me though. These record labels slang our tapes like dope. You can be next in line and signed and still be writing rhymes and broke. Would you rather have a Lexus or Justice? A dream or some substance? A Beamer? A necklace of freedom?" -- Dead Prez

"Politics determines who has the power, not who has the truth." -- Paul Krugman

The Bourne Identity

In an attempt to work out my visa situation and become a legally documented worker in Bolivia, I've encountered some interesting and shady practices. Most business transactions down here are lubricated with a little extra cash, but I actually met a guy who makes James Bond movies feel realistic.

I'm not part of any underground networks, but I was easily able to meet a guy offering to forge me a Bolivian birth certificate and passport. This guy was simple enough to find. I just responded to a newspaper ad for an agency that specializes in official documents. Mr. X claims that his documents will gain me LEGAL residency and nationality. He says that the documents are 100% real, they're just obtained in a sideways manner. He insists that I would have no need to worry, records in Bolivia aren't kept on computers or electronic networks. On top of this, Mr. X only charges $300 for these false, or ambiguously obtained, documents.

I'm not going to start preaching my ignorance to how things works with government officials in the Third World, as daily television reports always remind me of new scandals of politicians skimming money off the top of public funds. As amazing as it is that obtaining false documents would be so easy, I don't think I'm prepared for the undercover life of Jason Bourne and forged passports.

The Bourne Identity