Tuesday, June 22, 2010

"Trabajo, Trabajo, Trabajo"

[SPANISH VERSION]
Se dice que en Colombia, el colombiano es tan recursivo, que es capaz de “vender una loca embarazada”. Y eso no lo dudo. E tenido la oportunidad de vivir en Colombia y ver el potencial de un país que estuvo al borde de convertirse en un “Estado fallido”. Viví allí en uno de los tiempos dónde la insecuridad, la violencia, y todo tipo de “veneno” se podia encontrar. En ese tiempo Bogotá ulizaba el lema de “2,600 metros más cerca de las estrellas”, que nosotros los extrangeros bromeabamos de ello, porque en esa ciudad habia tanto perico (droga) y tanta crimen suelto, que efectivamente de alguna manera u otra, uno podría verse más cerca de las estrellas; Aún peor, la imagen de ese país en el exterior era tan mala que el sinónimo de Colombia era narcotráfico. Usted no se imagina las cosas que ví, escuché; y no se imagina la frustración y el pesar que sentí al no poder hacer nada para ayudar a aquellos en extrema necesidad. Eran tiempos de horror!

Hoy en día, gracias a políticas económicas estables, a una mano dura contra la guerrilla, y al apoyo por parte de los Estados Unidos (con todas las condiciones imaginables), se podría decir que Colombia es un país económicamente emergente. Aunque hay riesgos que aún podrían desestabilizar el proceso de cambio. Y no hablo de “Colombia, el riego es quedarse” (el lema colombiano para atraer turismo). Hablo de riegos políticos, económicos y sociales que pondrían a Colombia en reversa total. Y eso sería desastroso.

Esperando que el nuevo presidente electo, Juan Manuel Santos cumpla su promesa de crear más “trabajo”, reducir la economía informal, promover la inserción e integración social, y acabar de una vez por todas con la amenazante guerrilla—no importa como, hay veces que el fin justifica los medios. Si así él lo hicierá, Colombia estará en una posición de emerger como potencia económica y convertirse en actor político muy importante en el hemisferio occidental. Yo tengo mucha fé en Colombia y en los colombianos.

[ENGLISH VERSION]
“Jobs, Jobs, Jobs”

In Colombia, people say that Colombians are so resourceful that they could “sell you a pregnant crazy woman” without you even noticing. And I have no doubt about it. I once had the opportunity to live in Colombia and to see the potential of a country that was so close to being a “failed state.” I lived there when insecurity, violence, and all kinds of economic malaise were the norm. Back then the capital city, Bogotá, used the tourist slogan “2,600 meters closer to the stars.” We foreigners used to joke that, given the evident and widespread drug consumption and the rampant and pervasive crime, we could definitely end up much closer to the stars—one way or the other. Even worse, Colombia’s reputation overseas was synonymous with that of its infamous drug cartels. You can’t imagine the things I saw and heard, and you can’t imagine the frustration and sorrow I felt knowing that I could do nothing to help those in serious need. Those were horrible times!

Today, thanks to sound economic policies, a tough line on the guerrillas, and the support of the United States (with all the strings attached), Colombia is truly an emerging economy. Nonetheless, risks remain that could stall or even reverse the progress made so far. And I am not talking about “Colombia, the risk is wanting to stay” (Colombia’s latest slogan for attracting tourism). I am talking about the political, economic, and social risks that could still drag Colombia backward. And that would be disastrous.

Here’s hoping that the newly elected President Juan Manuel Santos will keep his promises to create more jobs, reduce the influence of the informal economy, promote inclusion and social cohesion, and end once and for all the destabilizing guerrilla movement—whatever it takes, sometimes the end justifies the means. If he does, then he will have enabled Colombia to emerge as an economic power and to become a very important political actor in the Western Hemisphere. I have so much faith in Colombia and in the Colombian people.

Sunday, June 13, 2010

Clown or True Leader?

During her recent visit to Ecuador, Secretary of State Hillary Clinton made a comment about relations between Venezuela and the United States. In response, Hugo Chavez sang a song about, essentially, how he doesn’t care and about how much he dislikes Mrs. Clinton. The majority of Venezuelans applaud such behavior; they respect and admire Mr. Chavez as a true Venezuelan leader. But outside of the country, many in the international community view him as a clown, like a kind of court jester. And I wonder, how can you take someone with an unbridled tongue and who displays such simplicity, even to the point of vulgarity, seriously as the president of a nation?

Venezuelans identify with Mr. Chavez. They speak the same language; he shares their mannerisms and style of talk. I seriously doubt that a candidate for president with the silver tongue of a Bill Clinton, Tony Blair, Gabriel García Márquez, or Mario Vargas Llosa could be elected president of Venezuela. But this clownish, almost laughable behavior is not only found in Venezuela. Russia had it in Boris Yeltsin, Italy has it in Silvio Berlusconi, and the United States had it in George W. Bush. I think we will see more unpresidential behavior from the leaders of many other countries. I tend to agree with those in the diplomatic community who I’ve heard admit that Mr. Chavez has reasonable and understandable complaints against the United States. The problem, however, is the way he expresses it: his folkloric antics are appalling, abrasive, low, common, and vulgar. The French language may no longer be the language of diplomacy, but the art of diplomacy itself has not essentially changed. Protocol, etiquette, discretion, and propriety are expected today just as they have always been.

However, it seems that some leaders care more about appealing to or connecting with the people than about these diplomatic manners or about appropriate presidential behavior. And after all, if you want to make a point, then you must speak the language of the people. This is how one sometimes conducts business, markets a product, and even plays politics. Popular cultural behavior seems to carry more weight than propriety or good manners. Imagine the Queen or England or the King of Spain campaigning for public office. I doubt they would be elected. And Mr. Chavez not only commands respect, he encourages the sort of militancy that was a hallmark of Soviet Russia and that one sees today in North Korea. He is no fool. He knows how to keep his political approval high, how to make people laugh and create distractions. It’s like bread and circuses in the times of the Roman Empire.

Mr. Chavez created his Bolivarian Revolution, which, by the way, has little to do with Bolivar (the South American liberator). Nonetheless, he put this idea into the minds of his people and has even convinced other countries to follow him. And I have to say, whether he is good or bad, he is certainly an effective leader. I invite you to try to convince, say, a hundred people to follow you or to do what you want them to do. That requires tenacity and respect.

But just remember that one can speak the language of the people, while remaining respectable--presidential, if you wish--and one can be simple without being vulgar.

Monday, June 7, 2010

Follies of Emerging Markets

On June 3, The Economist magazine published an article about Peru’s new plan to export natural gas. While I am glad to learn that Peru is becoming an exporter of natural gas, I am sorry to say that it’s nonetheless likely that nationalistic, retrograde economic and political policies will continue to hold the country back from developing a more progressive and booming economy. In South America, territorial disputes, mistrust, and old rivalries run deeply at the core of the political culture. Regrettably, regardless of the particular national context, all political parties in South America are deeply invested in the old and ridiculous nationalism of “defending the interest of the nation” by not increasing trade and diplomatic relations with neighboring “enemy” countries.

God forbid that either Peru or Bolivia, for example, should sell natural gas to Chile, a country that needs it and that can afford to pay good money for it. Why? Because both countries have outstanding territorial claims against Chile, and these act as impediments to increased trade between the countries. Peru and its consortium exporting partners could—and should—make significant profits by exporting to readily accessible markets such as Chile’s, instead of waiting for Mexico’s plant to be able to receive the natural gas or by exporting to Europe, which is far more expensive to do. The business mentality is not given sufficient consideration in these instances. Can a country with discriminatory economic policies become an emerging economy and, thereby, become a potential political and economic leader in the region?

Peru lost the War of the Pacific more than hundred years ago, and it signed the Tacna-Arica compromise in 1929. However, Peru never stopped claiming ownership of the lost territories, and the naive dream of getting them back is still very much alive in Peruvian society. Especially during election campaigns, the political parties appeal to this nationalist sentiment to distract attention from governmental incompetence or to curry favor with voters. It is a strategy that never seems to fail to distract the people from the imperative of economic development.

The prioritization of nationalistic sentiment over sensible economic development in Peru is an example of a broad tendency that operates within most, if not all, countries in South America. I wonder whether Peru or Bolivia has ever considered allowing the people of the so-called lost territories to decide for themselves which country they want to be part of? Undoubtedly, the answer would be Chile!

Furthermore, it is difficult to understand why Peruvian nationalistic sentiment against Chile is strong enough to obscure the obvious economic and diplomatic importance of selling natural gas to a country that is itself heavily invested in almost all sectors of the Peruvian economy. Even the biggest Peruvian airline, Lan Peru, is essentially Chilean; it is a spin-off the Chilean national airline, Lan Chile. How pathetic is that?

So, estimados peruanos, do you seriously believe that Arica will ever be returned to you? And even if it were, how would your economy improve then? Stop the nonsense; let go of the retrograde nationalism that is obstructing your economic growth. Think of it this way: do you believe that you could successfully run a grocery store if you refuse to sell your products to a significant number of the people who want to buy them? If your answer is yes, then your store is destined to fail and, eventually, to go out of business.