In 1985, a New York times article stated “Unlike most other Caribbean islands, there are few signs of poverty on Curaçao or Aruba.[…] Air-conditioned automobiles are everywhere, and shops are filled with new American and European products.” Today, Aruba continues to enjoy low crime and a high quality of life.
Defying the Odds
In 2010, Aruba’s unemployment rate was reportedly 10.6 percent. In 2011, the GDP per capita was $25,300, and its GDP growth rate was 1.2 percent in 2014. In 2015, its literacy rate was 97.5 percent. These statistics suggest rather positive economic and social structure compared to the rest of the Caribbean.
Knowing that the Caribbean has a history of extreme poverty and high crime rates in countries like the Dominican Republic and Jamaica, the question is worth asking: why isn’t Aruba poor?
Unlike most Caribbean nations, Aruba has little vegetation, arid heat and flat land. For this reason, Aruba’s economy could not rely on the typical cash-crop plantation model in the Caribbean during colonialism.
Countries with an economy heavily reliant on cash-crop plantations tended to experience extreme violence under slavery, and rigid social class systems intensified social inequality.
When numerous colonies became independent nations, many were left with a poor foundational political and economic structure, which perpetuated a pattern of unparalleled violence and poverty. In contrast, Aruba has had an entirely different relationship with the Kingdom of the Netherlands.
The Netherlands
The Netherlands, which acquired the island from Spain in 1636, originally used Aruba as livestock farmland for Curaçao because aloe (being the only viable agricultural export) was not in high demand. However, once gold was discovered on the island and mines opened in 1836, Aruba prospered exceedingly until 1924. Why isn’t Aruba poor? Its unique colonial history defined a new path for the Caribbean nation.
Because its economy greatly depended on gold, the country faced economic doom as the mines depleted. Fortunately, the country’s close proximity to Venezuela, a major oil exporter at the time, prompted plans to open oil refineries. Soon, the Exxon oil refinery served as a new reliable source of profit, which became inextricable with community life for many decades.
Oil and its Impacts
However, when the Exxon company closed its refinery in 1985, Aruba faced an imminent economic crisis with an estimated rise of unemployment from 15 percent to 40 percent. Amidst peaceful protest and public outcry, the country would eventually need to find another industry to sustain its economy.
While dealing with the oil refinery crisis, Aruba also pushed for independence from the Antilles Netherlands due to political and economic power struggles with a neighboring nation, Curaçao (also a member of the Antilles). Previously colonized countries across the Caribbean were either newly independent or becoming independent nations at the time, but with independence came other economic and socio-political hardships.
Path to Independence
After determining that full independence was a national security threat, the country lobbied to remain a constituent country within the Kingdom of the Netherlands instead of becoming fully independent (scheduled for 1996). This arrangement with the Netherlands secured a steady source of financing for developmental aid until 2009. Presently, the Dutch government continues to detail defense and foreign affairs while Aruba maintains complete internal independence.
Despite the benefits of its constituency status, no amount of financial and national support from the Netherlands would save Aruba from financial ruin without a new industry. So, why isn’t Aruba poor today? Aruba leveraged its beautiful beaches and perfect weather to promote tourism, which remains a sustainable primary source of income.
However, tourism isn’t the only industry that fuels Aruba’s economy. Other industries include petroleum, bunkering, hospitality and financial and business services. Aruba also exports agriculture products (mainly aloe, fish and livestock), art, machinery, electrical equipment and transport equipment. Aruba has been able to maintain economic security and peace throughout its history because of a beneficial relationship with the Netherlands and positive adaptability to the world economy.
– Cassandra Mathelier
Photo: Pixabay
Why is Libya Poor?
For much of its history, Libya was rich because of its abundant oil reserves. Oil production accounted for 80 percent of Libya’s GDP, providing citizens with free education, healthcare and welfare services.
After the NATO-backed ousting of Colonel Muammar al-Qaddafi, however, a civil war ensued, and rival factions began fighting for control of the government and the oil sector. Amid the chaos, oil production plummeted.
While Islamist militias took control in western Libya, members of Qaddafi’s old regime formed the Libyan National Army (LNA) and migrated to the eastern Tobruk region. In the ungoverned south, violent extremist groups like the Islamic State emerged.
At the same time as the Libyan civil war brought declines in Libyan oil production, oil prices around the globe fell by half, due to technological advances like fracking. In other words, the simple answer to the question “why is Libya poor?” is that oil production fell at the same time as global oil prices.
Beyond damaging oil production, the Libyan civil war continues to ravage Libya’s infrastructure and deter investors from providing the capital necessary for reconstruction. Even foreign assistance from the U.S. has been kept to a minimum due to the severity of the security situation.
In 2015, USAID delegated only $8.3 million for nominal help with democratic elections and good governance.
Despite the dismal outlook between 2011 and 2016, the Libyan economy is finally showing signs of strength. By capitalizing on an exemption from OPEC’s organization-wide oil production cut, Libya has been able to increase its daily production from about 300,000 barrels per day in 2016 to more than 600,000 in 2017. Still, this number represents only about half of what Libya was producing before the civil war. Most of the increase has come from the LNA’s Tobruk region.
If the trend continues, the government in Tobruk may be able to maintain security and facilitate further economic growth, ideally, decreasing the country’s reliance on oil and diversifying the economy. With a more stable government, likewise, the U.S. will be able to step up its developmental commitments. Soon, the question, “why is Libya poor?” may once again become, “why is Libya rich?”
– Nathaniel Sher
Photo: Flickr
An Ongoing Process: 7 Facts About Malawi’s Poverty Rate
7 Facts about Malawi’s Poverty Rate
Malawi is slowly developing despite its many conflicts. Malawi’s poverty rate is decreasing and progress is being made towards improving agriculture more and more every day. With these developments, Malawians have the potential to achieve economic independence.
– Brandi Gomez
Photo: Flickr
5 Causes of Poverty in Puerto Rico
When Puerto Rico’s economy initially began to decline, many islanders left for the mainland U.S. as a way to make a better life for them and their families. Employment has reached 11.8 percent, which is more than twice the unemployment rate in the U.S., so many skilled workers do not see the use of staying on the island.At least one doctor leaves the island per day. The loss of skilled workers negatively affects the economy and is one of the contributing causes of poverty in Puerto Rico.
The Puerto Rican government has been continuously spending more money than it collects in taxes, in part because it is not required to create a budget like the states do since it is a territory, and also due to a translating error.The error was in the 1952 constitution with a phrase that said “recursos totales” that could be translated into total revenue or total resources, and it was interpreted as total resources. This allowed the territory to have a huge range of options when it came to issuing debt to fund activities, putting it into deeper debt. National debt has increased from $43.5 billion in 2006 to more than $70 billion presently.
Although Puerto Rico is a territory, it is still under the control of the U.S. Congress, so when the Congress changes laws it can contribute to the reasons that Puerto Rico is in poverty. At one point in time, Puerto Rico was a place where many businesses wanted to because there were huge tax breaks on the island, as Puerto Rico was not required to pay federal tax. The government started phasing out the tax breaks in the late 1990s, and by 2006 the breaks were nonexistent, causing businesses to go elsewhere.
Congress also took away Puerto Rico’s bankruptcy rights in the 1980s, which means that the country is not entitled to Chapter 9 bankruptcy rights like the states are. It can only declare bankruptcy with the approval of Congress, and Congress has yet to give that approval.
A vulture fund is a hedge fund that buys the debt of a struggling company, or in this case, an entire country, to make a profit. The companies buy the debt for a fraction of the cost and then make sure that they get paid back the original value of the debt plus interest. There are at least 14 hedge funds in the United States holding about $3 billion of Puerto Rico’s debt.
Puerto Rico continues to be in need of help, with unemployment and debt at an all time high. The government’s overspending and congressional unwillingness to change laws to benefit the island are the main causes of poverty in Puerto Rico.
To solve this problem, Puerto Rico filed for bankruptcy in federal court, making it the first U.S. state or territory to do so. It has also been seeking assistance from the government in front of congressional committees. Puerto Rico has a lot of unprecedented in-court fighting to do, but if it is able to get its debt cleared from the federal government, many Puerto Ricans believe that it will give the territory the fresh start that it so desperately needs.
– Téa Franco
How to Help People in Benin
In Benin, 36.2 percent of the population lives on less than $1.25 per day. Although the country is a stable democracy, corruption and a lack of economic development prevent Benin from raising more of its population above the poverty line.
USAID supports Benin’s development in food security, human rights, gender equality and health. The best way to help people in Benin is to show support for USAID so that Congress will continue to allocate funds to this agency.
So, how to help people in Benin? Call local congressmen and urge them to protect the International Affairs budget. Proposed budget cuts will decrease funding for USAID and the State Department by 31 percent.
Benin has a Global Food Security Index score of 40.2 out of 100. USAID supports agriculture and food security by working to increase private investment in Benin’s agriculture and by encouraging sustainable agricultural productivity.
Benin scores well on measures of effective governance compared to the rest of sub-Saharan Africa, with a political corruption rating that is about half of the average for the surrounding region (a higher score indicates more corruption). Democracy and respect for human rights are encouraged by USAID’s two anti-corruption initiatives.
A civil society support program works with communities in Benin by educating people about high-level corruption and supporting legislation that reduces the likelihood of future corruption. The National Anti-Corruption Agency, directly supported by USAID, ensures that corruption cases are seen by the Ministry of Justice and are dealt with using appropriate judicial processes.
For measures of gender equality, Benin ranks lower than the average of the surrounding region, with only 7.2 percent of seats in national parliament occupied by women. USAID bolsters the ability of service organizations to provide support to victims of gender-based violence and educates local women leaders to spread awareness about gender-based violence laws.
Benin ranks well compared to its neighbors in health measures, but still has an average life expectancy of 59 years, which is significantly shorter than that of developed nations. USAID focuses on improving access to reproductive health services, fighting malaria and HIV/AIDS and training health workers to allow people in remote communities to access basic health care.
Part of USAID’s efforts within health in Benin is dedicated to obstetric fistula repair and prevention. Every year, 1,300 women in Benin do not survive childbirth, and 26,000 suffer from postpartum complications including obstetric fistula.
This condition is characterized by a hole in the birth canal due to prolonged labor without sufficient medical attention. The condition causes leaking of feces and urine, which often results in these women being shamed and ostracized from their communities.
USAID provides funding to the Integrated Family Health Project, which partners with local NGOs to combat fistula. The program focuses on treating existing fistulas, prevention, community education and helping recovered women resume their life.
One woman in Benin developed fistula at 34 years old after a prolonged childbirth. All of her friends and family abandoned her due to the smell of leaking urine and waste.
She learned of an opportunity for fistula repair through the radio, and she was transported to a hospital and given the surgery she needed for free thanks to USAID. She thanks the program for giving her back her life.
To help people in Benin in several influential ways, give local congressmen a quick phone call to support the International Affairs budget.
– Kristen Nixon
Photo: Flickr
How to Help People in Ecuador: 3 Ways to Make a Difference
Additional information on how to help people in Ecuador is available on the International Federation of Red Cross and Red Crescent Societies (IFRC) Ecuadorian Red Cross website. The IFRC touches 150 million lives and works through the generosity of 17 million volunteers.
– Heather J. Hopkins
Photo: Flickr
8 Most Common Diseases in Senegal
The spread of some of these diseases correlates with poor sanitation systems and infrastructure, but also concerns unique to West Africa. Here are the seven most common diseases in Senegal.
Also known as traveler’s diarrhea or TD, this disease can affect anyone in Senegal. Pathogens transmitted through poor sanitation systems, food and water cause this disease. As a result the disease is prevalent in Senegal, where 52 percent of the population does not have access to improved sanitation facilities.However, it can also occur anytime someone does not handle food properly. The symptoms of this disease include vomiting, bloody diarrhea, severe abdominal pain and fever. TD can be treated with antibiotics.
A virus of the liver, hepatitis A afflicts many countries around the world. People typically spread the disease by eating food or drinking water contaminated with the feces of an infected person or being in contact with an infected person. Because this virus also occurs in areas where sanitation issues exist, Senegal has high risk for the disease.Symptoms include nausea, abdominal pain, fever and joint pain. Although the disease does not typically cause death, acute liver failure can occur, with risks increasing with age. Hepatitis A does not currently have a specific treatment, but can be prevented with improved sanitation.
Typhoid fever is a common disease throughout the world, especially in the developing world. Typhoid persists in a bacterium which can be transmitted through contaminated food or water in food preparation. Once again, being that Senegal has water contamination issues, this virus is likely to affect Senegal’s population.The symptoms of this disease include high, sustained fevers, stomach pains and a rash with rose-colored spots. Because typhoid commonly spreads through food, it is mainly prevented by handling food properly and hygienically. Typhoid can be treated with antibiotics.
Malaria, another one of the most common diseases in Senegal, plagues many countries in sub-Saharan Africa. This disease has a 9 percent mortality rate overall, taking top priority among health officials. Female Anopheles mosquitoes cause the malaria illness, especially after a large amount of rain.Symptoms include fever, aches, chills and sweats. The most common form of prevention tackles the root of the disease: mosquitoes. Mosquito nets help stymie mosquito bites and provide a temporary source of protection from a problem that has yet to find a solution. PATH, a health organization in Senegal, helps vaccinate young children against the disease.
Comparable to other common diseases in Senegal, schistosomiasis affects primarily tropical areas of the country. Parasites that live in the snails found in contaminated fresh water can transmit the disease. Because of the conditions of its inception, the disease affects nearly two million people in Senegal.Symptoms include itchy skin, fever, chills and cough. Prevention includes proper water treatment and not swimming in freshwater areas. Schistosomiasis can be treated with medication.
With the number of suspected cases dropping every year as of 2014, the diseases seems to be losing hold in Senegal; however, it remains problematic. Meningitis commonly occurs in large urban centers where close contact in crowded living conditions helps transmit the bacteria person-to-person by respiratory droplets, because of its highly infectious nature.Forty-seven percent of Senegal’s population lives in urban areas, which increases the risk for spreading the disease. Symptoms include stiff neck, high fever, headaches and vomiting. Primary prevention includes avoiding people with the disease and getting vaccinated. The disease can be treated with antibiotics.
Primarily affecting those who work in heavily forested areas in Senegal, yellow fever is a viral infection spread from monkeys and other humans by mosquitoes. The infection is most common in areas of sub-Saharan Africa and South America. In mild cases, yellow fever can cause fever, headache, nausea and vomiting. But about 15 percent of yellow fever cases can become more serious leading to heart, liver and kidney problems. No specific treatments exist for this disease, however, medication can be helpful for its symptoms.
Likely the most endemic disease in Africa, HIV/AIDS affects high-risk groups in Senegal, particularly sex workers. This autoimmune disease has no cure, yet treatment does exist and lengthens the lifespan of many people with the disease.While the prevalence among adults in Senegal remains relatively low at just 0.4 percent, the country is still involved in programs that help prevent transmission in the country, including a governmental collaboration – the President’s Emergency Plan for Aids Relief (PEPFAR). PATH also provides education, prevention, and treatment programs for female sex workers in Senegal.
These common diseases in Senegal come about primarily due to a lack of basic infrastructure to ensure hygienic and safe communities. With the right support and government priorities, these debilitating diseases can be reduced or eliminated and the people of Senegal can pursue prosperity.
– Selasi Amoani
Photo: Flickr
Attaining a Higher Quality of Life: Why Isn’t Aruba Poor?
Defying the Odds
In 2010, Aruba’s unemployment rate was reportedly 10.6 percent. In 2011, the GDP per capita was $25,300, and its GDP growth rate was 1.2 percent in 2014. In 2015, its literacy rate was 97.5 percent. These statistics suggest rather positive economic and social structure compared to the rest of the Caribbean.
Knowing that the Caribbean has a history of extreme poverty and high crime rates in countries like the Dominican Republic and Jamaica, the question is worth asking: why isn’t Aruba poor?
Unlike most Caribbean nations, Aruba has little vegetation, arid heat and flat land. For this reason, Aruba’s economy could not rely on the typical cash-crop plantation model in the Caribbean during colonialism.
Countries with an economy heavily reliant on cash-crop plantations tended to experience extreme violence under slavery, and rigid social class systems intensified social inequality.
When numerous colonies became independent nations, many were left with a poor foundational political and economic structure, which perpetuated a pattern of unparalleled violence and poverty. In contrast, Aruba has had an entirely different relationship with the Kingdom of the Netherlands.
The Netherlands
The Netherlands, which acquired the island from Spain in 1636, originally used Aruba as livestock farmland for Curaçao because aloe (being the only viable agricultural export) was not in high demand. However, once gold was discovered on the island and mines opened in 1836, Aruba prospered exceedingly until 1924. Why isn’t Aruba poor? Its unique colonial history defined a new path for the Caribbean nation.
Because its economy greatly depended on gold, the country faced economic doom as the mines depleted. Fortunately, the country’s close proximity to Venezuela, a major oil exporter at the time, prompted plans to open oil refineries. Soon, the Exxon oil refinery served as a new reliable source of profit, which became inextricable with community life for many decades.
Oil and its Impacts
However, when the Exxon company closed its refinery in 1985, Aruba faced an imminent economic crisis with an estimated rise of unemployment from 15 percent to 40 percent. Amidst peaceful protest and public outcry, the country would eventually need to find another industry to sustain its economy.
While dealing with the oil refinery crisis, Aruba also pushed for independence from the Antilles Netherlands due to political and economic power struggles with a neighboring nation, Curaçao (also a member of the Antilles). Previously colonized countries across the Caribbean were either newly independent or becoming independent nations at the time, but with independence came other economic and socio-political hardships.
Path to Independence
After determining that full independence was a national security threat, the country lobbied to remain a constituent country within the Kingdom of the Netherlands instead of becoming fully independent (scheduled for 1996). This arrangement with the Netherlands secured a steady source of financing for developmental aid until 2009. Presently, the Dutch government continues to detail defense and foreign affairs while Aruba maintains complete internal independence.
Despite the benefits of its constituency status, no amount of financial and national support from the Netherlands would save Aruba from financial ruin without a new industry. So, why isn’t Aruba poor today? Aruba leveraged its beautiful beaches and perfect weather to promote tourism, which remains a sustainable primary source of income.
However, tourism isn’t the only industry that fuels Aruba’s economy. Other industries include petroleum, bunkering, hospitality and financial and business services. Aruba also exports agriculture products (mainly aloe, fish and livestock), art, machinery, electrical equipment and transport equipment. Aruba has been able to maintain economic security and peace throughout its history because of a beneficial relationship with the Netherlands and positive adaptability to the world economy.
– Cassandra Mathelier
Photo: Pixabay
Hunger In The Cook Islands Places Second to Malnutrition
A Brief History
The Cook Islands are made up of a combination of 15 different islands, reside in the South Pacific ocean and have a population of 15,000 people who practice their unique language and diverse culture — a habit that many tourists enjoy. The country has over 100,000 visitors each year which significantly contributes to the country’s economy. Tourism paired with the abundant natural resources in the region has led to the decrease in hunger in The Cook Islands.
Hunger In The Cook Islands
Although hunger in The Cook Islands is not as widespread as in other developing nations and many citizens have access to their daily caloric needs, malnutrition is still a huge issue for the citizens of this country. Financial hardship due to a lack of education for many people in The Cook Islands has led to residents making food choices which often leads to malnutrition.
The cheapest foods in The Cook Islands are often the foods which can get caught in the wild or bought at a local market using little income. Fish acts as a staple food product due to its abundance in the South Pacific oceans.
A 2007 United Nations study states that The Cook Islands possess 133 commercial fisheries, 3,939 offshore fisheries and 5 freshwater fisheries. These practices have led to an abundance of fish in the country.
The issue, though, is that since fish are often the only food residents of The Cook Islands can purchase, they suffer from malnutrition that stems from a lack of micronutrients. Although fish can act as an excellent source of protein and omega three fatty acids, the human diet requires numerous other micronutrients to function properly. These micronutrients include Vitamins A, B6, B12, C and many others.
Although fish can provide the calories needed to sustain a human, it cannot provide the micronutrients required for optimal bodily conditions.
The Takeaway
Hunger in The Cook Islands does not appear to be an issue and for many living in this country, this perception is correct. The abundance of fish in The Cook Islands can provide the needed micronutrients required for humans daily caloric intake. The issue with relying solely on fish for one’s caloric needs is that fish cannot provide all the essential vitamins and minerals required for a human.
Hunger in The Cook Islands may not be as much of an issue, but malnutrition stemming from a lack of vitamins and minerals is. Organizations such as the United Nations conduct studies on what the people of The Cook Islands eat to allow people to understand that even though they are eating, they continue to suffer from preventable diseases caused by malnutrition. This information is imperative to solving the issue of malnutrition in The Cook Islands.
– Nick Beauchamp
Photo: Flickr
The Current Poverty Rate in Niger: A Seemingly Endless Issue
The poverty rate in Niger has had an effect on everyone; hunger and diseases in Niger only make the conditions worse.
In Niger, hunger is an endless issue. Malnutrition is widespread, causing at least two-fifths of children to be underweight and stunted due to lack of adequate nutrition.
Droughts over the last few years have only worsened malnutrition. Over 1.5 million people in Niger are affected by food insecurity, while an estimated additional 1.5 million people are chronically food insecure.
In the 2010 drought, the United Nations World Food Programme discovered that at least 17 percent of children were malnourished. Two years later in 2012, Niger’s government estimated nearly half the population to be facing food shortages, which triggered the country to ask for international assistance. Agencies sent emergency supplies and fortified foods for mothers with children as well as working to help communities build greater resilience for future droughts.
Diseases stunt the poverty rate in Niger as well. HIV/AIDS has had an incredible impact not only in Niger but around Africa as a whole.
HIV/AIDS is a fatal, sexually transmitted disease. It damages the immune system over a long period of time which also hurts their ability to fight off other illnesses. An estimated 6,000 people die every day in Africa because of AIDS–this is more than wars, famines and floods.
Not only does AIDS kill those infected; it also affects the family and everyone around them. Because of AIDS, there has been a major strain on health services, school attendance for children whose parents are sick, the number of orphaned children has increased and the economic development in Africa has become impaired.
Because the poverty rate in Niger is so high, millions suffer every day. The poverty rate, hunger and disease in Niger are all linked. While there has been aid provided to Niger, it hasn’t been enough to bring the nation out of its poor state.
– Danyel Harrigan
Photo: Flickr
France’s Poverty Rate is Low, But Unemployment Remains High
The National Institute of Statistics and Economic Studies (INSEE) officially reported France’s poverty rate from 2014 at 14.1 percent, equating to more than nine million people. INSEE estimated that the 2015 rate would grow to 14.3 percent, and plans to release the official statistics in September. This rate is better than the EU average of 17.2 percent, as well as many individual European economies, but still covers a large portion of the French population.
When determining the economic status of France, the poverty rate should not be the only number consulted. Unemployment remains high in France. In the most recently reported month, June 2017, unemployment in France stood at 9.6 percent. This is higher than the average in the EU and is more than twice the rates in Germany (3.8) and the U.S. (4.4) from the same month. Nearly three million people who are looking for a job in France cannot find one. Additionally, there is the concern of the next generation of French workers since the unemployment rate for workers between the ages of 15 and 24 is 24 percent.
However, it is difficult to determine whether there is a link between lowering the unemployment rate and lowering France’s poverty rate. France calculates its poverty rate in a relative manner, using an income of 60 percent or less than the average median income in the country as the poverty line. Gaining employment in France increases an individual’s income, but also shifts the poverty line as the median income changes. However, the high unemployment rate does have major implications on the future of the French economy.
Addressing poverty, the high unemployment rate and economic growth are major challenges faced by recently inaugurated president Emmanuel Macron. President Macron endorsed a number of proposals to address these issues during his campaign. The proposals include training programs for more than one million young people, making working hours more flexible and offering incentives to businesses hiring from poor neighborhoods. Implementation of and results from these proposals may not be seen for some time, but each works to address the poverty rate, unemployment rate and economic growth in France.
– Erik Beck
Photo: Google