Archive for category: Economy

Information and stories about economy.

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10 Facts about Violence in Venezuela

10 Facts About Violence in VenezuelaVenezuela has been in an economic crisis since the election of Hugo Chavez in 1998 when the country’s oil-based socialist economy began to rapidly decline. Since then, Venezuela has faced extreme inflation that exacerbates with each passing year. Crippling poverty exists in this South American nation on a massive scale, snowballing into issues beyond the depreciation of the bolivar currency. In Venezuela, nationwide violence is a consistent problem that brings mass media attention from all over the world. In order to fully understand how to help alleviate the rising violence in Venezuela, it is essential to understand the top 10 facts about violence in Venezuela.

10 Facts About Violence in Venezuela

  1. A primary cause of violence in Venezuela is the economic recession sweeping across the nation. Since November 2016, the country has been experiencing hyperinflation, as every month since that November, the bolivar currency has exceeded an over 50 percent inflation rate. In addition, Venezuela’s overall unemployment rate has been around 35 percent since December 2018; projections state that this rate will significantly increase to 44 percent by the end of 2019. According to the United Nations, nearly 90 percent of Venezuelan residents live in poverty. This economic recession has caused mass financial insecurity across the nation, becoming a potential cause for the rising violence across Venezuela.
  2. Gangs, especially mega-gangs, are a major factor in the violence across Venezuela. Mega-gangs typically have around 50 members, with some gangs having members in the hundreds. There are about a dozen of these mega-gangs nationwide. Criminal gangs heavily congregate in the poorest places in Venezuela, called barrios or ranchos. The gangs are frequently responsible for violent crimes in these impoverished neighborhoods.
  3. The Citizens’ Council for Public Security and Criminal Justice ranked the Venezuelan capital, Caracas, as the most violent city in the world in 2016. As of 2018, Caracas maintains its place as one of the top three most violent cities worldwide.
  4. Caracas reaches notoriety for its high homicide rates. In 2015, Caracas was at one of its highest homicides per capita with around 119 murders per 100,000 residents.
  5. Across the whole of Venezuela today, the estimated homicide rate is 89 murders per 100,000 residents. While less compared to Caracas on its own, Venezuela’s overall homicide rate is still one of the highest worldwide.
  6. Despite there being violent crime widespread across the nation, the Venezuelan Violence Observatory reports that people report just over 60 percent of Venezuelan’s crimes.
  7. While many consider Caracas to be one of the most unsafe cities in the world, the true extent of violence in Venezuela is only speculative. According to Insight Crimes, referencing the Venezuelan Violence Observatory, the Venezuelan government prevents the release of real crime statistics. The Venezuelan government rejects any observational claims that the nation’s crime rates, especially in regard to homicides, are increasing. Nongovernmental groups like the Venezuelan Violence Observatory (OVV) have become the primary sources reporting on violence in Venezuela in the absence of government transparency.
  8. Under the regime of Nicolás Maduro, the Bolivarian National Police has created the Special Actions Forces (FAES) in response to the national crises. According to the OVV, about one-third of the murders in Caracas are the result of FAES and other security forces within Maduro’s regime. These security forces aim to repress political protestors and target suspects of violent crimes.
  9. Violence is committed by both sides of the Venezuelan political crisis. Loyalists and security forces in support of Maduro’s regime target protesters resulting in beatings, unlawful incarcerations and atrocities committed to those incarcerated. Some have reported that rebels protesting Maduro’s regime are aggressive towards police forces. They reportedly set fires to street barricades, and in an isolated attack, attempted to drop grenades onto a government building.
  10. Organized crime and violence flourish in abandoned peace zones across Venezuela. An unofficial government project, the government designated peace zones areas across Venezuela that lack police presence. The locals were supposed to negotiate policing, which left communities vulnerable to gangs. With the peace zones initiative now abandoned, these areas remain overrun with black markets and violent crimes.

Crime and violence is now an everyday norm across Venezuela, resulting in thousands of civilian deaths each year, and increasingly unsafe living conditions nationwide.

While there are many issues surrounding the violence in Venezuela, however, the world is noticing the situation. The United Nations has recently met to discuss the numerous crises going on in Venezuela. There was a mass condemnation of the government’s use of violence against peaceful civilians. The overall consensus is that since the problems in Venezuela stem from political discourse, peaceful political initiatives are the correct route in addressing the nation’s problems.

– Suzette Shultz
Photo: Flickr

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The Pros of Immigration Outweigh the Cons

Pros of Immigration

While many view immigration as a cultural crisis, the pros of immigration are significant. Immigration is a point of contention as immigrants change the face of a population and bring their own culture with them. Moreover, immigrants receive criticism if they do not fully integrate, by not speaking the country’s primary language. Some people simply feel there’s no room for immigrants. They fear their jobs will be taken or undercut by the low wages some immigrants are willing to work for.

In spite of these concerns, it is undeniable that immigrants infuse much needed vitality into the economy. They build businesses, create jobs and bring new perspectives. Most importantly, welcoming immigrants supports and promotes an international standard of human rights. Everyone should be able to settle somewhere safe, healthy and stable—especially if their native country is not so.

Below is an immigration case study of sorts, demonstrating the economic benefits of immigration in Japan, the U.S., and Western Europe.

Japan

Plagued by an aging population and declining birth rates, immigration provides Japan with a new source of young workers. The Japanese Health Ministry predicts that by 2060, the country’s population will fall to 86.74 million. This is a 40 million decrease since 2010. Currently, 20 percent of Japan’s population is over 65 years old. As a result, this burdens Japan’s shrinking workforce with the funds for their pensions and healthcare. But immigration into Japan ensures the nation’s economy can maintain itself as people retire.

Japan is historically unwelcoming to immigrants, believing peace and harmony to be rooted in homogeneity. As such, the nation’s immigration policy reflects this. Japan only allows a small number of highly skilled workers into the country. This policy has been in place since 1988 to combat labor shortages. However, this is no longer enough to combat Japan’s worsening economy. In 2018, labor shortages in the nation were the highest they had been in 40 years.

However, the pros of immigration in Japan are clear. Without it, Japan faces an incredibly insecure economic future. With no sign of population growth, the nation’s perpetually shrinking workforce will become unable to support its retired citizens. However, immigrants can round out the workforce in Japan. And they can neutralize any economic woes the nation might face in the future by preventing labor shortages.

USA

The cultural and economic contributions immigrants have made to America are vast, overwhelmingly advantageous and long-lasting.

A study done by economists at Harvard, Yale and the London School of Economics found US counties that accepted more immigrants between 1860 and 1920 are doing better today as a result. These counties have significantly higher incomes, higher educational achievement, less poverty and lower unemployment because immigrants provided the low-skilled labor needed to support rapid industrialization. Undeniably, immigrants have always and still continue to increase economic growth in America.

Similarly, immigrants in the U.S. have been integral to innovation and entrepreneurship. Half of all startups in America worth over a billion dollars have been founded by immigrants. Eleven of these startups employ more than 17,000 people in the U.S. Some of these companies, such as Uber and WeWork, have significantly changed American culture. They modify the way Americans live their daily lives. Therefore, the pros of immigration in the U.S. are grounded in the diversity of thought brought by immigrants, necessary to further American innovation and economic growth.

Western Europe

Like Japan, Western Europe is battling an aging population and declining birth rates. Fertility rates are expected to hit zero in the next decade. Consequently, this region may not be able to sustain its expansive social welfare programs as its workforce shrinks and retired populations grow. In Germany, the median age is 47.1 years, the oldest in Western Europe. This is only slightly younger than Japan’s 47.3 years. Besides convincing its native populations to have more children, immigration is their only alternative.

Immigration into Western Europe is an undeniable win for both the immigrants and the host countries. Many new immigrants in Western Europe have escaped unstable regimes, religious persecution, and economic downturn in North African and Middle Eastern countries. Thus, immigrants give the region a younger workforce that is able to sustain the region’s expensive social benefits. In return, Western Europe provides immigrants with jobs, stability, and a safe place to live.

While still a very divisive topic, the pros of immigration lie in its plethora of economic benefits. It is undeniable that immigration has always been the driver of economic growth, despite all of the criticism. Immigration provides immigrants with an alternative to oppressive regimes and other instability, of course. And the pros of immigration for nations absolutely outweigh the cons.

– Jillian Baxter
Photo: Pixabay

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Economy and Political Unrest in Sri Lanka

Where is Sri Lanka
Sri Lanka is a teardrop-shaped island off the southern coast of India. It is home to more than 21 million people, despite consisting of only 25,332 square miles. Its largest city, Colombo, has a millennia-long history as a prominent trading port and is currently a popular tourist destination.

The Democratic Socialist Republic of Sri Lanka was previously a British colony called Ceylon and kept that name until 1972. It is governed by an elected president and unicameral parliament with a prime minister, as well as a judicial branch. The most popular languages are Sinhala, Tamil and English with several other indigenous dialects. The country is overwhelmingly Buddhist with significant Hindu and Muslim minorities and a small number of Christians (primarily Roman Catholic). Religion plays a significant role in the lives of Sri Lankans.

Sri Lankan Civil War

Similar to British rule in Rwanda, the British colonial government favored the Tamil people, an ethnic minority concentrated in the northern and eastern regions. The British gave the Tamil people a position in the colonial government and Sinhalese land. After Sri Lanka gained independence in 1948, the government deported many Tamil people and greatly reduced its power in favor of the Sinhalese majority. Ethnic tensions rose in the following years, exacerbated by differences in religion, income and development. This tension gave birth to the Liberation Tigers of Tamil Eelam or the Tamil Tigers which advocated for an independent Tamil state. In 1983, the Tamil Tigers attacked Sri Lanka government troops, starting a 26-year civil war.

It is estimated that 100,000 people died in the conflict, with atrocities and human rights abuses committed on both sides. The Tamil Tigers are notorious for its use of child soldiers and suicide bombers, forcibly recruiting Sri Lankan civilians or using them as human shields. Accusations have pointed to the Sri Lanka government shelling their own designated safe zones, food distribution lines and hospitals. People have also accused the government of mass rape and ethnic cleansing. Attempts to bring perpetrators to justice have been slow-moving.

A New Economy

Since the end of the war in 2009, Sri Lanka’s economy has grown by 5.8 percent every year. The economy is transitioning from a rural base to an urban manufacturing base, especially in the garment industry. This increasing wealth has expanded the middle class and reduced the poverty rate from 15.3 percent in 2006 to 4.1 percent in 2016. There have also been significant improvements in public health which have paved the way to some of the highest life expectancies in Asia; 72 for men and 78 for women. In less than a decade of peace, Sri Lanka became a development success story.

Political Unrest

Despite the unprecedented economic success, Sri Lanka is not immune to political extremism and unrest. In 2018, president Maithripala Sirisensa fired the prime minister, Ranil Wickremesinghe. The country installed Mahinda Rajapaksa, a former president accused of serious human rights abuses, in his place. Wickremesinghe refused to accept his replacement, effectively giving Sri Lanka two competing prime ministers for several months before being re-appointed. With such recent political unrest in Sri Lanka, it is unlikely that it will reach nonviolent political stability in the near future.

– Jackie Mead
Photo: Flickr

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The Struggle for Rice Self-Sufficiency in Côte d’Ivoire

Rice Self-Sufficiency

Côte d’Ivoire is a West African nation of 23.7 million people. It is the largest producer of cocoa in the world and has a significant agriculture industry. However, Côte d’Ivoire has struggled to achieve self-sufficiency in the production of rice, a staple crop for many Ivorian people. Côte d’Ivoire imports about half of its rice supply from other nations. This can lead to positive trade relationships, but relying on imports for staple crops can also create problems, as the government discovered in April 2019.

The Côte d’Ivoire Rice Ban

In April 2019, the government of Côte d’Ivoire banned rice imports from the Singapore-based company, Olam International, for a year after it found that an 18,000-tonne rice shipment from Myanmar was inedible. “The unique circumstances relating to the recent rejection of cargo rice were unfortunate and not representative of the shipments of rice,” a company spokesperson told Bloomberg.

“[W]e should exploit our natural potential,” said Agriculture Minister Mamadou Coulibaly, citing Côte d’Ivoire’s substantial agricultural resources and the fact that Ivorians consume an average of 63 kilograms (about 139 pounds) of rice per person per year. By comparison, Americans consume an average of 197 pounds of grains per person per year.

Côte d’Ivoire’s Economy and the CFA Franc

Côte d’Ivoire won its independence from French colonial rule in 1960. It has since become Africa’s fastest-growing economy, but times of prosperity and growth have been punctuated by authoritarianism and political violence.

Like many nations emerging from colonial rule, Côte d’Ivoire has also struggled with the legacy of colonialism, of which difficulties with rice self-sufficiency are one aspect. A 2017 report from an international coalition of NGOs found that business profits, debt payments and other financial flows to the rest of the world still outweigh the investment in and aid to African nations to the tune of $41 billion per year.

One difficulty that Côte d’Ivoire faces in achieving economic independence is the CFA franc. The CFA franc is an outgrowth of French colonial rule in Côte d’Ivoire and other African nations and is a common currency that 14 African nations use. Technically, the CFA franc refers to both the West African and Central African CFA franc, but these two currencies are, in practice, interchangeable. The system requires that member countries hold 50 percent of their foreign exchange reserves in the French treasury. People have long criticized this as a threat to member nations’ sovereignty, impeding development. “[F]or those hoping to export competitive products, obtain affordable credit, find work, work for the integration of continental trade, or fight for an Africa free from colonial relics,” writes development economist and former technical advisor to the President of Senegal Ndongo Samba Sylla, “the CFA franc is an anachronism demanding orderly and methodical elimination.”

One consequence of this system is that the French government can choose to devalue the currency without the consent of member nations, as it did in 1994. This led to widespread discontent, as it increased prices for many everyday goods. A 2010 study published in the Proceedings of the National Academy of Sciences found that devaluation “did not stimulate local production, or decrease rice imports.” Indeed, concurrent policies required by the World Bank actively “recommended abandoning the goal of self-sufficiency.”

The Economic Community of West African States (ECOWAS) plans to replace the CFA franc with new shared currency next year. Demba Moussa Dembele, an economist, and president of the African Forum for Alternatives writes that, in order for the new currency to be successful, “[t]he consumption habits of citizens and states should focus on…goods and services produced locally. This is especially important for agricultural products in order to develop agriculture that can be both a great source of employment and increase demand for the industrial and service sectors.”

Other Initiatives to Increase Rice Self-Sufficiency

In addition to ECOWAS adopting a sovereign currency, there are many initiatives working to increase rice self-sufficiency for many African nations, including Côte d’Ivoire. For example, Mali, which borders Côte d’Ivoire, has seen great success from a subsidy program it adopted after the 2008 financial crisis increased the price of rice. This program subsidized both the purchase of fertilizer by rice farmers and the purchase of rice products by consumers. Today, Mali has not only achieved rice self-sufficiency but is actually a net exporter of rice, according to the Thomson Reuters Foundation.

The System for Rice Intensification is a method for increasing the amount of rice that farmers can grow in the same amount of space while maintaining eco-friendliness. A 2018 study of the method by the West and Central African Council for Agricultural Research and Development found that the method increased rice yields by 56 percent for irrigated rice and 86 percent for rain-fed rice. The researchers studied rice yields from more than 50,000 farmers in 13 different countries, including Côte d’Ivoire. ECOWAS has adopted a goal of achieving rice self-sufficiency by 2025, and the study projects that if all rice farmers in ECOWAS member countries adopted the method, not only could they achieve rice self-sufficiency, but there would be a five percent surplus in the rice supply.

So, while achieving rice self-sufficiency remains a formidable challenge for the people of Côte d’Ivoire, there are many reasons to be optimistic, including a new currency, the example of a neighboring nation’s stimulus programs and more efficient farming techniques.

– Sean Ericson
Photo: Flickr

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Top 10 Facts About Living Conditions in Trinidad and Tobago

top 10 facts about living conditions in trinidad and tobago

North of the coast of Venezuela, Trinidad and Tobago is a wondrous country with elements that make the island unique. Living conditions in Trinidad and Tobago are bewildering due to its economic growth and the risks of HIV. There are many factors that affect living conditions on this island that make it whole. These are the top 10 facts about living conditions in Trinidad and Tobago.

Top 10 Facts About Living Conditions in Trinidad and Tobago

  1. Trinidad and Tobago is regarded as one of the wealthiest countries in the Caribbean due to its oil reserves and rich resources which help boost the economy in great ways. It is also regarded as one of the top three wealthiest countries in the Americas because of the amount of oil and gas throughout the island allowing for the economy to thrive and helping people live well throughout the island.
  2. Public healthcare is provided for free for citizens on the island, but there are private healthcare providers that can be paid for if it is affordable. There are numerous healthcare centers established around the island making it easily accessible for the citizens in Trinidad and Tobago.
  3. Although the economy has seen a significant boost since its independence in the 1960s, 26 percent of the population is living in poverty, surviving on less than $2.75 a day.
  4. Education is free to children between the ages of 5 and 16. There are private institutions that citizens can pay for but public education provides children with free transportation, books, and meals while in school giving children the opportunity to learn effectively.
  5. Trinidad and Tobago suffer from an increase in crime rates compared to 2016. There has been a 5.5 percent increase in crime rates, which are mostly violent crimes including murder and robbery.
  6. Trinidad and Tobago have a rich cultural life throughout the island celebrating historical African music, dance and literature.
  7. Housing has become a primary concern throughout the country due to the increasing population throughout the island. Many people struggle to find housing in urban areas due to the increasing shortage of land and high construction costs.
  8. Housing conditions vary throughout the urban and rural areas of Trinidad and Tobago. Families in rural areas usually inhabit wooden huts and have various family types where women are typically the head of the household.
  9. The unemployment rate has reached its lowest in 2015 with a rate of 3.5 percent. It has seen a significant decrease since the 90s where it was 17.2 percent.
  10. HIV has become a prevalent disease affecting a large amount of the population. Nearly 11,000 people are living with HIV but with access to free public health care, nearly 75 percent of the population is receiving treatment for the disease.

Trinidad and Tobago is experiencing great economic growth due to the vast amount of resources and has seen progress regarding education and health care but still see issues regarding diseases, housing and poverty. Although these may be factors that can affect the country negatively, Trinidad and Tobago have the potential to combat these elements to help the country thrive. These are the top 10 facts about living conditions in Trinidad and Tobago.

– Elijah Jackson
Photo: Flickr

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Infrastructure Projects in Armenia

Infrastructure Projects in Armenia

Armenia is a landlocked country in the Caucuses region, bordered by Azerbaijan and Turkey. Azerbaijan and Armenia have been in a state of frozen conflict since 1994 with things heating up briefly in 2016. Turkey and Armenia have been at odds for around 100 years over the Ottoman Turks treatment of ethnic Armenians throughout the history of the Empire, especially during the First World War. Due to these sour relations, the borders are closed. Armenia is forced to trade through the two other nations that it borders, Georgia and Iran. Many infrastructure projects in Armenia are focused on increasing the ease of the flow of goods between Armenia and Georgian Ports.

Armenia’s most important railroads used to be owned by a Russian company. Now they are in a state of disrepair. These three railroads run to Georgian ports where Armenian trade goods are then shipped to globally. However, further improvements to rail transport have been halted due to expenses. This has been attributed to lower than expected Russian investment in Armenia.

The World Bank

The World Bank has been working with both the government and private sector on infrastructure projects in Armenia. Due to a stagnant economy, much of this is not only aimed at improving the basic living conditions for Armenians but also at increasing job creation. By building and improving infrastructure, the government and the World Banks hopes to create jobs in the construction sector through government and private programs.

For example, in December 2015, the World Bank approved a $55 million local economy and infrastructure project. The project was aimed at both improving municipal infrastructure to increase the standard of living as well as to protect and sustain cultural heritage sites in order to boost tourism. The project end date is in 2021.

The European Bank

Infrastructure projects in Armenia are also funded by The European Bank for Reconstruction and Development. The EBRD has funded 171  projects in Armenia to the tune of 1.24 billion Euros since Armenia joined in 1992. Of the current 309 million Euros the EBRD is funding for projects in Armenia, 21 percent is going towards infrastructure projects. This includes improving municipal and urban transportation infrastructure.

This money is not only going to roads, rails and vehicles but it is also being invested in improving how commuters pay for transportation. This includes modernizing the ticket system. By making it easier and cheaper for people to purchase tickets for buses and trains, more tickets will be bought and fewer people will hop on for a free ride. The EBRD is also financing greener infrastructure projects in Armenia. At least 23 percent of the funding is going towards the energy market.

Paying It Forward

Despite the help with infrastructure projects in Armenia that the country is receiving to boost its economy and infrastructure, the nation is also giving. In 2015, the Armenian government donated 1 million Euros to the Eastern European Energy Efficiency and Environmental Partnership. Although Armenia also receives funding and expertise from this organization, so do many of its lost family of ex-soviet states. Armenia’s 2015 donation possibly went on to light homes in another country facing a similar situation.

– Nick DeMarco

Photo: Flickr

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Top Ten Facts about Quality of Life in Iceland

Quality of Life in IcelandSituated about 400 miles west of Greenland in the northern Atlantic, Iceland is a mid-sized island with a population of around 340,000. Given its high latitude, Iceland’s climate is unexpectedly temperate. Its dramatic landscapes draw millions of tourists each year from around the world. Iceland is governed by parliamentary democracy and has a strong tradition of center-left politics.

Top Ten Facts About Quality of Life in Iceland:

Gender Equality

Iceland has consistently held the number one spot in the World Economic Forum’s Gender Gap index over the past several years. An article published by The Guardian in 2016 traces this back to a time where Icelandic men would leave their villages for long hunting trips, leaving the women to take charge of the key political and economic decisions in their absence.

Strong Economy

Although hit badly in the 2009 global recession, Iceland has since bounced back, and now ranks among the wealthiest countries in the world. According to data from Focus Economics, Iceland ranked fourth highest in the world for GDP per Capita in 2017.

High Life Expectancy

With a life expectancy of 83.1 years at birth, Iceland ranks seventh in the world for this metric. Iceland also has very low infant mortality rates at just 2.1 deaths out of every 1000 births.

High “Subjective Happiness” Levels

According to the World Happiness Report, ranking each country according to “subjective happiness” indicators, Iceland comes in at number four, behind Finland, Norway and Denmark. The authors of the report argue that the happiness scores—generated from survey results—closely follow six quality of life indicators. These factors are GDP per capita, social support, healthy life expectancy, generosity, freedom and absence of corruption.

Low Exposure to Sunlight

Despite its high World Happiness score, Iceland has the 40th highest suicide rate of any nation on earth with 14 suicides for every 100,000 of the population. Iceland’s Nordic neighbors Sweden, Finland and Norway all have high suicide rates despite impressive scores in other quality of life indicators. These numbers led some to draw a link between suicide and low exposure to sunlight during the winter months.

Low Poverty Risk

According to data collected in 2016, less than 9 percent of Iceland’s total population is at risk from poverty, which is about half the combined rate for the 28 countries that make up the European Union.

Political Corruption Rates

Although Iceland suffers from low political corruption compared to global averages, corruption levels in Iceland are the highest of all Nordic states, and recent reports suggest they are growing worse. During her election campaign in late 2017, Prime Minister Katrín Jakobsdóttir spoke about rebuilding trust after two years of political instability preceding her administration.

Education Quality

Although education in Iceland is funded entirely by the state, from preschool to university, one international education survey calls its quality into question. According to test results collected from 45 countries by the Organisation for Economic Co-operation and Development (OECD), Icelandic children scored below the group averages in math, science and reading.

Homelessness

Despite having one of the world’s most generous welfare systems, Iceland is reportedly struggling with a growing homelessness problem. According to one study, the number of homeless people living in Reykjavik—Iceland’s capital—nearly doubled between 2012 and 2017 from 179 to 349, or about three out of every thousand.

Healthcare

Iceland has a nationalized healthcare system that is largely tax-funded. A recent study ranked the Icelandic healthcare system second in the world, based on a review of comprehensive criteria.

The combination of market forces with a generous welfare system crafted a model that secures a high quality of life in Iceland for the majority of its citizens. But a closer look into Iceland’s education, corruption and homelessness problems shows that even the most affluent and equitable societies carry their share of problems. Historically, Iceland has found success by addressing society’s problems collectively— continuing this approach will serve it well in the future.

– Jamie Wiggan
Photo: Flickr

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The Role of STEM in Developing Countries and Potential Benefits

Role of STEM in Developing CountriesScience, Technology, Engineering and Mathematics are important for building and maintaining the development of any successful country. From the medical scientists, who develop treatments for diseases, to the civil engineers, who design and build a nation’s infrastructure, every aspect of human life is based on the discoveries and developments of scientists and engineers. The importance of STEM today should not be underestimated as its role is becoming increasingly significant in the future. The technology produced today is altering people’s lives at a rate faster than ever before. Consequently, it is vital for countries seeking to reduce their poverty levels to adopt new scientific research and technology. In doing so, these countries can improve their economy, health care system and infrastructure. As this impacts all aspects of society, the role of STEM in developing countries is of significant importance.

STEM and Economic Progress

STEM education fosters a skill set that stresses critical thinking and problem-solving abilities. This type of skill set encourages innovation among those who possess it. Similarly, a country’s economic development and stability are dependent on its ability to invent and develop new products. Technological innovation in the modern age is only obtainable through the expertise of specialists with knowledge of recent STEM research. Therefore, the role of STEM in developing countries is important because a country’s economy is completely dependent on new developments from technology and science.

Overall, the economic performance of metropolises with higher STEM-oriented economies is superior to those with lower STEM-oriented economies. Within these metropolises, there is lower unemployment, higher incomes, higher patents per worker (a sign of innovation), and higher imports and exports of gross domestic products. According to many experts, this holds true at a national level as well. The world’s most successful countries tend to efficiently utilize the most recent scientific developments and technologies.

In recent years, there is a major increase in the number of science and engineering degrees earned in India. India now has the largest number of STEM graduates in the world, putting the country on the right track for economic development. This has led to widespread innovation in India and a consistent increase in its gross domestic product. The role of STEM in developing countries can thus improve its economy. As of early 2019, India has seen an increase of 7.7 percent in its total GDP.

STEM and Health Care

Over the past 50 years, the Western world has made remarkable progress in medical science. With new breakthroughs developed through vaccinations and treatment, many serious diseases in developing countries are now curable. Common causes of death for children in developing countries are diseases such as malaria, measles, diarrhea and pneumonia. These diseases cause a large death toll in developing countries, but they have been largely eradicated from developed countries through proper vaccinations. As a result, these diseases take a large toll on the children of developing countries. In developing countries, a high percentage of the population is under 15 years of age. As such, it is important to prevent diseases that affect children under 15.

Lately, Brazil has seen an epidemic level of yellow fever which has resulted in numerous deaths. Brazil has addressed this by implementing a mass immunization campaign. In particular, this program will deliver vaccines to around 23.8 million Brazilian citizens in 69 different municipalities. The role of STEM in developing countries with preventable diseases will be vital to improving health and life expectancy rates.

Engineering and Infrastructure

Engineers build, create and design machines and public works to address needs and improve quality of life. Engineers construct and maintain a nation’s infrastructure, such as its fundamental facilities and systems. This includes roads, waterways, electrical grids, bridges, tunnels and sewers. Infrastructure is vital to a country, as it enables, maintains and enhances societal living conditions.

Subsequently, poor infrastructure can seriously hinder a nation’s economic development. This is the case in many African countries. Africa controls only 1 percent of the global manufacturing market despite accounting for 15 percent of the world’s total population. Ultimately, poor infrastructure, such as transportation, communications and energy, stunts a country’s ability to control a larger share of the national market.

Afghanistan has improved its energy infrastructure, using a large portion of the assistance received from the U.S. Through this effort, they have been able to reduce electricity loss from 60 percent to 35 percent. Consequently, they have improved long term sustainability and created a reliable energy system for their citizens. The role of STEM in developing countries is important on a large scale, improving infrastructure to impact their citizens’ daily lives.

STEM and the Future of the World

Societies seeking new scientific knowledge and encouraging creative and technological innovations will be able to properly utilize new technologies, increase productivity, and experience long term sustained economic growth. The developing societies that succeed will be able to improve the living standards of its population. As our world becomes more interconnected, countries prioritizing STEM education and research will make significant advances in alleviating poverty and sustaining economic, cultural and societal growth. Undoubtedly, the role of STEM in developing countries is of significant importance, just as it is in our modern world.

– Randall Costa
Photo: Flickr

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Tourism’s Effect on the Greek Economy

Greek EconomyIn May 2010, Greece experienced its first economic bailout from the International Monetary Fund and the European Union to rebuild the Greek economy. As a result, Greece was given $146 billion in loans. Greece suffered economic frailty, in part from hosting the 2004 Olympic Games, the global economic crisis, and switching to the euro. Then, in August 2018, Greece received its final loan from European creditors. This loan signaled the end of the bailout program that began in 2015. To work toward financial security, Greece has committed to running a budget surplus until 2060 and accepting continued support from the EU.

Despite this financial turmoil, tourism presents a bright light for the Greek economy in increased revenue. Tourists’ interest in Greece began to boom during the 2004 Olympics, held in Athens. Although the Olympics have been cited as the main cause of the economic crisis in Greece, tourist industries in Athens were surveyed and concluded “the Games upgraded the validity of Athens on the international tourist market.” Since the 2004 Olympics, Athens, on average, has lengthier tourist stays than other major urban destinations, such as Paris and Barcelona. Athenian hotels have also become more efficient since the Games. And ticket purchases for historical sites have also seen an incline.

Tourism Helps the Greek Economy

This surge in tourism has sparked a large revenue intake for the Greek economy. In 2018, travel services in Greece reported an intake of 16 billion euros, approximately $18 billion, up 14 million euros since 2017. They attribute this surplus to a 40 percent increase in travel receipts and a 53 percent increase in travel sales. That year, the effect of tourism on Greece’s gross domestic product was an estimated 20.6 percent, reaching $44.6 billion. In fact, this is double the global average of 10.4 percent. This means one out of every five euros spent in Greece stems from travel and tourism.

Greece is happy with how tourism initiatives have been implemented in the past several years. The country also acknowledges 988,000 jobs lie in its tourism and travel industries. In 2019, Greece expects this job market to reach 1 million jobs. As such, travel and tourism is the largest employer in Greece. Minister of Tourism of the Hellenic Republic Elena Kountoura has noted Greece’s plan for the continued growth of the tourism sector: “We intend to maintain Greece’s strong momentum in tourism and maximize its benefits for the local communities across Greece, acknowledging tourism’s immense value as a major driving force for employment, economic and social prosperity.”

The reparation of the Greek economy has developed a dependence on tourism and travel. From the deep blue waters of the Aegean Sea to historical sites such as Delphi, people from all over the world flock to witness a small piece of Greece’s beauty. What they may not realize, however, is they are working to support an economy on the mends. And the positive effect of tourism will continue to increase annually, as Greece works toward financial stability.

– Claire Bryan
Photo: Flickr

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Understanding Hunger in South Africa

Hunger in South AfricaFood insecurity plagues approximately 14 million South Africans. Poverty and unemployment are the two leading contributors of hunger in South Africa, caused in part by the 2008 global economic crisis, which limited job creation opportunities and the purchasing power of South African households. The nation’s economy has also been stagnant, at a growth rate of 3.3 percent since 2011 and shows little signs of improvement. In 2006, 28.4 percent of the country’s population was living in extreme poverty. In 2015, the rate had only decreased to 25.2 percent.

Causes of Hunger

Other factors of poverty include the legacy of apartheid. Apartheid barred black individuals from a proper education system and thus skilled and higher paying occupations. South Africans also seem to display a sense of disinterest in entrepreneurship, given the lack of investment within the business space. High food and fuel prices, high-energy tariffs and increasing interest rates further exacerbate hunger within the nation, as households are struggling to meet basic needs.

Solutions for Hunger

In hopes to mitigate hunger in South Africa, several initiatives have been taken. For instance, Dr. Louise Van Rhyn founded Partners for Possibilities in 2010. Partners for Possibilities is a leadership development program focused on using grassroots and cross-sector collaboration efforts to help teachers and business leaders. The program pairs a business leader as a co-partner to a school principal. By forcing them to adapt and learn to lead a complex and unfamiliar environment, business leaders gradually develop leadership capabilities in the process. The principals learn to work with other individuals, as well as a partner to help them better manage under-resourced schools.

This approach not only improvement schools, spurs individuals to be involved in a business, but it also empowers individuals to succeed in their careers, strengthening South Africa’s education system, economy strengthening households from hunger and food insecurity.

Major international nonprofits such as the World Health Organization have invested in millions of dollars on food aid programs. Often times, even though there is food in markets, it is not necessarily available. Thus, these programs compensate for the lack of access. CARE is another major organization that has been trying to limit hunger in South Africa. Their programs focus on the nutrition specific needs of fetal and child development, as well as home-based practices, making them easy to follow for households of various conditions. One of their most notable developments is the creation of the integrated model: Collective Impact for Nutrition. This particular model was established after 10 years of programming where “key nutrition-sensitive interventions support a core nutrition-specific behavior-based approach, ensuring not only the promotion of improved nutrition practices but also helping to provide the necessary foundation for adopting them.”

Ultimately, hunger in South Africa is a complicated issue, as there are many factors at play. From high rates of unemployment, lack of accessibility to food markets and economic instability due to a lack of education, its difficult to resolve hunger. Recent statistics have shown there has been some improvement in the nation’s economy, though small. For these reasons, it is vital the organizations on the ground continue their efforts to limit hunger within South Africa.

– Iris Gao
Photo: Flickr