Jamaica
Seaga victory in 1980 saw reversal of many of the policies of 'democratic socialism'
Increased aid from the US with the Reagan Administration
Edward Seaga with Ronald Reagan |
JLP govt cut spending on many social programs
Many govt industries de-nationalized
Fall in oil prices in 1986 helped cut Jamaica fuel import bill
By 1987-88, economy grew significantly
Despite improvements, many Jamaicans upset with large cuts in education, health, housing
By late-1980's, Manley speaking of restoring some PNP policies but not returning to democratic socialism
Feb 1989 - PNP wins elections; Manley wins 3rd term as PM; appointed Cabinet from PNP moderates
Continued policies of de-nationalization; declared Jamaica too dependent on foreign investment to create a socialist state
Combating drug trafficking became major problem for Jamaica during 1980s and 1990s
March 1992 - Manley retired due to health; succeeded by PJ Patterson as PM/ head of PNP
Cuba
1989 - Eastern bloc collapses
1991 - Soviet Union dissolved
Trade with Soviet bloc dissolves ($9 billion in 1991 -- $750 million in 1993)
Oil shipments from Soviet Union (13 million tons -- 1.8 million)
Without raw materials from trade and oil from Soviet Union, numerous factories closed and transportation across Cuba almost ceased
Early 90s - dramatic reductions in govt spending on education and health; food shortages
Beginning of the "Special Period"
- Fuel allotments cut
- Electricity rationed
- Farmers return to using oxen
- urban dwellers sent to work fields
- Govt distributed bicycles for transport
Trailer for Documentary on the 'Special Period'
In addition to societal reforms, economic reforms needed
- legalized US dollar
- eliminated subsidies on many goods and services
- restored farmer's markets
- opened up to joint ventures with foreign capital (mostly tourism)
- no longer financed military support abroad
Castro determined to hold onto power; Socialismo o Muerte (Socialism or Death)
Underground markets thrived
Infrastructure crumbled; govt services barely functioned
Govt repression of dissidents grew more strident
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Decaying Havana infrastructure |
United States government saw Special Period as opportunity to crush Castro govt
- Torricelli Act -- 1992 ; strengthened economic embargo on Cuba
- Helms-Burton Act -- 1996 ; codified embargo, allowed lawsuits for use of expropriated property
1994 saw increase in Cuban refugees arriving in US via rafts
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Conditions were so bad that many attempted to leave Cuba any way that they could |
US adopted new 'wet foot/dry foot' policy
Two notable incidents
- Cuban fighter jets shot down two small civilian US aircraft over intl waters searching for rafters
- Elian Gonzalez
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The Elian Gonzalez story simply highlighted the problems of the US-Cuba relationship |
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