Tuesday, March 20, 2012

An Interest In Haiti's Poverty

The situation is excellent in Haiti.

Haiti appears to be a perpetual economic basket case.  In his excellent survey, The Economics and Politics of Race, Thos. Sowell notes his research that shows among populations of African American descent, those who came to USA citizenship via British slave colonies tend to do well versus those who came via French slavery tend to do poorly in economic terms.  Indeed, compare Haiti vs Bermuda today.

A plausible argument is British colonialists shared power, and the French will not, therefore former slaves of the Brits at least learned capitalistic self-government, whereas the French former slaves got nothing.

In the case of Haiti, it is worse.  After the slave revolt and atrocities that followed, in which no one was immune, the powers that came out on top in Haiti agreed to a debt for loss of capital in exchange for France recognizing Haiti as a nation.  Here again, violence just made things worse, and instead of terrible French oppression, the Haitians received far worse local oppression.

After paying off that debt by eliminating schools and other social amenities, and oppressing the local population far worse than the French, the Haitian elite contracted with USA companies to modernize their country with railroads.  Shoddy workmanship led to disputes, disputes led to US Marines invading and robbing the banks.

Think about this:  you want to make a donation to a country like Haiti to help out, say a hospital or a school or some agricultural demonstration project.  So you put a million into infrastructure, and an endowment of $50 million to keep the school or hospital or project going.  In time, the western capitalists snare the lackeys they have in the Haitian government in some unrepayable loan, so among all of the other things seized, is your donation and its endowment.  Any donation you make will just end up in the coffers of Wall Street.  Why bother?

Haiti still has not recovered.  Haiti's infrastructure has been wiped out.  Haitians have learned from the last earthquake that they are on their own, their state provides no benefit, and US Military intervention is no help.  This is an excellent foundation for reorganizing society on a more just basis.  Haitians can learn from Hong Kong and Switzerland and Andorra and Singapore, and reform as a nation built on free trade.  As freedom ebbs from USA, it finds expression elsewhere.  Why not Haiti?  Haiti - le Noir Hong Kong!

But what is the source of the oppression?  Is it racism?  Is it social injustice?  Is it lack of infrastructure?  No, it always goes back to interest payments, which are the legal tool to oppress people.  A fundamental rule in any new constitution would be interest payments are not enforceable debts.  Eliminate that tool, and the capitalists have no power.  Freedom rises.

Haiti is a Catholic country, and its condition is a disgrace to any follower of Jesus.  The Catholic church condemns and forbids usury (what we commonly call interest payments.)  Their bishops are charged with teaching, and teaching the Church's condemnation of usury would be well placed in Haiti.  Of course a religion is voluntary so it may only propose, never impose.  That Haitians need only make usury legally unenforceable to be free to oppression, they need not forbid it themselves.




2 comments:

Dr. Frances said...

J.W. Spiers, I do love your stuff. You have nailed it with Haiti, of course the Catholic Church forgot all about banning usury as of the 19th century. If you have not, check out www.lietaer.com.....he has a new book out which i love...even simpler and clearer than his previous book, which I love. He was one of the designers of the euro, & is unhappy, of course, with the way things have gone.

Dr. Frances said...

Love what you say about Haiti, & about usury.
Check out the work of Bernard Lietaer, if you have not done so: www.lietaer.com
He has a new book, you would love it