Monday, September 13, 2010

Slow learner

The Cuban government plans on laying off 500,000 state workers and trying some free enterprise to create replacement jobs (H/T: Babalu).


"Crap! A year and a half of Obama's economic policies has finally convinced me: socialism really DOES suck!"

Seriously, though, I wouldn't read much into this. The Cuban government has experimented fitfully with small-scale private businesses for years, with little or no impact on the macro-economy. As long as economic "freedom" is completely dependent on government fiat, and can be granted today and taken away tomorrow, then we're not going to see much progress. It's also important to remember that the military has been granted ownership interests in many of Cuba's industries, and the only people in the country with weapons aren't likely to all of a sudden develop an overwhelming interest in genuine capitalism.

10 comments:

  1. But..but..but...communism works sooo well.....It's a utopia. Michael Moore said so.

    Viva la Revolucion!


    Deborah Leigh

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  2. I still think Fidelito is dead. He just forgot to lie down.

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  3. I think he died sitting up and they're afraid to bury him.

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  4. I tend to agree with what I take to be your main point, Paco, that economic freedom is very difficult to deliver in the absence of political freedom, not least because giving the former tends to raise question about why the latter should be denied. Still the Chinese have managed it pretty successfully for some 20 odd years now so perhaps the Cubans can pull it off as well.

    As always, my main concern is that the quality of cuban cigars is maintained. So far, so good.

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  5. cac: I haven't had a Cuban cigar in probably six or seven years, and I haven't had a really good one in more than ten. Possibly just my bad luck, but the overall quality indisputably has declined (Zino Davidoff, the big Swiss tobacconist, stopped buying Cuban tobacco for its private label some time ago because of the erratic quality). I imagine, though, that the government tries to maintain some consistency at least on its premium brands (Cohiba and Montecristo, for example).

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  6. I think you've picked the two best examples and in fact most other cuban brands, while generally good, are probably no better than a good cigar from the Dominican Republic.

    But a cohiba is still streets ahead of the rest. I smoked one a few weeks ago in the winter sunshine with a glass of Laphrohaig and it was an experience verging on the spiritual.

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  7. Paco, I'd say Cuba is simply switching from communism to fascism, like changing hats. That's all.

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  8. Sounds like the old murderer has finally heard about Russia and China's "New and Improved Communism - with Capitalism :)™".

    A little capitalism will provide enough cash to buy a lot of billy-clubs; with maybe enough left over to build another prison complex or two for those pesky enemies of the state.

    Mike_W

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  9. cac: I've never been partial to cigars from the D.R.; I think Honduran tobacco is superior.

    I'm glad to hear that the government isn't tampering with the main brands.

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  10. Rebecca that is GOLD!

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