April 24, 2009

Kind Words About the President

Sadly, like all my kind words about President Obama, this one comes under the subhead "at least he didn't mean that bull**** he said in the campaign. The WSJ Ed Page agrees:

Three cheers for President Obama's decision, announced quietly on Monday, to repudiate a campaign promise and not press for new labor and environmental regulations in the North American Free Trade Agreement. The last thing the Western Hemisphere needs are more trade barriers that would snarl supply chains and damage commerce.

Perhaps we should call this Austan Goolsbee's revenge.


Actually, his movements to normalize economic relations with Cuba could be a legitimate win for Hope and Change. Sadly, El Jefe might veto it, but I'll distribute some rare props either way.

Posted by John Kranz at April 24, 2009 11:20 AM

Before you go cheering "normalized economic relations with Cuba" you should acknowledge that any western currency spent on that prison island (and no, I don't mean Guantanamo Bay) is collected by the communist government, which then pays its citizens, paltry though the sum may be, in near worthless Cuban scrip currency.

Exchange rates: Cuban pesos (CUP) per US dollar - 0.9259 (2008 est.), 0.9259 (2007), 0.9231 (2006)
note: Cuba has two currencies in circulation: the Cuban peso (CUP) and the convertible peso (CUC); in April 2005 the official exchange rate changed from $1 per CUC to $1.08 per CUC (0.93 CUC per $1), both for individuals and enterprises; individuals can buy 24 Cuban pesos (CUP) for each CUC sold, or sell 25 Cuban pesos for each CUC bought; enterprises, however, must exchange CUP and CUC at a 1:1 ratio.

Posted by: johngalt at April 24, 2009 11:44 AM

I am a bit torn on this issue because of my geologically deep appreciation for the ex-pat Cuban community in Florida. These folks remain true believers in the embargo -- and that is almost good enough for me.

But, and we've done this before, my time in Ireland and England show the futility of an USA embargo when they can trade with Canada and Europe. Without partners, it is pretty silly and appears vindictive.

Lastly, I'll counter your technical points with philosophical. Seeing free Americans on the streets will augment interest in liberty and highlight the economic deprivations of Communism. And some of those people will get good American dollars as tips and in unauthorized trade.

Trade did not turn China into a Madisonian utopia, but it increased freedom and prosperity of her people -- I cannot deny my Cuban friends the meliorative effects of trade.

Oh, and have you had their coffee?

Posted by: jk at April 24, 2009 12:03 PM

Never had the coffee, but the cigars are worth smuggling. Not that The Refugee would ever do such a thing.

Posted by: Boulder Refugee at April 24, 2009 3:28 PM | What do you think? [3]