During his
lecture for this module, Prof. Jackson mentioned a few of the more ambiguous
cases of power struggles between states and corporations. One that stood
out to me was “underdevelopment through functional specialization.”
Remnants of colonialism still linger in many parts of the world. Many countries
were exploited for centuries and once colonialism lifted, their comparative
advantage nurtured in areas where profit was minimal. This restricted
development, and in short, perpetuated a cycle of poverty through a prevalence
of low-skilled, low-wage jobs that can be seen today.
One such example is Bolivia. Recently, President Evo Morales decided
to change the direction of the clock on their congress building. He did so to reflect their position in
the southern hemisphere and in an attempt to distance themselves symbolically from
their colonization of their northern counterparts. President Morales feels as though this decision was a “clear
expression of the de-colonization of the people” under his presidency.
Despite this radical political ploy,
Morales’ presidency has been characterized by conservative politics that
ultimately maintains Bolivia’s dependency on foreign corporations. His regime has supported foreign
investment in mining and agriculture, and corporate regulations are soft. As pointed out by Max Fisher in his article
on Vox, Morales’ radical rhetoric and visible changes such as that to the
clock on the congressional building are politically attractive, but, “at the
end of the day, voters typically prefer to have a stable and predictable
government; they want their clocks to run clockwise.”
Despite all the change,
advancement, and connections that have occurred from increased globalization,
the public sector remains firmly grounded in tradition. In contrast, the private sector has
been pushed to advance and meet the needs and demands of an increasingly
growing global market. Corporations
have, and will continue to remain a large influence in Bolivian politics. Bolivia is only a single example,
however it’s current plight is one experienced by many other countries. The big question is, how can Bolivia
move forward?
To move Bolivia forward I think "a rising tide floats all boats." As tired as that phrase may be, by maintaining soft corporate regulations and encouraging outside investment, he will continue to bring outside wealth into his country. Their mere presence within the country will inject much needed capital into the economy at a level not possible with solely domestic investment. With no actual data to support this: I think foreign colonialism in pursuit of resources in India and China display how foreign influence, even unwanted influence, can advance a country. Compare the fates of India and China to many African or central Asian countries without such extensive foreign involvement. As violent as the colonization may have been, it still accelerated their growth through exposure. Maybe it's not all bad?
ReplyDeleteThe history of colonialism demonstrates how developing countries may be pulled along in the wake of those who benefit the most. Its latent effects are not always detrimental to the country being occupied. To some extent, however, the presence of foreign corporations as an overwhelming provider of employment in a developing country diverts the skills and resources of those who contribute to their success from other areas that might allow the country to eventually become more independent and competitive in the global market. I agree with you, Caj, and think it would make sense to try and divert some resources to expanding domestic corporations or improving technology so that workers can begin dedicating their time to other industries.
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