Instead of the embargo, Congress and the administration should take concrete if incremental steps to expand American influence in Cuba. First, the travel ban should be lifted.
Yes, more American dollars would end up in the coffers of the Cuban government, but dollars also would go to private Cuban citizens. Philip Peters, a former State Department official in the Reagan administration and an expert on Cuba, argues that American tourists would boost the earnings of Cubans who rent rooms, drive taxis, sell art and operate restaurants in their homes.
Second, restrictions on remittances should be lifted. Third, American farmers and medical suppliers should be allowed to sell their products to Cuba with financing arranged by private commercial lenders, not just for cash as current law permits. Most international trade is financed by temporary credit, and private banks, not taxpayers, would bear the risk. Like every other aspect of the embargo, it has failed to achieve its stated objectives and has, in fact, undermined U.
Societies that are open to commerce across their borders are more open to democracy within their borders. And for those of us who care about values and believe in values — not just American values, but universal values that promote human dignity — trade is a good way to do that. The most powerful force for change in Cuba will not be more sanctions or a short visit by a former U. Live Now. This article originally appeared on Insight on the News on May 27, About the Author. But, do they work?
Countries like Cuba, Libya, North Korea, Venezuela, China and Russia have often been on the receiving end of trade embargoes for decades.
In the past, U. For instance, Cuba, in particular, has been adversely impacted by the U. The initial decline was catalyzed by the imposition of the Smoot-Hawley Tariff Act. Production further declined after the fall of the Soviet Union and a rise in the embargoes by the United States.
At times, trade embargoes work because they can contribute to more peace and stability, and they can even prevent the debilitation of human rights violations, terrorism, aggression and nuclear threat. However, long term restrictions can be quite damaging and aggravate poverty and the standard of living for civilians. As a result of the negative effects of trade embargoes, domestic industries and producers often suffer a decline in their export markets and revenues, thereby threatening jobs and livelihoods.
Countries that tend to overspecialize in certain commodities, goods and services may be most affected by these constraints as key sectors of the economy may be adversely impacted. Given their level of development, poorer countries are often restricted to producing goods in the primary industry that may have relatively lower returns. Frequently criticized and often viewed as a paradox of U. Sanctions are so popular in fact that many states and municipalities within the U.
In , the U. Supreme Court unanimously held in Crosby v. National Foreign Trade Council that a Massachusetts law restricting state transactions with firms doing business in Burma was preempted by federal statute.
Outside of the U. Similarly, to the U. Whether a U. Sanctions are meant to promote international peace and security but may also be applied to prevent conflict and to protect human rights. While the efficacy of sanctions is considered debatable by some, one thing is certain: sanctions have unintended consequences. Whilst some consequences of imposed sanctions are often perceived as detrimental, not all sanctions have negative consequences. Former U. It is true that certain beliefs fed by domestic propaganda can create an environment where it is easier to cultivate feelings of hatred, however, there are circumstances when a country has inadvertently benefitted from sanctions.
For instance, in Russia, direct involvement becomes difficult to handle and many of the smaller international entities are put in positions where they cannot continue to exist in the market, so they leave. This shift allows for big multinational companies to take their place. In some cases, the severity of the sanctions imposed has caused many expat employees to go back to their countries. This, in turn, also creates additional employment opportunities as several countries of the former Soviet Union that are heavily dependent on Russia for employment of their citizens.
In the Russian consumer sector, while travel may be limited, those who are able travel to the region can find first class accommodations at a low price due to low occupancy rates. Imported western goods are either eliminated or unaffordable as President Putin imposes restrictions on imports of all western foods and other goods.
While the restriction limits or eliminates the flow of supply, this radical change gives an enormous boost to the local farming industry.
As an unintended consequence, Russia is transforming under pressure and finding ways to optimize its own economy in the face of new conditions.
For countries like Venezuela, sanctions appear to be more of a collective punishment than an attempt to modify behaviors. In January of , Venezuela was cut off from its primary source of oil consumption — the U. Further, sanctions imposed on Venezuela also froze assets and limited access to financial markets consequently exacerbating the humanitarian crisis by limiting access to food and essential imports such as medicine.
The economic collapse has also caused problems in the areas of water and sanitation, available electricity, and health care. After Castro gained control of the Cuban government, he began to openly purchase arms from the Soviet Union which led to additional restrictions and reactive shows of force by Castro. Consequently, the U.
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