Havana Cuba Business Travel Culture and Politics

Havana Cuba News

Cuba Business News

Posted April 29, 2007 by publisher in Business In Cuba

Email this article | Print this article | Search Havana Journal        

Associated Press

The economics minister said Saturday that Cuba hopes to return to a single currency, a departure from the current two-currency system that makes many consumer goods unattainable for most Cubans.

Communist Cuba’s dual economy emerged more than 15 years ago after the country lost most of its preferential trade and aid with the collapse of the Soviet Union.

“We have been advancing toward monetary unification,” Economics Minister Jose Luis Rodriguez told reporters during a briefing on the Cuban economy. “That’s the path.” He did not provide specifics.

Today, the regular Cuban peso is what Cubans use for virtually all government services — including utilities, transportation, and a monthly food ration — and it is the only currency accepted at popular farmers markets.

But the convertible Cuban peso, which is tied to foreign currencies, is the only money accepted for electronics, packaged food, and other consumer goods at most government-run stores. Cuban government workers, who earn on average about US$15 (€11) a month, cannot afford most of the items available in convertible Cuban pesos at the foreign-currency stores, which are high priced even by American or European standards.

Those who shop at the stores are mostly foreigners or the estimated 57 percent of Cubans who receive cash remittances from family living outside the country.

Until 2 1/2 years ago, the U.S. dollar also circulated one-to-one alongside the convertible Cuban peso.

The Central Bank later “revalued” the convertible peso so it trades at one to US$1.08 (€.79). That exchange does not take into account a surcharge of about 10 percent to change U.S. dollars for the convertible pesos.

  1. Follow up post #1 added on April 29, 2007 by Don

    So who wrote this article and who is responsible for it? I would really like to know.

    More than economics, the question is, can Cuba be mentioned without using the adjective “communism” when the official phrase for the Island is “the Republic of Cuba” not “communist Cuba”.

    However, following suit in the above article, “Communist Cuba” (that the Cubans are proud of and is advertisement to their government for “good things”) certainly is in control of its economy.

    ALL economics are based on something, pick something, as economics (moneys) are the medium of exchange for goods and services i.e. what does money buy. Gold or peacock feather, economics always has been relative to a standard. In addition, should I note that the world is NOT on the gold standard? NAAH, just confusing.

    “Communist Cuba” has achieved what other small countries has/have not—and that is “control” of its economics, that is an on going processes.

    Should I show that in the USA any one can print money in the form of
    “coupons” and be legally binding upon offer with acceptance as to contract law; NAAH, just confusing.

    But “Communist Cuba” with is currency seems to be doing well and has over stepped (avoided) the pit falls given to so many small countries that are know for goose inflation, that is the destruction of any economy to the highest degree—the USA included.

    “Communist Cuba” has a viable economic system that works, and the proof is—- the Cuban peso works, internationally and domestically.

    If “communist Cuba” (can I always say communists Cuba without showing fault) turns to the EU as its economic system,  is that a reason for a USA military invasion of this island? As there is no other greater slap in the face to the depleting USA dollar given to inflation and mismanagement, much less a US wartime economy (and wars end).

    So far “Communist Cuba” has beat all the odds, is a stable country with control over its people for good things. I, not being a prophet, would not want to guess the future of Cuba, as that is the beauty of life, we do not know it all and hindsight is 20-20.

    Don


  2. Follow up post #2 added on April 29, 2007 by publisher with 3905 total posts

    Don,

    I’m begging you, STOP POSTING.

    You make no sense.

    I have never read so many words with so little meaning.

    NOTHING you say has any value. How else can I make this clear to you?



    Cuba consulting services

  3. Follow up post #3 added on April 30, 2007 by Don

    Ok I’m gone.  By by, have a nice life. Now you can get back to what ever you were doing before.


    Don


  4. Follow up post #4 added on April 30, 2007 by Don

    But can you understand this:


    So who wrote this article (above)  and who is responsible for it? I would really like to know. 


    You, Publisher,  gave no reference.


    I also wrote:


    More than economics, the question is, can Cuba be mentioned without using the adjective “communism” when the official phrase for the Island is “the Republic of Cuba” not “communist Cuba”.


    ^^^^^^

    forget it,  I’m gone.  I speak English, this is it—I’m gone.


    Don


  5. Follow up post #5 added on April 30, 2007 by Pete Chavez

    Bravo


  6. Follow up post #6 added on April 30, 2007 by MiamiCuban

    Too bad Don is gone.  He did make a few interesting points.  He’s right, why do most refer to Cuba as “Communist Cuba?”  Do we say “Capitalist U.S.A.?”  Or “Socialist-Democratic Canada?”  Doesn’t that sound absurd? 

    As for Publisher, I’m rather disappointed that you’re so judgmental of others’ opinions.  You were not like this in the past, and it almost seems as if an entirely new person has stepped into the role of “Publisher.”  The other wiser, tolerant, and respectful individual is gone, and the new one sounds more like Lincoln Diaz-Balart.

    I had stopped posting on this site because some of the bloggers were full of vicious remarks and it just wasn’t worth listening to their ranting.  But it’s doubly disappointing to see the way those who opine differently are basically chased away buy Publisher.  Don had good insight on many things, as others did in the past.  Now they’re all gone and soon only those who want to bash Castro and/or Cuba will take over.  So much for interesting reading on this site.

    Good luck with Havana Journal.


  7. Follow up post #7 added on April 30, 2007 by publisher with 3905 total posts

    Miami Cuban,

    1. Don’t count Don out. I’m sure he’ll be back. I do not warn or ban people for their opinions but as you probably read, Don knows very little about Cuba yet he cites the Cuban Constitution as though it is gospel.

    Also, he continued to “throw bombs” by making irrelevant posts in humanitarian dissident articles. He is not banned and is welcome back any time so long as he stays on topic.

    2. Same old me here as Publisher. You probably know that I am not pro-Bush or anti-Bush or pro-Castro or anti-Castro. I feel I have to make those four distinctions because each comes with its own bias.

    I try to post factual articles and listen to all opinions. I have grown more critical of Fidel because I think he is being disrespectful to his own people for not addressing them instead talking to Chavez on his radio show in Venezuela or writing letters of international concern that matter little to Cuba.

    Also, I have grown tired of President Bush and his pro-Embargo failed policies.

    So, please continue to post your thoughts especially after what happens tomorrow. PS. I have received some information from a source close to Fidel but will not post until I see what happens at tomorrow’s May Day celebration.

    (I will consider myself warned for getting off topic grin



    Cuba consulting services

  8. Follow up post #8 added on May 01, 2007 by Pete Chavez

    Publisher,
    Wow, having Don and MiamiCuban post on the same thread is like reading an excerpt from “Animal Farm”!  Poor Don knows not what he speaks of, MC either for that matter.  Neither one has lived under COMMUNISM so they make indignantly silly objections to something they could not possibly have ever have had a real value for or understanding of.  Cuba is communist, it is not socialist, it is not the peoples republic, it is not anything else but autocratic, authoritarian rule by rule of the few over the many.  And the reason (and rightfully so, I might add) that it has this nick name of sorts in the international press is because it is apparent to most free presses in the Western Hemishphere what an anamoly (OR AT I LEAST LIKE TO THINK OF IT AS A FREAK OF EVULOTIN!!)it is for Cuba to be in the same place in 2007 than it was in 1961.  It has to be said and exclamated in that where all countries in this hemisphere have evolved from fascist dictatorships to Democracy and all Communist dictatorships in Europe have evolved to Democracy and with the exception of 3 nations in Asia (China, No.Korea, Vietnam) almost all other nations in Asia have evolved or are evolvining toward Democracy.  So in the midst or rather clarity of day, THERE STANDS MIGHTY CUBA, AS COMMUNIST NOW AS SHE WAS IN 1961 and with little or no improvement!  And no less with the Pig and the Goose from Animal Farm screeching their cry wolf objection as to whey we can’t see Cuba as a normal place like say Canada or Chile, Maybe Iceland.  It will never happen!  Cuba would have to be a NORMAL place to begin with.
    If publisher were really behaving the way MiamiCuban accusses him of doing, he would have removed him off the site along time ago too, with all those triffling painfully adolescent rebelious teen bile rants that he everso placidly espouses from time to time.  Clearly he should be saveing it for therapy sessions with his pro-embargo parents and pro-embargo grandparents.  Maybe the solution to all his old exiled-cuban hating pathologoly could be extinguished by his family chipping in and buying him his motocross bike (that was denied to him by his embargo loving father several years ago) As matter of fact, he was born and raised in Miami.  If there is no solution in therapy perhaps he should just change his blog name to MiamiCuban,notreally” ? After all it abouts it’s about truth isn’t it?


  9. Follow up post #9 added on May 01, 2007 by publisher with 3905 total posts

    Pete, no need for personal attacks.

    Everyone makes their point differently.

    Let’s stick to a discussion format and debate the issues so the comments stay on the topic of the article.

    Again, we are off topic. 

    Thanks.



    Cuba consulting services

  10. Follow up post #10 added on May 01, 2007 by Don

    You have a real nice board, with nice formating, and easy to use. However, I think your micro-mangament of “on topic” is used more as censoring than allowing the the free flow ideas, as all ideas are related, just some more than others. As such the board is not very active, as one thought leads to another. I do agree some order is required and needed, but it seems if you don’t agree with the responces you call it “off topic”, then you lock down the thread. People do not react to each other in real life in this manor, and most will never engage in such strick mico-managment.

    By your post you know little to nothing about constitutional law, criminal law, civil law, ecconomics, and if you would read close, and get educated, you will see the greatest advantage to make “progressive” change in Cuba will come from the aritcles in their Constitution being enforced by the Cuban courts, just as USA history has shown to date.

    You abitarly throw out the Cuban Constitution, and I supose the USA Constitution also, then cry for law and order and freedoms—-that is insane.

    Poeple make outlandish statements as:

    Cuba is communist, it is not socialist, it is not the peoples republic, it is not anything else but autocratic, authoritarian rule by rule of the few over the many.


    Facts are:

    Every country, any country,  pick one, is rulled over by the few—Uduah. 

    On February 15, 1976, the Cuban constitution was approved by a referendum in which 98% of the electorate voted and 97.7% voted in favour; approval was consequently by free, direct and secret vote of the overwhelming majority of the electors.

    On February 24, 1976, this Constitution was proclaimed, at a solemn, public ceremony.

    On July 12, 1992 the Constitution was further amended to underpin and extend a large number of basic rights and freedoms, as well as the civil and political rights of both Cubans and aliens.

    On June 10, 2002, an unprecedented plebiscitary process emerged, making itself felt at the Extraordinary Assembly of the various national headquarters of the mass organizations and, two days later, through demonstrations and marches held throughout the nation and involving over nine million people.

    It culminated in the public, voluntary signing, during the three days June 15-17, by a total of 8,198,237 electors, of a document ratifying the socialist content of the Constitution.


    Cuba is “clearly” a people’s state and rightly called that.


    Therefore the Cuban Constitution is the leading authority of the Cuban state, backed by the courts and police powers, NOT Castro, and certainly NOT Bush in the USA.

    As in any legal document as in all of the 50+ (counting state and federal) constitutions used in the USA,  the major terms used are defined within that document. Such is the Cuban constitution. People stumble over their own narrow propaganda meanings of communism and socialism, and yet when pressed they have not a clue what they are talking about.

    The only definitions that are valid are those used within the constitution. Reference “Fundamentals of litigation” fourth edition, by Markene A. Maerowitz and Thomas A. Mauet,  Aspen Publishers. See page four “Sources of Law”.

    The Cuban constitution has wide sweeping comprehensive freedoms ranging from press, speech, assembly, access to the courts, elections, economy, and the “Limited” role of the Cuban government, to name a few points. Communism, socialism, democracy, are defined, and much to the Miami propaganda constipations, are patterned off the USA constitution, only more extensive with greater clarity.

    As an example of the definition of communism in the Cuban constitution. 

    ARTICLE 9. The state:

    a) carries out the will of the working people and

    - guarantees the liberty and the full dignity of man, the enjoyment of his rights, the exercise and fulfillment of his duties and the integral development of his personality;

    - consolidates the ideology and the rules of living together and of conduct proper of a society free from the exploitation of man by man;

    - protects the constructive work of the people and the property and riches of the socialist nation;

    - directs in a planned way the national economy;  (as related to the above article…Don)

    - assures the educational, scientific, technical and cultural progress of the country;

    b) as the power of the people and for the people, guarantees

    - that every man or woman, who is able to work, have the opportunity to have a job with which to contribute to the good of society and to the satisfaction of individual needs;
    - that no disabled person be left without adequate mean of subsistence;
    - that no sick person be left without medical care;
    - that no child be left without schooling, food and clothing;
    - that no young person be left without the opportunity to study;
    - that no one be left without access to studies, culture and sports;

    c) works to achieve that no family be left without a comfortable place to live.


    From the above Cuban constitution, find fault, if you can.


    If you want to make the argument the Cuban courts are NOT enforcing their own constitution—then do so. However, to arbitrarily throw out a document because you are too lazy to read and understand it, is absurd and silly.


    Nowhere have I endorsed, NOR supported violations of human rights, the right to protest, common human freedoms, nor against a free press. What you see Publisher is from your own narrow perspective as to my “bombs against humanitarian post”, are NOT bombs, but endorsement of just and fair laws, NOT riot or anarchy, nor stupidity in criminal activity as vandalism. 


    So, on what basis can you make an argument that has any validity WHAT SO EVER, if it not by the controlling document called the “Cuban constitution”? The Miami Harold?


    I know this is a long post—but this needed to be said to set the record straight—I will shorten my post in the future, and thank you for the invite to hang around.  If what I have said is NOT clear—I will work on that also.


    Now be nice—I have taken lots of insults and said nothing, and will continue to do so.


    Don


  11. Follow up post #11 added on May 01, 2007 by publisher with 3905 total posts

    DON HAS BEEN BANNED FROM THIS SITE.

    1. I repeatedly asked him to stay on topic and he blatantly disregarded my request several times even though he said he would comply.

    2. His comments are WAY too long and I have warned him about that.

    I was going to delete his last post as seen directly above this but decided to leave it as the final example of Don’s work.

    3. Don has never signed up as a member of the site thus never having to provide any information.

    4. And there is no rule against this but Don has used three different IP addresses for his last five posts so he is intentionally or perhaps unknowingly trying to remain anonymous from the IP identification level. He also used a Yahoo address to help remain anonymous.

    FYI, when a member is banned they cannot even read the Havana Journal so, unless Don visits from another IP or computer he will not be able to come back.

    If he asks for reinstatement, I will ask him to register as a member with a less anonymous email address.

    So, sorry for the hassle to regular readers. I will now close comments since this article has also been killed by Don.



    Cuba consulting services

Would you like to add more information?

Commenting is not available in this section entry.

Related Articles

View all Havana Journal business articles in 2015

  • Advertise at Havana Journal Inc
Images of Cuba
Actual typewriter of Ernest Hemingway
Follow Havana Journal
SUBSCRIBE to our Cuba Watch newsletter

LIKE us on Facebook

FOLLOW us on Twitter

CONNECT with us on Linked In

Section Archive
Havana Journal, Inc. BBB Business Review



Member of the Association for the Study of the Cuban Economy