Economy of Puerto Rico
Puerto Rico has one of the most dynamic economies in the Caribbean region. Plantation sugar production dominated Puerto Rico’s economy until the 1940’s. Industry has surpassed agriculture as the primary sector of economic activity and income. Encouraged by duty free access to the U.S. and by tax incentives, U.S. firms have invested heavily in Puerto Rico since the 1950’s. As a result, Puerto Rico’s export and import has prospered nearly doubling between fiscal years 1987 and 1997.
Recently the economy has suffered budget cuts from U.S. The Puerto Rican economy has depended heavily on the tax incentives given to U.S. mainland companies and on federal transfers. In 1993, President Clinton aimed to cut the Section 936 tax exemption for U.S. companies and introduced legislation to Congress to replace it with a more modest tax credit linked to wages paid by those companies in Puerto Rico rather than to profits. It is estimated that 100,000 Puerto Ricans were employed by companies operating under Section 936 and another 200,000 are indirectly employed. In President Clinton’s 1998 budget submission to Congress, proposed that existing Section 30A of the tax code be made permanent to provide an estimated U.S. $417 million a year in tax incentives to compensate for the phasing out of Section 936. Section 30A allows companies to claim 60% of wages and capital investment as allowances against tax. New firms may opt to incorporate themselves in Puerto Rico as “controlled foreign corporations” and receive the tax benefits provided by Section 901 of the U.S. Internal Revenue Code. Puerto Rico’s government aims to make up for the 936 loss by providing new local incentives, cutting taxes and encouraging economic development in other industries.
On the other hand, the agreement between the U.S., Canada and Mexico for the North America Free Trade Agreement (NAFTA) also has implications for Puerto Rico because of competition for jobs and investment. Although wage levels are lower in Mexico, Section 30A gives companies in Puerto Rico an advantage in pharmaceuticals and hi-tec industries. In low-skill labor-intensive manufacturing, such as clothing and footwear, Mexico has the advantage. Puerto Rico currently employs 30,000 in the clothing industry.
By some economists Puerto Rico’s economy is it considered somewhat fictitious. Puerto Rico has very few natural resources of economic value and its economy relies mainly on Federal Aid from the United States Government, which depends on the industrialization programs and the tax incentives that U.
Conformity can be very crucial, infact a lot of people eventually start hurting themselves or doing drugs just because they don't feel themselves anymore.Why can't society change? why can't that one kid that always follows everyone in the back can turn into the kid that just hangs with the people they really wanna hang with?We need to embrace ourselves so we can stop all this conformity from consuming us.Tupac was a nonconformist, he always did what made him happy and always told the truth.
Puerto Rico. The. Tarrytown: Marshall Cavendish Corporation, 2007. 2.
Puerto Rico at the expense of native people (6). After the Cape San Vicente disaster,
Scarano, Francisco. "Sugar and Slavery in Puerto Rico, 1815-1849: An Overview," from Scarano ,Sugar and Slavery in Puerto Rico: Plantation Economy of Ponce,1800-1850(Madison :U of Wisconsin Press,1984) 3-34.
Section I,2. Analyze the consequences of American rule in Puerto Rico, Cuba and the Philippines. Did the citizens prosper? Enjoy freedom? Accept American rule? Comment on the consequences for the United States with regard to the statement made by Eric Foner in the text, “Thus, two principles central to American freedom since the War of Independence – no taxation without representation and government based on the consent of the governed – were abandoned when it came to the nation’s new possessions.
Tupac Shakur was one of the most influential music artist of the 20th Century. “Murda, Murda, Murda, and Kill, Kill, Kill…” these are they lyrics to one of the songs written by Tupac Shakur. Amidst all the controversy surrounding his personal life, this artist has managed to overcome all obstacles and spread his hope/hate message to a surprisingly receptive audience. Tupac’s music is borrowed from the styles of early rap and hip-hop yet its appeal rested in Tupac himself. His persona of “Thug Poet” opened up a portal into the new genre of “Gangsta Rap.” This new style of music revolutionized the music industry and allowed several new artists to break through in Tupac’s creation, Gangsta Rap, such as; G-unit, Eminem, and many others.
Puerto Ricans will have more opportunities as a state and it would bring more federal help for PR. As a state, Puerto Rico will rise from the poverty since they are below the poverty line and American statehood could be the answer to many of the problems the Island is facing. Zach Patton, author of ¨Does Puerto Rico really want to be the next state?¨ writes, ¨Puerto Rico 's economy is in crisis. The territory of 3.7 million residents is now in the seventh year of a persistent downturn, a recession that 's much deeper--and broader--than the one on the mainland...Roughly 45 percent of Puerto Ricans live in poverty, three times the national rate. More than a third of the territory 's residents are on food stamps. Unemployment last year topped 15 percent¨. Proving that Puerto Rico could be beneficial not only financially but in many other aspects in which both Puerto Ricans and Americans can
They also experienced severe economic setbacks. Under the domination of the United States, Puerto Rico did not have control over their means of production. Instead, the United States possessed that power and transformed their island into a metropolitan economy. Workers were subjected to the changing demands of US capital expansion, and their migratory movements were shaped accordingly.
The economy has been declining, and in an effort to help, the U.S offered massive tax breaks to companies who were willing to relocate there, this brought booming business, until the mainland began struggling and cut this program in 1996,
After the Spanish-American war, Spain granted the United States with full ownership of the island of Puerto Rico, which largely benefited the United States with profitable agricultural land, in the same way, Puerto Rican citizens were all benefited when they received U.S. citizenship, this granted them with greater opportunities that awaited them in the United States. However, despite their citizenship, Puerto Ricans are yet to have a vote in national U.S. elections. The ownership of the island has mostly benefited the United States as it is able to control the land, and impose tax and restrictions. Due to this, Puerto Rico transformed from a local economy, to one that is dominated by external U.S. companies. Because of many programs that have been implemented in order to stimulate economic development, the economy has progressed. However, one of the negative side effects left the population dealing with high income tax, as well as leading the economy further away from the local farmers and into the capitalist economy of the United States. It seems as if the relationship between the United States and Puerto Rico benefit the capitalist country and its economy but fails to befit much of the islands population as they are later faced with high income tax and high unemployment rates. Because of the high unemployment, the Puerto
According to Schwartz (2010), successful implementation of Ricardian development strategies involves using existing comparative advantages such as agricultural outputs or other primary product exports to drive economic development. This can also extend to low-value industrial activities such as textiles and garments (59-60). These strategies rely on the resolution...
...erican intervention in making Puerto Rico a tourist destination has created social problems while simultaneously covering them up. Tourism has made Puerto Rico an island paradise, but no one talks about the high unemployment rates, crime, and Americanization of Puerto Rican culture. Many do not see this a problematic because tourism is highly profitable, but many of the locals do not see those profits. There is not much being done in combating the issues that have risen with the implementation of tourism as the main industry of Puerto Rico. Many people do not think of these things when thinking about the island because it is marketed as a place to forget troubles, not a place to take on the troubles of Puerto Rico. There has to be more awareness, and priority placed on finding solutions to these issues if Puerto Rico wants to maintain a successful tourist industry.
Roughly fifteen year ago the United States entered into an agreement with its neighboring countries Canada and Mexico. With the incarnation of this intercontinental free trade agreement; the United States acting as the conduit would not only increase trade productivity for itself but, allot its sister nations to the north and south the same advantages. The North American Free Trade Agreement (NAFTA) is beneficial to America because, it encourages the expansion of job opportunities, abolishes taxes and tariffs that can restrict the flow of imports and exports, and supplies the States with goods and services at lower costs causing profits to increase exponentially.
“ Poverty, murder, violence and never a day 2 rest.” Those were the words of Tupac Shakur, a legendary rapper. Tupac Amaru Shakur (born June 16, 1971 – September 13, 1996), also known by his stage names 2Pac, Makaveli, or simply Pac, was an American artist renowned for his rapping and hip hop music, as well as his movie roles, poetry, and his social activism. He is recognized in the Guinness Book of World Records as the highest-selling rap artist, with over 75 million albums sold worldwide, including over 50 millions in the United States alone. Most of Shakur's songs are about growing up around violence and hardship in ghettos, racism, problems in society, and sometimes qualms with other rappers. Shakur's work is known for advocating political, economic, social, and racial equality as well as his raw descriptions of violence, drug and alcohol abuse, and conflicts with the law. Many fans, critics, and industry insiders rank him as the greatest rapper ever.