This article is a summary of what Cuba is doing in order to reform their economy. It seems that the government is shifting to more of a capitalist economy, but they are trying to hold onto the socialist equality background. One part that I thought is interesting is the part about private property. The government recently authorized the buying and selling of homes and cars in 2011. Another part that was interesting was that the government still has a centrally planned and monopoly on foreign trade, but they are slowly privatizing the state owned companies. There seems to be clues that Cuba is shifting slowly into a transition economy.
https://www.reuters.com/article/cuba-politics-castro-changes/rpt-explainer-the-state-of-raul-castros-economic-reforms-in-cuba-idUSL1N1RT1YK
2 comments:
It will be intriguing to see how long the transition will take. Chances are that Cuba wants to be a hybrid economy, but how much of each system is unknown. I believe they will be more capitalist than socialist, and they have already made some necessary steps in shifting towards capitalism.
From examples in class we have seen that sometimes hybrid economies are viable and sometimes not. After all these reforms that are heading toward a capitalist economy I wonder if the government still has a control over the commanding heights or if that control is slowly slipping away to give way to a stronger capitalist economy rather than a socialist one.
Post a Comment