Economic Changes for Latin America
Latin America has tackled destructive amounts of disastrous events; especially in the financial area with extreme debts owed to other countries. From the start of their fight for Independence; Latin American’s outlook on living situations, employment status, and import/exports has affected their economy. If I were asked to fix or solve these economic issues for Latin America I would simply begin with a plan; not a plan of overruling, war out bursting, or dictatorship over Latin America, but a plan that would construct the country and that would help benefit everyone; not just middle-class families. This would be an extreme challenge upon myself to avoid another crisis and it would most likely be impossible …show more content…
Unemployment is the leading function to a financial crisis and reduces the overall purchasing scope of a population. The results of poverty are followed by increasing strained debt.
However; having every age and health appropriate Latin American employed would be likely impossible. I would need to find out how much external debt is owed and to whom it is owed to. I would need to contact the government to see about possible help programs that have lower interest rates or smaller payment; just like the International Monetary Fund. Yes, spending would be very tight for Latin American families and loans would have to be extended into bonds, but it I would try my hardest to avoid bankruptcy for Latin America.
If there was no programs available; I would have no choice but to increase taxes. With a tax increase by a few percent, a portion could go toward the country’s debt every so often. Of course, this would not help any of the Latin American citizens, but it would be a start until a help program could be formed. Since I would be increasing taxes, this would reduce Latin American citizen’s incomes, so I would need a solution to keep Latin Americans at a standard living rate. I am unaware if countries in Latin American receive welfare assistance from the government; such as food stamps or Social Security benefits, but if they did not I would enforce this along with the increase of
Latin America has tackled destructive amounts of disastrous events; especially in the financial area with extreme debts owed to other countries. From the start of their fight for Independence; Latin American’s outlook on living situations, employment status, and import/exports has affected their economy. If I were asked to fix or solve these economic issues for Latin America I would simply begin with a plan; not a plan of overruling, war out bursting, or dictatorship over Latin America, but a plan that would construct the country and that would help benefit everyone; not just middle-class families. This would be an extreme challenge upon myself to avoid another crisis and it would most likely be impossible …show more content…
Unemployment is the leading function to a financial crisis and reduces the overall purchasing scope of a population. The results of poverty are followed by increasing strained debt.
However; having every age and health appropriate Latin American employed would be likely impossible. I would need to find out how much external debt is owed and to whom it is owed to. I would need to contact the government to see about possible help programs that have lower interest rates or smaller payment; just like the International Monetary Fund. Yes, spending would be very tight for Latin American families and loans would have to be extended into bonds, but it I would try my hardest to avoid bankruptcy for Latin America.
If there was no programs available; I would have no choice but to increase taxes. With a tax increase by a few percent, a portion could go toward the country’s debt every so often. Of course, this would not help any of the Latin American citizens, but it would be a start until a help program could be formed. Since I would be increasing taxes, this would reduce Latin American citizen’s incomes, so I would need a solution to keep Latin Americans at a standard living rate. I am unaware if countries in Latin American receive welfare assistance from the government; such as food stamps or Social Security benefits, but if they did not I would enforce this along with the increase of