Analysis Of The Documentary ' Life And Debt '

In his Op-Ed article “The Culture of Debt”, David Brooks, an Op-Ed columnist for The New York Times, sheds light on the bigger picture of debt in the nation today and compares three major theories surrounding the question of who is to blame for Diane McLeod’s plummet into indebtedness.

Jamaica's lush landscape and sky blue waters is what some would call heaven, however, what lies in the foundation of the country's government is something much more displeasing. Stephanie Black’s powerful documentary “Life and Debt” shows the negative effects of globalization. The film illustrates how Jamaica’s welfare is dependent on the United States and other foreign policies.

The main argument throughout this documentary is that credit cards are the main cause of the debt crisis, which occurred in 2006 in America. Credit cards are portrayed throughout this documentary to carry negative consequences, aiding in the corruption of the system, and ultimately creating debt problems that America faces as a nation. The main question we are left with is, can we as a nation live without credit cards?

Through this article Dave Ramsey talks about some of the lies people tell us. Such as, “debt is a tool that should be used help create prosperity” (The Truth about Debt, Ramsey). He talked about how the bible has nothing good to say about debt. He also talks about how he believed the lies about debt when he was going to school for his career in real estate. He lost everything he owned and became bankrupt. Through this time he found a verse in the bible that said, “The rich rule over the poor, and the borrower is slave to the lender” (Proverbs 22:7 NIV). Ramsey believes that people can live a debt free lifestyle with Gods help.

In spite of existential flaws and errors that have taken place, the deliberate persistence of Cuba’s struggling financial afflictions are an unquestionable result of vast outside restrictions placed upon them. Pressures of this scale, no doubt, would have devastated other countries.

“Life and Debt” is a documentary produced and directed by Stephanie Black, which describes the impact of international institutions, such as the International Monetary Fund (IMF) and the World Bank, in small developing countries. (About Life and Debt) The documentary focuses mainly in the repercussions of financial policies imposed in Jamaica and its effects on its citizens. Throughout the film, Black also emphasizes the different industries affected by these international institutions. From the agricultural activity to the construction of a new Free Trade Zone in Kingston, developing countries such as Jamaica did not obtain the aid they were seeking for. Instead, most of these organizations refused to help the country due to its declining economy.

They are issued loans from developed countries like the USA and England at a high rate of interest. They are required to pay over time, but the interest rates are so high that the country often finds itself in further debt than before the loan. This problem is defined as world debt. Suggestions made recently have been that all debt to be paid by the developing world should be written off and a fresh start made. However the problem

Poor countries have taken enormous loans from wealthy countries in order to stay afloat. Paying off the compound interest from this debt prevents them from investing resources into their own country. For example, between 1970 and 2002, the continent of Africa received $540 billion in loans from wealthy nations—through the World Bank and IMF. African countries have paid back $550 billion of their debt but they still owe $295 billion. The difference is the result of compound interest. Countries cannot focus on economic or human development when they are constantly paying off debt; these countries will continue to remain undeveloped and the rich powerful nations will continue to extend their

During the 1980s, the Baker and Brady Plans were initiated to alleviate developing countries debts. The former plan called upon financial institutions to increase lending to developing countries by up to 50% and the latter plan sought to annul debt through collaboration with private-sector lenders. Developing countries’ debt problems became known as debt overhang whereby the “presence of existing ‘inherited’ debt” exacerbated the debtor countries’ economic hardships. While the Baker Plan was largely ineffective, the Brady Plan helped revive the Third World debt market and the composition of capital flows in the Brady countries shifted away from the public sector to the private sector in the form of foreign direct investment (FDI) and equity.

Jamaica is not just white sand beaches and mimosas. Behind the thin veil of paradise lurk corruption, violence, and inequalities. Life & Debt illustrates the daily realties of Jamaica following IMF structural adjustment programs. IMF reforms have perpetuated a cycle of debt that Jamaicans have little hope to escape. Although IMF conditionality claims to develop nations so that they can grow and re-pay their lenders, Jamaica is still indebted $4.5 billion dollars and has little development to show for it. Measures of austerity coupled with devaluation, high interest rates, and drops in local wages results in greater unemployment, increased violence, and widening inequality. The bulk of the film focuses on how global integration has undercut

The Jamaican economy in 1970 was 800 million dollars in debt and by the time of the year 2000 the debt had reached an alarming 7 billion dollars. In order to service its accumulated debts Jamaica set up Exporting Processing Zones or EPZ’s. The free zones created lots of employment to jump-start the economy. The free zones themselves were separate entities to Jamaica, similar to the US-owned cemetery for the WW2 soldiers in Normandy. In this way, the supplies needed for manufacturing never really enter Jamaica, thus allowing for cheap imports. The factories had their downsides though. Workers were only paid in Jamaican dollars about 30USD per week while some were paid that for two weeks. Every two weeks, money was taken out as taxes which angered the Jamaicans

     The people of Jamaica have no influence on the daily economic decisions that affect their lives. For almost 25 years, Jamaica has been able to keep a very small percentage of its national revenue because of agencies like the World Bank and IMF. While other big name countries continue to grow economically, these

Critique and Analysis of Harry Cleaver, “Close the IMF, abolish debt and end development: class analysis of the international debt crisis,” Capital & Class (1990), Pp. 17-50.

Numerous developing nations worldwide are in debt, causing both financial and humanitarian issues, resulting in being unable to pay for their citizens’ basic needs. These basic needs include accessibility to sanitary water, healthcare and education. Debt in developing countries such as Tanzania got rapidly out of control in the 1970s and 1980s. This was when developed countries such as United States, United Kingdom and Saudi Arabia lent out billions of dollars to less developed countries, like Tanzania and Nigeria, at floating interest rates to increase the lenders’ revenue. This eventually led to the loaner falling into a debt crisis.

The “Money as Debt” was created by Paul Grignon in 2006. It is the most fascinating video I have ever seen. Moreover, I am just amazed how much I have learned in just 47 minutes. This video describes how basic banking system works and answers the question where the money comes from.