Tag: embargo

Republicans in Congress Really Like the Cuba Embargo

President Obama made a number of spot-on arguments yesterday for why the United States should end the ineffective trade embargo that has helped impoverish the people of Cuba for over fifty years.  However, the core components of the embargo are statutory law that will require an act of Congress to overturn.  While it’s very encouraging to see the president take a leadership role in pursuit of a good policy, getting Republicans on board is going to be difficult to say the least.

Over the last 20 years, there have been 11 votes in the two houses of Congress seeking to eliminate or amend the Cuba embargo.  In all of those votes, loosening the embargo got majority opposition from Republicans.  According to Cato’s trade votes database, it wasn’t even close.  Republican support for the embargo has ranged from 61% (in support of travel ban) to 91% (in support of import ban) with the average level of support at 77.5%.  Indeed, in 2005 more Republicans voted to withdraw the United States from the World Trade Organization than voted to end the Cuba embargo.

That’s not to say that positive movement on the embargo in a Republican congress is impossible.  There are encouraging signs as well: shifting opinion among Cuban Americans alters the electoral politics of the embargo in favor of opposition; resurgent emphasis on free markets may temper the Republican party’s reflexive love for belligerent foreign policy; and long-time Republican opponents of the embargo will now have renewed energy. 

In practical terms, embargo opponents will need to persuade House leadership to schedule a vote and find enough support in the Senate to overcome an inevitable filibuster from Marco Rubio and others.  It may not be impossible, but there’s a lot of heavy lifting left to do.  Hopefully, the President’s actions will be enough to get the ball rolling toward more reform of this antiquated and harmful policy.

Time to Trade with Cuba: Regime Change through Sanctions Is a Mirage

President Barack Obama used negotiations over a couple of imprisoned Americans to refashion the entire U.S.-Cuba relationship. He aims to reopen the embassy, relax trade and travel restrictions, and improve communication systems.

Sen. Marco Rubio of Florida charged the administration with appeasement because the president proposed to treat Cuba like the U.S. treats other repressive states. But President Obama only suggested that government officials talk to one another. And that peoples visit and trade with one another.

More than a half century ago Fidel Castro took power in Havana. In the midst of the Cold War the Kennedy administration feared that Cuba would serve as an advanced base for the Soviet Union. Having tried and failed to overthrow the regime militarily, Washington saw an economic embargo as the next best option.

But that didn’t work either. Even after the Soviet Union collapsed and Moscow ended subsidies for Cuba, sanctions achieved nothing.

Today Cuba’s Communist system continues to stagger along. The only certainty is that economic sanctions have failed.

Failed to bring down the regime. Failed to liberalize the system. Failed to free political prisoners. Failed to achieve much of anything useful.

After more than 50 years.

But that should surprise no one. Sanctions are most likely to work if they are universal and narrowly focused. For instance, the Institute for International Economics found that economic sanctions did best with limited objectives, such as “modest” policy change.

Hagel’s Common Sense on Cuba

Foes of Chuck Hagel have found another reason to oppose his nomination for secretary of defense: he supported ending the 50-year old embargo on Cuba. Hagel also called the idea that the government in Havana constitutes a terrorist threat to the United States “goofy”, referring to Fidel Castro as a “toothless old dinosaur.” Supposedly, this proves he’s weak and won’t stand up to world dictators when vital U.S. interests are at stake. 

In reality, Hagel belongs to a growing group of conservatives who have come to realize the failure of U.S. policy towards Cuba. This group includes former senator Richard Lugar, who until recently was the highest ranking Republican on the Senate Foreign Relations Committee, and Senator Jeff Flake, a freshman Republican from Arizona. Even Paul Ryan (R-WI), the GOP’s former VP candidate, voted against the embargo the last time it came to a vote in the House in 2005. 

You don’t need to think hard to understand why the embargo and travel ban on Cuba have failed: the Castro brothers are still in power in Havana. Five decades of economic sanctions—the most stringent Washington has imposed on any country—have failed to bring about a democratic transformation of Cuba. Moreover, the embargo has served as a scapegoat to the regime.

Elizardo Sánchez Santa Cruz, a leading dissident in Cuba, has aptly summed up that strategy: “[Castro] wants to continue exaggerating the image of the external enemy which has been vital for the Cuban Government during decades, an external enemy which can be blamed for the failure of the totalitarian model implanted here.” Cuban dissident blogger Yoani Sánchez has called the embargo “the regime’s excuse for all its failures” and pointed out that its existence has undermined the work of dissidents on the island. 

Proponents of the embargo (who are now opposing Hagel’s nomination) inadvertently accept this reality. Our friend Frank Calzón, at the Center for a Free Cuba, mentions in the Washington Post several instances when Havana rebutted Washington’s outreach efforts: “Each solicitation has been met with aggressive action.” Why? Perhaps because the Castro regime fears that an end to the embargo and travel ban could weaken its grip on power? 

Ironically, those who argue that national security concerns are reasons to oppose changing U.S. policy towards Cuba ignore that the embargo has also become somewhat of a U.S. security liability itself. A 2007 report by the Government Accountability Office points out that enforcing the embargo and travel ban diverts limited resources from homeland security that could be used to keep terrorists and criminals out of the United States. The GAO report warned that arrival inspections from Cuba intended to enforce the embargo are “straining Customs and Border Patrol’s capacity to inspect other travelers according to its mission of keeping terrorists, criminals, and inadmissible aliens out of the country.”     

It would be naïve to think that ending the embargo will somehow transform Cuba into a democratic society. As long as the Castros are in change, that won’t happen. But it’s equally naïve to believe that there are great benefits and no significant downsides to the current policy. Chuck Hagel doesn’t have a Cuba problem. Just the opposite. He has shown common sense in ending one of Washington’s most anachronistic foreign policies.

Seven (Free-Market) Ways to Boost U.S. Exports

President Obama has committed his administration to the ambitious goal of doubling U.S. exports in the next five years. I don’t believe the government should be setting such targets—the rate of growth of U.S. exports should be left to the marketplace—but I am all for the administration seeking ways to expand the freedom of U.S. companies to sell in global markets.

In the “Economic Watch” column of the Washington Times today, I suggest six policy changes that will help American producers sell more of their goods and services abroad. None of them involve subsidies, threats of sanctions, or other government involvement.

Among my suggestions: enact into law the three free-trade agreements that have already been negotiated, repeal the trade embargo against Cuba, keep trade peace with China, and set a good example by keeping the U.S. market open.

If I could have added another suggestion (alas, space in a real newspaper is limited), it would be to issue more visas for trade delegations visiting the United States. Under misguided notions of national security, we make it more difficult than it should be for delegations from China and other  markets to visit the United States to inspect U.S. goods offered for sale. But like the other suggestions, this one is politically challenging as well.

If the president wants to boost exports, he will need to show the necessary leadership to remove the government-imposed barriers that still remain.

Tear Down This Wall … between the U.S. and Cuba

The House Foreign Affairs Committee is holding a hearing today on the almost 50 year old ban on travel to Cuba. The ban is part of a broader economic embargo in place since the early 1960s that was supposed to bring about change in the island’s oppressive, communist regime.

Instead, the embargo and travel ban have needlessly infringed on the freedom of Americans, weakened our influence in Cuba, and handed the Castro government a handy excuse for the failures of its Caribbean socialist experiment.

I wrote an op-ed recently advocating change in U.S. policy toward Cuba, and delivered a talk on the same theme at Rice University in 2005.

Will Congress finally change this failed U.S. policy?

New Poll Shows Support for Lifting Travel Ban to Cuba

Even Cuban-Americans appear to have turned against U.S. policy.  Reports the Miami Herald:

A new poll of Cuban Americans shows a strong majority favor allowing all Americans to travel to the island, a major shift from a 2002 survey that showed only a minority supporting the change, the Bendixen & Associates polling firm reported Tuesday.

Executive Vice President Fernand Amandi said he was surprised by the magnitude of the swing in just seven years – from 46 percent in favor in 2002 to 59 percent in the Sept. 24-26 survey. Only 29 percent were opposed in the new survey, compared to 47 percent in 2002.

…A campaign to allow all Americans to travel to Cuba has become a key Washington battleground this year for those who favor and oppose easing U.S. sanctions on the island. Permitting such travel would allow U.S. tourists to visit Cuba. Only Cuban Americans are now allowed virtually unrestricted travel to the island.

At least three bills lifting all restrictions on travel are now before Congress – two in the House and one in the Senate. While most analysts believe the House may well approve some version of the measure, they say it will have little chance of gaining Senate approval because of opposition from Sen. Bob Menendez, a powerful Democrat.

One would think that even the most rabid hawk could agree that a policy which has failed for 50 years has … failed.  There’s no guarantee that ending economic sanctions would spur political liberalization in Cuba.  But after a half century of failure, it makes sense to try something else.

Congress to Lift the Travel Ban to Cuba?

Bloomberg News reports today that the U.S. House may pass a bill by the end of the year lifting the almost five-decade-old ban on travel to Cuba by American citizens. The step is long overdue. According to the article:

A group of House and Senate lawmakers proposed in March ending restrictions to allow all U.S. citizens and residents to travel to Cuba. [Rep. Sam Farr, a California Democrat] said the legislation, known as the “Freedom to Travel to Cuba Act,” also has enough votes to clear the Senate, where Senator Byron Dorgan, a North Dakota Democrat, and Republican Senator Michael Enzi of Wyoming introduced the legislation.

As Rep. Farr succinctly added, “If you are a potato, you can get to Cuba very easily, but if you are a person, you can’t, and that is our problem.”

“If you are a potato, you can get to Cuba very easily,” he said. “But if you are a person, you can’t, and that is our problem.”

I rebut a lot of what Sen. Dorgan has said about free trade and globalization in my new book, Mad about Trade, but on the issue of the Cuban embargo and travel ban, Sen. Dorgan and most of his fellow Democrats are pushing in the right direction, while most Republicans still vote to maintain our failed policies. For more on why the travel ban and embargo should be lifted, read my speech at Rice University in 2005.

Here is one issue where those of use who support less government and more economic freedom really can hope for progressive change.