Now that Obama has named himself the de facto CEO of GM, even Democrats are wondering whether there is a substantive difference between the United States of America and the former USSR. What's more, anyone with a little input from European conservatives must wonder if there are any countries left anywhere in the West that can be called free.

The biggest culprit in all of this is false conservatism, which mimics fascism by mixing government and business.

Conservative  principles are not respected when a “conservative” administration awards defense contracts to its own company in defiance of good bidding practices, or distorts banking standards to provide a lever for rich bankers, and then bails them out with public funds when loans go sour.

In fact, a true conservative government punishes such behavior. Yet, such shoddy practices have gone unchecked— even been encouraged—by so-called conservative administrations.

To put it plainly, conservatism is not about government helping the rich get richer. It is about staying out of the market so that all of us have a chance to get richer if we are willing to work hard for it.

If real conservatism has been abandoned, opening the door to the far left throughout the West, there is at least one country that may become a notable exception and could perhaps be the most important economic and political experiment the world has seen in decades, and that is Panama. There are several factors that suggest this possibility.

For one thing, several administrations there have bravely resisted global pressure to sign a Tax Information Exchange Agreement (TIEE) that would force Panama to disclose tax information on citizens of high tax countries, who could then be treated as criminals for investing abroad.

Secondly, during the last campaign, the candidacy of the left-wing Balbina Herrera was fatally crippled when arrested Colombian drug kingpin David Murcia Guzman stated to authorities that he had donated to her campaign. This left Ricardo Martinelli, the conservative candidate, looking quite sterling by contrast (despite reports that Martinelli's firm had had some largely non-compromising dealings with a legitimate enterprise of Murcia's).

Thirdly, retirees, mostly Americans but also some Europeans, have been quietly flocking to Panama for decades, taking advantage of the country's dollar-based economy, cheaper property prices, lower property taxes, excellent but inexpensive medical services and a delightfully gringo-friendly populace. Costa Rica had once attracted almost as many retirees, but a leftward swing in its government has caused perspective settlers to think twice. Ex-pats may be chided for leaving America, but that’s hardly fair, because for one thing, America has abandoned  them, not the other way around, and for another, moving to Panama is like moving to  the United States in the 40s and 50s. There is optimism, energy, social conservatism and an innocence that we have long lost. I will venture to say that these ex-pats have in fact moved home.

Martinelli was inaugurated on July 1, the day my family and I arrived in Panama. Prior to Martinelli's entry into the presidential campaign, he was known mainly as a  successful businessman (owner of supermarket chain Super 99). Nonetheless, he was odd man out among the rich oligarchs, quite a few of whom have been  presidents. While presiding over peace and prosperity, they were not perceived as friends of the little guy and certainly not as populists. Before  Martinelli, the last populist leader had been Omar Torrijos, the strong man  who persuaded Carter to hand over the Canal. But Torrijos was not rich. He has been fondly remembered since the plane crash that took his life, leaving a void that was filled by General Noriega.
 
Those wondering what would characterize a Martinelli presidency were not left waiting long. During his inaugural speech he repeated words from the campaign trail, which  can be translated loosely: "the fun and games are over" (se acabó el relajo), referring to rising crime and to the corruption that has always marked Latin American politics.

Within the first week on the job, Martinelli declared war on smug fat cats long accustomed to bribing politicians and judges. Martinelli had often said that there was no reason poverty had to exist at all, given  Panama’s riches. An in-country source who works for Martinelli told me he is a tough no-nonsense boss but  also believes in fair play, unlike many other big employers here.

Thus, Martinelli  has already raised the national police force's salary by $100 a month -- an  elegant move that supports his antipoverty and anticrime platform at the same time. To show he means business, Martinelli cracked down on two rich scofflaws and tax cheats operating in the posh and touristy Amador Causeway, by bulldozing parts of their facilities. This was after the Supreme Court in a previous administration had ordered them to pay taxes, but prior presidents had refused to enforce the order. On the surface, this radical approach may seem anti-business, but it is most assuredly not. Coupled with the new anti-crime policy, it has helped Martinelli win the hearts and minds of the middle class, who have long chafed at how powerful entrepreneurs could buy off government officials.

President Martinelli still faces an uphill battle, if only with Panama’s infrastructure. The traffic alone is a daunting problem that greatly impedes progress. New shopping centers arising everywhere can't sell their goods to consumers because consumers can hardly reach them in cars, buses and taxis. Martinelli is eyeing a new subway system but that's years away.

It is too early to predict success but one thing seems clear: unlike Venezuela’s Chavez, he will not nationalize any industries soon, and unlike Obama, he won’t be declaring himself the CEO of any businesses.

A large percentage of Americans have recently been bamboozled into believing free-market economics will inevitably self-destruct if left unregulated; Obama's administration is proving that more regulation doesn't stimulate the economy.

Martinelli has a chance to show the world -- once again -- that a hands-off but law-and-order approach, does.
 
 

Donald Hank is a former language teacher, currently operating a technical translation agency in Wrightsville, PA. He holds an undergraduate degree in French and German from Millersville State University (PA), a Master’s degree in Russian language and literature from Kutztown State College (also in PA), has studied Chinese for 3 years in Taiwan at the Mandarin Training Center, and is self-taught in other languages, having logged a total of 8 years abroad in total immersion situations. He is also the founder of Lancaster-York Non-Custodial Parents, a volunteer organization that provides Christian counseling for non-custodial parents.

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danwhitehead1 said:

	This is great - - - - - - makes me want to head right down there. However, I'm betting that the scum who believe they have the right to rule aren't going to leave this man alone. That is why they have to be struck down - - - without mercy.
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July 21, 2009
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Conservative Propaganda, Lowly rated comment [Show]

Frederick DeWorken said:

External Consultant CB Richard Ellis - Panamá Mr. Hank, I am bullish on Panama as well and I'd like to expand a bit on your analysis of Martinelli as leader of the free world and am thoroughly impressed with your biography. The lengths that you have gone to understand the culture reflects in your analysis and is refreshing. It is true that President Martinelli has committed to end the corruption and back door deal making that has plagued Panama and has done so with remarkable flair and purpose. He has also pledged to invest 12 billion dollars, not including the 5.2 billion that is scheduled to go into the enlargement of the canal, into the Panamanian economy through infrastructure projects and investments. The centerpiece of his plan being the proposed integral transportation system based around a metro for the nation's capital city. His investment plans have already garnered monetary and technical support of the IMF, the World Bank and the Japanese government. His pledge to debureaucraticize the government has been followed by strong initial steps to streamline the tax code and governmental processes while also crusading to eliminate corruption. Top this off with Mr. Martinelli's pledge to prioritize the US-Panama free trade agreement, among others with the EU, Ecuador, Canada and the Dominican Republic and it is easy to see the outlines of a focused effort to promote trade and increase capacity within the country as well as bring more foreign direct investment to Panama. Hopefully, Panamanians and those invested in the market, these plans come through to fruition. The next five years should be very interesting indeed as we track the leader of the free world and his movements at the ‘bridge of the world, the heart of the universe’.

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July 22, 2009 | url
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