Responsible Economics for Zihuatanejo

Zihuatanejo circa 1971  (photo by Gene "Cri-Cri" Lysaker)
Zihuatanejo circa 1971 (photo by Gene "Cri-Cri" Lysaker)

The reason capitalism is slowly but surely falling apart at the seams is because there is no incentive to be ethical or even rational in the use of resources or the distribution of profits. There is no incentive to be a good neighbor or a positive asset to a community. You don’t even have to treat your workers well. The only incentive is to make a profit at any and all cost, which often involves deception not only of folks outside the corporation but also within. So now the big capitalist countries are bailing out their BANKS and LARGE CORPORATIONS that should have failed and disappeared and been replaced by banks and corporations that implemented better business practices, according to laissez faire economics. While millions of good citizens are losing their jobs and homes. This is the consequence of years of failed economic policies such as Reagan’s “trickle down economics”. It’s also the result of glorifying greed.

Rational planning that incorporates not only rational use of resources but just as importantly good ethics and respect for communities, meaning their environment AND their people, must be the next step in economic evolution. It will obviously take a more socialistic approach to reach that step since it is plain as day that the large corporations won’t do the right thing even when on the verge of collapse and bankruptcy. We need a new economic model that takes into account the rational use of resources (including mandatory recycling instead of disposability) as well as social and environmental responsibility. No more bailouts for “burn baby burn” corporate toadies!

So under an ethically and socially responsible economic system, for example, if a store like WalMart wishes to open in a small community like Zihuatanejo where they will put dozens if not hundreds of families out of work via economic displacement in a finite market, they should have to hire and train only locals. Same with the big hotels. But this hasn’t ever been the case here, and instead of prosperity with our region’s economic growth we’ve seen more marginalization and more impoverishment as more and more outsiders suck on the teats of Zihuatanejo’s cash cow.

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