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center for economic and policy research
'Far Too Little, Far Too Late,' Say Critics as Biden Finally Removes Cuba From Terror List
"Seriously? You wait until six days before leaving office to do what you promised to do during your 2020 campaign?" said one observer.
Jan 14, 2025
In a move likely to be reversed by the incoming Trump administration, President Joe Biden on Tuesday notified Congress of his intent to remove Cuba from the U.S. State Sponsors of Terrorism list, a designation that critics have long condemned as politically motivated and meritless.
Noting that "the government of Cuba has not provided any support for international terrorism" and has "provided assurances" that it will not do so in the future, the White House said in a memo that the Biden administration is moving to rescind the first Trump administration's January 2021 addition of Cuba to the State Sponsors of Terrorism (SSOT) list and take other measures to ease some sanctions on the long-suffering island of 11 million inhabitants.
Cuba's SSOT designation was based mostly on the socialist nation's harboring of leftist Colombian rebels and several U.S. fugitives from justice for alleged crimes committed decades ago, even though no other country has been placed on the SSOT list for such a reason and despite right-wing Cuban exile terrorists enjoying citizenship—and even heroic status—in the United States.
"Despite its limited nature, it is a decision in the right direction and in line with the sustained and firm demand of the government and people of Cuba, and with the broad, emphatic, and repeated call of many governments, especially Latin America and the Caribbean, of Cubans living abroad, political, religious and social organizations, and numerous political figures from the United States and other countries," the Cuban Ministry of Foreign Affairs said in a statement.
"It is important to note that the economic blockade and much of the dozen coercive measures that have been put into effect since 2017 remain in force to strengthen it, with full extraterritorial effect and in violation of international law and human rights of all Cubans," the ministry added.
For 32 straight years, the United Nations General Assembly has overwhelmingly voted for resolutions condemning the U.S. blockade of Cuba. And for 32 years, the United States, usually along with a small handful of countries, has opposed the measures. Last year's vote was 187-2, with Israel joining the U.S. in voting against the resolution.
Cuba followed Biden's move by announcing it would "gradually" release 553 political prisoners following negotiations with the Catholic Church, The New York Timesreported.
Many progressives welcomed Biden's shift. Congresswoman Nydia Velázquez (D-N.Y.) said in a statement that Cuba's SSOT designation "has only worsened life for the Cuban people without advancing U.S. interests" and "has made it harder for Cubans to access humanitarian aid, banking services, and the ability to travel abroad."
"It has also deepened food and medicine shortages and worsened the island's energy crisis, especially after Hurricane Rafael," she added. "These hardships have driven an unprecedented wave of migration, leading to the largest exodus in Cuba's history."
Rep. Ilhan Omar (D-Minn.) called Biden's move "a long overdue action that will help normalize relations with our neighbor."
"This is a step toward ending decades of failed policy that has only hurt Cuban families and strained diplomatic ties," Omar added. "Removing this designation will help the people of Cuba and create new opportunities for trade and cooperation between our nations. I look forward to continuing the work to build bridges between our countries and supporting policies that benefit both the American and Cuban people."
David Adler, the co-general coordinator at Progressive International, called the delisting "far too little, far too late."
"POTUS removing Cuba's SSOT designation in the final days of his presidency only means one thing: He knew—from day one—that the designation was simply an excuse to punish the Cuban people," Adler added. "But he maintained it anyway. Sickening."
The peace group CodePink released a statement welcoming Biden's shift, but adding that "it is unacceptable that it took this administration four years to address these injustices."
"President Biden made the inhumane decision every single day to not alleviate the suffering of millions of Cubans by keeping this designation in place," the group added. "As we mark this overdue progress, we can only hope that the Trump administration does not reverse these crucial steps towards justice and diplomacy."
Trump's nominee for secretary of state, Sen. Marco Rubio (R-Fla.) is the son of Cuban immigrants and a fierce critic of Cuba's socialist government. In 2021, Rubio introduced legislation aimed at blocking Cuba's removal from the SSOT list. Trump has also tapped Mauricio Claver-Carone—a staunch supporter of sanctioning Cuba—as his special envoy for Latin America.
Alex Main, director of international policy at the Center for Economic and Policy Research, said Tuesday that "while this decision, which comes years after 80 members of Congress urged Biden to reverse Trump's 'total pressure' approach should have been made long ago, it is better late than never."
"Sixty years of failed policy should be more than enough, and hopefully the new administration will have the wisdom and the courage to pursue a new course, one that's in the best interest of both the U.S. and the Cuban people," Main added.
Cuba was first placed on the SSOT list by the Reagan administration in 1982 amid an ongoing, decadeslong campaign of U.S.-backed exile terrorism, attempted subversion, failed assassination attempts, economic warfare, and covert operations large and small in a futile effort to overthrow the revolutionary government of longtime leader Fidel Castro. Cuba says U.S.-backed terrorism has killed or wounded more than 5,000 Cubans and cost its economy billions of dollars.
In stark contrast, Cuba has not committed any terrorism against the United States.
Former President Barack Obama removed Cuba from the SSOT in 2015 during a promising but ultimately short-lived rapprochement between the two countries that abruptly ended when Trump took office for the first time in 2017.
"Cuba will continue to confront and denounce this policy of economic war, the interference programs, and the disinformation and discredit operations financed each year with tens of millions of dollars from the United States federal budget," the Cuban Foreign Ministry said Tuesday. "It will also remain ready to develop a relationship of respect with that country, based on dialogue and noninterference in the internal affairs of both, despite differences."
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Fed 'Waited Too Long' But Finally Cut Interest Rates
"The Fed must continue to cut rates aggressively in the coming months to prevent a slowing labor market and provide much-needed relief to people who are bearing the brunt of high interest rates," said one economist.
Sep 18, 2024
Economists and working-class people across the United States on Wednesday welcomed the Federal Reserve's decision to cut its benchmark interest rate by half a percentage point as an incredibly overdue and necessary move.
In line with signals from Fed Chair Jerome Powell's speech last month, the Federal Open Market Committee lowered the federal funds rate by half a percentage point to 4.74-5%, the first cut "since March 2020 when Covid-19 was hammering the economy," as The Associated Pressnoted. Additional cuts are expected over the next two years.
"Finally," wrote Kenny Stancil, a senior researcher at the Revolving Door Project and former Common Dreams staff writer, in a blog post. "The Fed should have provided interest rate relief months ago. While this overdue move is welcome, we must reiterate that Powell's deferral of interest rate cuts has hurt the clean energy transition and inflicted other economic harms."
Lawmakers and experts, including Groundwork Collaborative chief economist Rakeen Mabud, have long called for rate cuts and highlighted the harms of refusing to pursue them.
"Today's rate cut is a step in the right direction, but only a first step," said Mabud in a statement Wednesday. "The Fed must continue to cut rates aggressively in the coming months to prevent a slowing labor market and provide much-needed relief to people who are bearing the brunt of high interest rates."
Center for Economic and Policy Research senior economist Dean Baker also welcomed that the Fed is changing course, saying: "This is a belated recognition that the battle against inflation has been won. Contrary to the predictions of almost all economists, including those at the Fed, this victory was won without a major uptick in unemployment."
"Unfortunately, the Fed waited too long to make this turn," Baker continued. "As a result, the unemployment rate has drifted higher. While there is little basis for concerns about a recession, if the unemployment rate is 0.5 percentage points higher than it needs to be, that translates into 800,000 people out of work who want jobs."
"It is good that the Fed has now recognized the weakening of the labor market and responded with an aggressive cut," he added. "Given there is almost no risk of rekindling inflation, the greater boost to the labor market is largely costless. Also, it will help to spur the housing market where millions of people have put off selling homes because of high mortgage rates."
Liz Zelnick of Accountable.US similarly stressed the benefits, saying that "while it should have come sooner, the Fed's interest rate cut will ease some burden for many Americans that found it simply too expensive to buy new homes or cars."
"Fortunately, the Fed's aggressive interest rate strategy defied odds and did not spur a recession as the economy continues to grow hundreds of thousands of jobs every month while wages are rising," she said. "Persistently high interest rates were never going to get at the root of the corporate price gouging epidemic that has needlessly kept prices high on many necessities—a problem that is on Congress to fix."
Some members of Congress who have been pushing for rate cuts also applauded the belated action—including Sen. Martin Heinrich (D-N.M.), chair of the Joint Economic Committee.
"Let's be clear: Today's decision is a big win for families across the country," he declared. "Lower rates mean that more families will be able to buy a home or a car without high interest payments looming over them, and their credit card bills will go down."
"But there is still work to be done," he said. "I will continue to work with my colleagues to fight for policies that raise wages, strengthen our economy, create new jobs, and lower prices for families in New Mexico and across the country."
Congressman Brendan Boyle (D-Pa.), ranking member of the House Budget Committee, has also criticized the central bank's refusal to cut rates and praised the Wednesday reversal.
"We've made significant progress on inflation, but House Democrats know there is more to be done to bring down the cost of everyday goods and take on corporate price gouging," Boyle said, nodding to the November election in which former Republican President Donald Trump is facing Democratic Vice President Kamala Harris.
"While House Republicans continue trying to inflict higher costs and higher taxes on the middle class with Trump's Project 2025 agenda," he added, "House Democrats will never stop fighting to deliver an economy that works for working families."
Harris similarly applauded the "welcome news for Americans who have borne the brunt of high prices" while acknowledging that more must be done and vowing that "my focus is on the work ahead to keep bringing prices down."
"I know prices are still too high for many middle-class and working families, and my top priority as president will be to lower the costs of everyday needs like healthcare, housing, and groceries. That is why I am proposing plans to cut taxes for more than 100 million working and middle-class Americans, pass the first-ever federal ban on corporate price gouging on food and groceries, and make housing more affordable by building 3 million new homes and giving more Americans down payment assistance," she said.
The Democrat also took aim at Trump's intentions, warning that "while proposing more tax cuts for billionaires and big corporations, his plan would increase costs on families by nearly $4,000 a year by slapping a Trump Tax on goods families rely on, like gas, food, and clothing. He wants to repeal the law I cast the tie-breaking vote to pass that caps the costs of prescription drugs for seniors, including insulin at $35. He would end the Affordable Care Act and erase the progress we have made to lower premiums for millions of Americans by hundreds of dollars a year."
"Sixteen Nobel Prize-winning economists say his plan would increase inflation, and a Moody's report found it would cause a recession by the middle of next year," she noted. "This election is about whether we are going to finally build an opportunity economy that gives every American a shot not just to get by, but to get ahead. As president, that will be my priority every day."
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Report Details Best Path Forward to End Political Crisis in Venezuela
The Center for Economic and Policy Research warned the U.S. against piling on economic sanctions that have "taken the lives of tens of thousands of Venezuelans" and "helped create the current crisis."
Aug 14, 2024
A report released Tuesday by a U.S.-based think tank calls on the Biden administration to support a regional effort to reach a negotiated solution to Venezuela's dangerous political crisis as the country's president and right-wing opposition continue to declare themselves the rightful winners of last month's election.
The new analysis by the Center for Economic and Policy Research (CEPR) argues that Brazil, Mexico, and Colombia's attempt at mediation and dialogue—not additional economy-crushing sanctions by the U.S. and other Western nations—represents "the best opportunity for bringing about a peaceful resolution of the current crisis."
U.S. sanctions, the report notes, "have taken the lives of tens of thousands of Venezuelans and fueled the migration of millions more." Other "failed policies" include "military coup attempts, such as those that U.S. administrations supported in 2002 and 2019," the report adds.
"Recognizing a parallel government, or imposing more sanctions on Venezuela, will only make the crisis much more difficult to resolve; in fact, these policies helped create the current crisis," CEPR said.
The report comes less than two weeks after the U.S. State Department formally recognized Edmundo González, Venezuela's opposition candidate, as the winner of last month's presidential election over incumbent President Nicolás Maduro, who says he prevailed in the contest that has attracted close scrutiny and calls for transparency from the international community and independent watchdogs.
A four-member team of United Nations experts that was in Venezuela's capital for more than a month ahead of the presidential election—at the invitation of Venezuela's Consejo Nacional Electoral (CNE)—issued an interim report Tuesday that criticizes the CNE's management of the July 28 contest, arguing that it "fell short of the basic transparency and integrity measures that are essential to holding credible elections."
While turnout was significantly higher than in 2018 and the election "took place in a largely peaceful environment and was logistically well-organized," the U.N. experts said, the CNE's "announcement of an election outcome without the publication of its details or the release of tabulated results to candidates has no precedent in contemporary democratic elections."
"This had a negative impact on confidence in the outcome announced by the CNE among a large part of the Venezuelan electorate," the experts added. The CNE said Maduro won the election with just under 52% of the vote.
"The new presidential term in Venezuela does not begin until January 2025, providing more than four months for all sides to reach a negotiated agreement."
CEPR's assessment of the contest and its aftermath resembled that of the U.N. experts. The watchdog group criticized the CNE's failure to "release a breakdown of the results at the voting table (mesa de votación) level" and urged it to make the information public "as promptly as possible."
"The government has rejected the authenticity of the tally sheets published by the opposition," CEPR's report notes. "But the case it has made so far has been unconvincing, presenting about three dozen purported tally sheets (out of about 25,000) where there are allegedly missing signatures and similar issues which are common in most electoral processes."
CEPR also criticized the opposition for backing "what amounts to a military coup," threatening a repeat of "the errors that many opposition politicians made in 2019 when they called on the armed forces to turn against the government and support the installation in the presidency of Juan Guaído, a member of the National Assembly who was never elected president."
"Extra-constitutional efforts of this sort should be vigorously opposed internationally," CEPR said. "Likewise, the government needs to ensure that security forces adhere to international human rights standards when responding to protests and disturbances; they should also refrain from carrying out arbitrary detentions."
Amid calls to release detailed election results, Maduro has taken his case to Venezuela's Supreme Court, which is conducting a review of the election.
While the Biden administration is reportedly considering fresh sanctions against Venezuela, Reutersnoted Tuesday that U.S. officials have "so far held off on new punitive measures."
"The presidents of Brazil, Mexico, and Colombia are coordinating action while calling for full access to voting records, while a coalition including the U.S., Canada, Panama, and others are holding separate talks among each other and with Venezuela's opposition," Reuters added.
CEPR stressed in its report that "the new presidential term in Venezuela does not begin until January 2025, providing more than four months for all sides to reach a negotiated agreement and allow for diplomatic efforts to take shape."
"In that regard, it seems like the most promising efforts are led by the group formed by Brazil, Mexico, and Colombia, who are 'holding conversations with both sides,'" CEPR added, citing Associated Pressreporting. "The likely alternative is not promising: If these governments were to be sidelined, the United States would likely play a bigger role together with right-wing regional governments who are allied with Washington. Given the history described above, it is highly unlikely that this would result in a positive outcome for Venezuela."
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