The human victims in the fight over rhino poaching in Africa | Al Jazeera America
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At Kruger National Park in South Africa, the economy drives rangers to hunt poachers and poachers to hunt for horn
A forensic team from Kruger National Park gathers evidence at the site of the killing of two rhinos, a male and a female, Dec. 8, 2014. Kate Brooks / Redux Pictures for Al Jazeera America
This is the first of two stories on the human toll of poaching.
KRUGER NATIONAL PARK, South Africa — Vusi Nyathi went to the bush for rhinos. Not to watch them like some tourist, though. He went for a payday, about $5,000, more than he could make in a lifetime in the small village in Mozambique where he grew up.
Vusi Nyathi went to poach rhinos.
He returned in a body bag of thick black plastic.
Rhino poaching has exploded in recent years, driven by demand in China and Vietnam, where people will pay as much as $65,000 per kilogram for horn — a higher price than for gold.
The demand has resulted in the emergence of syndicates paying hundreds of men, generally poor Africans, to risk their lives and their freedom to kill rhinos and bring back the valuable horns. These men are the foot soldiers in a
pitting them against South African authorities responsible for the largest remaining rhino population in the world.
A ranger at the scene of the killing of two rhinos. Kate Brooks / Redux Pictures for Al Jazeera America
Ken Maggs, who heads the environmental crimes unit at South Africa National Parks, known as , says that while South Africa had always experienced poaching, including rhinos, the current spate began after 2007. In that year, 12 rhinos were poached. In 2008 the number leaped to 83.
“For us at the time, it was fairly dramatic, going from losing one animal a month to two or three a month,” Maggs says.
But worse was to come, with rhino poaching increasing exponentially. In 2013 just over a thousand rhinos were killed, and 2014 was expected to be even bloodier.
Maggs has worked on the problems of poaching at Kruger National Park since 1994. There was poaching then, but a ranger’s job entailed mostly aiding conservation and dealing with errant tourists. Today most of the ranger’s efforts are spent in military-style anti-poaching efforts.
More poachers and their unrelenting butchery of the rhinos has changed the nature of a ranger’s work. “It’s escalated to a point where we are spending 80 percent of our time in a pure, almost military-style law enforcement role,” he says.
Despite the demands of the job, few rangers have quit. Maggs is frank about why most stay on: “Employment.”
Visitors to Kruger National Park wait for a rhino to cross the road. Kate Brooks / Redux Pictures for Al Jazeera America
Poachers take only one thing from their prey: the horn. Kate Brooks / Redux Pictures for Al Jazeera America
In the 20 years since the end of apartheid, South Africa has struggled with creating jobs, and the
stands at 25.5 percent. This means that many people struggle to find work and that those who succeed are often supporting several dependents.
“You’ll get some individuals that are really heart and soul conservationists, but generally speaking, it is a job, and jobs are not easy to come by,” says Maggs, “To have a job is really important.”
Thomas Shitlhabani knows this. He’s been a ranger for the past eight years, joining up not long after his father died and he needed to find a way to support his family. With his modest salary as a ranger, he provides not only for his wife and small son but also for seven siblings.
He is a member of SANParks’ special operations team, which means he and his partner, Amos Mzimba, often lead the pursuit of poachers. The job is dangerous, as the bush provides cover for poachers who are armed.
“It worries me a lot. If something happens in the bush,” says Shitlhabani, trailing off as he lets out a heavy breath. “You know I fear for my family. It’s stressful. I’m a breadwinner. There’s no one else to support the family. Once I die, it’s over.”
Maggs says rangers like Shitlhabani might have three or four encounters a month, including firefights, with poachers.
“There are some days we will have three contacts or firefights with poaching groups. The poaching groups are relentless. Day or night, it doesn’t stop,” Maggs says. “We are concerned. This intensity, the number of firefights, poachers wounded, poachers killed, near misses are having a psychological impact on not only rangers but their families.”
Maggs says SANParks has contracted with a psychologist to provide its rangers with counseling, which they receive after any contact with poachers. Earlier this year, for the first time, families of rangers received group therapy with a counselor.
Park ranger Thomas Shithlabani and his wife, Yvonne Shitlhabani, at home. Kate Brooks / Redux Pictures for Al Jazeera America
That group session included Thomas Shitlhabani’s wife, Yvonne Shitlhabani, who is a cleaner at a Kruger guest lodge. With their son, they stay in a small staff accommodation. Their two-room home is meant for a single man, but they squeeze together by putting a bed in the kitchen.
“Thomas is doing dangerous work. This work is not good, because there is poaching and animals. He is working very hard. I am staying a long time [at home] when he goes to work. I miss him so much,” says Yvonne Shitlhabani.
Her husband can spend several days at a time in the bush patrolling or pursuing poachers. While he is away, she thinks the worst. “I am thinking sometimes the poachers will kill him,” she says.
What happens in the bush, he keeps to himself. “He doesn’t tell me because he knows I will be afraid,” she says.
Intimidation is another problem. Many rangers come from the same communities as poachers, making the rangers very unpopular. Like one-factory towns, these communities have become dependent on the money the poaching industry brings.
“Such a large amount of money is being generated by rhino poaching that whole villages are being driven and kept afloat by illegal activities, money generated from rhino poaching,” Maggs says. “Some of the rangers worry about going home, because they may be accused of being a sellout — particularly more when you have poaching individuals killed by rangers."
Park ranger Amos Mzimba with his wife, son and dog. The canine, Killer, has helped him catch 36 poachers. Kate Brooks / Redux Pictures for Al Jazeera America
Mzimba has experienced this firsthand. He recently participated in the arrest of his cousin, who was a field guide at Kruger and from the same village. While in jail, his cousin beat a fellow prisoner, knowing the victim would later see Mzimba at court.
“He did it to send me a message, ‘Tell Amos that I am coming,” Mzimba says.
Only one ranger has been killed and another wounded during an anti-poaching operation, both in the same friendly-fire incident. But rangers and their families live in fear nonetheless. While Maggs worries about that as well, he’s also fearful that a ranger will kill a poacher and be convicted of murder.
Maggs can envision a ranger making a split-second decision and killing a poacher. And if that ranger goes to trial and is convicted, Maggs will have to struggle to keep up morale among his staff.
His fears may be coming true. All shootings by rangers are investigated by local police. Until recently, no ranger had been accused of murder. That changed in December, when three rangers at a park in the southeastern province of KwaZulu-Natal were
of a suspected poacher. Park authorities have denied the accusation.
Accused poachers wait for their cases to be heard at the courthouse in Kruger National Park. Kate Brooks / Redux Pictures for Al Jazeera America
Men confer with defense lawyers about their cases in a room adjoining the court. Kate Brooks / Redux Pictures for Al Jazeera America
After poachers are arrested, they end up in a courtroom in Skukuza, a small town inside the park. The courtroom can seat fewer than 40 people and is in session only one day a week, Wednesday, when the judge, prosecutor and public defenders commute from as far as three hours away.
The bulk of the cases are related to poaching. As court begins, the suspected poachers are led from their cells in groups, usually in threes. Poaching gangs usually work in threes: one to track, one to carry supplies and one to shoot. If they’re successful, the porter will get more than $4,000. The shooter, whose skills are more specialized, will probably make closer to $9,000.
The men standing in front of the judge one recent Wednesday weren’t so lucky. They don’t look like the menacing veterans of Africa’s liberation wars, images held in popular myth. They don’t look old enough. Most are in their 20s, and the oldest is probably in his early 30s. They also look as if they just walked out of the house. Instead of the khaki of a military bush uniform, they wear blue jeans and collared shirts. A couple wear soccer jerseys.
Most are indigent and will be represented by a public defender, but a few have managed a private lawyer, the same lawyer who represents several suspected poachers and who is guarded about how their families are paying his fees.
Gen. Johan Jooste, head of Kruger’s anti-poaching efforts, says close to 80 percent of the poachers who strike Kruger come from Mozambique. All are poor.
“These are destitute poor people that are recruited to do this by crime networks who make the real money,” Jooste says.
Ken Maggs, left, the head of Kruger’s environmental crimes unit, and Otch Otto, the mission area manager, look at a map of Kruger National Park. Kate Brooks / Redux Pictures for Al Jazeera America
The transfrontier park includes national parks in Mozambique, South Africa and Zimbabwe.
SANParks representatives will not say how many poachers are killed in the park. Instead, they use the word “neutralized” to refer to people who have been either arrested or killed. Jooste says more than 300 were neutralized in the area of the park, including 160 inside Kruger. More than 150 firearms were confiscated from the suspected poachers.
The Mozambicans who are arrested or killed come from the small towns and villages that dot the border with South Africa. Kruger National Park is what is known as a transfrontier park, meaning it crosses borders and joins with Gonarezhou National Park in Zimbabwe and Limpopo National Park in Mozambique.
Driving from the South African to the Mozambican side of the park, the contrast is stark. On the South African side are well-maintained roads, either paved or gravel. But in Mozambique the roads are riddled with culverts, and the ride becomes bone-shaking. Animals like zebras and impala, which fill Kruger in South Africa, are fewer and farther between in Mozambique.
Whereas Kruger attracts 1.4 million visitors and provides employment to thousands of South Africans, Limpopo does not appear to be that popular, and locals have not benefited.
A painting of a rhino at a guesthouse in Massingir, a village in Mozambique on the border with South Africa that has become closely associated with rhino poaching. In 2013 rhinos were declared extinct in Mozambique.Kate Brooks / Redux Pictures for Al Jazeera America
Several villages have been forced to relocate from the park — in part to curb poaching — beyond a fence that marks its borders.
“It’s an old story around the world, but specifically in Africa, of affluence and poverty,” Jooste says. “The fence is seen not to keep the animals in the fence but to keep people out.”
The village of Banga was forced to relocate more than a year ago. It was the land Arnié Ngoveni called her home until the relocation. “They say our space was a space for the park,” she says.
Banga is a few dozen huts, most made with the same reddish-brown earth they are built on. Some livestock wanders the outskirts of the village, cows and goats, and one newborn kid bleats plaintively. About 20 children play, chasing one another and wrapping themselves in colorful lengths of cloth.
Unlike at their previous location, Banga’s residents now have little agricultural land. Their previous source of water was a river, but now they have no supply and must pay for water, further putting pressure on these subsistence farmers.
In dire circumstances like those, young men are ready to be recruited by poaching syndicates. It’s easy to find families who have had men killed while on poaching excursions in the park.
“I don’t like the people who go to poaching. It’s poverty. Mostly young men go because they need money, and they go there to risk their lives. I don’t like poaching because sometimes the men die, and it’s not good for the families,” Ngoveni says.
She knows this firsthand. Her grandson was killed last year. He left behind two wives and nine children.
“The first problem is the poverty, because someone can come here and show a bag of money … They say, ‘If you want this money, you should go to the bush,’” Ngoveni says.
Her granddaughter Norton Mongoe is still angry a year later. “He was there in the bush, the field rangers told him to stop, and he didn’t, and the field rangers shot him dead,” she says of her brother. “There was an investigation … I am angry because they killed him, because they were supposed to arrest him and take him to court.”
On the drive to the next village, the interpreter plays a song by a local DJ. Mozambican state radio won’t play it, but it’s a big hit in clubs and house parties in the border areas. It’s a tune addressed to SANParks rangers. “What is wrong with you? People from SANParks trust you so much, but our children are dying. You are killing our people,” the lyrics go.
Women mourn at the funeral of Vusi Nyathi, a poacher who was shot and killed in Kruger National Park.Kate Brooks / Redux Pictures for Al Jazeera America
Nyathi’s grave. Kate Brooks / Redux Pictures for Al Jazeera America
Vusi Nyathi was only in his 20s when he was killed. His nephew Julio Mabuya didn’t know him that well, but in a few days he’ll be hacking down thorn trees in the bush to clear a path toward Nyathi’s grave.
“The field rangers shot him in the leg and here in his face with bullets,” Mabuya says, moving his hand on the side of his own face. “It feels wrong. I’m angry, but there’s nothing to do, because my uncle is dead.”
Mabuya used to travel to South Africa as a migrant laborer but stopped after his last trip ended without his finding work. Though he has little money, he would never go to the bush to poach, for fear of his life, his wife’s and his baby son’s.
Still, he knows the danger won’t deter others. “The money is there. That’s why you’re forced to go there,” he says.
Meanwhile, Nyathi’s grave is only about a meter deep and is lined with cinderblocks. A few dozen villagers have gathered around it as the workman lays the last three bricks near where his head was laid. These three bricks form a small pyramid without embellishment or adornment. This will be the only headstone he will get.
As the first shovels of dirt hit the thick black plastic, his widow begins to cry out, and she collapses at the gravesite. She is led away by some of the men as shovels of dirt continue to fall in the grave. Halfway through, broken plates and clothes are thrown into the grave, actions prescribed by a local healer or "sangoma.''
More women begin to shout and wail as the men take turns with the shovel, continuing to fill the grave in silence.
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UNITED STATES OF AMERICA
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COUNTRY OVERVIEW
LOCATION AND SIZE.
The 48 states that make up the continental United States are located in
North America between Mexico and Canada. The state of Hawaii is located
in the Pacific Ocean, midway between North America and Asia, and the
state of Alaska is located on the extreme northwest corner of North
America. The United States also controls a number of small islands in
the Caribbean and the Pacific. The nation is the third-largest country
in the world in area behind Russia and Canada. It has a total area of
9,629,091 square kilometers (3,717,792 square miles). This total
includes the 50 states and the District of Columbia, but not the
nation's territories and dependencies. Of this territory,
9,158,960 square kilometers (3,536,274 square miles) are land, while
there are 470,131 square kilometers (181,517 square miles) of water. The
United States is about one-half the size of Russia, and slightly larger
than either Brazil or China. It shares long borders with both Canada
(8,893 kilometers or 5,526 miles) and Mexico (3,326 kilometers or 2,066
miles). The nation's total borders are 12,248 kilometers (7,610
miles) long. The Eastern United States borders the Atlantic Ocean and
the Caribbean Sea, while the West Coast borders the Pacific Ocean. Areas
of Alaska border the Arctic Ocean. In all, the country has 19,924
kilometers (12,380 miles) of coastline. The nation's capital is
Washington, D.C., which is located on the East Coast, almost midway
between Maine and Florida. The capital has a population of 519,000, but
America's largest cities are New York, with a population of
7,428,162, followed by Los Angeles with 3,633,591 people, and Chicago
with 2,799,050.
POPULATION.
The population of the United States was estimated to be 275,562,673 in
July 2000. Females slightly outnumbered males and there were 0.96 males
for every female in the population. This phenomenon is most pronounced
among the elderly and is partially the result of longer life spans for
women. In the United States, the life expectancy for males is 74.24
years, but 79.9 for females. The elderly are the fastest growing segment
of the population and thus have contributed to the
"greying" (aging) of the American population. In 2000,
those aged 65 and older accounted for 12.64 percent of the population.
Meanwhile, those Americans age 14 and younger accounted for 21.25
percent of the population. The most significant factor causing the
greying of the population is the aging of the baby-boomers (those people
born in the aftermath of World War II when there was rapid population
growth or a "boom" period of births). Over the next
decade, many of the baby-boomers will reach retirement age, creating new
pressures on the health-care and retirement systems. By 2030, the
elderly population in the United States will have doubled.
After periods of dramatic population growth early in the 20th century,
the American population is now growing at a slow rate of 0.91 percent
per year. By 2010, the population is expected to be 297,976,000. The
birth rate is 14.2 births per 1,000 people, and the mortality rate is
8.7 deaths per 1,000. The fertility rate is 2.06 children born per
woman. Fertility rates have thus stabilized at replacement levels (a
point at which there are just enough births to replace the
children's parents). Much of the increase in the population is
not the result of the birth rate, but rather because of
immigration
. There are about 3.5 new immigrants to the United States for every
1,000 people in the country. In 1998, there were 660,477 legal
immigrants admitted to the United States. In addition, there were an
estimated 500,000 to 1 million illegal immigrants.
The American population is one of the most diverse in the world and is
constantly changing because of immigration and differences in birth
rates. In 1970, non-white minority groups accounted for 16 percent of
the population, but by 1998 these groups accounted for 27 percent of the
population and estimates are that by 2050, minorities will account for
more than 50 percent of the population. Currently, whites make up 72.2
percent of the population. African Americans are the largest minority
group at 12.6 percent of the population, followed by Hispanics at 10.6
percent, Asians at 3.7 percent, and Native Americans at 0.8 percent.
However, between 2005 and 2010, Hispanics are expected to overtake
African Americans to become the largest minority group. The largest
ethnic group in the United States is the Germans
(42.9 percent), followed by the Irish (28.6 percent), Africans (12.6
percent), and the Italians (10.8 percent).
For most of its history the United States was a rural nation, but
through the 20th century there was increasing urbanization. In 2000, 76
percent of the American population lived in urban areas and 53 percent
lived in or near the nation's 20 largest cities. There are now 9
cities in the United States that have populations of more than 1 million
people. In order of size, they are New York, Los Angeles, Chicago,
Houston, Philadelphia, San Diego, Phoenix, San Antonio, and Dallas. In
addition, there are a number of cities, including Detroit and San Jose,
with populations near 1 million.
Despite the nation's size, the population density of the United
States is relatively low. There are 28.4 people per square kilometer
(73.5 people per square mile) in the United States. However, this
density is uneven. For instance, the population density of New York City
is 8,880 per square kilometer (23,000 per square mile). The state with
the highest population density is New Jersey (386 people per square
kilometer, or 1,000 per square mile). Alaska has the lowest density with
less than 1 person per square kilometer (at about 1 person per square
mile). The United States also has one of the most mobile populations in
the world. Although 84 percent of the population lives in the same
residence as they have for the past 5 years, the average American will
move 6 times during his or her lifetime.
MANUFACTURING AND CONSTRUCTION.
The strong economy of the 1990s produced record profits for many
American manufacturing firms. Sales of manufactured goods totaled $354.9
billion in 1999. One result of this has been increased investment in new
factories and equipment and in research and development of new products.
Profits in industry have also been aided by the increased productivity
of workers. New investment by industry increased by 9 percent since
In the manufacturing sector, durable goods (products that are designed
to last 5 years or more) accounted for 9.5 percent of the
nation's GDP while non-durable goods, such as food or clothing,
accounted for 6.9 percent of GDP. In 2000, the main durable goods were
electronic products, motor vehicles, industrial machinery, fabricated
metal products, lumber and wood products, and other transportation goods
(including airplanes and aerospace equipment). In 1999, there were 11.1
million people employed in the manufacture of durable goods. The main
non-durable goods sectors were food and foodstuffs, printing and
publishing, chemicals and pharmaceuticals, rubber and plastics, textiles
and clothing, and tobacco. In 1999, there were 7.44 million Americans
working in the non-durable goods production sector of the economy.
Because of increased production, many American workers in the
manufacturing sector worked more than 40 hours a week in order to keep
up with demand. In 1999, the average manufacturing employee worked 4.6
hours of overtime per week. Average earnings in the manufacturing sector
were $13.24 per hour. This marked a 3.3 percent increase in earnings
from the previous year. American manufacturing companies were operating
at about 82 percent of total capacity in 1999. In comparison, throughout
the 1980s and early 1990s these companies were operating at an average
of only 76 percent of capacity. The greatest gains in productivity in
the manufacturing sector were in electronics, industrial machinery, and
automobile production.
million Americans worked in the construction industry. The
total value of new construction that same year was $764 billion. This
included $172.1 billion worth of construction by local, state, and
national governments. There were 1.66 million new houses built and
299,700 business structures completed.
ENERGY AND MINING.
The United States produces 74 percent of its energy needs. The nation
has significant reserves of coal, natural gas, and hydroelectric power.
The United States has the sixth-largest reserves of natural gas and is
one of the world's largest producers of gas. The United States is
also the third-largest exporter of coal. The nation has the
twelfth-largest reserves of oil, but it is one of the world's
largest importers of oil. About 57 percent of the oil consumed in the
United States is imported. The majority of the nation's oil
production is concentrated in Alaska, Texas, Louisiana, and California.
Although profits for U.S. energy companies have doubled since 1990, many
companies have shifted their efforts to develop new oil fields overseas.
The 15 largest U.S. energy companies now have operations in such diverse
places as Asia, Africa, and South America. There has been increased
consolidation in the energy field. In 1999, Exxon and Mobil merged to
form the largest private energy company in the world, worth $81 billion.
This was followed in 2000 by a merger announcement between Chevron and
Texaco. Rising oil prices in the United States contributed to the
economic slowdown that began in 2000.
Non-fuel mineral production in the United States in 1997 amounted to
$39.6 billion. The major minerals included zinc, lead, gold, iron ore,
phosphates, and platinum. Eleven states accounted for 56 percent of
total production. There were also $26.7 billion worth of mineral
commodities produced. The main commodities were crushed stone, cement,
copper, sand, lime and clays. Many of these products were used in the
construction industry. In 1999, mining employed about 535,000 people.
INFORMATION TECHNOLOGY.
One of the fastest growing areas of the U.S. economy is IT. This
includes the development of computer software and computer applications
for business and government, as well as new methods of communication.
The IT sector also covers systems that integrate new technologies. For
instance, IT includes systems that link Internet access and mobile
phones. Although IT accounts for only a small part of the U.S. GDP (8.3
percent in 2000), it is responsible for one-third of new output. In
addition, spending on IT software and services accounted for 11 percent
of the 14 percent increase in business spending on
procurement
in 2000. IT was also responsible for a 30 percent growth in personal
income. Most of the technology involved in this sector of the economy
was invented before 1990, including the personal computer, fax machine,
cellular phone and Internet. It has only been since 1995 that systems
have been developed that integrate these new technologies.
Retail and wholesale trade has posted substantial growth since 1993. By
2000, retail and wholesale trade employed 25 percent of all workers in
private sector
and accounted for 19.3 percent of all businesses. Strong sales in these
sectors have been bolstered by increases in productivity. Average worker
productivity has increased by about 5 percent per year since 1995. Wages
in the retail sector are far lower than the national average. In 1999,
the average wage for retail workers was $9.08 per hour, while the
national average wage was $13.24 per hour. In addition, retail workers
usually work less than 40 hours per week (on average just 29 hours) and
often do not have benefits such as health insurance and retirement.
Increases in sales and productivity have meant dramatic profits for many
retailers. However, many companies have not been able to compete with
the mega-retail firms such as Wal-Mart, K-Mart, and Target. By 2001,
many of the country's oldest and most respected
firms—including Montgomery Ward and Bradlees— were
bankrupt. Wal-Mart is the nation's number-one retail store, and
in 2000, it came in second place only to General Electric in overall
sales among all American companies (including such firms as Ford,
Microsoft, and Exxon Mobil). The number-two retail firm was Home Depot.
Along with this trend has been the slow demise of the mom-and-pop stores
(small, independent, often family-owned businesses that are usually
involved in retail ventures such as service stations and neighborhood
grocery stores). One of the fastest growing segments of the retail
e-commerce
(business that is conducted through the Internet). The United States
currently leads the world in e-commerce. In 2000, e-commerce was worth
$35 billion in the United States as 11 million consumers purchased
products via the Internet. However, initial estimates of wild growth in
the sector have not come true and many online companies have struggled
to become profitable. Official government estimates were that e-commerce
would be worth $800 billion by 2005, but new estimates place that figure
at only $230 billion.
DEPENDENCIES
As part of the Treaty of Paris, which ended the Spanish-America War in
1898, Guam became part of the United States. The island is currently a
dependency of the nation, but many on Guam seek commonwealth status,
like Puerto Rico, which would give the territory increased autonomy and
control over its government and economy. The territory has an elected
governor and assembly and sends 1 non-voting representative to the U.S.
House of Representatives.
Guam is located in the Pacific Ocean and has an area of 541 square
kilometers (211 square miles). Its population is 150,000. The
territory's GDP is $4.6 billion and its
GDP per capita
is $24,000. Guam uses the American dollar as its currency. There is a
substantial U.S. military presence in Guam, with 23,000 troops and their
dependents. The main products and industries of Guam's economy
include petroleum products, tourism, retail sales, construction
materials, and fish. Its main trading partners are the United States and
In 1997, Guam had a total of 2,707 businesses, which ranged from
construction companies to retail stores and included hotels and a
variety of service companies. Total employment on Guam in 1997 was
42,477 (this does not include the military and those engaged in
subsistence farming
and fishing). Tourism plays a strong part in the territory's
economy and hotels and motels had $460 million in revenues in 1997,
while tourist shops and souvenir businesses had $415.9 million in sales.
Total sales for the retail sector were $1.8 billion. Total employees
numbered 15,334. Two factors have helped maintain the growth of the
retail industry. The first is sales to military families. The second is
sales to foreign tourists. Guam allows tourists to buy goods without
paying a sales tax. Since U.S. products are cheaper on Guam than in
Japan, this tax-break further lowers the cost and has made the island a
popular stop for Japanese tourists to shop. The island is also home to
the world's largest K-Mart store.
Behind retail and tourism, all other service industries including,
legal, medical, maintenance and transportation services had combined
total revenues of $1.18 billion and employed 15,336 people.
Manufacturing and construction made up only a small part of the economy.
In 1997, manufacturing employed 1,320 people and had revenues of $164
million. Construction employed 7,094 people and had revenues of $505
During the 1990s, the economy of Guam expanded significantly. Although
construction was down by 29 percent during the decade, most other
segments of the economy have posted impressive gains. Retail sales were
up by 65 percent while wholesale revenues have increased by 120 percent.
Service revenues have increased by 81 percent and manufacturing by 49
percent. This growth has led to a higher
inflation rate
than the American average, 4 percent compared with 1.7 percent. The
economy will likely continue to grow in the near future. The
island's dependency on food imports and tourism makes it
vulnerable to price increases and economic slowdowns by its major trade
THE VIRGIN ISLANDS.
The territory of the U.S. Virgin Islands consists of 3 islands and small
cays (low island or reef) in the Caribbean. The 3 main islands are St.
Croix, St. Thomas, and St. John. Combined, these islands have a total
area of 350 square kilometers (135 square miles). The total population
of the territory is 125,000. The majority of the population lives on St.
Croix and St. Thomas (only about 4,500 people live on St. John).
In 1997, the GDP of the Virgin Islands was $2.3 billion and its per
capita GDP was $17,000. The economy of the Virgin Islands employs about
41,800 people. There are a further number of seasonal jobs that are
dependent on tourism, and a percentage of the population works outside
of regular businesses in subsistence farming and fishing. The dominant
industry is tourism. There is also a significant retail sector in the
islands and some minor oil refining. The territory's main trade
partners are the United States and Puerto Rico. The majority of the
citizens of the islands are of African descent (75 percent), but there
is also a significant community of whites who moved to the islands from
the United States (13 percent) as well as Puerto Ricans (5 percent).
Because of their strategic importance as naval ports, the United States
purchased what is now the U.S. Virgin Islands from Denmark at the
outbreak of World War I in 1914 for $25 million. The islands were
granted home rule in 1970 and remain unincorporated American
territories.
Tourism dominates the economy of the Virgin Islands. Not only does it
provide income for people who directly work in tourist-related
activities, but it also drives the retail and service sectors of the
economy. The islands are serviced by most major American airlines and
many of the world's major cruise lines. About 2 million tourists
visit the islands each year. Services, including tourism and retail
sales, produced $1.8 billion in revenues in 1997. This represented a 20
percent increase since 1990. Retailers and wholesalers employed about
9,000 people, while other services—including lodging,
transportation and personal services—employed 10,600 people.
Industry, mainly oil production and construction, employed 3,500 workers
and had a total output of $200 million. A small number of financial
institutions have established themselves on the islands. Financial
services, including banking, insurance and real estate, employ about
1,900 people.
The economy of the Virgin Islands was stable throughout the 1990s, but
the tourist industry experienced a period of slow—and in some
years, negative—growth. Crime and high costs prompted many
tourists to go elsewhere in the Caribbean. As a result, several major
airlines cut service to the territory. A reform program that cut the
number of government workers from 12,000 to 10,200 employees caused a
slight increase in unemployment. These factors will continue to
constrain the economy and limit the potential for future growth.
BIBLIOGRAPHY
Carson, Thomas, editor.
Gale Encyclopedia of U.S. Economic History.
Detroit: Gale Group, 1999.
Collins, Robert M.
More: The Politics of Economic Growth in Postwar America.
Oxford and New York: Oxford University Press, 2000.
Dahms, Harry F., editor.
Transformations of Capitalism: Economy, Society, and the State in
Modern Times.
New York: New York University Press, 2000.
Economist Intelligence Unit.
Country Profile: United States of America.
London: Economist Intelligence Unit, 2001.
"Fiscal Year 2002 Budget."
Office of Managment and Budget, Executive Office of the President of
the United States.
. Accessed October 2001.
Stein, Herbert, and Murray Foss, with Matthew Clement.
The Illustrated Guide to the American Economy.
Washington, D.C.: AEI Press, 1999.
U.S. Central Intelligence Agency.
World Factbook 2001.
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U.S. Council of Economic Advisers.
Changing America: Indicators of Social and Economic Well-Being by Race
and Hispanic Origin.
. Accessed February 2001.
The U.S. Economy.
Lexington, MA: Standard & Poor's DRI, 1999.
Weis, Linda and John M. Hobson.
States and Economic Development: A Comparative Historical Analysis
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World Trade Organization.
Trade Policy Review: United States, July 1999.
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Wurman, Richard Saul.
Understanding.
Newport, RI: TED Conferences, 2000.
Zupnick, Elliot.
Visions and Revisions: The United States in the Global Economy.
Boulder, CO: Westview Press, 1999.
—Tom Lansford
Washington, D.C. (District of Columbia).
MONETARY UNIT:
United States dollar ($). One U.S. dollar equals 100 cents. There are
coins of 1, 5, 10, 25, 50 cents and 1 dollar. There are notes of 1, 2,
5, 10, 20, 50, 100, 1,000, and 10,000 dollars.
CHIEF EXPORTS:
Capital goods, automobiles, industrial supplies and raw materials,
consumer goods, and agricultural products.
CHIEF IMPORTS:
Crude oil and refined petroleum products, machinery, automobiles,
consumer goods, industrial raw materials, and food and beverages.
GROSS DOMESTIC PRODUCT:
$9.963 trillion (2000 est.).
BALANCE OF TRADE:
$776 billion (2000 est.).
$1.223 trillion (2000 est.).
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