Despite Ecuador’s economic hardships during the corporatocracy’s funding and, under the pretense of altruistic funding on Ecuador’s modern oil infrastructure, Ecuador, today, experiences greater economic prosperity than it did prior to the 2000s. In Confessions of an Economic Hit Man, John Perkins discusses the emergence of banking in Ecuador during the Oil Boom that sought to kept its government dependent (Confessions of an Economic Hit Man). In this paper, I will discuss how this system was created so that Ecuador would default on its debt obligations, compromising its own sovereignty in its right to its resources.
Since the arrival of the economic hit men, the “official poverty level grew from 50 to 70 percent, under- or unemployment increased
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The bankers touted the oil industries as if they would bring about massive revenue growth that would be realized directly into the economy instead, it lead to inaccessible potable water and highly priced water. In 2004, Ecuador, as obligated, transferred ownership of its largest water system to foreign operators, then British Petroleum would receive oil concession, building their own pipeline over the Andes (Prescription for cashing on poverty, 2002). Furthermore, the World Bank and the IMF exploited the already poor country by price-gouging oil and firing 120,000 workers so Ecuador could meet its debt obligations which resulted, and not to the surprise, in Ecuadorians protesting the mandates. So when the promised change and transformation of Ecuador’s economy never happened, its people were forced to deal with detrimental impositions. Any gains made by the policy would eventually be reversed, how can a country be better of its own people can't afford water because of profit-seeking multinationals appropriating resources necessary to sustain life just to make a little more