Central America and the Caribbean

Central America and the Caribbean

By the end of the 1960s, most of the sundrenched Caribbean islands had gained their independence from colonial overlords. But many Central American governments were still dominated by military strongmen. In Central America, Mexico was one of the few countries to escape a military coup. The last quarter century has in many ways not been much different from years past; shaky, often dictatorial governments ; just as shaky economies dominated by a wealthy few; and American intervention more than a sometime thing.

1979 – Nicaragua turns Communist: Sandinista guerrillas win their war against Nicaraguan dictator Anastasio Somoza and establish a communist regime. The United States throws its support to the contra guerrillas in their struggle to dismantle the Sandinista government. Guerrilla warfare mars the country until Violeta Barrios de Chamorro wins the presidency from Sandinista Daniel Ortega Saavedra in 1990.

1983 – The U.S. invades Grenada: A military coup in Grenada sparks a U.S. Invasion, which ends the island’s four-year socialist experiment. About 1,200 U.S. Marines, Army Rangers, and Navy Seal commandos are involved, as well as 300-man force made up of soldiers and police from surrounding islands. Publicly, the U.S. Government justifies the invasion by citing the need to protect American students attending medical school on the island.

Jamaican flag. Photo by Elena

1989 – the U.S. invades Panama: U.S. Troops invade in late December, overthrowing Panamanian ruler General Manuel Antonio Noriega in Operation Just Cause after Noriega nullifies May election results, initial U.S. attempts to bring about his downfall through international pressure fail, as does a coup attempt. As tensions rise and Panamanian forces kill a U.S. Marine, U.S. President George Bush sends 14,000 troupes to help the 12,700 already stationed at the Panama Canal and successfully swears in a new government head. By the end of the year, the United States has 23 casualties Panama more than 500.

1994 – Haiti’s Military Junta is forced from power: A military junta seized power after the election of Jean-Bertrand Aristide in 1990 to forestall democratic reforms and proceeded to impose a reign of terror over the poorest country in the Western hemisphere. In September 1994, the threat of a U.S. Invasion leads to the unopposed occupation of the country by an American-led multinational force. Within weeks, the coup leaders step down and President Atistide, who had been in exile in the United States, returns to Port-au-Prince and is restored to power.

1994 – Revolt in Mexico: A surprise rebellion in the southern Mexican state of Chiapas breaks out on New Year’s Day, just as Mexico officially enters the North American Free Trade Agreement (NAFTA). The rebels, led bu the Zapatista Army of National Liberation, object to NAFTA, which, they claim, will be destructive to Mexican Indians. Government forces quickly put down the revolt. Report circulate of government-sponsored human rights abuses against the rebels.

View of Nassau, the capital city of the Bahamas. The storm is coming. Photo by Elena

Central America and the Caribbean

Largest Lake – Lake Nicaragua. Nicaragua, 3,089 square miles.

Highest Point – Tajumulco volcano. Guatemala, 13,845 feet.

Largest Island – Cuba, Caribbean Seam 44,218 square miles.

Longest Canal – Panama Canal. Panama, 50,7 miles.

Largest City – Guatemala City. Guatemala.

A road to the beach. Photo by Elena.

A policeman on his moto. Photo by Elena.

A Jamaican village. Photo by Elena

Local Icelandic Food and Gourmet

Local Icelandic Food and Gourmet

Learn Iceland's Secrets

Traditional Icelandic Food

Traditional Icelandic food was born out of necessity dictated by weather and circumstances. The preservation of food was a matter of survival over the winter months when meat and fish were scarce. Housewives used various methods to preserve as much food as possible. Meat was smoked, salted, pickled or put in whey for 3 – 4 months, giving it a very specific sour taste. Fish was dried, hanged, salted, smoked or allowed to cure for some time. Almost everything from the animal was used. A few examples of the “delicacies” made from Icelandic sheep are blood and liver pudding, singed sheep heads, smoked lamb and ram testicles! If you would like to taste some of these special treats, try Café Loki near the Hallgrímskirkja Cathedral. It is also possible to buy some delicacies in a nearby grocery store. Try rye pancakes (flatkaka), sliced smoked lamb (hangikjöt) and some butter to make a tasty snack.

Smoked salmon (lax) on rye bread (rúgbrauð) is also popular. Other bread toppings include marinated herring, rolled sausage and lamb pâtés.

When going on a camping trip or just driving in the countryside, take some dried fish (harðfiskur) with you from the nearest service station. It is the perfect lightweight snack, which most Icelanders pack when going on a picnic or hike. Don‘t let the smell put you off. Most of the above foods can be found in grocery stores and at the airport duty free stores.

Given that during the summer, the Icelandic sheep roam freely in the mountains and highlands, that most villages are coastal, benefiting from fishing, and that an increasing amount of farm produce includes organic vegetables, it is not surprising that Iceland has become a diner’s delight on an international scale.

“Beint frá Býli” which means ´Straight from the farm´, is a project which enables you to buy products straight from farms so that you know exactly where your food comes from and freshness is guaranteed. If you want to buy organic food, this is a great way to go about it. The delicious Icelandic lamb is simply a must for any meat lover, and the fresh local organic vegetables are a delight for any vegan. Add a “brennivín” schnapps as an appetiser to complete the experience.

Fresh trout, salmon, cod and char are all available for fish lovers and the national dessert, skyr, is a dairy delight. In the shopping streetbSkólavörðustígur, the charming sit-in Ostabúðin Delicatessen sells cheeses, sausages and more.

Budget Dining

Healthy, fresh, international and exotic food at affordable prices. Eat in or take away.

Budget dining is for those who are on the move between places or activities. It involves fast service, limited seating and tasty meals. Upmarket take-aways are also included in this category.

If the exciting activities or nightlife have cut into your budget somewhat and you need to economise, don’t despair, there are many restaurants and bistros that have special offers during lunch hours. The most common one is a free soup offer with the meal of the day. Some places also have a special lunch menu at agreeable prices.

Kringlan and Smáralind, the two largest shopping malls in Iceland, both offer an impressive variety of fast food options from recognizable American chains to an all Icelandic Booztbar, which specializes in healthy fast food.

View of the town. Photo by Elena

The all time favourite is the Icelandic national bite, the “pylsa” (hot dog), with all its delectable trappings. We encourage you to follow in the footsteps of former USA president Bill Clinton and leading singer of the band Metallica, James Hetfield who both sampled the delicious Icelandic hot dog at Bæjarins Beztu during their visit.

A number of food wagons have sprung up around the harbour area, offering fare from fish and chips to lobster sandwiches. These wagons offer tasty, quick meals to enjoy while people watching or to grab one on your way to a whale watching trip with Elding. If you want to eat out in the privacy of your hotel room, there are a number of home delivery options and some companies offer 2 for 1 deals if you fetch the food yourself. If you’re not in the mood for pizza you could just as well get a delivery of Indian or Asian food. Delightful places to visit for a cheap but good bite to eat are the bakeries. Most of them offer a wide range of sandwiches as well as tempting delicious pastries.

If your accommodation has cooking facilities, try out your cooking skills with some of the Icelandic recipes included in the chapter. You‘ll find all the ingredients you need at any supermarket.

Budget Dining List of Restaurants

Austurlanda Hraðlestin

Lækjargata 8, tel: 578 3838 (ask about other locations)

Tasty, authentic Indian food.

Bæjarins Beztu

Tryggvagata 1, tel: 511 1566

The most popular hot dog stand in Reykjavík.

Chuck Norris Grill

Laugavegur 30, tel: 561 3333

A grill and bar in the heart of Reykjavík.

Domino´s Pizza

Skúlagata 17, tel: 581 2345 (ask about other locations).

A popular pizza place. Take away or home delivery.

Gamla Smiðjan

Lækjargata 8, tel: 578 8555

Thin-crust pizza´s from quality ingredients.

Hamborgarabúllan

Geirsgata 1, tel: 511 1888

A popular fast food burger joint. Several locations around Reykjavík.

Hlöllabátar

Ingólfstorg, tel: 511 3500

Popular take away sandwiches. Many give in to temptation at the end of a good night drinking – Open til late.

Mandi

Veltusund 3, tel: 571 1444

Middle eastern take away. Excellent Kebabs and vegetarian options.

Metró

Suðurlandsbraut 5, tel: 581 1414

Simple fast food place with a drive-thru option.

Nings

Suðurlandsbraut 6, tel: 588 9899 (ask about other locations).

Fast food Asian restaurant.

Núðluskálinn & Noddlestation Skólavörðustígur

Laugavegur

Hot noodles and soups at affordable prices.

PHO Vietnamese restaurant

Suðurlandsbraut 8, tel: 588 6868

Vietnamese food with a variety of dishes available.

Osushi - the Train

Pósthússtræti 13, tel: 561 0562

Conveyor belt sushi, made from fresh Icelandic seafood.

Saffran

Álfheimar 74, tel: 578 7874 (Ask about other locations).

Eldheimar

Eldheimar

Pompei of the North

A volcano museum of remembrance in Vestmannaeyjar

The exhibition focuses on the 1973 volcanic eruption in Vestmannaeyjar, without a doubt one of Iceland´s biggest natural disasters. Visitors get a glimpse into peoples lives on Heimaey before the eruption that would change their lives forever. The people of Heimaey had to leave their homes in the middle of the night and evacuate the island, many of them never saw their homes or any of their belongings ever again.

The eruption started in the early hours of January 23rd 1973 on the island of Heimaey, the only inhabited island of the Vestmannaeyjar islands and it lasted for 5 months. Lava and ash destroyed almost 400 homes and businesses, a third of all buildings on Heimaey. While the eruption lasted no one knew if the island would ever be populated again.

Before the eruption the population on Heimaey was around 5.300 people. The entire population, apart from about 200 rescue workers who stayed behind, fled to the mainland to live with relatives or in temporary housing where they waited in anguish for what the future would bring.

News of the eruption, that permanently would change the island, traveled fast around the world and when it finally finished, reporters, tourist and scientists from all over the world flocked to Heimaey to see with their own eyes how powerful nature can be. Lava and ash covered 2,5 km2, about 20%, of the island, and a new volcano, Eldfell, had risen 220m tall and Heimaey was now 2 km2 bigger than before.

Eldheimar. Photo from public domain

A museum of remembrance gives visitors the chance to go back in time and learn about this dramatic event. The highlight of the exhibition is the house on Gerðisbraut 10, the home to Mrs. Gerður Sigurðardóttir and Mr. Guðni Ólafsson and their 3 young children. With the youngest one only a few weeks old they were forced to leave their home in the middle of the night taking with them only a bottle for the baby. A few days later their home had drowned in ash and lava. Gerðisbraut 10, after being buried in ash and lava for over 40 years, has now been excavated and shows how cruelly nature treated the homes of so many islanders.

The show also covers the Surtsey eruption, the island that emerged from the ocean south of Heimaey in 1963. The Surtsey eruption lasted for almost 4 years and ever since only scientists have been allowed on the island in order to monitor how new ecosystems come to life.

Surtsey was inscribed as a natural property on UNESCO’s World Heritage List during the 32nd session of the The World Heritage Committee in July 2008.

Museum Website: http://eldheimar.is

Making the Most of Mutual Funds

Making the Most of Mutual Funds

There are now more funds than stocks. Hardly a week passes that some publication isn`t coming out with its “exclusive rankings” of the best mutual funds ever. Most of the rankings are perfectly legitimate and loaded with useful information. But if you’re the average investor, you needn’t watch your mutual funds as closely as a three-minute egg. On the other hand, neither should your mutual funds be stored untended for years, like fine wines in a cellar. An annual check-up seems about right.

Different kinds of funds have different investment objectives, that’s generally how funds are grouped so that investors can compare apples with apples. But, in truth, the dividing line between categories can be somewhat squishy. Typically, the funds themselves decide what category they belong in – not some independent authority or government agency. And different publications often classify funds in different categories. What exactly, for example, is the difference between a “growth” fund? How different will the investment strategy of one fund be from another? A careful investor will want to understand the fund classification categories. Following is a brief explanation of categories used to compile funds’ rankings.

Aggressive funds: They seek the rapid growth of capital, often through investment in smaller companies and with investment techniques involving greater-than-average-risk, such as frequent trading, leveraging, and short-selling. This category also includes Small Company funds, a type of und that seeks capital appreciation by investing primarily in stocks of small companies, as determined by market capitalisation.

Growth funds: They invest primarily in equity securities. Current income, if it is considered at all, is a secondary objective.

Total return funds: They include Equity Income funds that invest at least 65 percent of assets in equity securities with above average yields, and Growth and Income funds that seek growth of capital and current income as near-equal objectives, primarily by investing in equity securities with above-average yield for appreciation.

International funds: Among the international funds are European stock funds which generally invest at least 65% of assets in equity securities of issuers located outside the United States; Pacific stock funds, which invest primarily in issuers located in countries in the Pacific basin, including Japan, Hong Kong, Malaysia, Singapore, and Australia; and World Stock funds, with holdings in equity securities of issuers located throughout the world, maintaining a percentage of assets (normally 25 to 50 percent) in the Unites States.

Making the most. Illustration by Elena

Speciality funds: This type of fund seeks capital appreciation by investing in equity securities in a single industry of sector, like health, technology, utilities, or natural resources.

Hybrid funds: These have substantial holdings in both stocks and bonds, or hold securities that have characteristics of both stocks and bonds.

Convertible bond funds: They invest primarily in bonds and preferred stocks that can be converted into common stocks.

Corporate bond high-yield funds: This type of fund will generally invest 65 percent or more of its assets in bonds rated below investment grade. The price of these issues generally is affected more by the condition of the issuing company (similar to a stock) than by the interest-rate fluctuation that usually causes bond prices to move up and down.

Corporate bond funds: These funds invest in fixed-income securities, primarily corporate bonds of various quality ratings. This category also includes high Quality Corporate Bonds funds that have at least 65 percent of their holdings in securities rated A or higher.

Government bond general funds: This type of fund invests in a blend of mortgage-backed securities, Treasuries, and agency securities.

Government bond treasury funds: These funds invest at least 80 percent of their assets in U.S. Treasury securities.

Government bond mortgage funds: These funds generally invest 65 percent of their assets in securities that are backed by mortgages.

International bond funds: These funds seek current income with capital appreciation as a secondary objective by investing primarily in bonds denominated in currencies other than the U.S. dollar. These bonds are frequently issued by foreign governments. Also includes Short-Term World Income funds that seek income and a stable net asset value by investing primarily in a portfolio of various non-U.S. currency-denominated bonds, usually with maturities of three years or less. Short-term world income funds seek higher yields than a money market fund and less fluctuation of their net asset value (NAV) than a world bond fund.

Municipal bond funds: These funds seek income that is exempt from federal income tax by investing primarily in bonds issued by any state or municipality.

When Interest Rates Rise

When Interest Rates Rise

Share prices can increase as long as rates go up gradually

To ward off inflation during times of a growing economy, the Federal Reserve Board of the U.S., the nation’s central bank, typically raises interest rates. The FED can push up the federal funds rate – what banks pay to borrow from each other – and the discount rate – what banks pay to borrow money from the FED. As interest rates rise, money becomes higher, keeping inflation in check. Low inflation, economists believe, paves the way for sustained economic growth.

What happens to stock prices when the FED hikes interest rates? The common belief is that higher rates ultimately produce lower stock prices as investors pull out of the stock market and put their money into other investments. Studies show that a sell-off of stocks usually follows an announcement of a hike in interest rates.

But researches also have shown that stocks bounce back after investors realize that the increase will do little harm to the economy. Often the rate hike helps the economy because consumers speed up interest rate dependent purchases of goods such as cars and houses. Researchers have studied the 13 periods during which the FED has raised interest rates since World War II. They found that in the 12 months after the federal funds rate began to rise, the total return for the Standard & Poor’s 500 was 11.6 percent, a respectable increase.

The stock market can weather a modest rate hike. (Tribeca Park). Photo: Megan Jorgensen (Elena)

True, stocks had a better showing before the FED’s tightening, when the Standard & Poor’s 500 was 18.7 percent. But the historical average gain of 11.6 percent argues for sticking with the stock market even after rates start rising. As long as increases in the federal funds rates are small and gradual – no larger than a quarter of a point at a time, for example p the stock market continues to push higher.

A rising discount rate, however, can spell trouble for stocks. Researches show that prices take a downturn in the months immediately following a discount-rate increase. Total performance after twelve months was a weak 1.5 percent gain. The good news: Discount rate increases are fairly infrequent and generally don’t come for some time after the FED’s initial tightening, giving stock market investors the chance to rack up gains