El Residente 2011-07 by ARCR Administration

Editorial Note: With half the year gone, we are now into the wet season, with summer coming on strong up North. This is the time of year that many of the members venture homewards to visit family and friends, and enjoy the longer days we don’t see here. So for those of you heading North, I hope you receive this edition in time to take along, and keep your thoughts in touch with your new home, where the rest of us will be happily biding our time. In this issue we will see a little of the culture in the kitchen and the courtroom. Some opinions on investments and world issues. And we will take a look at some of the wildlife, both in the jungle, as well as behind the wheel. So enjoy your journeys, but don’t forget to come back. - Ryan Piercy

Please note that when renewing your cedulas, the Banco BCR or Migracion may not request to see all your documents, but the ARCR is obliged to give the full list of requirements as per the written law.

This magazine has been published every two months for fifteen years as the official communications media of the ARCR. Our organization provides service to thousands of foreigners who have chosen Costa Rica to reside for short periods or for permanent residence. Since 1984 the ARCR has been offering reliable SERVICES, INFORMATION and ADVOCACY to Costa Rica’s foreign residents. We have the experience and ability to help you with your residency application, immigration, business and financial management, real estate purchases and rentals, property management, insurance, pet importation and much more. If you wish to place an ad in El Residente, please contact the ARCR main office. Goods & services offered are paid advertisments. Neither ARCR Administracion nor El Residente research the companies and take no responsibility for the quality of such goods and services.

El Residente

Presidents Re epo ort by The Board Bank Heists and Mail Mix-ups, I just had a Costa Rica banking system experience that may be instructive to some of our members, so I’ll pass it on here. I had gone to my local bank and deposited a check to my account. When the teller gave me my receipt, I noticed that a nine (9) in my account number was shown as a four (4). Apparently because I had written the number at a slight angle, it was taken to be a “four.” When I pointed that out, it was corrected. I’ll be keeping a close eye on my receipts from now on. Another Costa Rican experience happened to me at the post office (Correo). I had mailed several letters to others here in Costa Rica using the 5-digit Costa Rican ZIP Code as the last line of the address. The ZIP Code system has been in effect since May 2008 but apparently some Correo employees don’t know that, as two of the items were sent back to me with an attached note saying they were undeliverable because they couldn’t find the addresses! My first thought was that the Correo had sent them back. But then I noted the attached note was in English and realized the items had been sent from the USA. I don’t know why they had been sent there; maybe it was because the ZIP Code was five-digits. Just to be sure I knew what I was doing, I checked the local Correo office and found a list that contains about 370 separate codes for destinations in Costa Rica. It appears that the local mail sorter wasn’t aware that Costa Rica also has a 5-digit ZIP code system. On another subject, for a number of years there has been an ad running in the Tico Times advertising “Off-Shore Health Insurance.” Several times I have called and left a message asking for more information and once, a couple of years ago, I even spoke to a live person who promised to send me information. I have never received the information nor have I had a call returned. I would really like to know more about what they are offering, so if anyone has any involvement with this group, or knows anything about the insurance being advertised, please contact me at 8870-6756 so I can pass this information on to our members.

For the US Military retired folks entitled to Tri-Care for Life, and who choose to pay pharmacy, doctor, or laboratory bills in cash, then submit claims for reimbursement from Tri-Care, there is an easy way to make those claims using Form 2642. I have been using this method for over seven years and get my reimbursement in about 6 - 8 weeks. For more information on this easy way of filing Tri-Care claims, call or visit the ARCR office. On a related subject, the Memorial Day picnic, sponsored by American legion Post 10 and the Costa Rica Detachment of the Marine Corps League, was held May 30. Unfortunately the May / June issue of El Residente was not received by some members in time for them to be aware of the event and they weren’t able to come. Apologies. Next year we’ll try to get the notice out earlier so that all interested can attend. Even so, the picnic was a success; over 130 tickets were sold. Attendees enjoyed a traditional meal of hot dogs, hamburgers, potato salad, and baked beans, and a lucky winner received 33,000 Colones from the 50 / 50 drawing. A last item concerns the upcoming annual 4th of July event. This year it won’t be held at the Cervercería de Costa Rica in the morning, as it has been in the past, but will take place from 3 p.m. to 8 p.m. at Avenida Escazú. The celebration will include fireworks and I hope everyone has an interesting and fun time there. Hopefully, it will return to the old location next year. Mel Goldberg

---------------------------------------Association of Residents of Costa Rica FIRST FRIDAY LUNCH The first Friday of each month finds a group of ARCR members and staff sharing lunch and good conversation at Beso’s Restaurant in Sabana Sur. Beginning around 1:00 PM members gather in the restaurant. You will find it about 3 blocks West of McDonald’s near the ARCR office. All are welcome! Please order seperately as you arrive. MONTHLY NEWCOMERS SEMINAR Join us on the LAST THURSDAY / FRIDAY of ANY MONTH (except December) to find out more about what it is like to live in Costa Rica, and how to go about getting things done here. We invite professionals from each field to share their knowledge and expertise with you. Hear what they have to say and ask them the questions you have not found the answer to. Email seminar@casacanada.org

Cover Shot If you pull tamarind fruit off the tree, you might have a bit of work laid out for you. It is much easier to simply go to the supermarket, where you can buy it already processed for use in various forms, such as pulp packaged blocks in the fruit aisle. Tamarindo fruit juice is also readily available in many restaurants and other locations.

July- August, 2011

Travel Journa al Luis Alonso Quiros- Canatu ur

Costa Rica’s Enchanting Regions

Heredia, and Cartago. The valley extends from San Ramón de Alajuela to Juan Viñas de Cartago. Most visitors start here, at the Juan Santamaria International Airport, and go on to other destinations. However, there are many attractions close by. Within minutes you can be downtown in the capital city, San Jose, a modern and bustling city with many cultural things to offer. Or you can go the other direction to Volcan Poas. Those wishing to tour in Alajuela province will ﬁnd Zarcero, a town with a unique scenic beauty. Starting with the community park: it is green and colorful, decorated with cypress tree topiaries; a stop remarkable for its elegant and romantic setting. This is another rural area where local businesses have established community-based tourism activities. Tours are available for persons to participate in the production of products like cheese and sour cream or visit coffee plantations, as well as other activities that will enchant visitors.

Costa Rica is replete with a multitude of beautiful natural attractions. There is a strong national focus on the conservation of natural resources (the country has 25% of its territory designated as protected areas) for future generations to enjoy. Because of its variety and beauty, the country has become a highly popular and tourist-friendly destination. Nature lovers around the world recognize Costa Rica as a prime destination. Given the easy ability to travel and see much of it, it’s simple to enjoy not only the rich biodiversity of the country, but also the warmth and cordiality of its people. Also located in the Central Valley is the Vasquez de Coronado Everyone is welcomed and encouraged to explore Costa Canton. With a recent addition of 222 square km, it is a totally Rica to see what it has to offer. ecological area where 85% of its territory is protected areas and parks. Visitors here find contact with nature very easy. The country is comprised of three very different regions; the There are 347 species of mammals and amphibians and Northern (Guanacaste) region, the Central Valley region, more than 6,000 plant species have been recorded in the rain and the Southern region. Add in the Caribbean and Pacific and cloud forests that comprise this region. The observation coasts, and visitors and citizens alike have a panoply of of flora and fauna is one of the more interesting experiences choices of where to go, what to see, and what to do. travelers can find in Costa Rica, because the country has about 5% of the total of global biodiversity. In the northern zone there are several unique places to visit. La Fortuna de San Carlos has one of the most fascinating Costa Rica has two coasts, the Pacific and Caribbean, which natural treasures, the active Arenal volcano. Entrepreneurs are vastly different from each other. Both have spectacular, have built a tourist area with great hotels and resorts where isolated beaches and clear, warm water. There are places guests can stay. There are numerous tour operators who along the Caribbean coast where it is so peaceful that will take those who are willing to see the volcano up close lingering is almost required from anyone visiting them. and personal. If you are looking for extreme activity, this region has other attractions, such as the Rio Toro in Venice The Pacific coast is more developed with numerous resorts, San Carlos and the Rio Baba Bajo Los Rodríguez. Both hotels, and condominiums. It also has many surfing spots are especially good for rafting, making Costa Rica one of where good waves are a year-round event. Another popular the best locations in the world for enjoying this exhilarating activity along the south Pacific coast is whale watching. This sport. Other businesses offer walking tours on suspension occurs mostly in the months between August and November bridges and zip line canopy tours, an experience sure to get when these mammals leave their home in Antarctica to calve the adrenaline flowing. and breed in the warmer waters off our coast. The Central Valley has four provinces: San Jose, Alajuela,

The Southern region is the most primitive and least developed area of Costa Rica. Comprised largely of rain forests and jungle, travel there is only for the most avid and hardy adventurers. But for those who go there, the scenery and wildlife is beyond spectacular. From an active volcano, to beautiful tropical beaches, sophisticated, modern cities, indigenous peoples living in isolation, verdant green rain forests and jungles, Costa Rica has something for everyone to explore, be they tourist or resident. Please explore our country and you will have the best travel experience of your life.

El Residente

July- August, 2011

The Cuchara Ricca by Celina Carazo Garnier

In The Fruit Bowl: Tamarindo Tamarindo is a sweet and sour ﬂavored fruit that grows inside beans from two to ten centimeters long, each with four to six seeds. The seeds have a solid consistency and are surrounded by a soft and ﬁberous brown colored pulp. The pulp is also covered with a rough and resistant peel, which toughens as it ripens. The tamarindo tree grows in warm weather and may grow as tall as ten to twenty meters. The tree is originally from tropical Africa. Then it was taken into India, and later, during the Spanish conquest, it was imported to the Americas. In Costa Rica the best areas for growing tamarindo are the provinces of Alajuela, northern Puntarenas and Guanacaste.

salt, pepper, paprika, thyme, and salsa inglesa (salsa Lizano) to taste. 6 tablespoons of ﬂour 1 tablespoon of butter or 3 strips of bacon 2 carrots cut into circles 1 sweet pepper cut into strips Olives to taste.

Although the different parts of the Tamarindo plant may be integrated in the alimentary, medicinal and craft industries, the most appreciated part is the fruit’s pulp. It harvests annually, during the months of January, February and March. After cutting the ripe beans, these may be peeled either by hand or mechanically. To preserve tamarindo in optimal conditions, the pulp along with the seeds are mixed with sugar and are packed in plastic materials. This is how the product is sold in the market. A package of 250 grams (8 ounces) costs around 400 colones.

Boil the tamarindo with water and sugar for 15-20 minutes. Strain and keep. Season the chicken, let it rest for 1 hour, and then ﬂour it. Put the butter or bacon in the bottom of a Pyrex pan. Place the chicken legs on top of the bacon or butter. Distribute on top the carrots, sweet pepper and olives. Pour the boiled tamarindo on top of everything and cover the pan with aluminum foil. Bake at 350 F (220 C) for about 35 minutes. Remember to turn the chicken legs once in a while.

In Costa Rica the pulp of tamarindo is commonly used to Tamarindo Mousse (10 servings approximately) 250 g of tamarindo prepare refreshments, ice cream, desserts and sweet and 1 1/2 cup of water sour sauces. 1 can of condensed milk 1 tablespoon of unﬂavored gelatin In medicine it may be used as a laxative. 1/4 cup of water 1 box (250g) of milk cream (well chilled) Nutritionally, tamarindo offers carbohydrates, ﬁber and important amounts of Calcium and Phosphorus, both necessary elements for the formation and maintenance of bones and teeth. It also contains electrolytes like Magnesium, Sodium and Potassium, which regulate important functions of the organism, such as nervous and muscular activity, and also the natural heart’s rhythm.

Boil the tamarindo in 11/2 cups of water for around 15 minutes and strain to obtain 1 cup of pulp. Hydrate the gelatin in 1/4 cup of water and heat to dissolve it. Mix the condensed milk with the pulp and the warm gelatin. Beat the cream until it thickens and fold it into the tamarindo mixture. Chill the mousse for at least two hours before serving it

In Central America tamarindo is fundamentally consumed as a refreshing beverage, which is prepared by boiling the Enjoy! --------------seeds in their pulp and water. To this we add more water along with ice and sugar. It may also be used in other recipes Note: Special thanks to the Ministry of Agriculture such as the following: (Ministerio de Agricultura y Ganadería) for providing valuable data for this article. Chicken in Tamarindo Sauce (6 servings) 250g (8 ounces) of tamarindo 1/2 cup of sugar 1 cup of water 6 skinless chicken legs 3 cloves of garlic (peeled and crushed)

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Celina Carazo Garnier is a Dietitian, graduated in Argentina, and with 30 years experience in the field. She worked in the Clinica Biblica, the University of Costa Rica, and was head of the Department of Nutrition for the Ministry of Health in Costa Rica.

July- August, 2011

Legal Update by Allan Garro N.

Judicial System Facing Breakdown The idea to write this article arose after watching a Documentary on the French Channel TV5 Monde for “Amérique Latine.” It showed how, due to the world economic crisis of the last two years, many tenants in France stopped paying their rent. It forced many landlords to ﬁle eviction requests in Court, which took several months to get approved. Even then the legal nightmare continued since police authorities were reluctant to apply the judicial order, or will take as much as a year to do so. The documentary showed a desperate elderly woman, who lived off the rent she used to get from her tenant, in such a situation. She was then contacted by a Private Security company offering to “deal with the situation,” forcing the tenant to leave the apartment in just a few days. Their methods I will leave to your imagination.

Most cases submitted in front of the civil courts were collections based on many different documents such as promissory notes, letters of exchange, commercial invoices, credit cards, mortgages and chattel mortgages. Because of this, in May, 2008 a new law called Judicial Collections Law took effect, which came with the intention of supposedly allowing those cases be decided faster; creating Collection Courts based on the Mega-Court system. The result has been a chaos. For example, with the old system, the process of executing a mortgage, foreclosure and taking possession of a property generally might have taken less than a year; while working with the new system, the same takes between two to three years. This turns out to be unreasonable, affecting all creditors and creating a beneﬁt to those debtors who stopped payments.

After fifteen years of practicing law, I have seen how the Judicial System has entered into a crisis situation in terms of the time Courts are taking to decide cases. All those Expats involved in any kind of Judicial Process could confirm this situation. Sometimes they think their lawyers are responsible for doing nothing, but certainly the major problems are inside the court system. And with problems, I mean specifically the time delay, because the Court has made great efforts in order to hire high quality judges. I would like to comment on some Those civil courts handling all those cases differently than of the possible causes affecting this essential service. collections certainly are working fast enough. Notwithstanding the foregoing cases are taking more time than expected, Civil Cases and Collections. For decades the civil courts, as basically because Court of Appeals are exceeding the time well as most courts of the country, worked on a system based to decide those appeals filed against decisions taken by Civil on a Small Office concept. That way each civil court would Courts. have one or two judges to decide the cases, a Secretary in charge of organizing the internal work –similar to a manager, Agricultural Courts. In 1982 Agricultural Courts were and a crew composed by less than ten assistants who handle created with the intention of having specific courts decide all the daily work. The system proved to very efficient, in my conflicts between farmers and companies exercising opinion, until the late nineties when a new concept named agricultural activities. However, years later the criteria to Mega-Courts was introduced. It was first used in a building determine the Jurisdiction was determined by the “agricultural in Goicoechea, and consisted of one huge office where there attitude” of the land. This means that if the property in conflict might be as many as seventy assistants without a boss, was able to be used to raise crops or for forestry purposes since the Secretary was eliminated. Judges were placed in a then such conflict had to be decided by an agricultural court. separate office on the higher floors so they have no control This is the reason many legal issues involving properties at all over the office organization. The problems of a big crew used as second homes, tourist businesses or condo of people working without a “manager,” with the judges away, developments are discussed in front of agricultural courts. soon became visible. In the meantime the six Civil Courts of The biggest problem is that there is only one Agricultural San Jose, working under the old system, proved to be much Court of Appeals to decide ALL the appeals filed against better in terms of efficiency. Continued on page 9...

El Residente

decisions taken by Agricultural Courts all over the country. Once an appeal is filed it takes about 12-14 months to get a decision. Considering one single agricultural case can be in front of the Court of Appeals four or five different times, it’s only necessary to do the math in order to find why those cases take sometimes as much as ten years to get finally decided. Criminal Courts. Before 1998 the Criminal Procedures Law established a specific type of Criminal Judge named JUEZ DE INSTRUCCIÓN – Instruction Judge - to handle the investigation of crimes. Under that system the Prosecutors used to act as a kind of Assistant to the Judge, helping him to handle the investigation. In January, 1998 a new Criminal Procedures Law took effect that basically was copying those systems used in other countries, placing the entire responsibility of the investigation on the General Prosecutor Office –here named Ministerio Público- and shortening the terms of the statute of the limitations for all crimes. Criminal Judges will act basically as Judges of Guaranties, but will not direct the investigation anymore. Soon this system showed that Prosecutors did not have the required organization and budget to fulfill their duties in shorter times as the new law established. Because of this, many victims of crimes have seen how criminals get released because of the statute of the limitations.

always tries to maintain and enforce the security of the right to Prompt Justice, having disciplinary faculties over all judicial employees. However, their faculties have been seriously limited by decisions recently taken by Constitutional Court arguing the Judge Independence Principle. This means now they have little control on judges’ actions and decisions. Court is also making big efforts to improve services by investing lots of money in Technology, making it now possible to receive notifications via email or file lawsuits through the Internet. But this has not improved the service, and users still feel frustrated. Part of their current programs include trying to change procedure from written to oral. Even though oral procedures are better than those written, they are also more expensive; and having a limited budget, court’s management needs to seriously study if this is the best way to go or if it is better to keep written procedures that can be decided faster. The main purpose of this article is to be a constructive criticism in order to explain to the international community some of the possible reasons currently affecting our Judicial System, and in the meantime to encourage those Officers in charge of court’s administration to keep doing their best in order to grant the right to prompt justice granted on article 41 of the Constitution.

Other Problems. The Court has an Internal Affairs Ofﬁce Allan Garro N., Attorney at Law named INSPECCION JUDICIAL – Judicial Inspection - that law@licgarro.com

July- August, 2011

Letters to the e Editor Some Constructive Criticism from Our Readers Dear Sir,

burning of oil and gas should be terminated, with the dwindling supplies reserved for useful petrochemical products. If one takes the fraction of staple foods produced within a country as being a measure of the sustainable population, the people of Costa Rica should not number more than a third of the present total. Accordingly, the government should undertake deﬁnite measures to prevent immigration of persons of reproductive age, and likewise encourage emigration, hoping that those who leave will ﬁnd a haven with superior food security for themselves and their future families.

El Residente is always a treat to read when it arrives, which Yours sincerely, is a testament to the editor in providing stimulating and John Ogilvie (M.A., Ph.D., Cambridge) informative content. Dear John, I wonder, though, about the President’s Report on this occasion. The content seems to amount to a gloriﬁcation of war through the festivities on the occurrence of death of a military person; such gloriﬁcation seems anomalous in this country of peace -- el pais de la paz, and if such ceremonies pertaining to foreign military engagements are held they might be kept private, including discussion of their arrangements.

Thank you for your letter. We always value the feedback we receive from our members, and of course it is critically important to take into account many points of view, regardless of the actual topic in question. Ryan Piercy For submissions, please email me at rpiercy@arcr.net

In ‘Dollars and Sense’, Mr. Weeks has admitted choosing to accept the opinion of ‘Dr. David Evans’ in an article published in the Financial Post in Toronto, which is not a reputable technical journal of which the content is subject to peer review but rather a vehicle of big business at the expense of social responsibility. Dr. Evans is stated to have been a consultant for the Australian Greenhouse Ofﬁce from 1999 to 2005. It would be advisable to read also a bulletin on BBC News on internet, http://www.bbc.co.uk/news/world-asiapaciﬁc-13497560 about a report from the Australian Climate Commission to the Australian government, which had been subjected to peer review. The Prime Minister Mrs. Gillard said “We don’t have time ... for false claims in this debate”, referring to the “fruitless phony debate” cited by a member of the commission, who stated further that Australia “no longer had the luxury anymore of climate denialism”. Mr. Weeks wrote about pollution from various sources, but he apparently fails to recognize that the most serious aspect of the present, and continuing, problem is global population pollution. The sustainable population of this planet is estimated to be 2000 million human inhabitants, and even then they must not consume at the disgracefully extravagant rate of USA at present. Far from deprecating the “slow U.S. economy”, the author should be aware that the present rate of conversion of non-renewable and irreplaceable natural resources into waste is absolutely impossible to maintain. Instead of decrying the increased cost of petroleum products used as fuel, Mr. Weeks should understand that any such use is a barbaric insult to future generations; all such mere

El Residente

July- August, 2011

El Residente

Learning The Language by Christopher Howard

Medical Mix Because of recent uproar about using the Caja (The Costa Rican Department of Social Security – CCSS) I have included some terms that may assist non-Spanish speakers with Costa Rica’s medical maze. Ambulancia – ambulance Cirugía ambulatoria – outpatient surgery Clínica – clinic Corazón – heart Desvío arterial – a bypass El expediente – file with your medical history Estar pálido/a – to be pale El hospital – hospital Fiebre – fever Infección- infection La gripe – flu La presión arterial – blood pressure Marcapasos – a pacemaker Me duele… – My… hurts Me duele aquí – it hurts me here… Me duele el pecho – my chest hurts Me siento mal – I feel bad

Medicamentos – medicine medicina – medicine remedios – medicine Moretón – a bruise Tengo….. – I have + symptoms Pastillas or píldoras- pills Radiografía – an X-ray Receta or prescripción – prescription Resfriado – a cold Soy diabético/a – I am a diabetic Tengo escalofríos – I have the chills Tengo diarrea – I have diarrhea Torcedura – a sprain Signos vitales – vital signs Sudar frío – cold sweats Urgencias/emergencias– Emergency (ER) Yeso – a cast

¿Dónde queda la clínica/el hospital más cercana? – where is the nearest clinic//hospital Ebais – These are small clinics operated by the caja for non-emergencies and everyday medical care. El dolor me está matando – the pain is killing me (figuratively) speaking Es de vida o muerte – it’s a life or death situation Es una emergencia – It’s an emergency Estoy hirviendo – literally means I am boiling (high fever) Me cuesta respirar or tengo la respiración difícil – I am having a hard time breathing ¿Qué tiene? – What’s wrong with you or what ails you? Tengo la vista borrosa – my vision is blurry Tengo vómitos or tengo náuseas– I am sick to my stomach Yo quisiera sacar una cita para… – I would like to make an appointment for…

Here is your Costa Rican expression (tiquismo) for this week: El hospi – abbreviation of hospital. Estar con una pata en la tumba – to have one foot in the grave. Robar oxígeno – stealing oxygen (to be very old). ¿Se siente tan mal como se ve? – Do you feel as bad as you look?

July- August, 2011

A Day In The Life e by Allen Dickinson

Twenty (more or less) Guidelines for Driving in Costa Rica For those living in or visiting Costa Rica, driving can sometimes seem like a catastrophe waiting to happen. Maybe it’s because those of us coming from North America or Europe have spent our whole lives being exposed to driving – most of us likely rode many hours with our parents, observing them and learning by osmosis before we ever got behind the wheel ourselves. For many Ticos, however, driving doesn’t have that depth of history; many have not had the example of their parents to learn from. (It’s been said that the average Costa Rican driver has less than four years total driving experience and the car they are operating may be the ﬁrst they or their family have ever owned or driven.)

4. Always appear to brake going down even the slightest grade. Depressing the brake pedal sufﬁciently to activate the brake lights (without slowing the vehicle) is the standard. Even though the uphill side may have been taken at breakneck speeds, it’s the downhill side that is considered dangerous and requires constant braking preparation.

It sometimes appears to us Gringos that some Ticos are making up the rules as they go. And sometimes they do. 5. On winding mountain roads, trucks (and some cars) Some aren’t logical or practical, but like many things here in may drive slowly, but just fast enough so that there is no Costa Rica, these “rules” are widely known and accepted. opportunity for other vehicles to pass on any short, straight stretches. This assures the lead vehicle’s safety and that its To assist the Gringo driver to better understand the unwritten occupants have the best scenic view. “rules” of Costa Rican driving, I have compiled a list of some of the things that I have encountered. The list is by no means 5a. Transiting curves on mountain roads, uphill or downhill, exhaustive; but I offer what I have learned to hopefully help should always be done at a slow speed so as to prevent relieve some of the stress Gringos may feel as they head out possible roll-overs and a sudden trip down the mountain into the wild, wild west of Costa Rican roadways. side. See Number Four. (I have numerous times been passed by persons on bicycles – going uphill.) 1. If the car has a switch that causes all four turn signal lights to flash simultaneously (hazard warning), activating it gives 6. Motorcycles and scooters can pass any other vehicle, the driver the right to stop anywhere at any time. Even if it’s on either side, anywhere, at any time. They can alternate in a traffic lane and the reason for the stop is to investigate a passing sides at random by weaving through traffic. If the noise under the hood, to chat with a friend at the side of the roadway is two or more lanes in the same direction, passing road, or go into a store to purchase something. The flashing in the middle between two vehicles is also acceptable. lights give the car immunity. See Number Two. 6a. Automobiles may also pass on either side when even 2. One flashing light is not always a turn-signal. It may simply just a marginal space exists. All efforts to pass a preceding mean that the hazard lights (Refer to Number One) were vehicle can be aggressively attempted, even in the face of activated but the bulb on one side is inoperative. Notice that oncoming vehicles, if it means gaining one car length in a the driver intends to do something that does not necessarily city block before pulling over to park at a destination. (I still qualify as forward progress has been given by activating the haven’t figured that one out!) switch, regardless of how many lights are actually flashing. 7. Blowing the horn before entering a blind curve is not a way 3. Nighttime driving into on-coming traffic with headlights of saying “Hello.” It is a warning to any cars, pedestrians and on high-beam is okay. So is following another car with the /or livestock which may be unseen around the corner ahead “brights” on. The need for the driver to see his path ahead that all lanes are at risk of being used. If there are two cars trumps blinding any other drivers. (Extra credit is given for coming from opposite directions, the first to blow their horn each driving, fog, or other auxiliary light also illuminated.) Continued on page 15...

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earns them the right-of-way. See Seven A. 7a. Never take the “long way” around. When entering a blind left-turn corner, always cut the corner to take the inside lane and thus the shortest possible route – others enjoy the sudden surprise of encountering a car coming around a corner traveling head-on in their lane. 8. A turn signal is sufficient notice to all other vehicles that the driver intends to change lanes or make a turn, usually immediately. The signal, however, is not required and a lane-change / turn can be executed without regard to other traffic, the number of lanes to be crossed, or any other vehicle’s right-of-way. The driver extending his arm through the window and waving his hand up and down at other lanes of traffic is an alternate way of notifying of the intention to merge or turn. 9. Flashing headlights can be used to request to turn ACROSS a lane of oncoming traffic, or as a notice to another vehicle that it’s okay to turn and proceed across the lane. (See Number Eight for hand signals.) Sometimes permission can be granted (flashing headlights) without the request being made. In all cases, an expression of gratitude is appropriate and expected. A “Thank You” can be communicated by a brief double toot of the horn, although light flashing or waving a hand are acceptable substitutes.

July- August, 2011

10. It is not required for a vehicle to pull completely off the road to stop or park – pulling less than one-half the vehicle off the side of the road is perfectly acceptable. (This rule is particularly applicable to busses.) Safely passing a stopped vehicle is the responsibility of the drivers of the following vehicles. Continued on page 16...

16. Approach to all stop signs should be at the maximum possible speed, stopping only at the last possible moment. Coming to a complete halt with the nose of the vehicle extending partially into the intersecting traffic lane of the cross street is desirable. If approaching cars do not stop, continue inching out into the cross lane until the driver of an oncoming vehicle is too scared to proceed and allows your car to cross or merge into the flow. 16a. Once the lead car has created an opportunity to cross or merge into a traffic lane, as many following cars as possible may also squeeze in by tailing the lead car closely. Rule Nine can be applied here. 17. When turning around or backing out of a parking space, the driver should never turn the steering wheel more than half the possible rotation. Jockeying back and forth several 10a. When parking on a narrow road, one should always times and obstructing other vehicles the longest amount of try to park where the road will be the narrowest and most time is the goal. restricted for all other passing vehicles. If parking at the narrowest point isn’t practical, parking where all passing cars 18. In urban areas, there really are no traffic lanes, regardless are required to transit the largest, deepest, pothole in the of the lines painted on the streets. vicinity to get by is a desirable second choice. Double points 19. Posted speed limits can be ignored – the driver always if the pothole is also in the narrowest portion of the road. knows the fastest possible speed is best. 11. When traveling a two-lane road and meeting an oncoming vehicle and one lane is blocked by a parked vehicle, huge All said and done, regardless of what outsiders see as pothole, cow, or some other obstruction, the vehicle in the peculiarities of Tico driving, for the most part they are good clear lane has right-of-way. (Unless either vehicle is in drivers. Rarely do you see cars that have suffered a lowa hurry, then the first to flash his lights has asserted his speed, minor “fender-bender” accident or a rear-end collision. They know the physical limitations of their vehicles and can assumption of the right-of-way.) put their cars through a hole between two other vehicles in 12. When a line of cars is stopped at a traffic light and a space so narrow that it would totally flummox most Gringo that light changes to green, the second, third (and / or any drivers, and they can park their cars in garages or parking subsequent number of) following cars may honk their horn. spaces so small that when they are done there are only This is a way of alerting the lead car that the drivers of the scant inches around any part of the car – and do it parallel to following cars have a better view of the green light – so wake the street! They are aware of their surroundings to a much up and go, it’s been green for three nano-seconds already! higher degree than most Gringos. Not bad for “beginners.” 13. Traffic lights and stop signs are considered as advisories only; if you want to stop, this is a good place. If a car chooses to stop, it is acceptable for a following driver to disagree and proceed around the stationary vehicle (on either side) without slowing or stopping. A review of Number Six is good here.

I’ll conclude this by offering one last Guideline suggestion, Number Twenty, for Gringos. Here in Costa Rica there’s one particular driving trait that is not included on many Costa Rican’s list: patience. Acquire it and remember, this is their country and it is not our role to change it, but to adapt to it. Happy and safe driving!

14. Many Tico cars have a MACHO button which may be wired into the horn (but wherever it is located, it’s invisible to Gringos.) It can be activated at any time, unannounced and without logical explanation. Review Numbers Six and Thirteen.

Allen Dickinson is a member of ARCR. After serving 23 years in the US Navy he settled in Pensacola, Florida, where he resided for 24 years. In 2006 he retired from operating his own licensed mortgage brokerage business and relocated to Costa Rica. He holds a Bachelor of Science degree from 15. Two cars traveling in opposite directions on a narrow the University of the State of New York and a Master of road may stop in opposition to each other, thereby blocking Arts degree from the University of West Florida. He can be all available lanes of travel while the drivers chat. Blowing reached via email at: humphree@bellsouth.net one’s horn to get one car to move is considered rude and will be ignored.

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July- August, 2011

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Wild Side LXII by Ryan Piercy

Scary-ab Beetles Bugs, bugs, bugs. Many people cringe at the thought of bugs crawling over them, let alone in actual fact. I will always remember my good friends, Richard and Margaret Whitten. Richard helped to change the way I view these amazing critters. If you ever met Richard, he was hard to forget. He was the one with a (very) large beetle crawling up the front of his vest. The Hercules will live for one to two years in its larval stage, then an unknown number of years in the beetle stage. One Nowadays I have come to learn just how impressive the source notes that in this stage they live a similar lifespan, but beetle world is. There are an estimated 800,000 species I believe that is unconﬁrmed. of insects around the world, and as many as half of those are beetles! As you can imagine this short article couldn’t So, one would guess the girls like a strong bug. Just how possibly begin to cover them. But let’s take a look anyhow, strong? Try the strongest living creature for its size, being and focus on the some of the scarabs in Costa Rica. able to lift 850 times its own body weight! Move over Arnold! To begin with, the family Scarabaeidae consists of over 30,000 species; and 300 of these are in a subfamily Dynastinae, or rhinoceros beetles. This is a group especially well known for its strange shapes and large size. And Costa Rica once again takes the cake; being home to the largest of the large, (yes, Richard’s little pet) the Hercules beetle, Dynastes Hercules.

That would be about the equivalent of 75 tons for an average human male, or about 35-40 vehicles. (Oh, 99 tons in Arnolds case, equivalent to 23 of his Hummers.) However, don’t let the muscles scare you; as rhinoceros beetles are pretty harmless. They don’t bite or sting, though I would not recommend sticking your fingers between their horns. Apart from fighting other males, the horns are used to dig, and apparently push about in the heavy undergrowth in the jungle floor. They also have wings on their exoskeleton, allowing them to fly, though poorly. They are too heavy for prolonged flight, or any fancy maneuvering. They are also nocturnal, which helps to avoid predators. If threatened they will also dig into the ground and try to hide, or can also hiss if other options are not possible.

Imagine that these little bugs can reach up to 170 mm (yes, nearly seven inches!) in length, thanks to their very long horns. They can indeed have a very scary aspect for those already nervous around crawlies. They are sexually dimorphic, and it is the males who boast these large protrusions, which they use to battle each other. The females have larger bodies in general, but lack to horns which provide the overall size. Males are counted in the three largest beetles worldwide. But don’t think the Hercules beetle is the only specimen you’ll ﬁnd here. You may ﬁnd many beetles of various colors, shapes and sizes. The Rhinoceros beetles you come across would typically be black or brown in color. In the males the rear legs are notably fatter. So break out the bug light and shine it off into the surrounding jungle at night to hunt for specimens. There are at least 130 types of Rhinoceros Beetles in Costa Rica, so if you take a look around in the jungle you are likely to eventually stumble over some. However if it would make you feel safer, Richard donated part of his vast collection to join other insects in the University of Costa Rica before moving back to the USA. For a couple dollars one can view hundreds of species in the Museo de Insectos, all under the safety of glass.

July- August, 2011

four productions a year offering a choice of modern, classic, serious, and farcical plays. The group’s monthly social meetings are held in the theatre on the ﬁrst Monday of the month from 7p.m. to 9 p.m. and everyone is welcome. Membership: Student C2,500, Adult: C5000, Family: C8000. Also, earn your Wings, become an LTG Angel. For more information Call the LTG Box Ofﬁce 8858-1446 or www.littletheatregroup.org

Alcoholics Anonymous Groups meet daily throughout the country; times and places change frequently. Call for up-to-date information. San José 2222-1880 (Anchor club, also serves Narcotics Anonymous) Av 6 Calle 1, 2nd floor Maryland Building. Heredia (Laura) 2267-7466, Puerto Viejo Limon 2750-0080, Zancudo 2776-0012, Tamarindo 2653-0897, Flamingo (Don) 26544902, Manuel Antonio (Jennifer) 2777-1548, Jacó (Nancy) 2637-8824, Zoo Group Escazu 2293-4322. Al-Anon Meetings Al-Anon Family Group is for all family and friends of Alcoholics. Meetings are at the International Baptist Church, 2nd floor, Saturday morning 10:30, located on the pista toward Santa Ana between the Multiplaza and Guachepelin exits. For information in English, please call Ken 2288-0317 and Rosemary 8993-1762; For Spanish please call Christine 8840-4658 American Legion Post 10- Escazu Post 10, The oldest and largest American Legion Post in Costa Rica, meets at 12 noon on the first Wednesday of each month at Club Cubano in Guachipelin. For information and map, please call Mel Goldberg at 2288-0454 or 8870-6756, or John Moran at 2232-1680. American Legion Post 12- Golfito Meetings are held 4 pm 1st Tuesday every month at Banana Bay Marina. The Golfito GOVETS have been helping Southern Costa Rica for over 20 years. Contact Pat at walkergold@yahoo.com or 2775-2809. American Legion Post 16- Goicochea Meetings are the second Wednesday of the month in the Hotel of the Hospital Clinica Catolica. Lunch at 11:30 and the meetings at 12:30 Contact Jim Young at 2524-1265 or Ken Johnson at 25911695. Bird Watching Club The Birding Club of Costa Rica sponsors monthly trips to observe local and migrant birds in various areas of the country. For more information contact us at 2282-5365 or at costaricabirding@hotmail.com Canadian Club The Canadian Club of Costa Rica welcomes all to join us for our monthly luncheons, and at our special annual events, like our upcoming Canadian Thanksgiving in October. For information visit our website: www.canadianclubcr.com Democrats Abroad Democrats Abroad meets on the last Saturday of every month at the Aurola Holiday Inn, San Jose. Contact Nelleke Bruyn, 2279-3553, e-mail cr.democratsabroad@yahoo.com. Join Democrats Abroad at www.democratsabroad.org. Register to vote absentee at VoteFromAbroad.org! Little Theatre Group LTG is the oldest continuously running English-language theatre in Central or South America. The group currently puts on a minimum of

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Marine Corps League Meets the 2nd Saturday of the month, Int’l Baptist Church, in Guachipelen. Call Bill Enell at 8812-0126. Newcomer’s Club Newcomers Club of Costa Rica (for women) meets the first Tuesday of every month, September through May. September meeting will be an interest fair. Contact: 2416-1111 costaricaporo @yahoo.com or http://www.newcomersclubofcostarica.com PC Club of Costa Rica This computer Club meets on the third Saturday of each month at Pan American school, in Belen, 830 to 11:30 am 2 months Free Trial for newcomers. For information call Chuck Jennings. Phone 2266-0123 www.pcclub.net Republican’s Abroad The Republicans Abroad of Costa Rica meets the second Tuesday of each month. Contact Francis 2203-6131, or fax 2282-2150. Radio control Sailing Club Meets at Sabana Park Lake. For information contact Walter Bibb. Wwbbsurf40@yahoo.com Wine Club of Costa Rica Please mark your calendars The wine club usually meets at 1 P.M. on the last Sunday of each month. Join us to tantalize your taste buds and expand your education. For more information on upcoming events please contact us Phone 2279-8927, 2257-2223 Women’s Club of Costa Rica In 2010 The Women’s Club celebrated 70 years of philanthropy in Costa Rica. Current programs focus on education, primarily through scholarships and development of school libraries for children. It is one of the oldest, continuously operating service organizations in Costa Rica. WCCR membership numbers 250 English-speaking women, representing 25 countries of the world, drawn together by the motto: Friendship through Service. WCCR monthly meetings with guest speakers are held the second Wednesday of each month, as well as regular luncheons, teas, and many interest groups. Guests are welcome and further information can be found at www.wccr.org Women’s International League for Peace and Freedom (open to men too) Bilingual group meets in Heredia on the first Wednesday of the month at 10 a.m. in the clinic of Mireya Gonzalez. We work on peace and human rights issues. Call Mitzi 2433-7078 or write peacewomen@gmail.com Young Expats of Costa Rica Some Expatriates under the age of 40, and currently living in Costa Rica, have formed a new social club to be coordinated through their website This club will help younger expatriates living in, or moving to, Costa Rica meet other expats in their age group for; friendship, romance, travel and activity partners, and professional networking. www.YoungExpatsOfCostaRica.org Veterans of Foreign Wars: Post 11207 Meetings are held at 12 noon, the first Tuesday of every month, at Club Colonial Casino on the second floor. All members are welcome and veterans who served overseas may join. For info please email the post at vfw112072003@yahoo.com.

Connection by the Women’s Club of CR

A Look Into Another World In today’s synthetic world we seldom question how things have been made when we buy, for example, a placemat, table runner or pillow. If we buy authentic indigenous products we really should ﬁnd out how they are made. For example, Brunka women who weave their products on backstrap looms travel to the coast to obtain a certain purple dye to use in their fabrics. They carefully blow on a particular type of snail. This causes the snail to release droplets of urine. The snail is then placed back in its environment as the Brunka collectors move from snail to snail to collect the dye drop by drop. Another dye used in their woven fabrics requires the application of male urine to ﬁx the lime green color. It has something to do with the hormones.

It was pointed out that indigenous people do not concern themselves with the boundaries created as international borders as we do, so included in the collection are exquisite carvings made by the males of the Wounan people using the tagua nut which is indistinguishable from ivory: it is thus known as “vegetable ivory”. It is, therefore, a sustainable cash crop used today to replace ivory in the making of piano keys, inlaid woodwork, buttons in ﬁne clothing and other objects instead of ivory. The women weave museum quality baskets, in recent times and at the suggestion of Aisling and Conall, topped by tagua nut carvings. These are quite rare.

At the last Women’s Club General Meeting, speakers Aisling French and her son Conall, owners of Galeria Namu in San Jose, provided background on the history and artwork of eight of Costa Rica’s indigenous peoples. Conall, who researches the artwork and is, himself, an activist for the indigenous people, lived for a year with the Bribris and is married to a I think the planets must be lined up in a row right now because lovely Brunka woman. They have a lovely new baby girl, of the timing of this presentation. The Women’s Club has just Beyan. bought dictionaries in the indigenous language for delivery to the Cabecar School, Paso Marcos, on the Rio Pacuare and Conall provided historical information on the various groups; may be partnering with other organizations for additional work then Aisling showed us samples of artwork for each group. with this indigenous group. Ana Cecilia Torres, partnering Artwork included: bark fiber figures from the Cabecares; a with students and their teacher at UNA, who are creating pre-colombian jaguar cargador from the Chorotegas; from the a Community Library for the Terribas, led a group to visit Guaymis a chaquira necklace, originally worn by the men of the Terribes and Brunkas and is in the process of providing the group, and a doll made from native cotton fluff gathered support from the Women’s Club for those indigenous groups. only once a year, and used to stuff mattresses and pillows as well as dolls; a small thatched hut with miniature hammock Galeria Namu provides a “Fair Trade” outlet for artwork from and grinding stone inside from the Terribes; an open tambor indigenous groups as well as local Costa Rican artists. In (drum) with an iguana skin head, and a painted jicara, or water many instances, the sale of the artwork is the sole income for canteen from the Maleku tribe. the family. Aisling and Conall pay the artists immediately for any artwork they accept, so they are able to have first choice From the Brunkas, the most prolific of the indigenous groups, for the highest quality work of individual artists. Most artwork Aisling showed us a more expensive cloth made again on the is signed by the artist. backstrap loom, but of a native grown wild cotton from Costa Rica called tocolote. She admires more this rarer type of cloth In case you want to take a peek into a different world right here herself for the incredible expertise needed to weave it. She in San Jose, Galeria Namu is located on 7th Avenue between also showed us three masks depicting those used in the yearly 5th and 7th Streets. The telephone is 2256-3412 or 800-616Danza or Juego de los Diabolitos involving the dramatization 4322. There is a car park directly in front of the gallery next to of the confrontation between the bull personifying the Spanish the Alianza Francesa. The website is www.galerianamu.com invaders from historical times and the indigenous “little devils”, and e-mail is info@galerianamu.com. Hours are 9:00 AM - 6: as they were called by Spanish. Of course, the bull is ritually 30 PM Monday through Saturday and 11:00 AM through 4:00 slain (and its phallus is auctioned off to community members). PM on Sunday during the tourist season. I have, on occasion, Namu has masks that have been used in the ceremony as well even met the artists bringing in their latest masks, baskets and as masks used solely as objects of art. The three masks at the paintings! meeting showed the evolution within the indigenous artistic community of their own artistic talent, in this example, from For more information about the Women’s Club of Costa Rica, father to son. please refer to the Club Corner page of El Residente magazine or go to the WCCR website at www.wccr.org.

July- August, 2011

Dollars & $en nse e by Alan Weeks

Another Commodoties Bubble In recent years, China became the world leader in demand for a wide range of commodities. And, as demand increased, prices of commodities also increased. slowdown in the volume of most imported commodities into China. And, its importation of many key commodities is Since the capitalist revolution was launched in 1979, China actually falling outright. posted an average economic growth of 10% a year. Of course, in the early stages of economic development, THE REAL COMMODITIES BOOM China was able to achieve its high growth rate because of aggressive mercantile policies, including currency Investors have continued to rush into commodities, with manipulation and easy credit, to push its program of rapid the most noticeable surge starting in 2005. Since then, industrialization and urbanization. investments, as measured by the market value of commodityHowever, China’s exports peaked in 2007, and are now so big that it can’t keep expanding its share of world trade much more. Moreover, its major indebted customers throughout the West are ﬁnally realizing their more limited ability to keep buying stuff.

related companies, increased very substantially.

Adding fuel to the commodities boom, it is understood that China has been stockpiling key commodities for some time. This would make sense to a country with surplus dollars from export sales, to buy hard assets of real value, such as copper, iron ore, and oil, rather than to buy more U.S. Since 2008, a major portion of China’s rapid growth has Treasuries. There have also been numerous reports of the been fuelled by an aggressive stimulus program of massive substantial hoarding of key commodities. infrastructure spending through a seemingly endless expansion of credit. This spending spree on a wide range of It is our belief that a significant portion of the stockpiling and gigantic infrastructure projects created the surge in demand hoarding of commodities has been mistakenly characterized for many commodities. as consumption. And, this has probably created a false However, the ultra-easy availability of credit in China created a real estate bubble, which has now reached an extreme never seen before in recorded history. And, it seems that much of its great construction boom has been for the building of many massive unused infrastructure projects, such as: Over twenty Ghost cities that no one yet lives in; Superhighways and bridges to the middle of nowhere; Unused high-speed rail systems and empty airports. A serious consequence of the credit-led stimulation of the Chinese economy, along with currency control, has been a steady rise in inflation, pushed by imported food and commodity prices. It was this escalation of food and energy prices across China that fomented the push for significant wage increases.

assumption of actual volume of commodities being consumed. Furthermore, there is good evidence of massive speculation in commodities, which may also be based on false assumptions. The net result of all this has been to push the Commodity Price Index to double in value since 2009. IN THE REAL WORLD It would seem logical to expect that the upward trend in the price and consumption of commodities would be related to real world economic growth and/or world industrial production.

However, a review of the World Real GDP Growth statistics shows that real global growth in 1990 was about 3.0%. By the year 2000, real world growth had edged up to 3.5%, but While it is apparent that the Chinese central government fell back after 2007. Thus, no correlation was found between is making efforts to slow the spending spree to try to slow real global growth and the commodities price escalation, inﬂation, its ability to tamp down domestic inﬂation remains particularly after 2005. questionable. The World Industrial Production statistics were also examined. The upward trend in industrial production from Regardless, the fact is there has recently been a substantial Continued on page 23...

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2005 was found to be approximately 3.5% per year. Again, By presenting all this information, it is hoped that those no correlation with commodity prices was found. still invested in commodities will heed the warning flags and cash out now to preserve their capital. At some One logical conclusion to this lack of any correlation between later date, there will be opportunities to make good commodity prices and real world economics, in addition to investments with that cash, at far better valuations. speculation, is that massive interventions by most major governments, through the unprecedented expansion of credit, GOLD IS NOT A COMMODITY funded huge construction activities in those many countries. This would have grossly accelerated the consumption of Numerous commentaries in the media would have us believe commodities for that relatively short period. And, this would that Gold is a bad investment. Others tout that “Gold is in a seem to imply that future commodities consumption could bubble”. All the points raised in the bearish commentaries remain muted for some time. were addressed and debunked in the recent BMG Special Report ‘Six Biggest Myths About Gold’. In addition, I Until recently, our excessive credit and debt, through all found another good bullish case for Gold in a recent twelve forms of borrowing was considered to be wonderful, as the page article published on the Seeking Alpha site called: key drivers of our economies. However, in these times of Dominant Factors that Will Impact Precious Metals (1). weakness and uncertainty, the woes of paying the money back is taking center stage. The key point made is that Gold is NOT an investment, but that GOLD IS MONEY! Unfortunately, as more evidence of widespread economic slowdowns pour in every day, global economic activity The fact is that Gold, Silver, and Platinum, are traded on the seems to be dying on the vine. currency desks of the major banks and brokerage houses, not the commodity desks. Traders understand gold is TIME FOR THE ‘GREAT SLUMP’ money to be traded against paper currencies. Instead of hyper-inflation, which is being widely touted, the more likely scenario is a significant slump in asset values. And, as the world economy continues to slow down, this should crush speculative activity.

Central banks also understand gold is money. An additional fact is that the turnover rate between members of the London Bullion Market Association is over $20 billion per day, with volume estimated at five to seven times that amount. It shows that this has nothing to do with jewellery or coin sales A good example of commodity prices being disconnected is and everything to do with the exchange of money. seen between the supply and price of Oil. A simple definition of investment is the commitment of money It is understood that oil has been in basic oversupply for at or capital to purchase financial instruments or assets in order least two years, and yet, the price has appreciated by 70%. to gain profitable returns in the form of interest, dividend Thus, it is believed that significant speculative activity has income, or appreciation in the value of the investment. By pushed oil prices to a level that is depressing demand and is putting up capital, an investor puts it at risk, and may get back less than invested, or get back nothing at all. also acting as a drag on economic growth. Physical gold bullion is not invested, it is simply being stored, This scenario appears to be proving once again that adage and just like paper currencies can be locked in a vault. Both gold and currencies can be taken out of the vault with that “the cure for high prices is high prices”. ease, and the gold can be sold at the current value and the Timing is the hardest part of guessing when asset deflation or proceeds invested in instruments or other assets. the Great Slump will occur. However, if the global economic slowdown continues as expected, and becomes a double-dip The chart below illustrates how Gold has not only preserved recession in the U.S.; the commodity price decline could roll but increased its purchasing power from 1971, when the downhill fast. Regardless, the dramatic slowdown going on Gold Standard was abandoned, until now. in Chinese imports should really be most of what matters in the immediate future to commodities. And, it is expected that GOLD PURCHASING POWER THEN AND NOW Ounces of Gold needed to make purchases in 1971 and the forecast slump will be a substantial one. 2011** And finally, I agree with Jeremy Grantham, of GMO, that Prices in Gold Ounces 1971 2011 “bets on resource production and efficiency will pay off Compact Car 66 oz 10 oz over the long-term.” However, over the next 18 months, Average Canadian Home 706 oz 254 oz he thinks there is a significant risk of commodity prices Dow Jones Index 25 oz 8.5 oz falling sharply because of a “blip in Chinese growth, **As of March 31, 2011 Continued on page 24... better weather, and the end of QE2.”

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It is important to note that other forms of Gold ownership, such as shares in gold mining companies, ETFs, and futures contracts all have counterparty risk and are, in fact, investments. In addition, these also have risks associated with signiďŹ cant market corrections. As a ďŹ nal review of the relative value of the U.S and other major paper currencies, a couple of good charts that clearly illustrate this are described below. A chart presented at past investment seminars showed the steady decline in the purchasing power of the U.S. dollar since the U.S. Federal Reserve was established in 1913. From that date until 2007, it clearly showed that the U.S. dollar had declined steadily through that whole period and now has only one-twenty-ďŹ fth (1/25) of its original purchasing power. Most of us have been aware of the claim that the US FED had been debasing the value of the U.S. dollar. Much has also been written about the fact that other nations were engaging in currency debasement wars. A chart in the Dominant Factors... article compared the relative values of all the major paper currencies with the value of Gold, a hard currency, over the past ten years to March 31st this year. This chart clearly showed the value of

all the paper currencies had declined between 70 & 80+% relative to Gold over that period. Of course, we are well aware that the relative value of Gold has also been driven up by surging demand from a widespread rush to get out of the debasing paper currencies into Gold. It is also known that the Chinese government has been encouraging its people to hold some of their huge savings in gold Panda coins, but that story is for another time. By way of disclosure, we no longer have any investments in commodities or resources, but now have a signiďŹ cant investment in a Gold Bullion fund in one of our own Portfolios. Readers are encouraged not to put blind faith in the above ramblings but rather to do their own â&#x20AC;&#x153;homeworkâ&#x20AC;? and then be guided by common sense. Please note that the opinions expressed in this article are solely those of the writer For more information and reference details please contact Alan Weeks at (507) 345-3714 or by E-mail: imccr2002@yahoo.com

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July- August, 2011

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Holidays of Costa Rica July 25th (ARCR closed) Guanacaste Day August 2nd (ARCR closed) Virgin of the Angels Day August 15th (ARCR closed) Mother’s Day September 15th (ARCR closed) Independence Day ******************** A Touch of Wisdom “After dinner rest a while; after supper walk a mile.” T. Cogan (1584) “Beauty is in the eye of the beholder.” Greek proverb “Eat to live, not live to eat.” Socrates ******************** A quick smile... Do you ever notice that when you’re driving, anyone going slower than you is an idiot and everyone driving faster than you is a maniac? There was this Eskimo chick who spent the night with her boyfriend. Next morning she found out she was 6 months pregnant. I’ve used up all my sick days, so I’m calling in dead. A 3-legged dog walks into a saloon in the Old West. He slides up to the bar and says: “I’m looking for the man who shot my paw.”

July- August, 2011

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