Elections are right around the corner, and they are what practically everyone the world over is talking about. But, what effect will the election of Obama have on Costa Rica? And what if McCain takes office? Both scenarios have pros and cons for Costa Rica.

If McCain takes office and puts his plans into action to reduce the American tax burden wealthy Americans might be more inclined to spend their disposable income investing in Costa Rica. McCain also supports CAFTA, which would fuel trade and the outsourcing of labor to Costa Rica. McCain’s proposal of a Wall Street bailout could end with banks finding their feet again, supporting investment in Costa Rica. However, many Costa Ricans do not agree with McCain’s world relations and if conflict continues and the economy doesn’t improve there will be little for Americans to spend in Costa Rica.

Supposing Obama gets elected, as many are expecting, tax reforms are one of his first orders of business. While this would mean the rich will have less to invest in Costa Rica, it will mean the middle class will have more to spend on vacation, hopefully increasing the number of visitors Costa Rica sees each year. Obama also talks big about relations with Latin America, proposing large investments to relieve poverty and increase regional security. Obama plans to pay down the national debt and make more capital available to businesses, enabling them to expand to Costa Rica. However, on the down side Obama does not support CAFTA, as he wishes to keep jobs local.

Whoever gets elected, one of the most important things for Costa Rica is that the downward spiral of the United States economy gets reversed. When the U.S. economy is doing well, Costa Rica is doing well.

What do you think? Is Obama the right choice for the U.S. from Costa Rica’s point of view, or is McCain?

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