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After food price riots in 1980, William Tolbert was overthrown by Sergeant Samuel Doe. By the late 1980’s, Charles Taylor’s militia overran most of the countryside, and Doe was executed. Rebels became abundant and fighting increased as they began fighting each other. A peace agreement was signed in 1995, yet in 1999, fighting again corrupted Liberia. Bordering countries believed that Taylor was supporting the rebels, as he claimed of the countries. Taylor was bound by the rebels and was also under international pressure, so he relinquished his power by resigning.

Around 250,000 people were killed in Liberia's civil war and thousands fled. The conflict left the country in an economic downfall, which led to it being overrun by weapons and rebels.

These rebels show no mercy to anyone. In the pictures just to the left, you will see just how cruel and heartless these people are, if you can even call them that.

These rebels are a main concern of Liberia and its economy.

Liberia is abundant in rich natural resources, yet industries and services are lacking because most businesses were destroyed; when these businesses were damaged, foreign investors left the country.

Iron ore production stopped completely, and the United Nations banned timber and diamond exports from Liberia. UN sanctions on Liberian timber were removed in 2006.

Liberian diamond exports resumed through the Kimberley Process Certification Scheme, which basically states that Liberia’s exported rough diamonds were to be shipped with “no conflict.”

•OIL SECTOR: The Ministry of Land, Mines and Energy regulates the oil sector in the country.

•MINING SECTOR: Since the outbreak of the civil war, the mining sector has lost all its foreign investment. Resources of mining: tin, phosphates, zinc, copper, nickel, molybdenum, beach sand, uranium, chromite, and silica sands.

HIGH SMUGGLE RATES

•ELECTRICITY: Liberia Electricity Corporation has two electric power generation plants in the capital city of Monrovia.

Facing devastated infrastructure and high unemployment, the country largely depends

THESE WILL COST THE MOST BUT WILL PROVIDE CAREERS FOR CITIZENS.

The unavailability of roads hinders the development of travel to markets. We invest government funds to the following roads: one along Liberia's 350 mile coast, the second running through the center of the country, and the third in the north. To enhance trade, we will link all central cities to sea harbors and to each other. (This will be approximately eight roads).

Jobs created: 34,000

Investment (USD): a whopping $ 3,000,000,000

Education is a pillar of industrial development. Young adults and adults themselves are not getting the education they need because the only university is in Liberia’s capital. Roughly three regional universities will be built; about one or two vocational schools per county will be built, for they provide skilled workers for industries in that county. Polytechnics may also be constructed. These will all be equipped with libraries to provide knowledge, comprehension, and further skills needed to enhance literacy and education.

Jobs created: 11,000

Investment (USD): 735,500,000

CAPITALISM

THE FISCAL POLICY USED IN LIBERIA WILL STEADILY GROW TO BECOME LIKE THAT OF THE UNITED STATES’. THE COUNTRY WILL USE THE SYSTEM OF BUDGETING AND TAXING TO STEADILY INCREASE GOVERNMENT SPENDING. THE SALES TAX WILL START UP TO -OR POSSIBLY BELOW- 4%, UNTIL CONSUMER SPENDING CAN INCREASE AS WELL. INCOME, PAYROLL AND CORPORATE TAXES WILL COME INTO EFFECT AS SLOWLY AS THE ECONOMY GROWS. THE INCOME TAX WILL BE BASED UPON THE WORKERS’ SALARIES; PROGRESSIVE TAXES WILL BE PLACED UPON THE HIGHER-EARNING SALARIES, WHEN OPTIONAL. CONSUMPTION TAXES WILL NOT BE USED.

EXPANSIONS

CONTRACTIONS

TO MAKE THINGS SIMPLE AND EFFECTIVE, LIBERIA WILL ALSO FOLLOW THE U.S. MONETARY POLICY.

BANKS WILL HAVE TO RESERVE A SPECIFIED AMOUNT IN THEIR VAULTS OR DEPOSITS WITH THE FEDERAL RESERVE. THEY WILL BE TOLD TO RESERVE MORE THAN REQUIRED TO REMAIN STABILE.

FEDERAL FUNDS MARKETS WILL BE USED SO THAT BANKS MAY ACQUIRE ADDITIONAL RESERVES ON A SHORT-TERM BASIS FROM OTHER BANKS THAT HAVE MORE THAN NEEDED. (W/ FUNDS RATES)

DISCOUNT RATES SET BY FEDERAL RESERVE.

FOREIGN CURRENCY OPERATIONS WILL BE SMOOTHED-OVER AT ANY TIME BY THE FEDERAL RESERVE. THE EXCHANGE RATE OF THE LIBERIAN DOLLAR IS ENCOURAGED TO INCREASE AS THE ECONOMY FURTHER PROGRESSES.

INFLATION

UNEMPLOYMENT

1 U.S. DOLLAR=

75 LIBERIAN

DOLLARS

LIBERIA WILL CONTINUE TO TRADE WITH

ITS FOREIGN COUNTRIES:

Germany

United States

Italy

France

Belgium

Luxembourg

The Netherlands

United Kingdom

Japan

Spain

Trade will increase as the economy increases in industries

and wealth.

PRIMARY PRODUCTS:

Bananas

Coffee

Cocoa

Diamonds

Gold

Iron ore

Maize

Palm Kernels

Rice

Rubber

Timber

MAIN INDUSTRIES

Agriculture

Food Processing

Forestry

Mining

MAJOR EXPORTS

Cocoa

Gold

Iron ore

Timber

Rubber

LIBERIA’S TARIFFS ON IMPORTS RANGED AS LOW AS 2.5% TO AS HIGH AS 25% IN 2007! RATES MUST STABILIZE. •RESOURCES WILL BE SOLD TO THE LISTED PARTNERS ON THE PREVIOUS PAGE. TARIFFS, TREATIES, AND QUOTAS WILL BE DETERMINED BY THE FUTURE EXCHANGE RATE (FOR THE ECONOMY WILL PROGRESSIVELY REACH STABILITY AND PROFIT), AS WELL AS ANY OTHER PROFIT MOTIVE DECIDED BY EACH COUNTRY. •LIBERIA WILL NOT TRY TO VICTIMIZE ITS TRADING PARTNERS, NOR WILL IT ALLOW REBELS TO INHIBIT TRADE AGREEMENTS. •LIBERIA MAY CALL ON THE ASSISTANCE OF FOREIGN AID BUT MAY NOT BREAK ANY FORM OF CONTRACT/ AGREEMENT WITH AIDING COUNTRIES IF THEY DO NOT ASSIST WHEN CALLED UPON.

GDP PER CAPITA: $400-$500

OVERALL,

TRADE IS ONE OF THE MOST IMPORTANT FACTORS OF GDP. THE COUNTRY IS LIMITED TO ITS RESOURCES AND MUST PROVIDE AND RECEIVE BY EXPORTS AND IMPORTS. THE AID OF SUPERCOUNTRIES, LIKE THE UNITED STATES, CAN DIRECTLY AFFECT A COUNTRY LIKE LIBERIA. POLICIES PLAY AS A CYCLICAL UNIT FOR THE ECONOMY AND HELP TO STABILIZE AS A UNIT, WORKING HAND-IN-HAND TO INCREASE GDP GROWTH.

TRYING TO PARTICIPATE IN ANARCHY TRULY BACKFIRES ON YOUR COUNTRY, AS SHOWN BY THE REBELS’ EFFECTS ON THE COUNTRY OF LIBERIA.