Case Study

Cuban cooperatives

2 pages
November 2013
Reference: IMD-3-2420

On July 1, 2013, the Republic of Cuba implemented decisions taken by the VI Communist Party Congress in April 2011 to gradually open up state-operated sectors to more efficient cooperatives. As of that day, 124 such undertakings were allowed to function on an experimental basis in sectors ranging from transportation to construction, waste removal, recycling and markets for agricultural and livestock products. The measure would allow the state to free itself of tasks that were not central to the development of the economy. Cooperatives would assume an important role next to state-enterprises which would remain the centrepiece of the economy. Is this a gradual move towards privatization or has Cuba accomplished the socialist transformation of society as envisioned by Fidel Castro and Che Guevara?

Learning Objective

Analyze economic systems and incentives.

Economic Development, Economic System
Caribbean, Cuba
Published Sources
© 2013
Available Languages
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