Talk About Subprime

ANTIGUA, Guatemala-- In Spanish, it's simply "la crisis."

That is, the world economic crisis. All those lousy subprime mortgages in California, Florida and Manassas have translated into some real problems for people down here. By some counts, the largest economic engine of Guatemala is remittances, i.e., all that cash that Guatemalans in other countries send home to their families. No construction work in the US, no remisas. The second most important industry--probably first in Antigua--is tourism. And in recent months, everyone here says, world tourism has simply dropped off the cliff.

That means language schools are operating at a percentage of their capacity. In turn, that means that teachers who get paid by the hour aren't being paid, and neither are the homestay families who get paid per student. Hotels have plenty of empty rooms, and there are fewer than a half dozen patrons in the cafe where I'm sitting now--not exactly a busy happy hour for the three waitresses. A smattering of restaurants are closing for lack of business, and when people talk about that, they shake their heads sadly.

Sure, you can debate about whether tourism is a good thing or a bad thing, how badly it corrupts cultures and drains resources. But it exists, it's an economic engine, and it's not like it's distracting folks here from building a cutting-edge technology industry or anything. (First, they have to teach their children to read.)

So if you have been vacillating about whether to take a vacation or not in the next few months, consider this: Guatemala is cheap generally, and you can likely find some bargains here now. (Hostel dorm room for $7 a night? Sure.) That would make it a good Great Recession destination. And your cash can go to someone who may need it even more than you do.