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The Sovereignty Trap

Cartel Capitalism, Global Demand, and the Hollowing of Ecuador Ecuador stands as a poignant 21st-century paradigm of structural hollowing, where the conventional definition of a failed state is challenged by a more insidious form of dual-power reality. Once considered an oasis of safety within Latin America, the nation has mutated into a premier global maritime logistics hub for transnational cocaine trafficking. This catastrophic shift is not merely an internal failure of law enforcement, but a systemic convergence of asymmetric geopolitical factors. Its dollarized economy, which successfully dampens macroeconomic inflation, simultaneously functions as a friction-free lubricant for international money laundering. Meanwhile, its hyper-efficient agricultural infrastructure, pioneered by the world-leading banana export sector, has been systematically weaponized by Balkan, Mexican, and Albanian syndicates. Straddled between the world's primary cocaine producers, Colombia and Peru, E...

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