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  • 14 years ago
Police fire tear gas at protesters in Panama City.

On Friday, demonstrators and police clashed over a controversial law allowing the sale of land in Latin America's largest duty free zone.

Around 30,000 people work in the zone, which earns Panama $33 million dollars annually.

Protesters worry that selling state-owned land in the impoverished port city of Colon, located next to the Panama Canal, will result in job and wage cuts.

In response, Panama officials said they plan to repeal the law intended to improve Colon's economy.

Violent demonstrations began in Colon shortly after the law was announced last week, resulting in the deaths of three, including a young boy.

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