If you haven’t seen this picture yet of the giant sinkhole that opened up in Guatemala City and swallowed a whole building, yes, it’s real. No Jerry Bruckheimer movie effect necessary. There’s another one at the bottom of this post. That’s just the most visible manifestation though of a hellish one-two punch from Mother Nature last week.

First, the Pacaya Volcano that people like to go hiking as a tourist attraction blew its top, spewing out rock and ash and closing the international airport. Then Tropical Storm Agatha hit the Pacific coast soon after, triggering a chain of mudslides, swollen rivers, floods, and that sinkhole.

For an amazing set of photos that show how powerful the impact really was, follow this link to Boston.com, where they don’t make you click through 20 pages to see it all. You can just scroll down and get a sense of how rough things are in this country where a lot of people already live hand to mouth.

A writer I know and respect, Luke Armstrong, recommends The God’s Child as a reputable organization to funnel money to. Right now, cash is the best medicine so aid workers can get what they need to feed people, purify water, and provide places to sleep.

You can also go to this Boing Boing blog story to get links to local news reports, more photos, and lots of comments on how these crazy sinkholes occur.

The plummeting euro has been all over the news the past few months. In a strange twist of fate, the non-Chavez-leaning countries of Latin America are looking like models of fiscal stability now compared to their colonial cousins in Spain and Portugal.

The euro is at its lowest level in five years against the greenback as the flight to safety continues. So what does that mean for your travels to Latin America?

Not much, actually. As I’ve pointed out on here before, many of the currencies in Central America and South America move in lockstep with the U.S. dollar. In Ecuador and Panama, the dollar is the currency—you don’t even need to change money upon arrival. In others, like Honduras and Belize, there is a very narrow trading range.

The most volatile exchange rates are the ones attached to the most developed roaring economies: Chile and Brazil. Expect a lot of volatility if you’re heading to those commodity-rich nations. Things are a little brighter right now though: the dollar is up 6% in Brazil and 7.1% in Chile since the new year started.

The bad news is, that’s coming off a very strong 2009 for those currencies. The news is worse elsewhere, with the dollar faltering a bit against the currencies of Colombia, Guatemala, Peru, Uruguay, and Costa Rica. Not by much though—the declines are all under 5%.

Mexico is basically flat for the year, which means around 12.5 to the dollar—still a great exchange rate in historic terms. Argentina is still hovering around 3.9 to the dollar, after being at 3-to-1 before last year. (Unfortunately, they’re making up for it with high inflation and increased visa fees upon arrival.)

Does any of this matter if the changes aren’t dramatic? Not a whole lot for your biggest expenses. If you book a tour with a company marketing to North Americans, they’re pricing things in dollars anyway. Most luxury hotels set their rates in dollars as well in this hemisphere, with Brazil being the main exception. Latin America real estate may or may not be priced in the local currency: it depends on the target market and the location.

Where you really lose or win is when you buy things or services that are priced in local terms. When the dollar is strong, you will pay less for taxis, restaurant meals outside the hotel, and excursions you book with a local company not affiliated with your hotel. Local flights will usually be in the local currency, except for places like Peru and Argentina where they like to play the game called “soak the foreigners.”

Naturally if you’re living somewhere for a while in a vacation home or retirement home, these fluctuations matter more. They then affect your property expenses and labor expenses.

To see historic exchange rates, follow this link to fxtop.com

Central America has long been in the forefront of eco-tourism, but much of the focus has not been on Guatemala, but some of its neighbors to the south.

Our man on the scene, Al Argueta, says it’s time to add Laguna Lodge on Lake Atitlan to the list of eco-friendly resorts that are also pampering enough to be considered luxe.

“The rooms themselves are made from materials that include volcanic stone, palm wood and adobe bricks made on site. Like the restaurant, they open up completely to the lake and enjoy wonderful views.”

The restaurant is vegetarian, but so good that you won’t care if you’re a carnivore. The bulbs may be a little dim and you may may a few small sacrifices, but the lake will thank you.

“The need for environmentally sustainable accommodations has been made abundantly clear with the recent proliferation of algal blooms on Guatemala’s most beautiful lake. Caused by phosphates from untreated waste water and agricultural fertilizer running into the lake, the first appearance of Lake Atitlan’s cyanobacteria dates to the 1970s but is only now getting the attention it deserves.”

See our full review of Laguna Lodge.

“Central America” and “great golf courses” haven’t exactly gone together like chocolate and peanut butter, despite all the opportunities for scenic vistas and locations next to the sea. Mostly this has been a matter of economics since the local demand wasn’t there and the stream of upscale tourists wasn’t dependable enough.

In some places the situation is improving though in the lands south of Mexico and La Reunion outside of Antigua, Guatemala is a great example. We just posted a review of La Reunion Golf Resort in our luxury Guatemala hotels section. Even if you’re not a golfer, how about that view in the picture here? If you’re a golfer, can you think of any other place where you’ve teed off having a view of four volcanoes? Nice.

“Its designers, Pete and Perry Dye, gleaned inspiration from the Mayan Solar Calendar, which consists of 18 twenty-day months. Each of the course’s 18 holes is named after its corresponding month on the Mayan calendar. The 19th month, Wayeb, is a five-day month dedicated to rest and contemplation and so makes a fitting name for the bar and restaurant. Facilities include a driving range, putting green, chipping green, practice bunker, and pro shop. Incidentally, Pete’s eldest son Perry Dye recently spent the last days of 2009 on vacation at the resort with his family and nailed a 178-yard hole-in-one on the course’s 12th hole.”

This review was from the author of the Moon Handbook Guatemala guidebook and Living in Guatemala. See our interview with Al Argueta for more.

There are a lot of elements that go into the price of a flight, from staff costs to government fees to landing gate charges at airports. One big variable—and the ones most airlines use to justify all kinds of add-ons and extras—is the price of fuel. Well how much does it really cost to carry each passenger a thousand miles through the air?

Spirit Air is doing its best to figure that out and share it with its customers. It has published a handy dandy chart showing how much it costs them in fuel to go a certain range of distance. You can see the full breakdown at this link, but here are a few examples:

• A short hop of 400 to 599 miles costs them $21.67 at current fuel rates
• Going 800 to 999 miles is a shade over $30
• Their longest hauls of 2000+ miles costs $78 per passenger in fuel

So to put that in real terms, for Ft. Lauderdale to Cancun, fuel is only around $22. Flying all the way to Lima from there, fuel is more than $78 per passenger. All these rates assume an 80% load factor, so if the flight is jammed full the actual cost per person would be a bit less. I’m not sure how cargo is figured in. And what if my seatmate weighs twice as much as I do? Should those who can’t fit in a regular airline seat multiply by two?

Think about this next time you see a $300 “fuel surcharge” on your legacy airline flight to Europe. Where’s that money really going? Why isn’t it just included in the price of the ticket?

When you see these fuel prices though, it makes Spirit’s cheap fares look even better, especially if you’re part of that $9 fare club. If you can snag one of those rates, you are flying for less than the cost of the fuel, never mind all the other costs the airline bears. So smile when you pay that checked baggage fee or a swipe your credit card for a cup of coffee in the air. Chances are those fees might not even get you back to even.

If you just want to get from point A to point B and have plenty of cash left over for spending after arrival, Spirit Air serves many Latin American destinations besides Cancun and Lima. They’ll get you to Nicaragua, Honduras, Costa Rica, Guatemala, Panama, and four locations in Colombia.

More on airlines serving Latin America. Thanks to SmarterTravel for the original post on this.