While 2022 represented a year of recovery for the Caribbean, following drastic economic contractions for many economies in 2020, exogenous economic shocks derailed anticipated progress. High fuel prices spurred increases in transportation and electricity costs across the region, contributing to rising headline inflation. The most recent edition of the IDB’s Caribbean Economics … [Read more...] about Riding the economic waves: Trinidad and Tobago’s navigation through the headwinds
The debt to GDP ratio in Suriname increased by 35.6 percentage points in 3 years, moving from 29% of its GDP in 2014 to 64.6% in 2016. It’s the largest increase in a debt ratio recorded in Latin America and the Caribbean (LAC) over the period. Trinidad and Tobago, Belize and Brazil were the only other countries that experienced double digit increases over the same … [Read more...] about Suriname’s Debt Surge: What’s Driving It?
This brief presents simulations of an Ebola scare in the Caribbean, including three highly tourism-dependent economies, The Bahamas, Barbados, and Jamaica. On the basis of the experience of Mexico in 2009 with swine flu, we simulate a short but sharp drop in tourist arrivals resulting from tourists' worries about Ebola. The Caribbean is special in that tourism contributes … [Read more...] about The Fear Factor a Back-Of-The-Envelope Calculation on the Economic Risk of an Ebola Scare in The Caribbean
Ironically, while thoroughly entertaining myself elbow-deep in Guyanese pepper-pot, I received a work request over the weekend to address the issue of Caribbean identity. I also became aware of a heated on-going debate on our blog as to how we should define and boundary the concept of “the Caribbean” – past colonial affiliations; imaginary lines in the deep blue sea; economic … [Read more...] about What do you mean by “Caribbean” anyway?
Recent research presented in Is There a Caribbean Sclerosis? Stagnating Economic Growth in the Caribbean and Does Size Matter? Yes, If You are Caribbean! shows that small economies—defined as countries with populations of less than 3 million—face several unique size-driven macroeconomic challenges and discusses whether or not smallness actually represents a binding constraint … [Read more...] about Smallness hurts, but does it constrain growth?