Culture & Economy

December to April Days consistently more sunny, dry, and warm. Typical tropical climates of hot, humid, and wet. May to November

Category 1 Winds from 119 – 154 kph Category 2 Winds from 155– 178 kph Category 3 Winds from 179– 210 kph Category 4 Winds from 211 – 250 kph Category 5 Winds from 251 kph

The rich cultural diversity of the Caribbean is a further attraction for the tourists. Region is named after the Caribs- the indigenous group that originally inhabited the region. Caribs were wiped out by the Europeans during several hundred of years (Britain, Spain, French, and Dutch) The Europeans have settled there and they are now part of the ethnic mix. 75% are of African decent, originally as slaves.

CountryGDPIndustriesCountryGDPIndustries Antigua & Barbuda $10 462TourismHaiti$1 539Sugar Aruba$32 308TourismJamaica$5 015Tourism Bahamas$28 769BankingMartinique$15 385Rum Barbados$15 846TourismPuerto Rico$12 615Tourism Bermuda$44 615TourismSt. Kitts & Nevis $8 769Tourism Cayman Isl$36 615TourismSt. Lucia$6 769Clothing Cuba$2 277SugarSt. Vincent & Grenada $3 369Bananas Dominica$3 846AgricultureTrinidad & Tobago $20 769Oil Dom. Rep.$4 108TourismUS Virgin Isl$18 231Tourism Grenada$4 862FoodCanada$37 000Energy

Bermuda and Cayman Islands have same level of incomes as Canada. They offer offshore banking for companies and wealthy citizens of foreign countries Removes taxation on the money when placed or removed from account. Also attract people from developed countries who would like to invest in businesses on the islands. They make money from the interest (which is considerably lower when compared to US and Canada)

Enforced by the Europeans, the islands are still producing products that placed them on the map. Agriculture, and Sugar are 2 major exports Demand for sugar fell, bringing most islands into an economic turmoil. They turned to Tourism and for most islands, this has placed them in a one-dimensional economy, dependant on Tourism to support them. Production of Rum is also a major export, and each island prides itself for producing the best Rum.

Tourism is considered to be an Export Why? Nothing comes out of the country. They consider memories as an Export since you pay money to come and you return with memories. The money made from resorts, food purchases are normally split in shares with the owner, the workers, government, and the local community

 Economically the benefits can be seen as two-fold.  First, tourist spending injects foreign money into the economy  Second, it creates jobs for the local people  We might think that the total benefit a country receives is equal to the total amount of money tourists spend in the country.  In fact, the effects of tourist spending on the economy are much greater… why?

$100 1 st Round $43 – Wages $31 – Goods Services $8 – Taxes $18 Profit $82 2 nd Round Wages Goods Services Taxes $15 Profit $67 3 rd Round Wages Goods Services Taxes $12 Profit

Tourist dollars are a great benefit to a local economy. But not all the money a tourist spends stays in the local economy. Some of it leaks out to foreigners. Foreign Owned Hotels, Some of the money will make it’s way back to the Foreign Country. Wages can be paid to Foreign Workers, where they will spend in their home country. Interest payments on loans may be paid to foreign banks. Advertising in foreign countries. Many goods and services have to be imported. To much Foreign Ownership can be damaging to a local economy. Comparing with Canada, most of the money will take 14 rounds before leaking out, compared to less than 10 in the Caribbean.

Supply and Demand for local goods will drive up the prices, so high that some locals may not be able to afford new clothing. The “Boom-Bust” cycle: Where resorts close their doors for Hurricane season, leaving local workers with a job. This can cause a reverse multiplier effect. Less money means less purchasing which leads to less production, finally cutting work for factory workers.

Large-scale tourist developments changed the rural living patterns. Seasonal work patterns created Traditional skills of some workers are lost Inshore fishing has declined, since fishing boats are used for tourism. Local foods, music and clothing styles have been influenced by North Americans Local properties are now commercialized Crime Levels have increased

1. Exploration Few tourist and tourist facilities Difficult Access and little tourist impact on Island Wealthy and exploring Tourist (looking for the wild) 2. Involvement Local attempts to develop facilities More accommodations and the quality increases Tourism seasons emerge 3. Development Extensive promotional efforts are created Larger accommodations and local involvement increases Peak Season – Tourist outnumber locals Artificial events are created to attract tourists

4. Consolidation Tourism is now a critical economic sector Large proportion of employment is in Tourism 5. Stagnation Area is losing attractiveness Overuse and overcrowding becomes common Reputation of delays and poor service develops 6. Rejuvenation? Stability? Decline? What happens next?