Economic Problems

• What are the economic challenges in the Caribbean?

  • Unemployment
  • Low earnings
  • Population density
  • Migration
  • Debt
  • Sourcing capital
  • Economic dualism
• How is unemployment defined?

  Willing and able to work but cannot find work
• Why is unemployment a challenge in the Caribbean?

  High unemployment rates hinder economic capacity
• What is the typical unemployment rate in some Caribbean countries?

  Double digits, around 10-12%
• What is the brain drain problem?

  Talented individuals migrate for better opportunities
• How do low earnings contribute to migration?

  People seek better-paying jobs elsewhere
• What economic issue is associated with population density?

  Underpopulation or overpopulation in urban areas
• What are the consequences of overpopulation in cities?

  Increased crime, pollution, and unemployment
• What is a major problem related to national debt in the Caribbean?

  Diverted funds from growth to debt servicing
• How does national debt affect economic growth?

  Limits investment in education and infrastructure
• What is a challenge in sourcing capital for Caribbean countries?

  Low GDP makes lenders hesitant
• What is economic dualism?

  Two different economic realities within one economy
• What are the two economic realities in economic dualism?

  Subsistence level and high-end economic activities
• What are the strategies for improving economic realities in the Caribbean?

  • Foreign direct investment (FDI)
  • Development of human resources
  • Enhancing agriculture sector
  • Growth in manufacturing and construction
  • Improving financial services
• What is foreign direct investment (FDI)?

  Investment by foreigners in a local economy
• What are the pros of foreign direct investment?

  Stimulates economic growth and development
• What are the cons of foreign direct investment?

  Potential loss of local ownership and culture
• How can foreign direct investment influence local culture?

  Brings in foreign culture, potentially overshadowing local culture
• What role does education play in economic growth?

  Improves productivity and reduces outsourcing
• What is a significant issue with the agriculture sector in the Caribbean?

  High dependency on food imports
• How can developing the agriculture sector benefit the Caribbean economy?

  Reduces import bills and increases local production
• What is the current state of the financial sector in the Caribbean?

  It is booming with offshore banking opportunities
• Why is tourism considered a fickle growth strategy?


  Dependent on external factors like US economy
• What are the key takeaways from sections 14 and 15?

  • Economic challenges in the Caribbean
  • Importance of foreign direct investment
  • Strategies for economic growth
  • Role of education and agriculture
• What should students do to understand the remaining sections of the syllabus?

  Read them clearly and thoroughly
• How can students engage with the content after watching the video?

  Leave comments for questions and clarifications