Productive Development Policies in Jamaica

79 Pages Posted: 21 Apr 2011

See all articles by Monica Panadeiros

Monica Panadeiros

affiliation not provided to SSRN

Warren Benfield

affiliation not provided to SSRN

Date Written: March 2010

Abstract

Jamaica seems to be a puzzling case for economic growth: despite the structural reforms implemented in the last three decades and adequate investment levels, real GDP per capita is roughly the same as in 1970. The disappointing performance of this economy suggests that productive development policies (PDPs), including first-generation reforms, have not been enough to create a better environment for productivity growth. This paper examines the PDPs in Jamaica and concludes that behind the paradox of high investment and low growth of this economy are the "public debt trap" and a highly distortive tax incentive structure to attract foreign direct investment (FDI) and promote exports. Although industrial policy is moving towards a more modern conceptual design, the old schemes seem politically difficult to dismantle.

Suggested Citation

Panadeiros, Monica and Benfield, Warren, Productive Development Policies in Jamaica (March 2010). IDB Working Paper No. 38, Available at SSRN: https://ssrn.com/abstract=1817250 or http://dx.doi.org/10.2139/ssrn.1817250

Monica Panadeiros (Contact Author)

affiliation not provided to SSRN

No Address Available

Warren Benfield

affiliation not provided to SSRN

Do you have a job opening that you would like to promote on SSRN?

Paper statistics

Downloads
84
Abstract Views
581
rank
366,387
PlumX Metrics