The phantom of liberty: economic growth and the vulnerability of small states

This paper is concerned with the relationship between economic growth in small states and their vulnerability. A critical argument in much of the literature on small states, particularly small island states, is that their growth performance is greatly constrained by their vulnerability to exogenous shocks because of their size. These shocks include economic, political and environmental factors, which together dampen the long-run growth rate of these economies. The paper makes use of a global small state data set and appropriate quantitative techniques to test the relationship between growth and vulnerability using the results of Briguglio's Vulnerability Index. The results highlight some of the conceptual shortcomings in the analytical literature on small states, particularly islands, as well as suggesting that the Vulnerability Index is mis-specified. Copyright © 2002 John Wiley & Sons, Ltd.

Sustaining social development in a small island developing state? The case of Seychelles

Since the 1970s there has been a significant interest in small island developing states (SIDS). Since the 1990s the vast majority of this focus has been on economic and environmental 'vulnerabilities'. This paper reaffirms the importance of 'the social' when analysing the 'vulnerabilities' of SIDS through a country case study of Seychelles in the context of its SIDS status. It outlines Seychelles' demographic processes and macroeconomic volatilities and discusses its post-independence social development achievements. This paper provides critical analysis of how these achievements have been attained and considers the extent to which the present levels are sustainable. It argues that significant social gains are under threat from a range of domestic and international forces, potentially destabilizing the main pillar of the economy, tourism. The paper concludes that while the economic and environmental vulnerabilities of SIDS are of conceptual importance, reaffirming the centrality of the social is vital to understanding the potential causes and consequences of these vulnerabilities. Copyright © 2006 John Wiley & Sons, Ltd and ERP Environment.

Tourism and Sustainable Growth in Small (Island) Economies

This chapter provides a critique of the contribution of tourism to the sustainable growth and prosperity of small economies in the context of the challenges posed by climate change. These economies generally face unique challenges because of their small size and exposure to global shocks and extreme climatic conditions. As major source of income and employment, tourism is a key element in the growth strategies of small economies. The principal determinants of growth in of small economies are reviewed and the impacts of the tourism sector are analysed in terms of employment, multiplier effects and local linkages as well as its social and environmental impacts. The critical dependence of tourism upon long-haul air travel and large cruise ships represents a major, and possibly insuperable, challenge to the future viability of the sector in many small island economies