Development and stabilization in small open economies

One of the economic constraints imposed on Caribbean countries due to their small size was first discussed by William Demas more than half a century ago. However, as DeLisle Worrell notes, it is “a topic that has not received the attention it deserves over the past four decades” (p. 3). Development and Stabilisation in a Small Open Economy goes a long way in correcting that neglect. It is impossible in a short review to do justice to the range of issues addressed in this important study. The focus here will be on two points that are particularly important in relation...