From sugar cane to sugar apple, you name it and it was grown in the Virgin Islands, which was considered for centuries the "agricultural mecca" of the Caribbean, according to local experts.- St. Thomas Source
For as long as I can remember, the Virgin Islands economy has been almost wholly dependent upon tourism. It seems dangerous to be in this position. And, this danger is only highlighted by the economic crisis, even higher airline tickets, changing passport regulations and overall decrease in travel.
But there are others who have a different memory. Olasee Davis says:
In the 1960s, when I grew up on St. Thomas, there was no Pueblo or Plaza Extra," said Olasee Davis, local agriculture expert. "Everyone had things growing right in their backyards, and every weekend, the farmers on the island would bring their produce down to the market square. The market used to be everything to the people on St. Thomas, and it was a tradition for them to come down and buy fresh stuff from the farmers.Seems to me that if we are to succeed in The Struggle for Self-Government, we must also have some semblance of self-sufficiency. Not saying that we need agriculture at the levels to feed the entire territory. But, surely our dairies should be able to keep cows! Can any of you form your mouths to tell folks that we have two dairies with no cows?!
Yes, the Industrial Revolution in the North of America did cripple the Southern economy. And, to this day, agriculture has still not proven to be the magic bullet to revitalize the South. However, the America doesn't simply rely on the South.
Our land-mass is exponentially less than that of mainland America. What will the Industrial Revolution mean for the Virgin Islands? And while efforts are being made to bring industry to the Virgin Islands, when faced with the failings of industry on the mainland we must ask two questions:
- Are we too late? Is this revolution at its end?
- Is the VI ultimately best suited for Industrial Development?
As our polls on VI Watch are showing, Virgin Islanders support Barrack Obama by an overwhelming majority. And, Obama's tax policy is fundamentally opposed to this sort of "trickle-down economics." And while the philosophy is that these policies enable businesses to provide more jobs, we've been faced with (at least at the National level) a spirit of greed and corruption, resulting in bailouts and economic crashes. Here's what Obama would say:
So while Gov. DeJongh is committed to Obama, here is at least one point of divergence in policy. I'm not saying that their policies cannot diverge. Maybe they should. Just keeping them honest. But, what do you think?
Answer the Call: Virgin Islands for the Virgin Islanders...those at home and those abroad!
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8 comments:
I am a supply sider who believes in trickle down economics. I have never gotten a job from a poor person.
On the matter of self sufficiency etc, I spent the week in Hong Kong and mainland China. The Virgin Islands needs to enter the 21st century and stop this incessant nostalgia. Give tax incentives and give them fast to as much high technology manufacturing you can get. Governor deJongh was brilliant in securing additional manufacturing through his Diageo deal. This IS the only path to survival, not growing potatoes or milking cows. Sorry, just my two cents.
You may have never gotten a job from a poor person - and no one expects that you would. But, poor people don't generally get jobs from these policies. These policies usually generate opportunities for people like you and I.
So, if we are selling it as that - fine. But, be honest. Don't sell it as a way to help either the overall economic or the common people...it never does.
The VI does need to enter the 21st Century...you're right! It's just that the Industrial Revolution is so 20th Century. So, by emphasizing the need for incentives to failing industries are we not missing the boat?
Supply side vs. demand side is inconsequential. Even Milton Friedman would disagree with this proposal. You can't have one without the other - tell me a strategy for the supply side to survive without the demand side (and vice versa). What we need to be discussing - rather - is Keynesian vs. Austrian.
That's a discussion worth having.
Keep adding your two cents though...every bit gets us closer to a dollar!
Everytime I see or hear someone proposing that virgin islands start planting crops, I sigh. Self sufficiency does not necessarily mean that we should develop an agricultural industry in the virgin islands. Let’s take some time to think about our own conditions. There is a slight possibility that I might be wrong, but I doubt that most of the people reading this have ever milked a cow, grown potatoes, harvested rice, gathered eggs, raised pigs or butchered cows. We (for the most part) all consume these but, it's not in our individual economic interests to perform these tasks. We can go to a supermarket and buy these goods at low prices when we need them. Even if a half gallon of orange juice that we pay $12 for at plaza extra seems expensive, it would be prohibitively expensive for us to grow our own oranges, squeeze the oranges, and pasteurize the juice. But there is nothing wrong with that, because most of us aren't out working the land, we can focus on our professions as teachers, police officers, postal carriers, casino workers, bankers, taxi drivers, building contractors, political consultants etc. Apply the same thinking to the Virgin Islands. Why should the VI grow anything? We can't produce the things we like to consume at prices that we can afford. And even if we could, the folks in the Dom. Rep, Florida, and Colombia could do it more cheaply and at an exponentially larger scale than we ever could. Tourism is the industry that we do well and it gives us a very good return for what we invest in it. We make damn good liquor products too.
one mo ting,... we doan grow no sugar cane in stx, so if a major liquor company want to open an massive factry on the big island let them!
how does the economy benefit if they don’t pay *income* taxes ? you joking right ?
Stx’s GD(district)P probly growing at -2% per year. the company going need engineer dem, IS people dem, manager dem, HR wuckers dem, cleaner dem, landscaper dem, truck driver dem, lectrician dem, joe plumber dem, maintenance crew dem, security wukers, etc... and dem people who wuk dere going to need to buy lunch every day, host businessman dem from ovaseas in the hotel dem, have conference meeting dem, register vehicles, buy gyas and diesel, have bank account dem, borrow money.
I know it's hard for us to understand, because we deal with the example we have. But, it's incredibly hard to trade when we have nothing to offer. We have at best four major employers: Government (a problem already), tourism (another dependent industry), Hess and now Diageo (the benefits of which remain to be seen).
No one is saying that we must rely on agriculture as digging us out of the hole. But, we cannot think that following the model of (not just the last eight years) economic policies of America that have given us (the US) an inexplicable trade deficit.
But, why shouldn't the VI consider growing anything? If St. Croix was so successful with sugar cane in the past, why not do it again? And, what - pray tell - would be the benefit? Well, with the focus on energy independence, alternative fuels have great potential. Brazil has already achieved such independence by using sugar cane. Maybe that won't work - but who has even explored it?
Look, I'm for the free market. But, if we're to have a free market then make it free - for businesses yes, and also for people. So, if we're going to cut taxes, cut them for people as well. Because the same could be said: I as a person may want to offer more jobs - to people who may cut my grass (bush), clean the house, fix my roof and etc...
If we're focusing on our "professions as teachers, police officers, postal carriers, casino workers, bankers, taxi drivers, building contractors, political consultants etc," then we the people would also benefit from tax breaks that would enable us to employ others to provide domestic services...as you say: "apply the same thinking..."
As for Tourism being an industry we do well, that may be true. But, do you realize that our tourism WILL decline. With the changes in passport requirements and higher fuel costs, the VI is no longer a destination of choice. It's far cheaper to go to Jamaica or the Bahamas or any other non-US Island than it is to come to the VI! You can actually travel to and stay in Jamaica for less than the cost of ONLY the plane ticket to the VI.
Again, we get caught up making arguments that are inconsequential. It's not about tax increases vs. tax cuts. I favor tax cuts...I more so favor repealing the 1919 law to implement income taxes. If not that, then I favor moving away from a graduated tax rate to a flat tax based upon consumption. The graduated tax is arbitrarily determined by the government, and subject to whomever is in power (Democrat or Republican). A flat tax (or sales tax) would be determined by the individual - based on what they consume.
But hey - Crisis - I appreciate the dialogue. I'm sure we agree that there is much need for improvement in the quality of life in the VI. And, if we talk about these issues we can maybe spur things forward, don't you think!?
One of the reasons why agriculture is important is because it is one of the ways Virgin Islanders can empower themselves in a system where we do not produce what we consume and we do not consume what we produce. The vast majority of our products are imported from the United States. Plaza would have no problem selling locally grown products but the agriculture industry is so underdeveloped that they cannot be guaranteed a steady delivery of produce. If we had agriculture, we could feed ourselves for lower prices and sell the surplus to St. Thomas and other islands. Did you know that the USVI imports $300 million in food annually but only spends $3 million on agriculture?
St. Croix was known as the breadbasket of the Caribbean in the 1700s and 1800s, why can't we do it again? Also, we need a serious political status change so we could trade with neighboring islands and negotiate oil deals directly with Venezuela without being at the mercy of the USA.
We cannot survive on tourism alone, especially St. Croix. St. Croix is meant to be a diverse island - you have your industrial zoned land, undeveloped farm land, resort areas, rainforest, etc.. We have so many different options available to us. However, we need eventual independence from the United States and more integration into Caribbean affairs so that we can truly be self governing and be the masters of our own destiny. America only wants the Virgin Islands as a pretty tourist destination with e-CON-omic development but no social development! I was reading a UN article that stated that the VI suffers because the US does not actively invest its resources into helping the population become truly self sufficient, self governing, with a strong sense of identity and self awareness. The VI government, although run by Virgin Islanders, is simply a Eurocentric political instrument set up by Washington to control our people. When will we acknowledge our political sovereignty and truly account for ourselves as one Virgin Islands people?
As they say in the Baptist Church: "My MY!"
I have nothing else to say...my sentiments exactly.
Thanks for your feedback!
With great respect to the Supply Sider who said "I never got a job from a poor person", while that may be true, the number of poor people in a society deeply affects the feeling tone of the culture and its overall vibrancy.
Give ALL people a baseline of education, opportunity, health care (to keep bodies and minds strong and healthy) and you might find yourself working for a "poor person" who made good. Initiative and education will provide the driving force for success at all levels. There is the opportunity to stop thinking of the world as a "zero sum" game. With leaders who have vision, real integrity, and the courage to speak it - and implement it - our world can be a much richer place for all.
Noel - welcome!
Thanks for engaging this debate. You know you are right - we do need a different kind of leadership. Here's an example: http://virginislandswatch.com/2008/10/leadership-that-is-long-overdue.html
Let's keep the discussion going! That's how we'll move the VI forward!
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