This paper identifies and describes key features of Caribbean business cycles during the period 1963-2003. In particular, the chronologies in the Caribbean classical cycle (expansions and contractions in the level of output) and growth cycle (periods of above-trend and below-trend rates of economic growth) are identified. It is found that Caribbean classical cycles are longer-lived than those of developed countries and non-Caribbean developing countries. While there are large asymmetries in the duration and amplitude of phases in the Caribbean classical cycle, on both measures the Caribbean growth cycle is much more symmetric. Further, there is some evidence of synchronization among the classical cycles of Caribbean countries, and stronger evidence of synchronization of Caribbean growth cycles.
The Poverty Reduction Strategy Papers (PRSPs) of Grenada outline the issues raised in the Joint Staff Assessment. In the area of poverty diagnostics, a more detailed discussion of poverty based on updated poverty data is provided. The PRSP will describe the links between poverty, growth, and unemployment and the economic growth required to advance the social agenda. In the area of costing of initiatives, the full costs of social policies and programs, their relationship to the budgetary envelope, and identity of associated recurrent costs will be evaluated.