October 13, 2012

WELL, THEY’RE SETTING THEMSELVES UP FOR A RUN OF “BAD LUCK,” ANYWAY: Is Cayman Committing Economic Suicide? “Cayman rose from a poor Caribbean backwater to an entity having a per capita income roughly on par with the US over the last four decades. There is little real poverty, relatively good infrastructure, low crime, and a well developed tourist industry, making Cayman a very attractive place to live and work. Cayman’s Achilles heel is that it is a functioning democracy where the civil servants have a disproportionate influence – like in Greece, and in many towns and cities in the US. Because of the large number of expats living in Cayman, only about half of the resident adult population has the right to vote. . . . The consequence is a bloated civil service with salaries and benefits growing far faster than the economy. Obviously this is not sustainable and has probably already passed the tipping point.”