Tourism, today, has not only emerged as the engine of growth but also become the largest and the fastest growing sector in the Caribbean. For this reason the industry is now viewed as one of the leading instruments of development in the region. Given the importance of the industry, it is...

This study uses simulations of state-dependent distributions of fiscal limits for 18 economies in Central America and the Caribbean to better understand governments' ability to service their debt, arising from endogenously determined dynamic Laffer curves. Using a small, open economy model to...

Our paper addresses the issue of the interaction between monetary and macroprudential policies in small open economies for different exchange rate regimes. The need for macroprudential policy arises from exacerbated macroeconomic fluctuations due to frictions in the financial system as in...