Question

The world is currently faced with a grave health concern, in the likes of the ongoing COVID-19 pandemic. Development theory states that, “[h]ealth... plays pivotal roles in economic development, as both inputs into production enabling higher incomes and outputs directly affecting human well-being” (Todaro & Smith, 2015) Briefly discuss the likely impact of the current challenge on the development of one CARICOM country (of your choice). Be sure to include the connection to productivity, the essential role of government and policy (i.e., health standards), and the overall importance of a healthy society

Answer 1

Trinidad and Tabago is one such CARICOM country which has been severely impacted because of the crisis.

This country is heavily based on tourism, hospitality, and the oil industry as it has large scale reserves of oil. Due to the fall in oil prices this industry was severely impacted. Plus several industries were shutdown and trade was limited between several economies.

Thus because of the decline in oil prices and the slowdown in demand, productivity has been severely impacted as people are scared to go out, plus governments are reluctant to open the entire economy at one go which affects labour productivity further.

Government has provided a fiscal stimulus mainly targeting the health sector and has ensured there are efficient medical supplies and health infrastructure by spending on such initiatives. It has also focused on providing relief to the sectors which drive the economy.

As having a healthy society when the economy starts to open up is one of the key measures to consider while policy makers make long term decisions. Productive workforce will ensure less number of inputs for a more stable output which could drive the economy going ahead.

All in all proper health infrastructure to combat the crisis which will ensure efficient labour, capital productivity, thereby driving incomes will help in driving the development of this country.