By Pierre V. L. Dupuch
September 18, 2020
The country’s broke. The Bahamas Minister of Finance says there’s lots of money. Some say that there will be a devaluation. Others say they’ll guarantee there will be no devaluation. Many say they’re taking a page about lying out of Trump’s playbook. You be the judge.
For those who are encouraging devaluation I hope they know what they are talking about. Talk is cheap. It looks as though facts these days are taking a back seat.
There are two types of economies, one made up of tangible assets and the other of intangible assets. Tangible assets, like bauxite, are consumed outside of a nation’s borders, the other, intangible assets, like sun, sea, beaches and relaxation, are consumed inside a nation’s borders.
The Bahamas’ assets are intangible, and devaluation of the money does not help the problem. Read more >>