Dr Clive Thomas

Introduction In last Sunday’s column I argued that government activity is operating as a drag on the national economy.

Introduction In last week’s column I discussed two concepts which readers should find useful as we proceed to evaluate the impact of government activity on the economy of Guyana.

Introduction Last week I demonstrated how huge government activity is in Guyana’s national economy. 

Last week I described the three categories of government expenditures which feature in measures of these, if we are to make a reasonable determination of the size and likely impact of government activity on the economy. 

To the average Guyanese the image of the government is one of ‘big government.’ 

Rationale In last Sunday’s column, I made a call for the establishment of a statutory independent non-partisan and professionally-staffed Budget Office to be located in the National Assembly (NABO). 

Introduction Two fundamental considerations take pride of place in the substantive evaluation of Guyana’s government budget, 2011 and therefore provide a logical starting point for my forthcoming columns.

The budget next time As on previous similar occasions, beginning next week I shall suspend further discussion of the topic under present consideration in my Sunday columns, in order to present an evaluation of the 2011 National Budget. 

High expectations As I tried to make clear in last week’s column, the global economic crisis-induced shift in international economic governance and authority away from the G7 club of rich countries, to the

From G7 to G20 The shift in the authority for superintending the international economy from the G7 club of rich nations to the G20 grouping, which includes the emerging economies of China, India, Brazil and Russia, was initiated by United States President Bush in 2008 when both the US and the global economy were engulfed in an economic recession, financial crisis and credit crunch, such as the world had not witnessed,

‘A truly-global crisis!’ Utilizing the IMF’s terminology for the economic classification of countries worldwide, as a group the “emerging economies” have been clearly out-performing the “advanced economies” during this protracted period of global economic recession, financial crisis and credit squeeze.

The US economy Because of the leading role the US economy plays in the generation of global output, demand, consumption, trade (imports and exports), technology, cross-border direct investment, and financial flows, the difficulties which it is presently encountering (as highlighted in last week’s column) vividly illustrate the continued fragility of the global economic recovery and why the global economic crisis is not going away.

Context:  G20 summits There have been five G20 leader-summits in the space of two-years.

As we come to the end of the first decade of the 21st century, I shall, in the course of the next few columns reflect on the international economic situation, in the circumstances of two of its most pressing and intractable problems (crises).

This week’s column and the first part of next week’s will bring to a close my discussion of the vulnerabilities to be found in the financial regulatory and oversight structures of Guyana and the wider Caricom region.

The sheer size and pervasive presence of the underground economy in Guyana and some other Caricom countries symbolize the serious vulnerabilities which plague the financial regulatory and oversight structure of the region.

In this week’s column I shall conclude the discussion of the underground economy in Guyana by highlighting some of its crucial features.

Estimating the proceeds of tax evasion, regulatory avoidance and organized crime in Guyana Introduction The underground economy (or whatever else it may be termed) along with its phantom segment as I have defined it in last week’s column, is extremely difficult if not impossible to measure accurately. 

Introduction In my two previous Sunday columns, I had developed the argument to the effect that the steep increases in remittance flows to Guyana (as well as Jamaica) reflect both criminally-inspired transfers along with transfers made by hard-working Guyanese and Jamaican emigrants living in the diaspora. 

Remittance flows and crime Last week I raised the question as to whether remittance flows to Guyana and the wider Caricom region (particularly Jamaica) was driven by the wages of sin or the wages of hard-working emigrants who form the diaspora living in North America, Europe (United Kingdom) and other Caribbean countries.