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Social Studies Notes - Regional Integration
Social Studies Notes - Regional Integration
RESOURCES can be defined as the living and non-living things that can be developed and made useful by
man.
- Human resources are the skill, labor, and leadership, provided by man to extract and develop the
natural resources.
-HYDROELECTRICITY
ENVIRONMENTAL ISSUES
- enhancement of mining.
- Mining
- Manufacturing
- Agricultural
Define pollution.
Pollution can be defined as the contamination/destruction of the land because of foreign substance.
REGIONAL INTEGRATION
Regional integration is the unification (coming together) of Caribbean states through economic agreements
that promote free trade by removing trade barriers. It also means Caribbean states working together to
achieve certain economic objectives which would make the region better off.
Regional integration means that the Caribbean leaders and their governments must see themselves, not only
as leaders and governments of a particular country but as leaders & members of a team. They should
recognize that the success or failure of the region depends on the actions of each team member.
People, too, must see themselves as citizens of a particular country and the Caribbean region. They should be
prepared to be tolerant of each other and support each other.
They have a free flow and a free trade (all the taxes are removed) of services.
1. Caribbean countries need to work together to develop policies to survive in a world where the
restrictions that prevent the free flow of goods, services, and capital are being removed.
2. Caribbean producers must be able to sell in international markets at competitive prices. They could be
forced out of business both in the regional and extra-regional markets by bigger and more efficient
foreign producers, or they could have the opportunity to increase trade.
3. The Caribbean is mainly agricultural, so wheat has prices.
The Caribbean region comprises several countries which may be considered by world standards to be “less
developed”. Some of their industries are NOT competitive, they are small, poor, and (except for Guyana,
Trinidad, and Jamaica, have few natural resources.
1. Small size
2. Difficulty in exporting to international markets
3. Limited range of products
4. Debt burden (the Caribbean is run on debts - IDB FUNDS)
5. Unemployment and poverty
6. Shortage of skilled labor
7. Vulnerability to natural disasters
NATURAL DISASTERS AFFECTING THE CARIBBEAN
West Federation – years… question 4 paper 2 (always a question, in the form of an essay on regional
integration) … question 5 to be answered in essay format too...
The West Indies Federation was the first attempt at integration. It was established at a time when living
conditions in the islands were very bad because of neglect by the United Kingdom. The islands felt that they
needed to work towards improving living conditions.
The West Indies Federation (W.I.F.) comprised of ten (10) Caribbean states: Jamaica, Trinidad and Tobago,
Barbados, Dominica, Grenadines, St. Lucia, Montserrat, St. Kitts-Nevis, Antigua & Barbuda. It came into effect
in 1958 but collapsed in 1962.
The desire for unity didn’t die with the collapse of the West Indies Federation. By that time most of the
Caribbean were independent. The heads of government of these countries decided that they would use
ECONOMIC INTEGRATION AND CO-OPERATION as the strategy to develop their countries thus improving the
very poor social & economic conditions which existed then. Economic integration aims to make individual
countries more developed as well as mutually developed as well as mutually dependent on each other.
They decided that this process would start with a free trade area & progress to feel more advanced forms of
economic integration.
A free trade association would remove the tariff (tariffs = taxes) and non-tariff barriers on goods that trading
partners (countries) produce and sell to each other, allowing them all to benefit from faster & easier trading. At
the same time, they would impose their tariffs on countries outside the group.
The Caribbean Free Trade Association Agreement was signed out of Dickenson Bay in Antigua & Barbuda in
1965. It came into effect on 1 May 1968.
The members were: Jamaica, Trinidad and Tobago, Guyana, Barbados, Dominica, Grenada, Grenadines,
St. Lucia, Montserrat, Belize, St. Kitts-Nevis, Antigua & Barbuda.
- Promoting free trade among members by removing all restrictions to the free flow of goods
- Giving all members equal opportunities to develop
- Increasing the quantity & variety of goods & services produced for intra-regional trade
- Encouraging the development of industries in the LDCs
CARIFTA was successful in increasing intra-regional trade. CARIFTA did not collapse. It became the Caribbean
Community and Common Market (CARICOM).
- The initial name for CARICOM was CARRIBEAN COMMUNITY AND COMMON MARKET and it was later
changed to COMMON MARKET in 2001.
- CARIFITA became CARICOM in 1973, 4th of July at Chaguaramas in Trinidad and Tobago.
- The agreement which gave birth to CARICOM was signed on 4th July 1973.
- The four (4) countries which signed this agreement were:
o Trinidad & Tobago
o Guyana
o Barbados
o Jamaica
- This agreement became effective on the 1st of August 1973.
- Hati was the last country to join CARICOM.
- The member states of Caricom were:
o Jamaica
o Trinidad and Tobago
o Guyana
o Barbados
o Dominica
o Grenada
o Grenadines
o St. Lucia
o Montserrat
o Belize
o St. Kitts-Nevis
o Antigua & Barbuda
o Suriname
Main objectives of CARICOM:
1. To improve the economic development of the member states through the introduction of free
trade. This is referred to as ECONOMIC CO-OPERATION, whereby barriers to trade such as customs
duties, quotas, and licensing impositions are removed. With the resulting trade liberation, a greater
volume of trade is possible.
2. FUNCTIONAL COOPERATION in the following areas:
Shipping
Air transport
Meteorological services
3. Common policies in dealing with non-member states. For example, having a common external tariff
(tax).
The Treaty of Chaguaramas (1973) contained two separate agreements: one relating to the Caribbean
Community (cooperation in the different areas) and the other to the Caribbean common market (dealt with
trade). The agreements were signed separately, and Caribbean countries could choose membership in either the
community the common market, or both.
The Caribbean common market was established to remedy a major weakness of CARIFTA.
The Caribbean Common Market (CSM) only permitted the free movement of goods of CARICOM origin
within the region. Restrictions on the establishment of businesses, and movement of capital and labor (skilled
workers) prevented scarce factors of production from moving to countries where they were needed. This
resulted in higher prices for Caribbean products and hindered competition in international markets.
Additionally, as Globalization and trade liberalization increased, Caribbean producers must become more
competitive to survive and earn enough foreign currency for economic development.
CRICOM leaders decided that they had to transform the common market into a single market and economy to
prepare the region for the challenges and opportunities resulting from Trade liberalization and Globalization.
Therefore the 1973 Treaty of Chaguaramas was revised in 2001. In the revised Treaty, the Caribbean
Community and Common Market was renamed the Caribbean Community – including the Single Market and
Economy (CSME).