Remittances are the second largest source of external financing, behind foreign direct investment (FDI) but are considered less volatile, providing stable flows to receiving countries. Their volatility compared to other capital flows is investigated, employing average rolling five-year standard...

The importation of oil is a significant component of Barbados' imports, rising from 7% of imports in 1998 to over 20% in 2009. This increase has impacted greatly on the level of foreign reserves. As a price-taker, relying entirely on imported oil for our energy needs could prove a continuous...

This article investigates the sustainability of the current account deficit in Barbados over the period 1960 to 2006. Various unit root and cointegration techniques are employed to determine whether the country is satisfying its Intertemporal Budget Constraint (IBC). The cointegration...