Sand heists and property rights in the Caribbean (Summer School)

Small, open island economies face unique vulnerabilities, as their fortunes depend heavily on external shocks like hurricanes and global interest rate fluctuations. These nations often struggle to balance economic development with the preservation of communal resources. In Barbuda, the tension between traditional communal land ownership and the push for private property titles highlights how historical path dependence shapes modern economic policy and investment incentives. Furthermore, the scarcity of natural resources, such as sand, creates significant challenges for small nations with limited regulatory capacity. When high demand for construction materials meets weak enforcement, illegal extraction leads to environmental degradation and negative externalities. Ultimately, secure property rights and stable institutions are essential for fostering long-term prosperity, though they must be balanced against the unique social and historical contexts of these small, vulnerable economies.