Topic: Economics of Development
Country: Cuba
Delegate Name: Alex Brinker
School: Royal Oak High School
Topic page: background guide and all position papers All Cuba position papers GLIMUN 2015 committees
Cuba would absolutely fall under the third economic sector. This third sector is providing services, or goods to other countries. Cuba would undoubtedly fall into this economic sector, as it exports professional services such as doctors, or teachers that work overseas, and thrives on tourism. Cuba also exports products like pharmaceutical or biotech goods and some other goods such as nickel. Through exporting, Cuba makes its money.
Having only few natural resources, Cuba must rely on the exportation of goods and services to have its economy stay afloat. In 2013, 81.9% of the GDP composition consisted of providing services, which consisted of approximately 72% of the workforce (about 3.66 million people). What little Cuba can produce, include the natural resources of nickel, oil, and petroleum. Not much in terms of manufacturing happens aside from the pharmaceutical and biotech goods being made and exported.
Cuba’s number one export is doctors. Cuba has sent nearly 271,000 doctors between the years of 1961-2008 In return, other countries trade either goods or currency. For example, Cuba provides healthcare to Venezuela, and it return Venezuela provides 100,000 barrels of oil a day to cuba. This is one of the most efficient ways cuba has earned money. Other exports such as tourism, are another main contributor.
Countries should develop sectors important to the country, to boost their economy, but not overdevelop, or develop too quickly as to make an economy unstable. Furthermore, economies should be somewhat well rounded to not create a weak point. For example if one country was to develop a strong manufacturing economy, and have a lacking natural resource sector, the economy designed may be subject to collapse.
If one must be selected, prioritize the natural resource sector. Natural resources are almost always needed by some party. Prioritizing another sercor before natural resources would result in a total collapse in economy, as a country would have to keep importing all of its goods.
Having a strong service sector already, Cuba starts moving towards the other two sectors. More specifically, the natural resource sector. Like other countries, to have a more stable economy, natural resources must be prioritized.
