CIAO DATE: 01/2014
December 2013
Norwegian Institute of International Affairs
The economic reforms recently implemented in Cuba do not adequately deal with the structural issues that hamper the country’s economic development. The paper presents a system dynamics model to investigate Cuba’s development process, and a simulation analysis to compare different policy scenarios that may be realized in the future as economic reforms will continue. The results indicate that the most effective development policy would be to combine active public policies to enhance the R&D sector, on the one hand, and foster the emergence of an efficient private sector that will develop the capital infrastructure of the economy, on the other.
Resource link: Policy Strategies for Economic Development in Cuba: A Simulation Model Analysis [PDF] - 1.3M