Some Reflections on Cruise Ships and the Economic Development of Small Island Nations

Using Caribbean Basin experience, this article focuses on the effect of cruise ships on small island nations with an eye to generating an understanding concerning their potential for stimulating economic development. In the course of the discussion various factors are considered, including the industry's potential for creating employment, and its ability to generate profit opportunities within host nations. The policy implications from the discussion suggest that the economic impacts of cruise ships are destination-specific, and that smaller host territories may be better served by concentrating upon the upper end of the cruising market, that is to say smaller, more luxurious vessels, catering to vacationers who are more likely to be resistant to seasonal considerations and swings in economic circumstances exterior to the Caribbean region. Such a policy may serve as a stimulus for a well considered land-based tourist industry.