Island Studies Journal (Nov 2007)
Contrasting Socio-Economic and Demographic Profiles of Two, Small Island, Economic Species: MIRAB versus PROFIT/SITE
Abstract
The MIRAB model developed by Bertram and Watters, based on remittances and aid, has dominated the small island economy literature for two decades. Recently, two challenges have surfaced: the PROFIT formulation emphasizing domestic policy flexibility - a so-called ‘resourcefulness of jurisdiction’ - and a dynamic private sector (Baldacchino, 2006); and the SITE model, stressing the role of tourism (McElroy, 2006). To date, there has been no comparative assessment of these different island models. This article addresses this gap. Its point of departure is to consider SITE islands as a subspecies of the PROFIT cluster. It constructs comprehensive profiles across 27 socio-economic and demographic variables for two island sub-groups with populations of less than three million: 23 MIRAB and 35 PROFIT-SITE. Results indicate PROFIT-SITE islands are much more affluent, socially advanced and demographically mature than their MIRAB counterparts.
