in the industrialised world. and the automatic countercyclical triggers such as unemployment insurance payments and other income supplements are much weaker in the us. expansionist fiscal policies by the world ’ s largest economies are an essential element for the recovery of the international economy, and it is not an accident that the countries whose governments have been most vigorous in funding job creation from the public purse are showing the most convincing evidence of economic recovery. the workers who find jobs in the design, construction and renewal of public works in turn generate demand for the services of transport, finance, lawyers, engineers, health, education, public utilities and other services. governments need to borrow to fund the expanded expenditure, but there is a ready and inexpensive source of funding, from investors in search of low risk government securities. in contrast to largely self - reliant countries like the us, countercyclical government spending in small open economies like barbados is of limited use, and may have lethal consequences. in the us each extra dollar of income earned occasions no more than 23 cents of spending on imports. that means that when the us government spends $ 10 million to pay wages for new public works, those wage earners spend almost $ 8 million on goods and services provided by other americans, and only a little over $ 2 million on imported goods and services. in barbados it is almost exactly the opposite. our propensity to import is 76 cents of every dollar. were the barbados government to spend $ 10 million on new public works, only a little over $ 2 million of the money earned would be spent on items such as hairdo ’ s and bus fares, and almost $ 8 million would be spent on imports. in other words, countercyclical expansion in the us benefits mostly americans, whereas countercyclical policy in barbados benefits foreigners to a far greater extent than barbadians. ( a comparison of average import propensities for the five - year period 2003 - 2007 in the us and caribbean countries may be found in the newsletter of the caribbean centre for money and finance, january 2009, available at www. ccmf - uwi. org. ) what is more, there is nothing that can be done to reduce barbados ’ import dependence. almost everything that supports the quality of barbadian lifestyles and our high standard of living is imported, or has a high import content. import substitution activities such as chicken production and the pine hill dairy substitute imports of raw materials for imports of finished goods,

something essential for the development of this country at our relatively advanced state of human development. in management practice, as in many other fields, barbados must leapfrog to the head of the class, if we are to make our way in this increasingly competitive and unforgiving world. that is what emotional intelligence does for us. the practitioners in this field are leading a revolution in business practice, and we can place ourselves at the forefront, in implementing business practices that will distinguish the leading companies of the 21st century. here today to assist us on that journey is one of the discipline ’ s most accomplished practitioners, mr. tim sanders. we are honoured by your presence and we value the help you are offering to all the participants gathered here today, towards achieving our goal of outstanding efficiency and productivity through the cultivation of a happy and well motivated workforce. bis central bankers ’ speeches