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in and after WWII, the economic working in the sectors ‘hotels and in tourism activities result in an Figure 3. Aruba: indices of selected
development associated with restaurants’, ‘wholesale and retail equal or perhaps higher growth tourism indicators and real GDP
tourism brought Sintmaarteners trade, repair’ or ‘construction’. in real GDP in either country? (1990=100)
back from the dwindling oil The distribution of foreigners from Correcting for population growth,
industries of Aruba and Curaçao developing countries in Aruba Figure 3 shows that in Aruba,
and attracted numerous over the industrial branches did real per capita GDP show any since the firm establishment of the
immigrants from the wider displays only slight changes significant increase in Aruba or tourism sector in its present form
Caribbean. Figure 2 shows the between 1991 and 2000. In the Sint Maarten since the onset of in 1990, volume has grown more
extremely high contribution of same period, employment of large scale tourism?After all, with than 60% in terms of stay over
immigration to Sint Maarten persons born in Aruba increased the development of the tourism capacity and almost doubled in
population growth in the tourism- strongly in the highest categories industry over the years, we would visitor nights. Real GDP however,
dominated era. Clearly visible as (senior administrators, managers, expect labour productivity to is only just keeping up with the
well are the effects on population professionals) and actually shrank have grown as well. A certain number of rooms and visitor
numbers of the devastation and in the lower categories. Clearly, evolution in the types and nature nights. Taking into account the
economic downturn caused by the indigenous population moved of hospitality products offered, contribution of cruise tourism
hurricanes Luis in 1995 and into the positions of higher pay economies of scale, increased growth and the absence of
Lenny in 1999. More than in the and responsibility, while the linkages, positive externalities in significant other economic sectors,
case of Aruba however, official labour market was resupplied at the infrastructure used might all these indicators point to a stagnant
population statistics pertaining to the base with immigrant labour. have contributed to a higher value or even decreasing impact of
Sint Maarten should be handled Data of comparable quality on added per worker indicated by a tourism volume on economic
with caution. As early as 1995 the Sint Maarten situation is not rising real per capita GDP. growth, where an increase in value
the number of undocumented readily available, but indications added per unit of volume would
residents was estimated at more over over-representation of those Immigrant workers are typically have pointed to increasing product
than 10-12,000, an estimate with Dutch citizenship in civil not immediately accompanied quality and labour productivity.
consistently mentioned in the service and in better paid positions by their families, and even less by
years since. In 1995 this number in the private sector are strong. retirees. This effect increases the Figure 4 shows that cruise
constituted roughly 25% of the proportion of the economically tourism has become an even
actual population. Aruba and Sint Maarten are active to the total population. This more dominant source of activity
examples of fast extensive growth in turn leads to an overstatement in Sint Maarten over the past
Figure 2. Sint Maarten: population of productivity when measured decades. Over the same period,
and cumulative net migration At first glance, Aruba as well as through real per capita GDP. In the number of stay over visitors
1981-2009 Sint Maarten is a shining example other words, under circumstances declined, though stabilizing after
of successful, fast economic of steady immigration of the mid-1990s hurricane disaster.
Next to the directly tourism- growth based on a commitment economically active persons, The cruise tourism line clearly
related employment there has to the tourism industry, as is with actual labour productivity shows the effects of the 1995 and
also been a large growth in apparent from -overall- GDP assumed constant, we should see a 1999 hurricanes as well. Cruise
construction sector. In the case numbers, the TPI index and the steadily increasing real per capita tourism stagnated again after
of Aruba, indigenous workers SITE classification, as discussed GDP. 2005 and was further hit by the
on balance actually moved out above. This section will zoom in on
of the hotel sector and into other a number of questions regarding
areas of occupation. CBS Aruba labour productivity and average
reports that in 2000, about 60 income. Did the volume growth
percent of all persons born in
developing countries were either