This year’s theme at the Fidelity Cayman Economic Outlook conference was Economic Stagnation: finding a path to growth.
International speakers brought their own unique perspectives to the many facets encompassed by the topic. Forbes magazine’s John Tammy made the case for why the rich are the real engine for economic growth, and RBC Caribbean economist Marla Dukharan countered by shooting holes in trickle-down economic theory.
“The rich and in particular, the super rich, have money to lose. They alone can take risks on new ideas that the average investor can not,” said Mr. Tammy.
“Trickle-down economics tell us that if you put money in the hands of the wealthy and the commanders of capital, they will expand their businesses, they will hire more people, they will invest,” said Ms. Dukharan. “It’s just a fantasy, trickle-down economics do not work.”
Both speakers looked at the emergence of President Donald Trump, Britain’s Brexit vote, and the international implications from the shifting political tradewinds.