Introduction and background information
Jamaica is a small country located on an island situated in West Indies, 145 kilometers at the south of Cuba as well as 161 kilometers at the west of Haiti and Dominican Republic (“Jamaica,” n.d.). It is strategically located between the Jamaican Channel as well as the Cayman Trench which are the key Panama Canal’s sea lines. The Jamaican governmental system follows a constitutional parliamentary democracy together with a Commonwealth empire. The state’s chief is actually the Queen of the United Kingdom whereas the Jamaican Prime Minister is the head of governmental affairs (“Jamaica,” n.d.). This country is characterized by a mixed economic system encompassing various private freedom, mixed with a central economic planning as well as governmental ruling. This country is one of the member countries of the Caribbean Community. Jamaica has a small population of people of 2,890,299 (“Jamaica,” n.d.). The country has a GDP per capita of $8,995 (“Jamaica,” n.d.). Moreover, Jamaica is a country that encourages and supports businesses and has been ranked to be position 75 out of 190 countries in terms of ease of doing business (“Jamaica,” n.d.). However, the issues of high rates of crime have been a challenge to businesses and especially to foreign investors which have impacted the profitability of businesses in the country. Therefore, this paper will discuss how reducing crime in Jamaica can be profitable.
Proposition
Crime is an economic challenge that Jamaica is facing for many decades. A lot of concerns have been raised regarding the crime to the government since the 1970s up to date. Crime rates of murder and violence have been prevalent and have been increasing. Despite the government’s efforts to minimize crime rates, it has not been efficient enough. In fact, Jamaica has been termed as the “the world’s murder capital” due to the presence of high rates of rape cases, illegal drugs, homicide and shooting incidences that have continuously impacted Jamaica’s social and economic development negatively (Harriott, 2003). The environment, political stability and social culture of a country determines the profitability of a country. Jamaica is significantly impacted by the crime rates and makes it important to take into consideration if businesses in Jamaica can be profitable suppose crime rates are reduced. Finding out how reducing crime in Jamaica can be profitable is an interesting topic given the facts and realities that Jamaica is going through (Harriott, 2003). This topic is interesting and also important as it will enable us to determine the difference between the impacts of low crime rates and high crime rates in the country on economic activities. This will also help in drawing a conclusion of what needs to be done that is important in ensuring the profitability of Jamaica’s economic activities.
Arguments for
Encourage domestic and foreign investment
Reducing crime rates in Jamaica is important as it will encourage both domestic and foreign investment. A peaceful country with no or minimal crime rates attracts both domestic and investors to come and invest in the country which eventually leads to profitability. Security is one of the factors that investors consider before venturing into investing in a certain country since security issues such as violence, robberies or even murder impacts businesses negatively leading to losses instead of profits (Harriott, 2003). Jamaica having insecurities issues due to high crime rates turns away investors. Suppose the Jamaican government put effort to reduce crime rates, more investors will be attracted to invest in Jamaica leading to more profitability.
Minimize the mortality rate
Suppose the government of Jamaica ensures that it strives to reduce the crime rates by taking strict action against criminal activities, it will help to save more lives that would have been lost due to crimes thus leading to a reduced mortality rate in the country (Harriott, 2003). Several youths who are under the productive group that the country dependents on for its development die due to crime-related tragedies. Reducing crime rates in the country will also result in a reduced mortality rate of the productive people thus resulting in an increased Gross Domestic Product of the country and overall economy of the country.
Lower the cost of crime
Crime cost a lot to the country. Reducing crime rates in Jamaica will help the country to cut on the cost incurred due to crimes and instead use it in other developmental activities. Actually, the cost of crime has wiped out 90% of the country’s economy (Harriott, 2003). When crime rates are reduced, the cost that is accounted for is reduced thus making it profitable for Jamaica. The cost incurred in crime is a total wastage of funds, therefore reducing crime in Jamaica is important for it to save the state’s funds and use them for beneficial purposes such as infrastructural development.
Arguments against
Increases more costs to the country
Reducing crime rates in Jamaica cannot be profitable at all, rather it cost more to the country. The efforts and strategies to reduce crime rates can be quite expensive as it involves various changes in the intervention programs and strategies in the police and other security agencies (Robotham, 2003). Such extra costs accounted for reducing crime strains the country’s economy. And when the economy is strained it open doors for more trouble as the country. The country will fall into bad debts as it tries to meet up the costs of reducing crime rates in Jamaica. This will eventually lead to inflation and poor economic condition of the country.
Diverts attention to less important things
Reducing crime rates in Jamaica does not guarantee profitability but instead diverts attention to things that are not important and critical in ensuring the country’s prosperity (Robotham, 2003). Even though security issues play a significant role in determining a country’s profitability, it is not the most critical factor affecting the profitability of the country. Instead of focusing on reducing crime, Jamaica should focus on critical factors such as exploiting their natural resources and sources of more financial resources. Having enough resources will contribute to profitability. Also, Jamaica should also consider creating more job opportunities as it will increase the working population which it will result in increased productivity. It is important to take into consideration critical factors first when addressing the issue of profitability, therefore reducing crime rates will not guarantee the profitability of Jamaica.
Upsets the current setting of the economy
The process and strategies staged to reduce the crime rates in Jamaica influence the existing economic structure of the country. The process of reducing crime in Jamaica requires a lot of funds to run it (Harriott, 2003). This will require the government to cut the budget on some other developmental activities so as to meet the needs of the process of reducing crime. This will lead to underdevelopment in other fundamental infrastructure and economic activities. In essence, undertaking efforts to reduce crime in Jamaica intervenes and disrupt other important and critical development activities. It will, therefore, be difficult to attain profitability in a country with a disrupted economy. For Jamaica to attain and retain profitability, it must have a stable and well-organized economy. A disrupted economy has minimal chances of thriving and causing profitability of the business and the Jamaican government (Harriott, 2003). Since reducing crime in Jamaica disrupts the economy, it is pointless to make efforts of reducing crime rates since it will eventually not be productive in attaining profitability.
Conclusion
To sum up, crime is the main deterrence to Jamaica’s economy. Crime rates are high negatively impacting the country’s economy and profitability of the country and businesses and the efforts made by the government to address have been rendered futile. It is evident that high crime rates have cost a lot to the Jamaican government leading to a lot of losses. Several investors are turned away but such high crime rates. Therefore, it is significant for Jamaica to reduce crime rates for it to gain profitability. However, the efforts of reducing crime rates can be quite expensive as it involves various changes in the intervention programs and strategies in the police and other security agencies. Minimizing crime creates peace and a favorable environment for carrying out economic activities thus enables the country to thrive economically. Therefore, reducing crime rates in Jamaica definitely can be profitable for the investors, business, the general public Jamaica as well as the government of Jamaica.