Figure 1.--Here we see a view of Bermuda at the time it had begun to change. The tourism industry was developing, but the financial industry was still a nimor activity. The largest single employer was the Royal Navy Dockyard. Incomes awere still limited. The press caption read, "Happy Bermuda Labourer: Even the cottage of the humble labourwe in ermuda presents a neat, attractive and inviting appwarance. Built of the native coral stone, of which the roof is also made, kept spotlessly white by frequent applications of lime-wash. and with the doors and window blinds painted a pleasing shade of green, they are fittingly in keeping with the fields of beautiful lilies which are in bloom nearby at this time of the year." The photograph was taken April 5, 1927.

Early English colonists found that Bermuda was not economically viable. There was an attemot to grow tobacco, but it prived of low quality. The primary economic activity becme seafaring and vessel construction and mintenance. There was salt production on Turks Islands which Bermuda conntrolled for a time. The islands' Bermuda cedar (Juniperus bermudiana) trees proved useful for shipbuilding, but the small size of the islandss coulf mot sustaintain a major shipbuilding industry. Bermuda's intrepid mariners diversified their trade to include whaling and privateering. Britain paid little attention to Bermuda (17th and most of the 18th centuries). Britain's focus was on its profitable North American colonies. The American Revolution changed everything (1776-83). The loss of the 13 colonies left Britain without a naval base between Canada and the Caribbean. Bermuda suddenly became very important to the Royal Navy. The Royal Naval Dockyard, Bermuda officially replaced the Royal Naval Dockyard, Halifax as the British headquarters for the North America and West Indies Station (1818). The Dockyards and other maritime activity became were the major econimic activity. Modern Bermuda is best known for its tourist industry, but it is the service industry tht is the pricipal component of the economy. The major component of the financial industru]y is interntional finsncil srvices. It accounts fpr 85 percent of the GDP. Tourism became important after world war I with the growth of the American economy and improved maritime travel. Booze was an attraction during Ameican prohibition. Even so, tourism generates only 5 percent of the GDP. In terms of employmnt it us much larger. Over 80 percent of the tourists come from the United States. The attractions re beautifil pink sand beaches and duty free shopping. Both financial services and tourism have declined since the 2008-09 recession. Evn so, Brmuda has the highest per capita income in the Americas, largely due to importance of the financial sector. Bermuda imports most of its food and almostall manufactured good.

Created: 7:34 AM 3/31/2016
Last updated: 7:34 AM 3/31/2016