Economy
The economy is strongly affected by geography. It is isolated from foreign markets, and has some inadequate infrastructure; it lacks major natural resources, has limited manufacturing and suffers moderately from natural disasters. Tourism provides the economic base which makes up approximately 67.5% of GDP. Additionally, the economy is supported by foreign aid, largely from New Zealand. The Peoples' Republic of China has also contributed foreign aid which has resulted in, among other projects, the Police Headquarters building. The Cook Islands is expanding its agriculture, mining and fishing sectors, with varying success.
Since approximately 1989, the Cook Islands have become a location specialising in so-called asset protection trusts, by which debtors, or those fearful of becoming debtors, seek to shelter assets from the reach of creditors.
Read more about this topic: Districts Of The Cook Islands
Famous quotes containing the word economy:
“I favor the policy of economy, not because I wish to save money, but because I wish to save people. The men and women of this country who toil are the ones who bear the cost of the Government. Every dollar that we carelessly waste means that their life will be so much the more meager. Every dollar that we prudently save means that their life will be so much the more abundant. Economy is idealism in its most practical terms.”
—Calvin Coolidge (1872–1933)
“It enhances our sense of the grand security and serenity of nature to observe the still undisturbed economy and content of the fishes of this century, their happiness a regular fruit of the summer.”
—Henry David Thoreau (1817–1862)