Tuesday, May 29 2012 @ 03:57 PM EDT
Contributed by: Don Winner
Editor's Comment: The economy is so hot in Panama, if you've got a pulse, you've got a job. However having too many jobs and not enough people to fill them can be a bad thing, as companies find they can't grow or prosper due to a lack of manpower. How long can an economy sustain year on year growth averaging at 7.2% when the population growth rate is only 1.4%? That's right, over the past nine years, from 2003 through 2011, Panama's economy has grown by an average of 7.2%, every year. That, my friends, is a truly amazing feat for any national economy. Look at it this way. If you were making $40,000 dollars per year in 2003 and received a 7.2% raise every year for nine years, at the end of 2011 you would be making $74,784 per year. That's exactly what has happened to the Panamanian economy, in less than a decade. Through the magic of compounding, that works out to an astounding 86.9% growth - almost a doubling of the national economy. By comparison, in the United States over the past nine years the average annual GDP growth has been a sluggish 1.74% - which is why you might not have a job if you live there, because the growth in the economy is just barely outpacing the growth in population.