Desperate times often call for desperate measures. On the other hand, desperate people are known to do desperate things. The two are not mutually exclusive. Discerning the difference is key — and that’s not always that easy to do. Washington D.C. is a prime example. But, hey, we’ve got our own problems so let’s stick with what’s been happening (or not) here in Bermuda.

The SAGE Commission is about to deliver its much anticipated report. The Commissioners have already begun to prepare us (soften us up?) for the worst with an extraordinary battery of television and radio sound bites. A Government Minister (but not Finance) has pronounced that our economy is looking like it will get worse before it gets better.

SAGE will be principally about cuts and savings and efficiencies with Government. That was its remit. But it’s only half the equation. Government revenue needs to be increased as well, and to this end a former Accountant General has floated the idea of a RAGE Commission to investigate what could be done to improve that side of things. Name aside it’s not a bad idea because rage is what more people will be feeling if cuts are all we have to rely on. The economy needs to pick up all right, but that’s easier said than done.

The immediate response is to call for more foreign investment, an injection of foreign capital to help grow the economy, whether through new and additional business or more imported labour, or all three. That seems to be the plan too.

That too, will be equally challenging. I do want to believe in tourism as much as the next person, but I also believe it is going to continue to be struggle for some time yet. The competition is so much more intense, not just when it comes to location but price and service. Don’t kid yourself either: our international business is similarly subject to such competitive forces, some of which features in the crackdown on tax havens.

Now I digress … but for the life of me, I am having a hard time understanding why we would want to turn our back completely on the prospect of developing a potential third pillar to our economy presented to us by a 200-mile exclusive economic zone. This is the Blue Halo debate, about which I wonder how many people are paying close attention? It presents a very significant and important opportunity for a 21-square mile island like us, struggling economically as we are, saddled with debilitating debt. It seems to me that all options should be explored before they are shut down.

But even that presents no immediate solution. We are back to the call for an injection of money from outside Bermuda. Like now.

The point was made at one of the SAGE meetings which I attended. Someone took us through all the charts and to the conclusion that economic growth can only come from more foreign investment or more foreign labour or both. It wasn’t long after that a gentleman at the back of the room stood up and wondered out loud how more foreigners in Bermuda would help his daughter who has been looking for and competing for a job, without success, for two years now.

My recollection is that someone took a stab at explaining trickledown economics. That may or may not have been the answer for the plight of this particular gentleman and his daughter. But I know this: trickle down and trickle out is not readily understood or appreciated as a solution by those who are currently out of work and suffering.

They say a rising tide lifts all boats. Over in the UK, where they are fighting the same fight, Opposition Leader Ed Miliband has said that the tide there is lifting all yachts but not all boats; especially not boats with leaks, he could have added.

A lot hinges on credibility too. Those making the call for sacrifice need to exhibit some demonstrable sacrifice themselves.

Here we are touting job incentives. It was one of the legislative tools the OBA Government banged through at ungodly working hours in the last extraordinary session. The Opposition quite rightly wondered if we are selling ourselves short by easing requirements and offering discount prices on Permanent Residency Certificates. The pressure must surely now mount from the current holders of PRCs who have invested their lives here in Bermuda and many of whom know no other place as home. Status? We see and read what other struggling island economies are doing, and I have already written on the likely firestorm status for sale could touch off, given our history with the grant of status coupled with the current economic plight of many. There ought to be a warning label on this one: Caution, Handle With Care.

* Share your views on The Royal Gazette website or write jbarritt@ibl.bm.