Indeed perhaps some may retreat to the practices of an earlier era if liquidity falters. In this case, markets may, for a time, become less complete. However, I believe that the advances of intellectual capital and the culture of capitalism will likely continue to increase the ability of markets to transfer risk even as liquidity fluctuates.
The migration of skilled workers, exacerbate these problems. •  Political stability is required to ensure an environment conducive for investment. 5. What is the single major challenge for Pacific Islands? •  Pacific Islands need to lift their economic growth levels. •  Growth must be sustainable and inclusive driven by private sector investment.