Tyler Cowen, Columnist

Why Is Haiti’s Economy So Much Worse Than Its Neighbor’s?

The Dominican Republic has made a lot of policy choices over the last four decades that have increased its wealth and stability.

Port-au-Prince, Haiti, March 9, 2024.

Photographer: Clarens Siffroy/AFP

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As Haiti continues its descent into chaos, the Dominican Republic continues to prosper. The two countries share the island of Hispaniola and a lot of history, and yet the Dominican Republic now stands as one of the wealthiest nations in Latin America.

An obvious question presents itself: What explains this this stark divergence?