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Xerox University Microfilms Reproduced with permission of the copyright owner. Further reproduction prohibited without permission. 7 6 -1 9 ,4 4 7 KRUVANT, William Jay, 1945- SOCIO-ECONOMIC DEVELOPMENT IN THE U.S. VIRGIN ISLANDS; AN HISTORICAL MATERIALIST APPROACH. The American University, Ph.D., 1976 Economics, general Xerox University Microfilms, Ann Arbor, Michigan 43106 0 1976 WILLIAM JAY KRUVANT ALL RIGHTS RESERVED Reproduced with permission of the copyright owner. Further reproduction prohibited without permission. SOCIO-ECONOMIC DEVELOPMENT IN THE U.S. VIRGIN ISLANDS: AN HISTORICAL MATERIALIST APPROACH by William J. Kruvant Submitted to the Faculty of the College of Arts and Sciences of The American University in Partial Fulfillment of the Requirements for the Degree of Doctor of Philosophy Signatures of Committee: Chairman ; Dean of the Colleg^ jV Date :I(q 1975 The American University Washington, D.C. THE AMERICM UNIVERSITY LIBRARY 6'/ 7 < Reproduced with permission of the copyright owner. Further reproduction prohibited without permission. TABLE OF CONTENTS List of Tables............................... i Preface..............................................iii Introduction ....................................... v Chapter I. ON HISTORICAL MATERIALISM.................. 1 General Explanation of the Meaning of Historical Materialism Historical Materialism as a Method Notes on Some Common Misunderstandings and Dogmatisms Surrounding Historical Materialism Further Specification of the Operational Model: The Stop-Action Method II. THE ISLAND BACKGROUND: SUGAR AND TRADE; SLAVERY AND FREEDOM TO 1 9 3 1 ................ 79 Danish Rule Transfer and Navy Rule III. THE VIRGIN ISLANDS IN 1931: STATE OF THE SOCIETY...................................... 128 Recapitulation of the Stsp-Action Method The Situation in 1931 IV. DEPRESSION - WAR - STAGNATION................160 The Economy and Class Structure During the Depression The Organic Act and Political Change The War and After V. CULTURE AND SOCIAL PSYCHOLOGY TO THE 1950's 206 Some Preliminary Considerations Cultural Manifestations Mass Psychology Reproduced with permission of the copyright owner. Further reproduction prohibited without permission. VI. 1954-1961, GETTING SET FOR GROWTH............ 228 Constitutional Changes: Revision of the Organic Act of 1936 Economic Evolution to 1961 VII. THE VIRGIN ISLANDS IN 1961: STATE OF THE SOCIETY..................... 254 Stop-Action Analysis VIII. 1961-1971: DEVELOPMENT DECADE ............ 297 Evolution in the Economy The Economic Dominance of the Continentals Continentals, Natives and Aliens Politics Government and Business IX. CULTURE AND SOCIAL PSYCHOLOGY1970 .... 399 General Continuity in These Areas The Specifics of Continuity and Change Cultural Issues and Their Relation to Development X. CONCLUSION................................. 429 APPENDIX............................................A-1 BIBLIOGRAPHY ...................................... B-1 Reproduced with permission of the copyright owner. Further reproduction prohibited without permission. LIST OF TABLES Table Page 1. Industries of Persons 10 Years and Older, 1917 and 1930 . ...................... 137 2. Number of Farms and Acreage in Farms - St. Croix, 1917 and 1930 ...................... 139 3. Number and Acreage of Farms - St. Croix, 1930-1960 .................................. 167 4. Industry of Employed Persons, 1930, 1940 and 1950 ..................................... 173 5. Occupation of Employed Persons, 1940 and 1950 174 6. Income of Persons in 1949 .................. 176 7. Income Reported - Number of Families Reporting 197 8. Tourist Arrivals in the Virgin Islands .... 239 9. Occupation of Employed Persons - 1950 and 1960 243 10. Industry of Employed Persons - 1950 and 1960 . 244 11. Wages in the Virgin and the U.S. Mainland, 1950 - 1960 ................................ 246 12. Major Industries and Occupations : Number of Participants, St. Croix, 1950 and 1960 . 250 13. Population By Island and By Race, 1930-1960 . 255 14. Income of Persons, 1949 and 1959 ............ 257 15. Cumulative Distribution of Income of Persons, 1949 and 1959 .............................. 278 Reproduced with permission of the copyright owner. Further reproduction prohibited without permission. Table Page 16. Occupation of Employed Persons, 1950 and 1960 264 17. Covered Employment, December 1962 .......... 265 18. Population in 1960 and 1970 by Race and by Island................................... 298 19. Income of Families and Unrelated Individuals by Race, 1959 and 1969 .................... 20. Employment from 1940 to 1970 by Industry and Occupation - In Percent.................. 312 21. Total Covered Employment, December, 1962 - December, 1969, All Islands ................ 314 22. V.I. Employer Index, 1970 - All Firms with Fifty or More Employees.................. 317 23. School Enrollment and Budget, 1954-1970 .... 323 24. Occupation of Employed, 1970 ................ 328 25. Occupations of Employed, 1970, In Percent . 330 26. Job Placements of the Virgin Islands Employment Service.................................. 342 27. Zoning Decisions of the Virgin Islands Planning B o a r d .................................... 377 28. Financial and Employment Characteristics of Tax Exempt Frims, 1965-1970 ................ 382 Appendix Table 1. Revenues and Expenditures of the Virgin Islands Government, 1958-1970 ............ A-1 Appendix Table 2. Population of the Virgin Islands of the U.S., 1773 to 1970, By Ra c e .............. A-2 Appendix Table 3. Characteristics of Housing in the Virgin Islands, 1960 ...................... A-3 Appendix Table 4. Number of Farms, Acreage in Farms and Sugarcane Production Data - St. Croix - 1950 to 1964 ..............................................A-4 Reproduced with permission of the copyright owner. Further reproduction prohibited without permission. PREFACE This preface is being written, as I suppose most prefaces are, at the very end of the dissertation writing process. This dissertation was planned from the beginning as part of my rather unorthodox education in economics. I viewed it then and now as an integral part of that pro cess. It is not the end of anything. Rather, it was and is the first time I have been able to devote myself to a really comprehensive study using what I have felt for some time to be the most useful approach to understanding social development. That approach is historical materialism, the Marxian method of social inquiry. I do not know if this study can truly be called a contribution to the understanding of social development. If it proves to be helpful to others in either political or purely scientific-scholarly areas, I will be gratified. I must say, however, that as an educational experience it has been the highpoint of my graduate education and so to me it has been a success. The people of the Department of Economics of The American University have been truly essential in enabling me to pursue my interests within the field. I believe that I received superior education in my years as a graduate Reproduced with permission of the copyright owner. Further reproduction prohibited without permission. student and I also honestly believe that it would not have been possible for me to have had similar experiences or to have written this dissertation in many - if any- univer sities in this country. More specifically, I cannot easily express the extent of my gratitude for the guidance and intellectual comradeship of Charles Wilber, the chair man of my dissertation committee, colleague in the study of philosophy and methodology, and friend. Without