The Bermudian dollar is the official currency of the British Overseas Territory of Bermuda. It is subdivided into 100 cents; the Bermudian dollar is not traded outside Bermuda, is pegged to the United States dollar at a one-to-one ratio. Both currencies circulate in Bermuda on an equal basis. For nearly four hundred years Spanish dollars, known as "pieces of eight" were in widespread use on the world's trading routes, including the Caribbean region. However, following the revolutionary wars in Latin America, the source of these silver trade coins, dried up; the United Kingdom had adopted a successful gold standard in 1821, so the year 1825 was an opportune time to introduce the British sterling coinage into all the British colonies. An imperial Order in Council was passed in that year for the purposes of facilitating this aim by making sterling coinage legal tender in the colonies at the specified rate of 1 Spanish dollar to 4 shillings, 4 pence sterling; as the sterling silver coins were attached to a gold standard, this exchange rate did not realistically represent the value of the silver in the Spanish dollars as compared to the value of the gold in the British gold sovereign.
Because of this, the conversion had the opposite effect in many colonies, drove sterling coinage out of circulation, rather than encouraged its use. Remedial legislation had to be introduced in 1838 so as to change over to the more realistic rating of $1 = 4s 2d. However, in Jamaica, British Honduras, in the Bahamas the official rating was set aside in favour of what was known as the'Maccaroni' tradition in which a British shilling, referred to as a'Maccaroni', was treated as one quarter of a dollar; the common link between these four territories was the Bank of Nova Scotia which brought in the'Maccaroni' tradition, resulting in the successful introduction of both sterling coinage and sterling accounts. It wasn't however until 1 January 1842 that the authorities in Bermuda formally decided to make sterling the official currency of the colony to circulate concurrently with Doubloons at the rate of $1 = 4s 2d. Contrary to expectations, unlike in the Bahamas where US dollars circulated concurrently with sterling, the Bermudas did not allow themselves to be drawn into the U. S. currency area.
The Spanish dollars fell away in the 1850s but returned again in the 1870s following the international silver crisis of 1873. In 1874, the Bermuda merchants agreed unanimously to decline to accept the heavy imports of US currency except at a heavy discount, it was exported again, and in 1876, legislation was passed to demonetise the silver dollars for fear of them returning. In 1882, the local'legal tender act' demonetised the gold doubloon, which had in effect been the real standard in Bermuda, this left pounds and pence as the sole legal tender; the pound sterling remained the official currency of Bermuda until 1970, though the Government of Bermuda did issue its own pound banknotes. With US and Canadian coins appearing in circulation in Bermuda and the possibility of the devaluation of the pound sterling, Bermuda was compelled to adopt its own decimal currency. On 6 February 1970, Bermuda introduced a new decimal currency in the form of a dollar; the nascent Bermudian dollars circulated in conjunction with the new British decimal coinage a year before it was introduced in the United Kingdom.
By adopting decimalisation early, Bermuda was able place orders for the coinage from the Royal Mint before other Commonwealth countries seeking to decimalise could. The link between the Bermudian dollar and the pound sterling was not broken until 31 July 1972, which allowed Bermuda to align to a one-to-one exchange rate with that of the United States; the decision for Bermuda to peg its dollar to the US dollar added convenience for the multitude of American tourists and businesses with whom Bermuda relied on. Since 1972, Bermuda law has required that local businesses charge prices in Bermudian dollars which, if paid in US dollars, must be accepted at a rate of 1:1. Only banks are allowed to exchange Bermudian dollars into US dollars or other currencies, subject to a 1% Foreign Currency Purchase Tax. Prior to decimalisation and conversion to the dollar, the Government of Bermuda did not issue its own coins, other than the commemorative Bermuda crowns, since the 19th Century at the latest. In 1970, the Bermuda Monetary Authority introduced coinage with denominations of 1, 5, 10, 25, 50 cents.
From its inception, the 1-cent coin was struck out of bronze until 1988, when it was replaced with copper-plated steel. The composition of the 1-cent coin was changed to copper-plated zinc in 1991. All other denominations, at the time, were minted from cupronickel. Nickel-brass 1-dollar and 5-dollar coins were issued in 1983. New 1-dollar coins that were thinner and one-third lighter than the 1983 issue were produced in 1988; the 50-cent denomination was phased out, with the coins being called in on 1 May 1990. All denominations of Bermuda coinage depict the monarch of the United Kingdom on the obverse Queen Elizabeth II. From 1970 through 1985, the royal effigy by Arnold Machin was used, followed by an effigy by Raphael Maklouf from 1986 through 1998; the current obverse, introduced in 1999, is the royal effigy sculpted by Ian Rank-Broadley. Bermuda has released commemorative coins to celebrate certain events, historical milestones and fauna; these coins bear a face value, but are seen more as collector's items or stores of v
Bacardi Limited is the largest held, family-owned spirits company in the world. Known for its eponymous Bacardi white rum, it now has a portfolio of more than 200 brands and labels. Founded in 1862, family-owned for seven generations, Bacardi employs 6,000 people, manufactures at 29 facilities in 16 markets on four continents, with sales in more than 150 countries. Bacardi Limited refers to the Bacardi group including Bacardi International Limited; the company sells in excess of 200 million bottles per year. The company's sales in 2007 were US$5.5 billion, up from $4.9 billion in 2006. In recent years sales have stagnated, with the company recording US$4.6 billion in 2014. It laid off 10% of its North American workforce in 2015. Bacardi Limited is headquartered in Hamilton and has a 16-member board of directors led by the original founder's great-great grandson, Facundo L. Bacardí. Along with other leading alcohol producers, Bacardi is part of a producers' commitments organization focused on reducing harmful drinking.
Facundo Bacardí Massó, a Spanish wine merchant, was born in Sitges, Spain, in 1814, emigrated to Cuba in 1830. During this period, rum was cheaply made and not considered a refined drink, sold in upmarket taverns. Facundo began attempting to "tame" rum by isolating a proprietary strain of yeast still used in Bacardi production; this yeast gives Bacardi rum its flavour profile. After experimenting with several techniques he hit upon filtering the rum through charcoal, which removed impurities. In addition to this, Facundo aged the rum in white oak barrels, which had the effect of mellowing the drink; the final product was the first clear, or "white" rum in the world. Moving from the experimental stage to a more commercial endeavour, he and his brother José set up a Santiago de Cuba distillery they bought in 1862, which housed a still made of copper and cast iron. In the rafters of this building lived fruit bats – the inspiration for the Bacardi bat logo; this logo was pragmatic considering the high illiteracy rate in the 19th century, enabling customers to identify the product.
The 1880s and 90s were turbulent times for the company. Emilio Bacardi, Don Facundo's eldest son, was imprisoned and exiled from Cuba for having fought in the rebel army against Spain in the Cuban War of Independence. Emilio's brothers and José, their brother-in-law Henri Schueg, remained in Cuba with the difficult task of sustaining the company during a period of war; the women in the family were exiled in Jamaica. After the Cuban War of Independence and the US occupation of Cuba, "The Original Cuba Libre" and the Daiquiri were both created, using Bacardi rum. In 1899 US General Leonard Wood appointed Emilio Bacardi Mayor of Santiago de Cuba. In 1912, Emilio Bacardi travelled to Egypt, where he purchased a mummy for the future Emilio Bacardi Moreau Municipal Museum in Santiago de Cuba. In Santiago, his brother Facundo M. Bacardí continued to manage the company along with Schueg, who began the company's international expansion by opening bottling plants in Barcelona and New York City; the New York plant was soon shut down due to Prohibition, yet during this time Cuba became a hotspot for US tourists.
In 1922 Emilio opened a new distillery in Santiago. In 1930 Schueg opened the Art Deco Bacardi building in Havana and the third generation of the Bacardí family entered the business. Facundito Bacardí was known to have invited Americans to "Come to Cuba and bathe in Bacardi rum." A new product was introduced: Hatuey beer. Bacardi's transition into an international brand was due to Schueg, who branded "Cuba as the home of rum, Bacardi as the king of rums" and expanded overseas, first to Mexico in 1931, to Puerto Rico in 1936, under the brand name Ron Bacardi.. Post-Prohibition production in Puerto Rico enabled rum to be sold tariff-free in the United States, he expanded to the United States in 1944. During World War II, the company was led by José "Pepin" Bosch. Pepin founded Bacardi Imports in New York City, became Cuba's Minister of the Treasury in 1949. Portuondo and other Bacardí family members supported the Cuban revolutionaries, including Fidel Castro and the broader M-26-7 movement: Bosch donated tens of thousands of dollars to the movement, acted as an intermediary between the revolutionaries and the CIA to assuage the latter's concerns.
Family members and facilities were put to use by the movement and the company supported the revolution publicly with advertisements and parties. But their support turned to opposition as the pro-Soviet Che Guevara wing of the movement began to dominate and as Castro turned against their interests; the Bacardí family maintained a fierce opposition to Fidel Castro's revolution in Cuba in the 1960s. In his book Bacardi, The Hidden War, Hernando Calvo Ospina outlines the political element to the family's money. Ospina describes how the Bacardi family and the company left Cuba after the Castro regime confiscated the company's Cuban assets on 15 October 1960 nationalizing and banning all private property on the island as well as all bank accounts. However, due to concerns over the previous Cuban leader, Fulgencio Batista, the company had started foreign branches a few years before the revolution; this helped
September 11 attacks
The September 11 attacks were a series of four coordinated terrorist attacks by the Islamic terrorist group al-Qaeda against the United States on the morning of Tuesday, September 11, 2001. The attacks killed 2,996 people, injured over 6,000 others, caused at least $10 billion in infrastructure and property damage. Additional people died of 9/11-related cancer and respiratory diseases in the months and years following the attacks. Four passenger airliners operated by two major U. S. passenger air carriers —all of which departed from airports in the northeastern United States bound for California—were hijacked by 19 al-Qaeda terrorists. Two of the planes, American Airlines Flight 11 and United Airlines Flight 175, were crashed into the North and South towers of the World Trade Center complex in Lower Manhattan. Within an hour and 42 minutes, both 110-story towers collapsed. Debris and the resulting fires caused a partial or complete collapse of all other buildings in the World Trade Center complex, including the 47-story 7 World Trade Center tower, as well as significant damage to ten other large surrounding structures.
A third plane, American Airlines Flight 77, was crashed into the Pentagon in Arlington County, which led to a partial collapse of the building's west side. The fourth plane, United Airlines Flight 93, was flown toward Washington, D. C. but crashed into a field in Stonycreek Township near Shanksville, after its passengers thwarted the hijackers. 9/11 is the single deadliest terrorist attack in human history and the single deadliest incident for firefighters and law enforcement officers in the history of the United States, with 343 and 72 killed, respectively. Suspicion fell on al-Qaeda; the United States responded by launching the War on Terror and invaded Afghanistan to depose the Taliban, which had failed to comply with U. S. demands to extradite Osama bin expel al-Qaeda from Afghanistan. Many countries strengthened their anti-terrorism legislation and expanded the powers of law enforcement and intelligence agencies to prevent terrorist attacks. Although Osama bin Laden, al-Qaeda's leader denied any involvement, in 2004 he claimed responsibility for the attacks.
Al-Qaeda and bin Laden cited U. S. support of Israel, the presence of U. S. troops in Saudi Arabia, sanctions against Iraq as motives. After evading capture for a decade, bin Laden was located in Pakistan and killed by SEAL Team Six of the U. S. Navy in May 2011; the destruction of the World Trade Center and nearby infrastructure harmed the economy of Lower Manhattan and had a significant effect on global markets, which resulted in the closing of Wall Street until September 17 and the civilian airspace in the U. S. and Canada until September 13. Many closings and cancellations followed, out of respect or fear of further attacks. Cleanup of the World Trade Center site was completed in May 2002, the Pentagon was repaired within a year. On November 18, 2006, construction of One World Trade Center began at the World Trade Center site; the building was opened on November 3, 2014. Numerous memorials have been constructed, including the National September 11 Memorial & Museum in New York City, the Pentagon Memorial in Arlington County and the Flight 93 National Memorial in a field in Stonycreek Township near Shanksville, Pennsylvania.
Although not confirmed, there is evidence of alleged Saudi Arabian involvement in the attacks. Given as main evidence in these charges are the contents of the 28 redacted pages of the December 2002 Joint Inquiry into Intelligence Community Activities before and after the Terrorist Attacks of September 11, 2001 conducted by the Senate Select Committee on Intelligence and the House Permanent Select Committee on Intelligence; these 28 pages contain information regarding the material and financial assistance given to the hijackers and their affiliates leading up to the attacks by the Saudi Arabian government. The origins of al-Qaeda can be traced to 1979. Osama bin Laden helped organize Arab mujahideen to resist the Soviets. Under the guidance of Ayman al-Zawahiri, bin Laden became more radical. In 1996, bin Laden issued his first fatwā. In a second fatwā in 1998, bin Laden outlined his objections to American foreign policy with respect to Israel, as well as the continued presence of American troops in Saudi Arabia after the Gulf War.
Bin Laden used Islamic texts to exhort Muslims to attack Americans until the stated grievances are reversed. Muslim legal scholars "have throughout Islamic history unanimously agreed that the jihad is an individual duty if the enemy destroys the Muslim countries", according to bin Laden. Bin Laden orchestrated the attacks and denied involvement but recanted his false statements. Al Jazeera broadcast a statement by bin Laden on September 16, 2001, stating, "I stress that I have not carried out this act, which appears to have been carried out by individuals with their own motivation." In November 2001, U. S. forces recovered a videotape from a destroyed house in Afghanistan. In the video, bin Laden admits foreknowledge of the attacks. On December 27, 2001, a second bin Laden video was released. In the video, he said: It has become clear that the West in general and America in particular have an unspeakable hatred for Islam.... It is the hatred of crusaders. Terrorism against America deserves to be praised because it was a response to injustice, aimed at forcing America to stop its support for Israel, which kills our people....
British Overseas Territories
The British Overseas Territories or United Kingdom Overseas Territories are 14 territories under the jurisdiction and sovereignty of the United Kingdom. They are remnants of the British Empire that have not been granted independence or have voted to remain British territories; these territories do not form part of the United Kingdom and, with the exception of Gibraltar, are not part of the European Union. Most of the permanently inhabited territories are internally self-governing, with the UK retaining responsibility for defence and foreign relations. Three are inhabited only by a transitory population of scientific personnel, they all share the British monarch as head of state. As of April 2018 the Minister responsible for the Territories excluding the Falkland Islands and the Sovereign Base Areas on Cyprus, is the Minister of State for the Commonwealth and the UN; the other three territories are the responsibility of the Minister of State for Europe and the Americas. The fourteen British Overseas Territories are: The term "British Overseas Territory" was introduced by the British Overseas Territories Act 2002, replacing the term British Dependent Territory, introduced by the British Nationality Act 1981.
Prior to 1 January 1983, the territories were referred to as British Crown Colonies. Although the Crown dependencies of Jersey and the Isle of Man are under the sovereignty of the British monarch, they are in a different constitutional relationship with the United Kingdom; the British Overseas Territories and Crown Dependencies are themselves distinct from the Commonwealth realms, a group of 16 independent countries each having Elizabeth II as their reigning monarch, from the Commonwealth of Nations, a voluntary association of 53 countries with historic links to the British Empire. With the exceptions of the British Antarctic Territory and South Georgia and the South Sandwich Islands and the British Indian Ocean Territory, the Territories retain permanent civilian populations. Permanent residency for the 7,000 civilians living in the Sovereign Base Areas of Akrotiri and Dhekelia is limited to citizens of the Republic of Cyprus. Collectively, the Territories encompass a population of about 250,000 people and a land area of about 1,727,570 square kilometres.
The vast majority of this land area, 1,700,000 square kilometres, constitutes the uninhabited British Antarctic Territory, while the largest territory by population, accounts for a quarter of the total BOT population. At the other end of the scale, three territories have no civilian population. Pitcairn Islands, settled by the survivors of the Mutiny on the Bounty, is the smallest settled territory with 49 inhabitants, while the smallest by land area is Gibraltar on the southern tip of the Iberian peninsula; the United Kingdom participates in the Antarctic Treaty System and, as part of a mutual agreement, the British Antarctic Territory is recognised by four of the six other sovereign nations making claims to Antarctic territory. Early colonies, in the sense of English subjects residing in lands hitherto outside the control of the English government, were known as "Plantations"; the first, colony was Newfoundland, where English fishermen set up seasonal camps in the 16th century. It is now a province of Canada known as Labrador.
It retains strong cultural ties with Britain. English colonisation of North America began in 1607 with the settlement of Jamestown, the first successful permanent colony in Virginia, its offshoot, was settled inadvertently after the wrecking of the Virginia company's flagship there in 1609, with the Virginia Company's charter extended to include the archipelago in 1612. St. George's town, founded in Bermuda in that year, remains the oldest continuously inhabited British settlement in the New World. Bermuda and Bermudians have played important, sometimes pivotal, but underestimated or unacknowledged roles in the shaping of the English and British trans-Atlantic Empires; these include maritime commerce, settlement of the continent and of the West Indies, the projection of naval power via the colony's privateers, among other areas. The growth of the British Empire in the 19th century, to its territorial peak in the 1920s, saw Britain acquire nearly one quarter of the world's land mass, including territories with large indigenous populations in Asia and Africa.
From the mid-nineteenth century to the early twentieth century, the larger settler colonies – in Canada, New Zealand and South Africa – first became self-governing colonies and achieved independence in all matters except foreign policy and trade. Separate self-governing colonies federated to become Canada, South Africa, Rhodesia; these and other large self-governing colonies had become known as Dominions by the 1920s. The Dominions achieved full independence with the Statute of Westminster. Through a process of decolonisation following the Second World War, most of the British colonies in Africa and the Caribbean gained independence; some colonies becam
P&O Cruises is a British cruise line based at Carnival House in Southampton, operated by Carnival UK and owned by Carnival Corporation & plc. A constituent of the Peninsular and Oriental Steam Navigation Company, P&O Cruises can claim to be the oldest cruise line in the world, its predecessor company having operated pleasure trips since 1844 and the world's first dedicated cruise ship in 1881, it is the sister company of, retains strong links with, P&O Cruises Australia. P&O Cruises was de-merged from the P&O group in 2000, becoming a subsidiary of P&O Princess Cruises plc, which subsequently merged with Carnival Corporation in 2003, to form Carnival Corporation & plc. P&O Cruises operates seven cruise ships and has a 2.4% market share of all cruise lines worldwide. Its most recent vessel, flagship Britannia, joined the fleet in March 2015; the original company originates from 1822, with the formation of the Peninsular & Oriental Steam Navigation Company, which began life as a partnership between Brodie McGhie Willcox, a London ship broker, Arthur Anderson, a sailor from the Shetland Isles.
The company first operated a shipping line with routes between England and the Iberian Peninsula, adopting the name Peninsular Steam Navigation Company. In 1837, the company won a contract to deliver mail to the Peninsula, with its first mail ship, RMS Don Juan, departing from London on 1 September 1837; the ship collected mail from Falmouth four days however it hit rocks on the homeward bound leg of the trip. The company's reputation survived. In 1840, the company acquired a second contract to deliver mail to Alexandria, via Gibraltar and Malta; the company was incorporated by Royal Charter the same year, becoming the Peninsular and Oriental Steam Navigation Company. At the time, the company had no ships available to use on the route, so agreed to merge with the Liverpool based Transatlantic Steamship Company, acquiring two ships, the 1,300-ton Great Liverpool and the newly built 1,600-ton Oriental. P&O first introduced passenger services in 1844, advertising sea tours to destinations such as Gibraltar and Athens, sailing from Southampton.
The forerunner of modern cruise holidays, these voyages were the first of their kind, have led to P&O Cruises being recognised as the world's oldest cruise line. The company introduced round trips to destinations such as Alexandria and Constantinople and underwent rapid expansion in the half of the 19th century, with its ships becoming larger and more luxurious. Notable ships of the era include the SS Ravenna built in 1880, which became the first ship to be built with a total steel superstructure, the SS Valetta built in 1889, the first ship to use electric lights. In 1904 the company advertised its first cruise on the 6,000-ton Vectis, a ship specially fitted out for the purpose of carrying 150 first-class passengers. Ten years the company merged with the British India Steam Navigation Company, leaving the fleet with a total of 197 ships. In the same year the company had around two-thirds of its fleet requisitioned for war service. However, the company was fortunate and only lost 17 ships in the First World War, with a further 68 lost by subsidiary companies.
A major event in the company’s history took place in December 1918, when P&O purchased 51% of the Orient Steam Navigation Company, operating jointly with P&O on the Australian mail contract. During the 1920s, P&O and Orient Line took delivery of over 20 passenger liners, allowing them to expand their operations once again. Cruises began operating once again in 1925. During 1929, P&O offered 15 cruises, some aboard Viceroy of India, the company’s first turbo-electric ship; the P&O Group left the Second World War with a loss of 156 ships including popular liners such as Viceroy of India, Cathay and Orcades. By the late 1940s commercial aviation was beginning to take hold of the industry so newer ships became larger and faster, allowing the sailing time to Australia to be cut from five to four weeks. In 1955 P&O and Orient Lines ordered what were to be their last passenger liners — the Canberra and Oriana; these fast ships bought the Australian run down another week to just three, with Oriana recording a top speed of just over 30 knots during trials.
During 1961, P&O bought out the remaining stake in Orient Lines and renamed its passenger operations as P&O-Orient Lines. The decreasing popularity of line voyages during the 1960s and 1970s meant that cruising became an important deployment for these ships in-between line voyages. In 1971 the company reorganised its 100 subsidiaries and 239 ships into several operating divisions, one of, The Passenger Division which began with 13 ships; the 1962 comedy film, Carry On Cruising, based on the original story by Eric Barker, listed P&O-Orient in its credits. The first Carry On film in colour, it used footage of P&O's cruise ship S. S. Oronsay as well as mock-up scenes shot at Pinewood studios; the 1970s was a grim time for the passenger liner as many new ships were sold for scrap. Princess Cruises was acquired in 1974 which allowed the new Spirit of London to be transferred to the Princess fleet; this left Canberra and Oriana to serve the UK market on their own, with Arcadia deployed in Australia and Uganda offering educational cruises.
In 1977, P&O re-branded its passenger division. In February 1979 Kungsholm, a former Swedish American Line vessel, was acquired from Flagship Cruises and after a major refit was renamed Sea Princess. Operating out of Australia, she replaced Arcadia, sold to Taiwanese ship breakers. In spring 1982 Oriana replaced Sea Princess
Flag of convenience
Flag of convenience is a business practice whereby a ship's owners register a merchant ship in a ship register of a country other than that of the ship's owners, the ship flies the civil ensign of that country, called the flag state. The term is used pejoratively, the practice is regarded as contentious; each merchant ship is required by international law to be registered in a registry created by a country, a ship is subject to the laws of that country, which are used if the ship is involved in a case under admiralty law. A ship's owners may elect to register a ship in a foreign country which enables it to avoid the regulations of the owners’ country which may, for example, have stricter safety standards, they may select a jurisdiction to reduce operating costs, bypassing laws that protect the wages and working conditions of mariners. The term "flag of convenience" has been used since the 1950s. A registry which does not have a nationality or residency requirement for ship registration is described as an open registry.
Panama, for example, offers the advantages of easier registration and the ability to employ cheaper foreign labour. Furthermore, the foreign owners pay no income taxes; the modern practice of ships being registered in a foreign country began in the 1920s in the United States when shipowners, frustrated by increased regulations and rising labor costs, began to register their ships in Panama. The use of open registries increased, in 1968, Liberia grew to surpass the United Kingdom as the world's largest ship register; as of 2009, more than half of the world's merchant ships were registered with open registries, 40% of the entire world fleet, in terms of deadweight tonnage, were registered in Panama and the Marshall Islands. In 2006, up to 20% of high-seas fishing vessels were registered in states they were not connected to. According to IHS Markit, in March 2017, Panama had 8,052 ships on its registry, Singapore had 3,574 ships, Liberia had 3,277 ships, the Marshall Islands had 3,244 ships and Hong Kong had 2,594 ships.
Open registries have been criticised by trade union organisations based in developed countries those of Europe. One criticism is that shipowners who want to hide their ownership may select a flag-of-convenience jurisdiction which enables them to be anonymous; some ships with flags of convenience have been found engaging in crime, offer substandard working conditions, negatively impact the environment through illegal and unregulated fishing. Shipowners may select a jurisdiction with measurement rules that reduce the certified GRT size of a ship, so as to reduce subsequent port of call dock dues; such was a consideration when Carnival Cruise Line changed the flag of the RMS Empress of Canada in 1972 to that of Panama. In 2011, Cunard Cruise line registered all its ships in Bermuda, besides other considerations, enabled its ship captains to marry couples at sea, weddings at sea are described as a lucrative market; as of 2009, thirteen flag states have been found by international shipping organisations to have substandard regulations.
On the other hand, maritime industry practitioners and seafarers from other countries contend that this is a natural product of globalisation. Supporters of the practice, point to economic and regulatory advantages, increased freedom in choosing employees from an international labour pool. Ship owners from developed countries use the practice to be competitive in a global environment; as of 2009, ships of thirteen flags of convenience have been targeted for special enforcement by countries when they visit ports in those countries, called port state control. International law requires; the country in which a ship is registered is its flag state, the flag state gives the ship the right to fly its civil ensign. A ship operates under the laws of its flag state, these laws are used if the ship is involved in an admiralty case. A ship's flag state exercises regulatory control over the vessel and is required to inspect it certify the ship's equipment and crew, issue safety and pollution prevention documents.
The organization which registers the ship is known as its registry. Registries may be private agencies; the reasons for choosing an open register are varied and include tax avoidance, the ability to avoid national labor and environmental regulations, the ability to hire crews from lower-wage countries. National or closed registries require a ship be owned and constructed by national interests, at least crewed by its citizens. Conversely, open registries offer on-line registration with few questions asked; the use of flags of convenience lowers registration and maintenance costs, which in turn reduces overall transportation costs. The accumulated advantages can be significant, for example in 1999, 28 of the American company SeaLand's fleet of 63 ships were foreign-flagged, saving the company up to US$3.5 million per ship every year. Additionally, many national registries allow the government the right to requisition ships for use by the state in war. Whilst the probability of such conflicts are now reduced, it does carry some risk for commercial operators, of inconvenience to commercial interests.
For example, as late as 1982 the British Government requisitioned the luxury ocean liner Queen Elizabeth 2 from the Cunard Line for immediate service as a troop transport in the Falklands War, Cunard's SS Atlantic Conveyor was sunk in the conflict: both ships had been part of the Merchant Navy, the British shipping register. Whilst such requisition has been the case for centuries (where most wooden sailing
Per capita income
Per capita income or average income measures the average income earned per person in a given area in a specified year. It is calculated by dividing the area's total income by its total population. Per capita income is national income divided by population size. Per capita income is used to measure an area's average income and compare the wealth of different populations. Per capita income is used to measure a country's standard of living, it is expressed in terms of a used international currency such as the euro or United States dollar, is useful because it is known, is calculable from available gross domestic product and population estimates, produces a useful statistic for comparison of wealth between sovereign territories. This helps to ascertain a country's development status, it is one of the three measures for calculating the Human Development Index of a country. In the United States, it is defined by the U. S. Census Bureau as the following: "Per capita income is the mean money income received in the past 12 months computed for every man and child in a geographic area."
Critics claim that per capita income has several weaknesses in measuring prosperity: Comparisons of per capita income over time need to consider inflation. Without adjusting for inflation, figures tend to overstate the effects of economic growth. International comparisons can be distorted by cost of living differences not reflected in exchange rates. Where the objective is to compare living standards between countries, adjusting for differences in purchasing power parity will more reflect what people are able to buy with their money, it does not reflect income distribution. If a country's income distribution is skewed, a small wealthy class can increase per capita income while the majority of the population has no change in income. In this respect, median income is more useful when measuring of prosperity than per capita income, as it is less influenced by outliers. Non-monetary activity, such as barter or services provided within the family, is not counted; the importance of these services varies among economies.
Per capita income does not consider whether income is invested in factors to improve the area's development, such as health, education, or infrastructure. List of countries by average wage List of countries by GDP per capita—GDP at market or government official exchange rates per inhabitant List of countries by GDP per capita—GDP calculated at purchasing power parity exchange per inhabitant List of countries by GNI per capita List of countries by GNI per capita List of countries by income equality Total personal income