ABSTRACT:- This study determined factors that have a differential impact on exports in the Caribbean and Latin America, both in the long run and short run. Log-log Regression results indicated that with regards to the Caribbean   market size, domestic and direct foreign investment, and the agriculture with a positive sign, and the exchange rate with a negative sign, showed a stronger impact on exports in the Caribbean compared with Latin America.  The impact of the Herfindahl Index was greater in the Caribbean, indicating that diversifying the economic base in this region is likely to have a greater positive impact on exports in this region than in Latin America.

In Latin America, access to electricity and service sector performance with positive signs and the inflation rate, the interest rate, and the tax on trade variables with negative sign had a greater impact compared with the Caribbean. 

If, in the Caribbean, the income per capita in the market group, literacy, the availability of credit to the private sector and capital per unit labor variables were positive, this would have indicated that the private sector was more involved in exports than in Latin America, but they were not. Instead, with the exception of literacy rate, the impacts of these variables on exports were stronger in Latin America.

Keywords:- Caribbean, Latin America, trade, market, trade, productive sectors.