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This paper utilizes recent developments in cointegration theory to incorporate dynamic modelling in the static model of the Barbadian economy developed by Holder-Worrell (1984) and Boamah, et al (1984). The paper is organized in four sections. A summary of the model is presented in Section 2, and the modelling methodology in Section 3. The empirical results are discussed in Section 4 and, conclusions and directions of future research are stated in the final section. (Previous title: Collection of unpublished research papers. Paper prepared for presentation at CEMLA in Brazil 1987. Not to be quoted without the permission of the authors)