Chapter III. The Expansion of the Foreign Debt, 1879–1890

1944 ◽  
pp. 55-87
Keyword(s):  
Foreign Debt

Capital Flows to Developing Countries: Blessing or Curse? (Distinguished Lecture)

1998 ◽  
Vol 37 (4I) ◽  
pp. 125-151 ◽  
Author(s):  
Mohsin S. Khan
Keyword(s):  
Developing Countries ◽  
Capital Flows ◽  
Financial Integration ◽  
Foreign Capital ◽  
Foreign Debt ◽  
Capital Inflows ◽  
Private Capital ◽  
Policy Responses ◽  
Private Capital Flows ◽  
Significant Phenomenon

The surge of private capital flows to developing countries that occurred in the 1990s has been the most significant phenomenon of the decade for these countries. By the middle of the decade many developing countries in Asia and Latin America were awash with private foreign capital. In contrast to earlier periods when the scarcity of foreign capital dominated economic policy-making in these countries, the issue now for governments was how to manage the largescale capital inflows to generate higher rates ofinvestrnent and growth. While a number of developing countries were able to benefit substantially from the private foreign financing that globalisation made available to them, it also became apparent that capital inflows were not a complete blessing and could even turn out to be a curse. Indeed, in some countries capital inflows led to rapid monetary expansion, inflationary pressures, real exchange rate appreciation, fmancial sector difficulties, widening current account deficits, and a rapid build-up of foreign debt. In addition, as the experience of Mexico in 1994 and the Asian crisis of 1997-98 demonstrated, financial integration and globalisation can cut both ways. Private capital flows are volatile and eventually there can be a large reversal of capital because of changes in expected asset returns, investor herding behaviour, and contagion effects. Such reversals can lead to recessions and serious problems for financial systems. This paper examines the characteristics, causes and consequences of capital flows to developing countries in the 1990s. It also highlights the appropriate policy responses for governments facing such inflows, specifically to prevent overheating of the economy, and to limit the vulnerability to reversals of capital flows.

Sanctions and incentives to repudiate external debt

2021 ◽  
pp. 095162982098485
Author(s):  
Carlo de Bassa ◽  
Edoardo Grillo ◽  
Francesco Passarelli
Keyword(s):  
Foreign Debt ◽  
External Debt ◽  
Political Support ◽  
Fiscal Capacity ◽  
Foreign Countries ◽  
Political Turmoil ◽  
Target Country

Often foreign countries levy sanctions in the attempt to foment discontent with a hostile government. But sanctions may provoke costly reactions by the leaders of the target country. This paper presents a model in which sanctions exhaust the target country economically and impair its government’s fiscal capacity. Then, an office-motivated leader may find it convenient to default on foreign debt in order to free resources that she can invest to regain internal political support. The default thus becomes a defensive tool to partially dampen the internal political turmoil sanctions generate.

New protests in Chile

1982 ◽  
Vol 11 (6) ◽  
pp. 17-19
Author(s):  
Malcolm Coad
Keyword(s):  
Human Rights ◽  
Unemployment Rate ◽  
Foreign Debt ◽  
Public Servants ◽  
The Public ◽  
Economic Miracle ◽  
The World ◽  
Per Capita ◽  
National Trade ◽  
The Church

Chile's military regime in 1982 celebrated its ninth anniversary to the accompaniment of the most widespread and publicly expressed opposition since the coup of 11 September 1973. The collapse of its much-vaunted ‘economic miracle’ … most painfully demonstrated by devastated national industries, an unemployment rate of 25%, and a foreign debt estimated by some economists as the highest per capita in the world … has brought criticism from even the most ardent supporters of General Pinochet. As legal labour representatives became more vocal, leaders of the largest union federation, the National Trade Union Co-ordinating Body (CNS), were jailed, while in February the outspoken President of the Public Servants Union, Tucapel Jimenez, was found dead and mutilated by a roadside near Santiago. In the first six months of this year 837 people were charged with political offences, an increase of more than a third over the same period in 1981, while thousands more were detained on suspicion and reports of torture increased. Relations between the regime and the Church worsened, despite the latter's reining in of some of its human rights activity.

الحكم الرشيد وكفاءة التخطيط للموازنة الاتحادية والدور المرتقب لتحقيق التنمية المستدامة في العراق

2021 ◽  
Vol 2021 (71) ◽  
pp. 4-18
Author(s):  
م.د صادق طعمة خلف ◽  
Keyword(s):  
Good Governance ◽  
Foreign Debt ◽  
Federal Budget ◽  
Budget Planning ◽  
Comprehensive Development ◽  
The Face ◽  
Efficient Planning ◽  
Public Money ◽  
Poverty Indicators ◽  
The Many

The Iraqi reality misses the foundations of good governance in Iraq, as well as the comprehensive development programs that produce economic and financial reforms, especially in the federal budget, which is characterized as a fragile, weak and vocal budget. Therefore, it came as a modest attempt to shed light on the justifications for achieving good and good governance and efficient planning for the federal budget in its expenditures and revenues. The public, which contributes to building the state and achieving sustainable development that helps solve the main community problems, reduce poverty indicators, reduce unemployment, provide housing and basic services for all components of Iraqi society, and one of the doors to good and rational governance is the efficient management of the federal budget in Iraq, which is represented by efficient planning for managing public money. And protecting it from corruption is in addition to the many problems that fiscal policy suffers from, including weak non-oil financial revenues and dependence on oil revenues, and the growing deficit in budget planning and reliance in particular on foreign debt in the face of the deficit, and solutions are not impossible but need a national administration to achieve them.

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