Abstract: Capital flows to the developing economies have long displayed a boom-and-bust pattern. However, rarely has the cycle turned as abruptly as it did in the 1990s, when the surges in lending were followed by the Mexican peso crisis of 1994-95, and the sudden collapse of currencies in Asia in 1997 and 1998. The volume maps an uncertain financial landscape in which volatile private capital flows and fragile banking systems produce sudden reversals of fortune for governments and economies. This environment creates dilemmas for both national policy-makers who confront the mixed blessing of capital inflows and the international institutions that manage the recurrent crises. The authors - leading economists and political scientists - examine private capital flows and their consequences in Latin America, Pacific Asia and Eastern Europe, placing current cycles of lending in historical perspective. Also, national governments have used a variety of strategies to deal with capital-account instability and the authors evaluate these responses, prescribe new alternatives and consider whether the new circumstances require novel international politics.
Publication Year: 2018
Publication Date: 2018-11-28
Language: en
Type: other
Indexed In: ['crossref']
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Cited By Count: 62
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