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Bolivia's Economic Crisis

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  • Juan Antonio Morales
  • Jeffrey Sachs
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    Abstract

    By any standard, Bolivia's economic crisis in the 1980's has been extraordinary. Like its neighbors. Bolivia suffered from major external shocks, but the extent of economic collapse in the face of these shocks (including a hyperinflation during 1984-85) suggests that internal factors as well as external shocks have been critical to Bolivia's poor economic performance. One major theme of our work is that the recent economic crisis in Bolivia is a reflection of political and economic conflicts in Bolivian society that have undermined the development process throughout this century. While major reforms have been begun by the present government, many of the deepest problems in Bolivian society that contributed to the crisis remain unresolved.

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    File URL: http://www.nber.org/papers/w2620.pdf
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    Bibliographic Info

    Paper provided by National Bureau of Economic Research, Inc in its series NBER Working Papers with number 2620.

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    Date of creation: Jun 1988
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    Publication status: published as Developing Country Debt and Economic Performance: Country Studies - Argentina, Bolivia, Brazil, Mexico. Volume 2, University of Chicago PRess, March 1990.
    Handle: RePEc:nbr:nberwo:2620

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    References

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    1. Julio H. G. Olivera, 1967. "Money, prices and fiscal lags: a note on the dynamics of inflation," BNL Quarterly Review, Banca Nazionale del Lavoro, vol. 20(82), pages 258-267.
    2. Morales, Juan Antonio, 1987. "Inflation Stabilization in Bolivia," Documentos de trabajo 6/1987, Instituto de Investigaciones Socio-Económicas (IISEC), Universidad Católica Boliviana.
    3. Julio H. G. Olivera, 1967. "Money, prices and fiscal lags: a note on the dynamics of inflation," Banca Nazionale del Lavoro Quarterly Review, Banca Nazionale del Lavoro, vol. 20(82), pages 258-267.
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    Cited by:
    1. Vegh, Carlos, 1991. "Stopping High Inflation: An Analytical Overview," MPRA Paper 20175, University Library of Munich, Germany.
    2. Kerekes, Monika, 2012. "Growth miracles and failures in a Markov switching classification model of growth," Journal of Development Economics, Elsevier, vol. 98(2), pages 167-177.

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