Curbing the Boom-Bust Cycle: Stabilizing Capital Flows to Emerging Markets
International investors poured vast sums of money into East Asian and Latin American countries during the mid-1990s, when the emerging market boom was at its peak. Then Thailand stumbled and panic seized the markets, and boom gave way to bust. Investors suffered large financial losses, while Asian countries suddenly experienced large capital outflows and the macroeconomic pressures these wrought plunged countries that had been growing rapidly ("miraculously") into crisis. Much the same had happened in Latin America when the debt crisis broke in 1982. This book investigates what can be done to make the international capital market a constructive force in promoting development in emerging markets. The author concludes that the problem of cyclicality that has undermined the value of international borrowing cannot be tackled just, or even mainly, from the supply side, but will require actions on the part of both creditors and debtors.
|This book is provided by Peterson Institute for International Economics in its series Peterson Institute Press: Policy Analyses in International Economics with number pa75 and published in 2005.|
|Note:||Policy Analyses in International Economics 75|
|Contact details of provider:|| Postal: |
Web page: http://bookstore.piie.com/
More information through EDIRC
When requesting a correction, please mention this item's handle: RePEc:iie:piiepa:pa75. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Peterson Institute webmaster)
If references are entirely missing, you can add them using this form.