IDEAS home Printed from https://ideas.repec.org/b/iie/ppress/pa75.html
   My bibliography  Save this book

Curbing the Boom-Bust Cycle: Stabilizing Capital Flows to Emerging Markets

Author

Listed:
  • John Williamson

    (Peterson Institute for International Economics)

Abstract

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.

Suggested Citation

  • John Williamson, 2005. "Curbing the Boom-Bust Cycle: Stabilizing Capital Flows to Emerging Markets," Peterson Institute Press: All Books, Peterson Institute for International Economics, number pa75.
  • Handle: RePEc:iie:ppress:pa75
    Note: Policy Analyses in International Economics 75
    as

    Download full text from publisher

    File URL: http://bookstore.piie.com/book-store/3306.html
    Download Restriction: no

    Other versions of this item:

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Sula, Ozan & Willett, Thomas D., 2006. "Reversibility of Different Types of Capital Flows to Emerging Markets," MPRA Paper 384, University Library of Munich, Germany.
    2. Ronald U. Mendoza, 2007. "A Compendium of Policy Instruments to Enhance Financial Stability and Debt Management in Emerging Market Economies," Working Papers 48, United Nations, Department of Economics and Social Affairs.
    3. Detzer, Daniel & Herr, Hansjörg, 2014. "Theories of financial crises: An overview," IPE Working Papers 32/2014, Berlin School of Economics and Law, Institute for International Political Economy (IPE).
    4. Camargo, Jhean Steffan Martines de & Gala, Paulo, 2017. "The resource curse reloaded: revisiting the Dutch disease with economic complexity analysis," Textos para discussão 448, FGV/EESP - Escola de Economia de São Paulo, Getulio Vargas Foundation (Brazil).
    5. repec:ces:ifodic:v:11:y:2013:i:3:p:19099101 is not listed on IDEAS
    6. Dodig, Nina & Herr, Hansjörg, 2015. "Theories of finance and financial crisis: Lessons for the Great Recession," IPE Working Papers 48/2015, Berlin School of Economics and Law, Institute for International Political Economy (IPE).
    7. Barry Eichengreen, 2007. "Insurance Underwriter or Financial Development Fund: What Role for Reserve Pooling in Latin America?," Open Economies Review, Springer, vol. 18(1), pages 27-52, February.
    8. Jeanne, Olivier, 2013. "Macroprudential policies in a global perspective," Proceedings, Federal Reserve Bank of San Francisco, issue Nov, pages 1-38.
    9. Köhler, Karsten, 2016. "Currency devaluations, aggregate demand, and debt dynamics in an economy with foreign currency liabilities," IPE Working Papers 78/2016, Berlin School of Economics and Law, Institute for International Political Economy (IPE).
    10. repec:mes:postke:v:40:y:2017:i:4:p:487-511 is not listed on IDEAS
    11. repec:wsi:jicepx:v:06:y:2015:i:02:n:s1793993315500106 is not listed on IDEAS
    12. Pereira, Luiz C. Bresser, 2006. "The political economy of global economic disgovernance," Textos para discussão 151, FGV/EESP - Escola de Economia de São Paulo, Getulio Vargas Foundation (Brazil).
    13. Prates, Daniela Magalhães & Fritz, Barbara, 2016. "Beyond capital controls: regulation of foreign currency derivatives markets in the Republic of Korea and Brazil after the global financial crisis," Revista CEPAL, Naciones Unidas Comisión Económica para América Latina y el Caribe (CEPAL), April.
    14. Daniel Detzer & Hansjorg Herr, 2014. "Theories of Financial Crises," Working papers wpaper25, Financialisation, Economy, Society & Sustainable Development (FESSUD) Project.
    15. Bank for International Settlements, 2009. "Capital flows and emerging market economies," CGFS Papers, Bank for International Settlements, number 33.
    16. Barbara Fritz & Daniela Prates, 2014. "The new IMF approach to capital account management and its blind spots: lessons from Brazil and South Korea," International Review of Applied Economics, Taylor & Francis Journals, vol. 28(2), pages 210-239, March.
    17. Herr, Hansjörg, 2009. "Time, expectations and financial markets," IPE Working Papers 03/2009, Berlin School of Economics and Law, Institute for International Political Economy (IPE).
    18. Christina Leijonhufvud, 2007. "Financial Globalisation and Emerging Markets Volatility," The World Economy, Wiley Blackwell, vol. 30(12), pages 1817-1842, December.

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:iie:ppress: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). General contact details of provider: http://edirc.repec.org/data/iieeeus.html .

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.