External Debt and Economic Growth in Sub-SAharan African Countries: an Econometric Study
This econometric study takes a simulation approach to investigate the impact of external debt on economic growth in sub-Saharan African countries using a small macroeconomic model estimated for 1970-1994. An important finding was the significance of debt overhang variables in the investment equation, suggesting that mounting external debt depresses investment through both a "disincentive" effect and a "crowding out" effect.
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|Date of creation:||1999|
|Date of revision:|
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