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External Capital Structure: Theory and Evidence

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  • Mr. Philip R. Lane
  • Mr. Gian M Milesi-Ferretti

Abstract

Recent years have witnessed a change in the composition of capital flows to developing countries, and FDI and equity flows have been playing an increasing role. In this paper we discuss the challenges for international macroeconomics that these developments pose and characterize stylized facts associated with the structure of external liabilities in developing countries, focusing in particular on FDI and equity stocks.

Suggested Citation

  • Mr. Philip R. Lane & Mr. Gian M Milesi-Ferretti, 2000. "External Capital Structure: Theory and Evidence," IMF Working Papers 2000/152, International Monetary Fund.
    • Handle: RePEc:imf:imfwpa:2000/152
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    More about this item

    Keywords

    WP; portfolio equity flow; FDI liability; FDI flow; FDI investment; log GDP; Net foreign assets; portfolio equity; foreign direct investment; external debt; equity liability; Stocks; Capital flows; Stock markets; Middle East; Asia and Pacific; Africa; Sub-Saharan Africa;
    All these keywords.

    JEL classification:

    • F21 - International Economics - - International Factor Movements and International Business - - - International Investment; Long-Term Capital Movements
    • F34 - International Economics - - International Finance - - - International Lending and Debt Problems

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