The author reviews the debate on the causes of Argentina?s economic collapse in late 2001 and 2002 and examines the measures needed to help restore sustainable growth. Some analysts stress fiscal imbalances, others overvaluation of the peso under the convertibility plan, and others external...

The Baker Plan essentially made existing strategy on the debt problem more concrete. Like existing policy, it rejected a bankruptcy approach to the problem. It assumed that the principal debtor countries could grow their way out of the debt problem and could expand their exports enough over time...