Presbitero, Andrea F. - In: Economics: The Open-Access, Open-Assessment E-Journal 2 (2008) 2008-30, pp. 1-28
on institutions and policies. The Debt-Laffer curve looses statistical significance once institutional quality is … controlled for and debt overhang seems to be at work exclusively in countries with sound institutions. On the contrary, external … debt proves to be irrelevant for countries with weak institutions. A policy implication is that efficient debt relief …