Developing countries are constrained in financing current account deficits as real capital mobility is still far from perfect. At the same time, capital flows to these countries proved to be extremely volatile. The paper argues that the long-term problem of "too little" should not be confused...

The claim of globalization critics that the income gap to industrial countries is bound to widen for essentially all developing countries as a consequence of economic globalization is in conflict with empirical evidence. Economic performance differs tremendously across developing countries. We...

Die vom amerikanischen Finanzminister Baker vorgeschlagene Strategie zur Lösung der Verschuldungsprobleme vieler Entwicklungsländer wird durchweg als richtungweisend gelobt. In einer konzertierten Aktion sollen: — die wichtigsten Problemschuldnerländer sich verpflichten,...

Formerly a favourite location for private capital inflows, Brazil was virtually cut off from further bank lending in the 1980s. The country's rating in secondary loan markets plummeted, and foreign direct investment dwindled. New external financing was replaced by an accumulation of interest...