We focus on the external sector component of financial instability and link changes in country imbalances to GDP growth rates in ways to produce indices of expected worsening or improving financial instability at different points in time. Our results suggest that depending upon the index used...

This article analyses shifts in economic power over the last five decades or so. While developing countries (DCs) and regions have increased their share of incremental world income and incremental world exports over this period, there is very little shift in the relative rankings according to...

This article analyses the performance of the South Asian economies in the context of the evolution of the world economy. Recent years have seen considerable liberalisation of trade and capital flows in practically all countries, particularly developing countries. Trade has, consequently,...

Despite developing countries accounting for an increasing share of world income and exports, no significant shift in the ranks of the 25 largest economies by GDP has occurred between 1965 and 2007. And only China, and perhaps India but none of the other large developing economies, would account...

It is not from the benevolence of the butcher, the brewer, or the baker, that we expect our dinner, but from their regard to their own interest. We address ourselves, not to their humanity but their self love, and never talk to them of our necessities but of their advantages.Adam SmithThe...

This paper examines five issues: 1) Recent performance of developing countries in terms of growth, investment and integration with the world economy; 2) The impact of the crisis on these economies; 3) The response of policy makers in these economies to mitigate the adverse impact, in particular,...