debt Flashcards
1
Q
History of debt
A
Flush of money in 1973, W banks look to invest, LEDCs get loans for commercial interest rates, cannot repay
2
Q
IMF loans, Standard Adjustment Policies
A
trade liberalization
encouraged exports of primary commodities (cash crops+minerals)
devalue currency (encourages exports, but inflation, requires buying foreign)
encourage FDI (social unrest)
