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Latin America and the ‘high performing Asian economies’: growth and debt
Author(s) -
Weeks John
Publication year - 2000
Publication title -
journal of international development
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 0.533
H-Index - 66
eISSN - 1099-1328
pISSN - 0954-1748
DOI - 10.1002/1099-1328(200007)12:5<625::aid-jid652>3.0.co;2-o
Subject(s) - latin americans , east asia , economics , debt , debt crisis , development economics , financial crisis , economy , international economics , political science , macroeconomics , china , law
Prior to the Asian financial crisis, it was accepted wisdom to compare the growth of Latin America unfavourably to that of a selection of East and Southeast Asian countries (the so‐called high performing Asian economies). This paper presents statistics that indicate that the differences in performance may have been less than as commonly presented. A modified Harrod–Domar model is applied to the Latin American countries, and the results suggest that a major determinant of slower growth in Latin America was the debt service burden. Copyright © 2000 John Wiley & Sons, Ltd.