Multiple international debt equilibria and irreversibility

Authors
Roberts, MA McCausland, WD
Citation
Ma. Roberts et Wd. Mccausland, Multiple international debt equilibria and irreversibility, ECON MODEL, 16(2), 1999, pp. 179-188
Citations number
18
Categorie Soggetti
Economics
Journal title
ECONOMIC MODELLING
ISSN journal
02649993 → ACNP
Volume
16
Issue
2
Year of publication
1999
Pages
179 - 188
Database
ISI
SICI code
0264-9993(199904)16:2<179:MIDEAI>2.0.ZU;2-W
Abstract
A non-linear model is presented to give a global analysis of international debt and trade. It offers an alternative to the sunk-cost explanation of hy steresis, structural breaks and irreversibility. In particular, we show tha t a natural resource discovery, which turns out to be temporary ex post, ma y cause a long-term deterioration in the trade balance. (C) 1999 Elsevier S cience B.V. All rights reserved. JEL classifications: F32; F40.