Exam 22: Developing Countries: Growth, Crisis, and Reform

Does it appear that currency boards make fixed exchange rates credible?

For many developing countries, natural resources or agricultural commodities make up a ________ share of exports.

What is the basic problem of developing countries?

Since 1960, countries in Africa have grown at rates ________ those of the main industrial countries.

Some economists claim that the Chilean experience during the 1990s was much more successful than its Latin American neighbors. Evaluate the Chilean policies during that decade.

Explain the theory behind convergence and why it is a "deceptively simple" theory.

What are the five major channels, which developing countries use to finance their external deficit?

Over the post-war era, the gaps between industrial countries' living standards

Over the post-war era, the gaps between countries' living standards

One should expect ________ relationship between annual per-capita GDP and an inverse index of corruption.

Since foreign credit dries up in crises when it is most needed, developing countries can protect themselves from default by

The per-capita GNP of the industrial group is about ________ times that of the upper middle-income countries.

Which Latin American country defaulted on loans in 2005 and paid off their creditors at only 1/3 value?

Evaluate the Argentinean Convertibility Law of April, 1991.

With which country did the Debt Crisis of the early 1980s begin?

How was South Korea able to become one of the East Asian Economic Miracles?

Discuss the role of more "transparency" in reducing the risk of financial crisis.

Which of the following are characteristic of a developing country?

Describe the Asian financial crisis as it unfolds beginning with the devaluation of the Thai currency in July 1997, followed by the Malaysian, Indonesian and South Korean crises. As part of your answer, elaborate on the Malaysian response to the crisis versus its troubled neighbors' responses.

Compare currency board to conventional fixed exchange rate.