Growth of international finance and emerging economies: Elements for an alternative approach
This paper examines the increasing cross-border flows of capital involving developing and emerging economies in the past few decades. The discussion challenges the traditional economic theories based on net capital flows and deficits in current accounts to explain international borrowing by developi...
| Main Authors: | , |
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| Format: | Article |
| Language: | English |
| Published: |
Associazione Economia civile
2019-03-01
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| Series: | PSL Quarterly Review |
| Subjects: | |
| Online Access: | https://ojs.uniroma1.it/index.php/PSLQuarterlyReview/article/view/14793/14294 |
| _version_ | 1819091762819366912 |
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| author | Carolina Alves Jan Toporowski |
| author_facet | Carolina Alves Jan Toporowski |
| author_sort | Carolina Alves |
| collection | DOAJ |
| description | This paper examines the increasing cross-border flows of capital involving developing and emerging economies in the past few decades. The discussion challenges the traditional economic theories based on net capital flows and deficits in current accounts to explain international borrowing by developing countries, and on the current account imbalances approach to explain financial crises. We argue that the increasing involvement of the private sector in developing countries’ external debt and the fact that the public sector, previously reliant almost entirely on official credit, has become able to access private debt markets, reflect the increasing integration of developing countries into the global financial system, and this process has particular features. A closer look at data on gross capital flows reveals that net capital flows neither explain nor capture this global financial integration. |
| first_indexed | 2024-12-21T22:44:53Z |
| format | Article |
| id | doaj.art-0fc84fbe7727435c876bc057865c330b |
| institution | Directory Open Access Journal |
| issn | 2037-3635 2037-3643 |
| language | English |
| last_indexed | 2024-12-21T22:44:53Z |
| publishDate | 2019-03-01 |
| publisher | Associazione Economia civile |
| record_format | Article |
| series | PSL Quarterly Review |
| spelling | doaj.art-0fc84fbe7727435c876bc057865c330b2022-12-21T18:47:44ZengAssociazione Economia civilePSL Quarterly Review2037-36352037-36432019-03-0172288326https://doi.org/10.13133/2037-3643_72.288_1Growth of international finance and emerging economies: Elements for an alternative approachCarolina AlvesJan ToporowskiThis paper examines the increasing cross-border flows of capital involving developing and emerging economies in the past few decades. The discussion challenges the traditional economic theories based on net capital flows and deficits in current accounts to explain international borrowing by developing countries, and on the current account imbalances approach to explain financial crises. We argue that the increasing involvement of the private sector in developing countries’ external debt and the fact that the public sector, previously reliant almost entirely on official credit, has become able to access private debt markets, reflect the increasing integration of developing countries into the global financial system, and this process has particular features. A closer look at data on gross capital flows reveals that net capital flows neither explain nor capture this global financial integration.https://ojs.uniroma1.it/index.php/PSLQuarterlyReview/article/view/14793/14294developing and emerging economiesprivate non-guaranteed (png) external debtcross-border flowsfinancial globalisation |
| spellingShingle | Carolina Alves Jan Toporowski Growth of international finance and emerging economies: Elements for an alternative approach PSL Quarterly Review developing and emerging economies private non-guaranteed (png) external debt cross-border flows financial globalisation |
| title | Growth of international finance and emerging economies: Elements for an alternative approach |
| title_full | Growth of international finance and emerging economies: Elements for an alternative approach |
| title_fullStr | Growth of international finance and emerging economies: Elements for an alternative approach |
| title_full_unstemmed | Growth of international finance and emerging economies: Elements for an alternative approach |
| title_short | Growth of international finance and emerging economies: Elements for an alternative approach |
| title_sort | growth of international finance and emerging economies elements for an alternative approach |
| topic | developing and emerging economies private non-guaranteed (png) external debt cross-border flows financial globalisation |
| url | https://ojs.uniroma1.it/index.php/PSLQuarterlyReview/article/view/14793/14294 |
| work_keys_str_mv | AT carolinaalves growthofinternationalfinanceandemergingeconomieselementsforanalternativeapproach AT jantoporowski growthofinternationalfinanceandemergingeconomieselementsforanalternativeapproach |