Article ID | Journal | Published Year | Pages | File Type |
---|---|---|---|---|
962873 | Journal of International Economics | 2006 | 17 Pages |
Abstract
In a model of debt crisis caused partly by creditor coordination failure, we show that bailouts that reduce ex post inefficiency will sometimes enhance the incentives for governments to take costly adjustment effort. This model helps us understand a debate about the role of the IMF in catalyzing lending to developing countries.
Related Topics
Social Sciences and Humanities
Economics, Econometrics and Finance
Economics and Econometrics
Authors
Stephen Morris, Hyun Song Shin,