strategy
Financing deficits in recession
Synonyms:
Using budget deficit financing through external borrowing Context:
In the early 1980s many countries ran into serious balance of payments problems. Recession in the industrial countries reduced the export earnings of developing countries, while high real interest rates increased their debt service obligations. Some lenders, concerned about the ability of individual borrowers to surmount these difficulties and uncertain about world economic prospects, became less willing than they had been to increase their lending. Broader:
FinancingBorrowing by government Constrains:
Avoiding foreign debt Facilitates:
Balancing national budget Problems:
External debtType Classification:
D: Detailed strategies Related UN Sustainable Development Goals:
