Abstract
This paper addresses two questions. First it discusses some of the aspects of the interconnections between the North-South debt crisis and the more recent North-North debt crisis, i.e. the build-up of the US external debt. It also links the financial problems which have emerged from this interconnection to the trade imbalances which represent the other side of the coin of financial disequilibria. It takes a systemic, and medium term, perspective in the sense that it considers the relations between the large economic areas and their evolution, Secondly attention is centered upon the international organization of both financial and trade adjustments and how they are interconnected. In particular it is discussed how and to what extent cooperation in international finance and trade are facilitated by the current state of international relations, characterized by the replacement of US hegemony with a multipolar structure. Analysis draws on the theory of international financial crises, on the theory of strategic trade policies as well as on the theory of international regimes.
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© 1992 SIPI Srl, Rivista di Politica Economica
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Padoan, P.C. (1992). North-North and North-South Debt Crises and the Role of Trade Adjustments. In: Baldassarri, M., Paganetto, L., Phelps, E.S. (eds) International Economic Interdependence, Patterns of Trade Balances and Economic Policy Coordination. Central Issues in Contemporary Economic Theory and Policy. Palgrave Macmillan, London. https://doi.org/10.1007/978-1-349-22256-8_8
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DOI: https://doi.org/10.1007/978-1-349-22256-8_8
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