Does external debt lead to economic growth in Pacific island countries

Does external debt lead to economic growth in Pacific island countries

With the change in donors’ priorities since the end of the Cold War in the late 1980s, there has been a decline in annual aid inflows to Pacific island countries (PICs), which have been among the world’s top recipients of aid per capita in the past. Along with fall in aid inflows, growing annual domestic budgetary deficits in recent years have forced some PICs to finance them through borrowing....

Obstacles to Economic Growth in Six Pacific Island Countries

This report presents the results of an investigation into the sources of, and obstacles to, economic growth in the small Pacific island economies. The analytical framework is that provided by Hausmann, Rodrik, and Velasco (2005). The focus of this framework is on identifying the binding constraints to economic growth within a country, given that the investigator has detailed knowledge of the co...

Investigating the Effect of Public Debt on Economic Growth in Selected Islamic countries

The purpose of debt from both domestic and foreign sources is to bridge the resource gap between savings and investment. But not paying attention to debt and its role in the process of economic growth and development, may lead to adverse effects of debt on economic growth and also affect development programs. Therefore, the purpose of this study was to investigate the effect of public debt on e...

Defense Expenditures, External Public Debt and Growth in Developing Countries

Does High Inequality in Developing Countries Lead to Slow Economic Growth?

The paper deals with the consequences of an unequal wealth distribution on economic growth in developing countries. Understanding whether or not there is a trade-off between inequality and growth is fundamental in order to give the adequate attention to those policies that avoid increases in inequality, which may hurt overall growth. With the use of crosscountry regressions in the context of mo...