Pathways Through Financial Crisis: Argentina
By the end of 2001, Argentina faced economic recession, a collapse in its banking system, and an external sovereign debt crisis. While preemptive action earlier in the year might have made one or more of these crises less severe, preemption was a political orphan at home and abroad. The country'...
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Published in | Global governance Vol. 12; no. 4; pp. 465 - 487 |
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Main Authors | , |
Format | Journal Article |
Language | English |
Published |
Netherlands
Brill | Nijhoff
01.10.2006
Lynn Rienner Publishers Brill Brill Academic Publishers, Inc |
Subjects | |
Online Access | Get full text |
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Summary: | By the end of 2001, Argentina faced economic recession, a collapse in its banking system, and an external sovereign debt crisis. While preemptive action earlier in the year might have made one or more of these crises less severe, preemption was a political orphan at home and abroad. The country's long-standing relationship with the International Monetary Fund brought with it a mutual dependence: the IMF had come to embrace Argentina as a symbol of the success of its policy advice, and Argentina had come to rely on the IMF's endorsement and occasional financial support to navigate the choppy international markets. That relationship deepened along with Argentina's growing difficulties in the run-up to default. IMF support was used to put off a correction of the overvalued currency and to postpone a major debt restructuring. A new Argentine policy regime—and a new, more adversarial relationship with the IMF—emerged only after devaluation and default. |
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Bibliography: | ObjectType-Article-2 SourceType-Scholarly Journals-1 ObjectType-Feature-1 content type line 23 ObjectType-Article-1 ObjectType-Feature-2 |
ISSN: | 1075-2846 1942-6720 |
DOI: | 10.1163/19426720-01204009 |