Private Sector Investment and Savings Behaviour: The Policy Implications of Capital Account Disaggregation (Distinguished Lecture) (Report)
Pakistan Development Review 1992, Winter, 31, 4
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1. INTRODUCTION After a prolonged period of macroeconomic adjustment, lasting at least a decade in most LDCs, much has been learned (and in many cases re-learned) and a consensus reached about many key policy points, such as the virtues of budgetary balance, the need for a strong real exchange rate, and the requirement for microeconomic reforms if markets are to work properly. To a considerable extent, moreover, there has been success in closing current account deficits, reducing government expenditure and moderating rates of inflation. Much of this logic is reflected in the standard policy models employed by the Bank and the Fund which I shall discuss today.
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