TY  - BOOK
AU  - Adler,Gustavo
AU  - Sosa,Sebastian
TI  - External Conditions and Debt Sustainability in Latin America
T2  - IMF Working Papers; Working Paper
SN  - 1475588836 :
SN  - 1018-5941
PY  - 2013///
CY  - Washington, D.C.
PB  - International Monetary Fund
KW  - Debt Dynamics
KW  - imf
KW  - Debt Ratios
KW  - Deficit
KW  - Forecasting and Simulation
KW  - Open Economy Macroeconomics
KW  - Time-Series Models
KW  - Bolivia
KW  - Brazil
KW  - Chile
KW  - Ecuador
KW  - Mexico
N2  - Highly favorable external conditions have helped Latin America strengthen its economic fundamentals over the last decade. But, has the region built enough buffers to guard itself from a weakening of the external environment? This paper addresses this question by developing a simple framework that integrates econometric estimates of the effect of global factors on key domestic variables that determine public and external debt dynamics, with the IMF's standard debt sustainability framework. Results suggest that, while some countries in the region are well placed to withstand moderate or even large shocks, many would benefit from having stronger buffers to be in a position to deploy countercyclical policies, especially under tail events. External sustainability, on the other hand, does not appear to be a source of concern for most countries
UR  - http://elibrary.imf.org/view/IMF001/20246-9781475588835/20246-9781475588835/20246-9781475588835.xml
UR  - http://www.imfbookstore.org/IMFORG/9781475588835
ER  -