Neoliberal Finance and Crisis in the Developing World

Monthly Review

Volumn 53, Issue 11, 2002, Pages 34-46

  Grabel, Ilene ^a  

^a Center for Popular Economics   (United States)

Author keywords

[No Author keywords available]

Indexed keywords

EID: 0141969096     PISSN: 00270520     EISSN: None     Source Type: Journal    
DOI: 10.14452/MR-053-11-2002-04_4     Document Type: Article

References (3)

1. In an interview cited in the New York Times [12/25/01: p. A9], O'Neill stated: "They've [Argentina] been off and on trouble for 70 years or more....They don't have any export industry to speak of at all. And they like it that way. Nobody forced them to be what they are."
2. We focus here on portfolio investment because of its important role in recent financial crises. FDI also introduces serious (though different) problems to developing countries. There are many well-known instances of foreign corporations intervening in domestic political processes (such as the case of ITT in Chile during the Allende administration).
3. Like Singapore and Hong Kong, Taiwan and China also have very large foreign currency reserves and low levels of foreign debt. In the cases of Taiwan and China, however, the authorities never had to draw on their reserves in order to protect their currency. This is because speculators were precluded from launching an attack on their currencies because of the tight controls over finance that were in place prior to the crisis.