Problems
Sovereign debt problems have been a major public policy issue since World War II, including the treatment of debt related to that war, the developing country "debt crisis" in the 1980s, and the shocks of the 1998 Russian financial crisis and Argentina's default in 2001.
Not all developing countries have been affected to the same extent. For example Yugoslavia had low government debt (perhaps because it was unable to borrow on world markets) until its breakup and the coming of democracy, when the new national governments started to borrow money from the IMF. Croatia has a government debt of $47 billion today while the whole of Yugoslavia (six times as many people as Croatia) in 1980 had debt of $14 billion.
Read more about this topic: Government Debt
Famous quotes containing the word problems:
“The problems of the world, AIDS, cancer, nuclear war, pollution, are, finally, no more solvable than the problem of a tree which has borne fruit: the apples are overripe and they are falling—what can be done?... Nothing can be done, and nothing needs to be done. Something is being done—the organism is preparing to rest.”
—David Mamet (b. 1947)
“Those great ideas which come to you in your sleep just before you awake in morning, those solutions to the world’s problems which, in the light of day, turn out to be duds of the puniest order, couldn’t they be put to some use, after all?”
—Robert Benchley (1889–1945)
“The truth of the thoughts that are here set forth seems to me unassailable and definitive. I therefore believe myself to have found, on all essential points, the final solution of the problems. And if I am not mistaken in this belief, then the second thing in which the value of this work consists is that it shows how little is achieved when these problems are solved.”
—Ludwig Wittgenstein (1889–1951)