01608cas a2200241 a 4500 AALejournalIMF010085 230101c9999 xx r poo 0 0eng d 5.00 USD 9781451969474 1018-5941 BD-DhAAL BD-DhAAL International Monetary Fund. Growth, External Debt and Sovereign Risk in a Small Open Economy. Washington, D.C. : International Monetary Fund, 1989. 1 online resource (40 pages) IMF Working Papers <strong>Off-Campus Access:</strong> No User ID or Password Required <strong>On-Campus Access:</strong> No User ID or Password Required Electronic access restricted to authorized BRAC University faculty, staff and students This paper constructs and analyzes an optimizing model of a highly-indebted small open economy. An important innovation in the model is the incorporation of sovereign risk through the specification of an upward-sloping foreign debt supply function. The model is used to examine the interaction between external debt and growth in response to various policies and exogenous disturbances. It is shown that structural policies intended to reduce the fiscal deficit or increase productivity can lead to tradeoffs in their effect on capital accumulation and the stock of debt. Mode of access: Internet IMF Working Papers; Working Paper ; No. 1989/054 Full text available on IMF http://elibrary.imf.org/view/journals/001/1989/054/001.1989.issue-054-en.xml IMF e-Library