01533cas a2200229 a 4500 AALejournalIMF011579 230101c9999 xx r poo 0 0eng d 9781616353551 0145-1707 BD-DhAAL BD-DhAAL International Monetary Fund. External Relations Dept. Finance and Development, December 1983. Washington, D.C. : International Monetary Fund, 1983. 1 online resource (56 pages) Finance and Development <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 highlights the sources of payments problems in less developed countries. Growth in the industrial countries has a direct impact on the current account of the developing countries through its influence on both the prices and volumes of their exports. An increase in the real effective exchange rate is clearly a fundamental determinant of a deteriorating current account since, other things being equal, it tends to raise domestic demand for imports and to reduce foreign demand for exports. Mode of access: Internet Finance and Development; Finance and Development ; No. 0020/004 Full text available on IMF http://elibrary.imf.org/view/journals/022/0020/004/022.0020.issue-004-en.xml IMF e-Library