01622cas a2200241 a 4500 AALejournalIMF012057 230101c9999 xx r poo 0 0eng d 5.00 USD 9781475506808 1934-7685 BD-DhAAL BD-DhAAL International Monetary Fund. Paraguay : Selected Issues. Washington, D.C. : International Monetary Fund, 2012. 1 online resource (29 pages) IMF Staff Country Reports <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 Selected Issues paper for Paraguay discusses how capital inflows contributed to credit expansions. Capital inflows contribute to a rapid expansion of private credit, exacerbating credit and business cycles. These effects are stronger under more rigid exchange rate arrangements and in economies that are more closed to trade. Macroeconomic evidence for Paraguay suggests that local firms might have experienced a relaxation of credit constraints during the high capital inflows phase. Evidence also shows that consumption, investment, and output has grown above trend alongside a strong credit growth. Mode of access: Internet IMF Staff Country Reports; Country Report ; No. 2012/212 Full text available on IMF http://elibrary.imf.org/view/journals/002/2012/212/002.2012.issue-212-en.xml IMF e-Library