World Development Report 1984

Box 2.3 Adjustment to external shocks, 1974-81
E, trri rli ILnrr -hI-cl-s
u tn.i* I it- nirlinltl r .. Et vi c E in 'r..in- -o.unirl Th.rd a It counir'e- ir ei enlpl|
:inc, - F;pl m. tt; inhw ir 3, *d1iu>inir.t throuch iZgrI.i,artl mplort kFtna i idlu ld throughi a c mrilb.n3rii.n
* The l .rn,4 .t had- .rid i i-I. 1J.. rh t.il- ub tiilu .inm ic. urre-- rin -r-n.- L i in --I inIp.rlt eUherruli-. i- and In cnhani. d
3rc. ot ii,prtn i;4 i I .ll imt.ir- liicd M3l,tia and CarbL'tcan *:ounirtIm and publi.l\ ' in - nli iri 1tt. liii.- ''Fi-i rnice
again3i a .- ar .i-
a p.r..ni.iar i-I in -j:gutlhtrn Eurc'.p:- increaetJd *Ain4 le- rapldi ihan lilth n culd . hc.; -a-"d
t-,Ni' tht -it t-i 1 , -1;il hi: -.n i-,. pnri e- '-*- iptilrtanI mIn ltinit i-t .t FI-i . \iiil- . -n theor1 bn -1 e\peeri'n-t F--r thi;
t:- taq-.-.rti in rwll,-.-n n mip--ri; -cri. r.1: oiunlrItI A d li' rI in rm..;ntt nitni I,-ll a; a i Lhi1I.- i.h- d ri--raiiton i
bila - 1 pa. innt; . her it i4--4 i h-.hI..h lii a rnipir,- i.inlil . *k*f-r a-..r pubIlc;-1. pi4; a, c.li'ir,r.c i.-r 4I js r,:tl
p-:'r-d r trigk,d rr.-m an Lr-l.a. ra1 .- a I - Luha ha ran ir ia \ind a3 rlr,t nu.nibi-r c-i -iernal ,h-cl- '.i. -Ilt thie e aun-
. .r l nI Il - p,r.n a .- -ir lit -iTh - 01 . XirI clunirI.- b*rr-,t t ort:.- liE ak.- inc rea dt heir rd r-l. ,re,i.n Nr.
noiddl.-o-liccrnle L i,n nlh..ilfln
prF-d-.ert ,,- it.-ra a l' p-sr-en' ,r
a- alri .1.
In r.:-:ilr,
IId r In [-4
c: untri-; :-tado it a mi rn itr.
r-.- in 4 hi-.. hi.t.
nio-r, ihan '',
t --d t' it. r mnal hik
pert,rl aind rat-ke 11t- !
rn,i r, e:rrt. . numt e . .. I r 1- h- -, il,t d nd car., It ., cIJ ,hart lhir i .-sr.i l.- rit Al hthir tulJr
* pillZ ...,irllrlc 2 .-n lb. 1hiii Inc Ir a inmF,.rl wlirctiIUut.l.inIi ditrli'ral-
* Tl; r..c;-;.- n-.idic.i *ei.l tt- * I- F p,rv rl-*'nin an -nhanLti rng put:lic -a- ing- In ii h gro.-t ! c -un-
imnna,ic -n Ih hl-inc .- 1 pa-. ni,t .. I purlh -.a irm; . Intr, Fi.r II-,. gri.tp trt-l-lhi:h include- lam3ica P,.rt:iral
1- 1 1c pir.g c:..iill-t, hb.--c -: c r, [...,. -- l iuding k..r.a arnd .i.. tli - 1 : nd ci-l 13-til a'- er-e ha.- - li, .
*,r. ilI;-.ir ir.ido ir-ir.r, p. ... r: I Zk thilL. i..a, higihi'i it 4 " ptrcT-ni .i.t pa% r.ertIl .rnpa .I: i d t iirlling public
Ufrill rmr Iurltril ;Abl-- i -a p-rccimra-o tC . tr
*t t.itl
Th -- - np.-r pan - a'- ig.- rt ill, -r -lm n; r tih.;r -in -and-.a-
* -it I` r ln cn d Irt-nri mainnu;l i 3' *:rt-t: -.-I n;tui l ll .c d- d tl;c,r t - rrial haill l,hl ti grr, A ltr Hat n ihal cnt i t sit II
1; 2, p,rcer In rm.:r -11*.; - Ir -nF.d tKr T hr ir r.-, Id z4. h.k. h,; lmpnrt p ut,ubituti.iIn rl Aed a
* Fh,- ni mi,r;-r . rar- trr- r Ir I'- 4- .;.eriged 211 pII in.' 1 -hi. *l' ,1 -lnllari r.-l .n all ..i
rtIhem i iih
'I Ihu lpiil in ih,: I,I. t-lcp,r -- --; . 1 r-e p i 3i.. h,.,i lie I -un txprl.-. in iTn t--, rapidl * ciimpcartd itlih
ni.- iltan- .. -ii j,);' lit1r -i- . 1t .inlcI-edSt ic .;1.-- nianagtd 1 c.i-;liiilii. 0
nr, l-4n17l ill ih-e tiraluris pre-enl in
iri r.Al iriitrt:-.; r rtt rin .-d ir ifl n IfliflIri. r -n-h h i .. ftn h r-l n i.. ll:hr oi l.f ---\ -. h..me ir,l.. pr,-rt.lt,n.ed in
,lil..ltnablt 2 plrc:rt .F m rni-:t (i Ii.N 1, . ..- mrD 1;1 IM I tllls l-m h .,ii rr-. J 1l-.b I Rc-sal - t*e rnal linanc,np It.a,
ir.-. -1;:1-1k ii '-[ic-it fhr.t Ilihurc- ert li.l ii mrd ,r ;nd ir, -. ;.-d nrie irrl-irain han irI hr t ire t ir .o
.- Iitir jii nmuch hic.h-r I l'J'I 1 ihil h . In i nc-nlfnl Sni F.I r-rii ill .I l I \ gi r \11,up but i nh n-i ,rk,-d dilierence -
rh-i tlid L-.n in ir4- 1 .i
rt I u.--am,ld III n r,-,I.I-nl h l.ml) b. ci,en c.iuntr-e
- Irlt. .i ii tIrltit ur
cued, , ccllpar.-l ;. tlull-ir,i lIniiitd IFl.l,illnr-l M * Pture r PA, r|a recri p II.:ri
r. nerrl II -.ha a -. dut gli 1 - 1 r:. .r-i- d 41 ic-al i, 1' F inw . .. 'i-l i \ii.icc [ro-tan ar-i 5parn itlied
ill .inr Jn un-.a ir,ldhlt arnnuail a-. er.l-` 01 ng-,ap ro . i -lawE I.are . PItI -i -w- tit in ii t:-rt helminill .n c LrrnIi bLonrrot-. -
-ru. t r.-nt I L Ni' 1 . .IK... a . hi Ilnd a-ild p-iclf- :I lan. -Anlrr - ii, rv.,l In.- ni k.nc -r.! ., Imii:d d:lnlta lt
ptr:trn irl i *;nhi -n- , rhr- i,-t,rnal d. H dllctnltni
.1.- ... S;--..I. ent -t-ur .......... t * F' \p- ,t n . .. r, In Pnl. -r ..... ,d -V ; .rhl mr-.;l. V .. 1*
i-nc r.- 1idier- :rt rnil rs1;-I. - in hi . pubic 11i ng- till-ni i' ihin ih- cr up .-.uniri. -f. .i il.-nb, ind-lninra . 1 .r,
Pt rl .t ihic.. railtnli a ilaLr:itnl n-, Ia-. dr-- (a, Intl lr-., .- r.ai Irili rnil'ied t.Vi
ith, r -pl.n;-t ar.-d --.n-i triwl rinL uI-h-d F,r-i Itrit-- 'iii:e tc .- IIh iichar.l-e becit L i h plll.Sd ['li-ii-
.crluc- T.. r -uad Illu. .- icr .alit -a*.,1 L ri- imLii ItiiliiIl. . r u- uit *: ra-Idl.-ntnui h,t-rn-1 I
.- t.-p I--ndlI, 'rade Alu-irll ii ill-. li i l. tur.:hn I l n r..4-n.t Un > .. .1if -1-hck, k .1- 1 I ri n .I I an unipctrl hIm
p. p-ri - pari.i -., i.iu riin p i . ubur lu -. lu.- IIclui,n :-inlrl tti riilgp.-ln il-in Tha.- a,-i itin hlic,Ih h.r-phatyt In r. I lTh d
IlDlrl ll tn,nl:lanct -a rIg.-; !IIri ihal - lard ;nd TLt: ( 1 rel.ead u*I nCI3ii-hiid -, It1 ii '1 1- . a itpping[ upL|. Ihe *h re
h.thI. 5t -r.cI..n..I..r Ph' In r.laillnrI hNI t [lil-lhIl .- ni -,nltl-kl t trill!.pan-iln r,elktunnu nm -tIi ;UN lm -ti i. Ill . -rh m
:jC-i . m t I Ic-c- l ind s1 i.l-,u -........ l..I Iluli-il but i-du..i U public ung; ; p-Li. ; F;.. i% mrig-- an.l ;u1bi-rarial addi-
I1I ir-.r rd s -_rnai -rr.i-i .ir, r r i. 4l ci ti u hni - -....
pa ih -u-r-a, .nl i-a .i.nai tir. nil- I,g hi ard he
I p ri t par.-i-i-n pl.,c-i ., p-m t . n -i,ni ICnf. in-p.ad .I4 .- t-rrn l di-luirb nt c; . -nd ti l petr--ilt
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