Public Debt and Fiscal Policy in Developing Countries

  • Vito Tanzi
  • Mario I. Blejer
Part of the International Economic Association Series book series (IEA)


Over the past decade the growth of public spending has generated large fiscal deficits in many countries, leading to increases in the share of public debt relative to gross domestic product (GDP). This happened in both industrial and developing countries. With the exception of a few, small countries such as Ireland and Denmark, the increase in public debt in industrial countries has been mostly domestic. In the developing countries, on the other hand, the public debt has been mostly external, although some countries, including Brazil and Mexico, have also accumulated sizeable domestic debts.


Interest Rate Gross Domestic Product Fiscal Policy Public Debt Public Spending 
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Copyright information

© International Economic Association 1988

Authors and Affiliations

  • Vito Tanzi
    • 1
  • Mario I. Blejer
    • 1
  1. 1.International Monetary FundUSA

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