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Capital Flows To Third World Countries

This paper begins by examining the pattern of capital flows first to low-income countries, and
then to emerging economies. In both cases, we see a dramatic collapse in the last several
years. The evolving determinants of these trends in FDI flows (the principal category of
private flows to low-income countries) and other capital flows are analysed. The behaviour
of flows to emerging economies heavily influences both present and potential future flows to
low-income countries. The paper concludes with the policy implications at both source
countries and low-income recipient countries.
September 2002
* Institute of Development Studies, Sussex University
** London School of Economics
QEH Working Paper Series – QEHWPS89 Page 2
Table of Contents
I Introduction
II New pattern and sharp decline of private flows
III Policy implications
QEH Working Paper Series – QEHWPS89 Page 3
I Introduction
Since the Asian crisis, there has been......

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Approximate Word Count: 17408
Approximate Pages: 70 (250 words per double-spaced page)

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