Asia ran huge current account deficits before the 1997-98 crisis, much of it financed by foreign direct investment rather than pure debt flows, yet still suffered crisis—showing that even non-debt inflows correlate with the credit availability that precedes crises.
factualpending
Speaker
Carmen ReinhartEvidence Quote
“it had huge current account deficits a lot of that was foreign direct investment”
Created: 6/15/2026, 9:20:19 AM
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