debteconomics
Main
Aspects of this topic are discussed in the following places at Britannica.
Assorted References
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economies in developing countries
( in economic development: Developing countries and debt )
After World War II it was thought that developing countries would require foreign aid in their early stages of development. This aid would supplement the capital created by domestic savings, permitting a higher rate of investment and thus stimulating growth. It was expected that their reliance on official sources of additional capital would continue until their economies had progressed enough...
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South American countries
( in South America: The economy )
...of funds at high interest rates on the world market. Consequently, they were forced to borrow more and more money just to service the interest payments that accumulated annually on their outstanding debt, thus creating the so-called “debt crisis.”
law
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contract law
( in contract: Common law )
From perhaps the 13th century on, English common law dealt with contractual problems primarily through two actions: debt and covenant. When a fixed sum of money was owed, under an express or implied agreement, for a thing or a benefit given, the money was recoverable through a simple action at debt. Other debt action was available for breach of a promise, made in an instrument with a seal, to...
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Germanic law
( in Germanic law: Tribal Germanic institutions )
Later, a debt was guaranteed by a formal oath accompanied by the surrendering of a staff to the creditor (effestucatio). Contractual obligation was then constituted either by oath (enforced by an action for perjury) or by delivery of a thing (enforced by an action for theft).
Citations
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Mozambique ( in Mozambique: Finance
)
...for new loans and grants. Owing to Mozambique’s success with economic reform programs, as well as the considerable amount of money it spent on debt servicing, Mozambique benefited from several debt-forgiveness plans beginning in the 1990s and continuing into the early 2000s.
in Mozambique: Peace in Mozambique )...suffered several natural disasters, including drought, an earthquake, and devastating floods. The country’s economic growth, though adversely affected by these events, was bolstered by significant debt relief and by economic reform measures enacted by the government. The new century also ushered in a change in leadership: in 2001 Chissano announced that he would not stand in the next...
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Nicaragua Nicaragua
...Managua and allegedly a sympathizer of former dictator Anastasio Somoza Debayle. During Alemán’s tenure (1997–2002) Nicaragua’s economy enjoyed a modest recovery, fueled by foreign aid, debt forgiveness, and remittances from abroad, but his administration was also beset by charges of corruption, even in the allocation of aid following Hurricane Mitch (1998), which killed...
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description slavery
A person became an indentured servant by borrowing money and then voluntarily agreeing to work off the debt during a specified term. In some societies indentured servants probably differed little from debt slaves (i.e., persons who initially were unable to pay off obligations and thus were forced to work them off at an amount per year specified by law). Debt slaves, however, were...
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economies in developing countries economic development
After World War II it was thought that developing countries would require foreign aid in their early stages of development. This aid would supplement the capital created by domestic savings, permitting a higher rate of investment and thus stimulating growth. It was expected that their reliance on official sources of additional capital would continue until their economies had progressed enough...
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South American countries South America
...of funds at high interest rates on the world market. Consequently, they were forced to borrow more and more money just to service the interest payments that accumulated annually on their outstanding debt, thus creating the so-called “debt crisis.”
law
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contract law contract
From perhaps the 13th century on, English common law dealt with contractual problems primarily through two actions: debt and covenant. When a fixed sum of money was owed, under an express or implied agreement, for a thing or a benefit given, the money was recoverable through a simple action at debt. Other debt action was available for breach of a promise, made in an instrument with a seal, to...
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Germanic law Germanic law
Later, a debt was guaranteed by a formal oath accompanied by the surrendering of a staff to the creditor (effestucatio). Contractual obligation was then constituted either by oath (enforced by an action for perjury) or by delivery of a thing (enforced by an action for theft).
Student Encyclopædia Britannica articles specifically written for elementary and high school students.
- How Stuff Works - Money - How Debt Works
obligations of governments, particularly those evidenced by securities, to pay certain sums to the holders at some future time. Public debt is distinguished from private debt, which consists of the obligations of individuals, business firms, and nongovernmental organizations.
A brief treatment of public debt follows. For full treatment, see government budget: Forms of public debt.
The debt owed by national governments is usually referred to as the national debt and is thus distinguished from the public debt of state and local government bodies. In the United States, bonds issued by the states and local governments are known as municipals. In the United Kingdom, debt or loans incurred by local authorities are referred to as corporation, or county, loans, thus distinguishing them from central government debt, which is frequently referred to simply as funds. In the past, paper money was frequently regarded in the United States as a portion of the public debt, but in more recent years money has been regarded as a distinct type of obligation, in part because paper money is usually no longer payable in gold, silver, or other specific items of intrinsic value. Public debt is an obligation of a government; and, although individuals are called upon in their capacity as taxpayers to provide funds for payment of interest and principal on the debt, their own property cannot be attached to meet the obligations if the government fails to do so. Similarly, government property normally cannot be seized to meet these obligations. With sovereign governments, the debt holders can take only such legal action to enforce payment as the governments themselves prescribe.
Forms of public debt can be classified in a number of different ways: (1) according to maturity, as short-term (maturing in less than five years, often in a matter of weeks) or long-term (maturing...
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aspect of bankruptcy proceedings bankruptcy
...Latin-American countries, by contrast, did not have such provisions. In the late 20th century, however, legislation in some of these countries (e.g., Argentina and France) provided for the discharge of the unpaid portion of pre-bankruptcy creditors under certain conditions.
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