A balance of payments crisis occurs when a country can only maintain its standard of living through strong capital inflows from abroad. Experience has shown that international investors withdraw their deposits in response to suspected over-indebtedness in a country, which makes such a crisis worse. This can immediately lead to a currency crisis.
Balance of payments crisis
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- Economic policy goals and conflicting goals
- Two factor theory
- Central warehouse
- target price
- Terms of payment
- Balance of payments imbalance
- Time discount
- Time wages
- Payment transactions
- Balance of payments crisis
- Target group affinity
- Central administration economy
- ZEW index
- Central banks and central bank money
- Customs warehouse
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