CAPITAL KEEPS FLOWING INTO LATIN AMERICA

Peso.jpgThe lack of financial flows is a chronicle cause of the financial crisis in Latin America. However, decade after decade, the recovery period is likely to be lesser each time. After the Great Depression, these flows were interrupted for some decades whereas, after the Lehman Brothers’ shock, they took only about a year to recover. This can be explained by the decrease in the national debt ratios or by the less attractive bonds of the developed countries. One thing is certain; Latin American leaders must take this competitive advantage in the world recovery that is currently ongoing.

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