Книги
  • @
  • «»{}∼
Financial Decision-Making in Mexico: To Bet a Nation (Pitt Latin American Series)

Financial Decision-Making in Mexico: To Bet a Nation (Pitt Latin American Series)

1769167
Добавить в корзину
Описание
Mexico's economic meltdown of 19941995 has been described as the first financial crisis of the twenty-first-century because of the speed with which the repercussions--the tequila effect--spanned the globe. During the first five years of his six-year term, Carlos Salinas was one of the most admired of Mexican presidents, both at home and internationally. Today he is Mexico's "favorite villain," as he has called himself, because the economy collapsed three weeks after he left office on December 1, 1994. The Mexican peso crisis was then a unique event that drastically shifted thinking about the workings of the international financial system. The lessons learned have since been amplified by the abrupt East Asian economic collapse in 1997.

Financial Decision-Making in Mexico examines why able economic managers in Mexico, based on the contemporaneous information in their possession, made the decisions they did, with such disastrous consequences. Weintraub's conclusion is that decision-making was heavily influenced by the cultural milieu in Mexico, which involved secrecy of key data and unwillingness to entertain dissenting opinions whether from Mexicans or outsiders.

The speed with which hot money (portfolio capital) moved out of Mexico once confidence was lost has changed global thinking about how to deal with a growing world problem. The dire consequence of hot money movement has revealed itself both in Asia and in Brazil, and will undoubtedly recur elsewhere. Weintraub provides an analysis of the economic and political events taking place in Mexico, the decisions made to deal with these events, and the reactions of international financial actors outside of Mexico, thus providing the first integrated analysis of the Mexican market crash.