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Keyword: debt relief Clear all
2 claims from 1 paper
Economics, Econometrics and Finance › Fiscal Policies and Political Economy
Sovereign debt and growth in Zambia: determining the tipping point
Chikalipah · Social Sciences & Humanities Open · 2021
The paper estimates how sovereign debt affected growth in Zambia from 1970 to 2017 and reports a non-linear link, with a tipping point at around 40 percent of debt-to-GDP.
Unchecked2 claimsShow 2 claims
- UncheckedThe study reports that the link between government debt and economic growth in Zambia is non-linear, not a simple straight-line relationship.“The study finds evidence in support of a non-linear relationship between sovereign debt accumulation and growth in Zambia.”
- UncheckedFor Zambia, the study puts the debt tipping point at around 40 percent of GDP, beyond which debt's effect on growth turns from positive to negative.“With regards to the debt-threshold effect, the tipping point for Zambia is around 40 percent of debt-to-GDP, at this point, the positive effect of debt on economic growth becomes negative.”
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