IDEAS home Printed from https://ideas.repec.org/h/pal/palchp/978-1-349-22529-3_2.html
   My bibliography  Save this book chapter

The Nicaraguan Stabilisation Programme of 1989 and Prospects for Recovery

In: Economic Maladjustment in Central America

Author

Listed:
  • John Weeks

Abstract

Through the 1980s, the Nicaraguan economy showed increasing signs of crisis. By 1984 the economy was in decline (see Table 2.1), in 1985 inflation reached triple digits, and 1988 took the monetary economy into chaos with hyperinflation. Beginning in 1985, the government responded to the accumulating difficulties by introducing demand-depressing measures, though these proved ineffective, perhaps even disfunctional (INIES, nd; chapter III). In early 1988 the Sandinista government introduced a draconian package of fiscal and monetary reforms, accompanied by the issuance of a new currency unit in February, in which 1000 old córdobas exchanged for one new. Still the crisis of the monetary economy worsened, indicated by a rate of inflation that year of over 30000 per cent, accompanied by a devaluing of the official exchange rate from 80 new córdobas to the dollar to 7000 in the space of a year (February 1988 to February 1989)1

Suggested Citation

  • John Weeks, 1993. "The Nicaraguan Stabilisation Programme of 1989 and Prospects for Recovery," Palgrave Macmillan Books, in: Wim Pelupessy & John Weeks (ed.), Economic Maladjustment in Central America, chapter 2, pages 25-40, Palgrave Macmillan.
    • Handle: RePEc:pal:palchp:978-1-349-22529-3_2
    DOI: 10.1007/978-1-349-22529-3_2
    as

    Download full text from publisher

    To our knowledge, this item is not available for download. To find whether it is available, there are three options:
    1. Check below whether another version of this item is available online.
    2. Check on the provider's web page whether it is in fact available.
    3. Perform a search for a similarly titled item that would be available.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:pal:palchp:978-1-349-22529-3_2. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Sonal Shukla or Springer Nature Abstracting and Indexing (email available below). General contact details of provider: http://www.palgrave.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.