Problem
1. If you were asked to predict which developing or transition countries might be expected to experience balance of payments or debt crises, what statistical variables would you look for in seeking evidence of trouble to come?
2. One developing country has a payments and debt crisis. Through what linkages might this crisis spread to other countries in the region that did not experience the original shock to the first country to experience trouble?
The response should include a reference list. Double-space, using Times New Roman 12 pnt font, one-inch margins, and APA style of writing and citations.