Insolvent Haiti’s post-disaster debt

The recent earthquake in Haiti is a disaster of epic proportions. It is a humanitarian disaster with an estimated 200,000 dead. It has also caused a catastrophic collapse in confidence in the Haitians’ ability to repay their debts. Haiti is now an insolvent sovereign, by way of natural disaster.

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Greece vows to reduce deficit

According to the BBC, Greece has unveiled major spending cuts. In my commentary below, I hypothesize a way to calculate a “future going burden” for countries based on data in the BBC article (i.e. based on debt as a percentage of GDP and deficit as a percentage of GDP).
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Dubai World’s delayed payment fallout

The fallout of the Dubai World default, delaying payment on their debts until May 2010 or so, has not yet unfolded. However, three things are apparent: First, the debts of Dubai World, a large corporation dedicated to Dubai’s development, have been referred to interchangeably with the debt of the sovereign state Dubai. Second, the other emirates of the UAE have refused to bail out Dubai/Dubai World. Third, the marketplace is responding in a way that indicates fragility and that it is bracing for more such defaults.

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