ABSTRACT
The Latin American economic crisis is a very serious matter. The causes of Latin America's current crisis are both external and internal. The most important cause is the world economic depression that began in 1979, deepened thereafter, and from which only a few of the Latin American countries have begun to recover. The strategy of dealing with Latin America's economic crisis was useful in the short run, but it is not sustainable over the long term. The key to Latin America's long-term economic recovery is growth. Latin America must be encouraged, and the proper incentives provided, to grow out of its present economic doldrums. The debt and the economic crisis that Latin America is undergoing, the worst since the Great Depression, has the potential to provoke a financial disaster of worldwide consequence, with severe repercussions for the entire international banking system and for global financial security.
