There are many theories concerning the reasons that the pace of development and the growth of national product differ between nations. One of the most interesting theories concerns the relationship between a country's balance of payments and its economic growth and development. It is this area which is covered in this book. The contributions contained within this book outline the fundamental theoretical model which argues that no country can grow faster than that rate consistent with balance of payments equilibrium on current account. It moves on to analyze various case studies that apply the model to both developed and developing countries. With an impressive array of contributors and under the notable editorship of mcCombie and thirlwall , this book is simply essential reading for economists with an interest in the relationship between trade and growth, and to policy makers in developing countries ÍNDICE:1. Introduction Part One: Theory 2. The Balance of Payments Constraint as an Explanation of International Growth Rate Differences A. P. Thirlwall 3. The Balance of Payments Constraint, Capital Flows and Growth Rate Differences Between Developing Countries A. P. Thirlwall and M. Nureldin-Hussain 4. Economic Growth, the Harrod Foreign Trade Multiplier and the Hicks' Super-Multiplier John McCombie 5. Economic Growth, Trade Interlinkages and the Balance of Payments Constraint John McCombie 6. International Competitiveness, Relative Wages and the Balance of Payments Constraint R. Blecker 7. The Stability of Thirlwall's Model of Economic Growth and the Balance of Payments Constraint M. Pugno 8. The Balance of Payments Constraint: from Balanced Trade to Sustainable Debt N. Barbosa-Filho Part Two: Developed Countries 9. On the Empirics of Balance of Payments Constrained Growth John McCombie 10. The 45-Degree Rule Revisited P. Anderson 11. A New Approach to Balance of Payments Constraint: Some Empirical Evidence J. A. Alonsono 12. An Application of Thirlwall's Law to the S