Capital movements and economic development: proceedings of a conference held by the International Economic Association

## Thomas-International Capital Movements to 1913 Heston, in a penetrating review of the whole subject, have shown that many difficulties still remain unsolved. 1 Given the primary data available, it is an open question whether a more accurate series can be attained. As we go back through the nineteenth century from 1870 the difficulties of statistical estimation becomes more numerous. An outstanding work on British capital exports in that period is that of Leland H. Jenks, whose profound researches threw a flood of light on the subject.z Basing himself on the work of Giffen, Newmarch and others, Jenks constructed a table of Great Britain's international accounts for the period 1854-80.3 The calculation indicated an aggregate net export of capital from 1854 to 1874 inclusive amounting to £332 million. Jenks paid particular attention to the problem of estimating the stock of British foreign investment at 1854, and came to the conclusion that Bowley's estimate of £550 million 4 was far too high ; he substituted for it a total of £195 to £235 million of British holdings of foreign publicly-issued securities. This was distributed as follows : s United States French, Belgian, Dutch and Russian government securities Spain and Portugal Latin America French railways Belgian railways £million 50-60 45-55 35-45 35-40 25-30 5 195-230 This estimate is the best available for mid-century, and it is reasonably consistent with the equally trustworthy one made by Giffen for the mid-1870's. By his original research into the actual security issues Jenks drew a big question-mark over the ideas current about the extent of British capital exports in the first half of the nineteenth century. It was Imlah, through his notable work on Britain's trade statistics, who finally demonstrated how wildly inflated were the estimates of foreign lending in the decades after the Napoleonic wars. To quote his words, 'For the first part of the century, the size of British credit Front Matter....Pages i-xxxiv Front Matter....Pages 1-1 The Historical Record of International Capital Movements to 1913....Pages 3-32 The Pattern of New British Portfolio Foreign Investment 1865–1914....Pages 33-70 The Financial Experience of Lenders and Investors....Pages 71-138 Treatment of Foreign Capital— a Case Study for Japan....Pages 139-174 Philosophy of International Investment In The Second Half of The Twentieth Century....Pages 175-185 The Role Of International Movements of Private Capital in Promoting Development....Pages 186-208 Front Matter....Pages 209-209 Economic Effects of Capital Imports....Pages 211-239 The ‘Need’ For Foreign Resources, Absorptive Capacity and Debt Servicing Capacity....Pages 240-267 Foreign Assistance and Economic Development....Pages 268-292 Foreign Capital and Domestic Planning....Pages 293-325 Tied Credits —A Quantitative Analysis....Pages 326-359 Capital Movements, The Volume Of Trade And The Terms Of Trade....Pages 360-377 Front Matter....Pages 379-379 Capital Movements and Inflation....Pages 381-410 Private Capital Movements and Exchange Rates in Developing Countries....Pages 411-440 International Disequilibrium and The Adjustment Process....Pages 441-471 Financial Integration and The Flow of Resources in Latin America....Pages 472-493 Back Matter....Pages 494-498