Identify major causes of the Developing World debt. Debt in the Developing World

Debt in the Developing World
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Debt in the Developing World
Debt in the developing world is a serious problem that needs to be holistically addressed in order to ensure that said countries can continue to improve economically. It is worth noting, however, that the bulk of the debt in the developing world stems from a number of issues that not only limit economic growth, but also negatively impact the global economy.
Some of the most common causes of the massive debt in the developing world include global recessions, high debt service ratios, significant jumps in oil prices, as well as investment in national projects with low rates of return. These factors, though different, are similar based on the effect that they have on the economies of developing nations. For instance, investment in projects with low rates of return compared to the interest rates on the loans used to finance said projects force developing nations...