Sovereign debt markets have demonstrated incredible resil- ience despite a century of dramatic political and economic up- heaval. Among the most remarkable aspects of the contemporary debt regime is the degree to which expectations of borrowers remain rela- tively uniform even in the face of such major shifts. These basic expecta- tions resolve into one background rule: sovereign borrowers mus…
Sovereign debt markets have demonstrated incredible resilience despite a century of dramatic political and economic upheaval. Among the most remarkable aspects of the contemporary debt regime is the degree to which expectations of borrowers remain relatively uniform even in the face of such major shifts. These basic expectations resolve into one background rule: sovereign borrowers must repa…