THE HUMAN COSTS OF A FAILING GLOBAL DEBT SYSTEM - Clemens Graf von Luckner and

How do we measure the cost? One of the largest studies of the effects of sovereign defaults is our 2022 paper, The Social Costs of Sovereign Default. [...] The difference between the actual data and the data from the synthetic control can hence be read as the effect of the default. [...] It is often the case that the finances of the government agency that provides social insurance are often closely integrated with that of the government, leading to payment difficulties. [...] On the back of the successful promotion of maternal health facilities, prenatal care, and public health more broadly, the world has seen a steady decline in infant mortality over the past 60 years. [...] Indeed, the experience of the last substantial wave of defaults in the 1980s strongly suggests that when the can is kicked, we tend to see it again after a short walk later.