commercial bank loan  a bank loan at market rates of interest, often involving a bank syndicate
currency convertibility  the ease with which the domestic currency can be converted into foreign currency so foreign exchange rates can properly reflect the domestic currency value of foreign prices
dual economy  an economy in which two sectors (typically manufacturing and agriculture) show very different levels of development
export substitution  the use of labor to produce manufactured products for export rather than agricultural products for the domestic market
expropriation  the government seizure of assets, typically without adequate compensation to the owners
foreign aid  gifts or low-cost loans made to developing countries from official sources
foreign direct investment  the purchase of a physical operating unit or more than 10 percent investment in a foreign country
import substitution  the substitution of domestically produced manufactured goods for imported manufactured goods
monetary overhang  the money accumulated by households because there was nothing available that they wanted to buy
multilateral aid  aid provided by international organizations supported by many nations
portfolio investment  the purchase of securities
primary product  a product in the first stage of production, which often serves as an input in the production of another product
privatization  transferring a publicly owned enterprise to private ownership
privatize  to convert state-owned enterprises to private ownership
terms of trade  the amount of exports that must be exchanged for some amount of imports
trade credit  the extension of a period of time before an importer must pay for goods or services purchased