International growth with free trade in equities and goods: A comment

Comments on shortcomings in the analysis by Hori and Stein in 1977 on different stages of creditor-debtor relationship. Occurrence of two swithces in the relationship with economic growth towards steady state; Absence of relationship between flow of capital and output per capita in consumer goods; Features of the Hori and Stein model; Analysis of the stages of balance of payments.