2015: “Our study provides an objective measure, for small open economies, of the risk that fiscal policy may render it impossible for the Government to fully service its debt obligations. The methodology we develop does not depend on … any of the usual caveats and assumptions of the conventional analysis.”
Worrell, DeLisle, “Why Devaluation Isn’t a Viable Option for Greece: Insights from a Small Open Economy,” http://voxeu.org/search/node/worrell, June 23, 2012.
Group of Thirty, 2012: “Small very open economies are very different from large economies, in that they face a foreign exchange constraint that cannot be alleviated by depreciation of the real exchange rate or other policies. This constraint affects monetary, fiscal and exchange rate policy including fiscal sustainability, debt management, and patterns of economic growth. … the most accessible framework for such countries is an exchange rate anchor.”