The authors use the financial statements of industrial enterprises to develop an integrated firm's eye view of the changes in the Uruguayan economy during 1973-81. In the first of three subperiods, 1973-75, real financial costs were very negative. During 1976-78, the dismantling of interest rate...

In 1973, after a military takeover, Uruguayan authorities rapidly began liberalizing their economy's tightly regulated financial system. After briefly reviewing the impact of these reforms on financial asset holdings and on the availability of liquidity to the private sector, the paper examines...