In this paper I analyze the forest and debt dynamics in a less developed country (LDC), where the former is a renewable resource and the latter's increase results from the interests to be paid on the current debt minus the balance of trade surplus. Agricultural and industrial goods are produced, and whereas the former requires the Converted forest as an input, the latter does not. It transpires that the stock of debt is Likely to increase infinitely without repudiation, whereas the stock of forest is likely to Oscillate around an equilibrium level.
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