The article examines how sudden stops of capital flows affect countries. It looks at 43 countries from 1993 to 2006 and finds that when a country relies heavily on external funding, it takes longer for the economy to recover after a sudden stop. This means that countries with high external vulnerability may not suffer immediate severe losses during a sudden stop, but they will likely experience prolonged economic crises. The study expands on previous research by including more countries and time periods, considering time-series autocorrelation, and analyzing how economic growth adjusts after a sudden stop.