The effect of financial capital flows and transfers on the U.S. balance of payments current account

1971 ◽  
Vol 1 (4) ◽  
pp. 417-428
Author(s):  
David Morawetz
1969 ◽  
Vol 24 (5) ◽  
pp. 1017
Author(s):  
Lawrence H. Officer ◽  
William H. Branson

1989 ◽  
Vol 3 (4) ◽  
pp. 153-165 ◽  
Author(s):  
David H Howard

In 1988, the United States recorded a deficit of about $135 billion on the current account of its balance of payments with the rest of the world. This paper presents an analytical framework for thinking about the current account deficit, explores causes of the current account deficit, and discusses the United States as a debtor nation and the issue of sustainability.


2012 ◽  
Vol 102 (5) ◽  
pp. 2111-2146 ◽  
Author(s):  
Keyu Jin

This paper provides a new theory of international capital flows. In a framework that integrates factor-proportions-based trade and financial capital flows, a novel force emerges: capital tends to flow toward countries that become more specialized in capital-intensive industries. This “composition” effect competes with the standard force that channels capital toward the location where it is scarcer. If the composition effect dominates, capital flows away from the country hit by a positive labor force/productivity shock—a flow “reversal.'' Extended to a quantitative framework, the model generates sizable current account imbalances between developing and developed countries broadly consistent with the data. (JEL F14, F21, F32, F41, L16, O19)


2014 ◽  
Vol 2 (1) ◽  
pp. 68-75
Author(s):  
Sudirman Sudirman

Indonesia is a country with an open economy, which means activities in developing economies are heavily influenced by the foreign sector. The openness of the economy has an impact on a country's balance of payments relating to the flow of trade and capital flows. Various efforts are needed to increase exports in order to increase the Reserves . While the policy on imports directed to protect and develop domestic production. On the other hand domestic funding constraints need to be addressed to maintain fluency in development, so that funds from abroad in the form of loans or assistance that is still very necessary. All of this is intended to maintain the stability of International Balance of Payments (BOP) that prose foreign trade can be sustained. In one there is a structure of balance of payments current account (current account). In theory consists of the balance of current account balance on goods, services account, and unilateral transfers. Positive value or an increase in the current account means there is a current account surplus and vice versa if it is negative or the so-called current account deficit decline.


Sign in / Sign up

Export Citation Format

Share Document