Dynamics of capital account and current account in India: Evidence from threshold cointegration with asymmetric error correction

2021 ◽  
pp. 1-6
Author(s):  
Lingaraj Mallick ◽  
Smruti Ranjan Behera ◽  
RV Ramana Murthy
Keyword(s):  
Error Correction ◽  
Current Account ◽  
Capital Account ◽  
Threshold Cointegration

scholarly journals Pengaruh ekspor, utang luar negeri, neraca transaksi berjalan dan neraca transaksi modal terhadap cadangan devisa di Indonesia

2020 ◽  
Vol 8 (1) ◽  
pp. 43-54
Author(s):  
Graselita Aritonang ◽  
Amril Amril ◽  
Zulgani Zulgani
Keyword(s):  
Foreign Exchange ◽  
Current Account ◽  
Descriptive Analysis ◽  
Foreign Debt ◽  
Multiple Regression Model ◽  
Least Square ◽  
Coefficient Of Determination ◽  
Current Account Balance ◽  
Capital Account ◽  
Foreign Exchange Reserves

The purpose of this study is to (1) see the description of Indonesia's foreign exchange reserves, exports, foreign debt, current account balance, and capital account balance for the period 1998-2017. (2) analyze the effect of exports, foreign debt, current account balance, and capital account balance on Indonesia's foreign exchange reserves. The method used in this research is quantitative descriptive analysis with multiple regression model analysis using the Ordinary Least Square (OLS) method. The results of this study show that the average development of Indonesia's foreign exchange reserves is 11.87 percent, exports are 7.38 percent, foreign debt is 4.51 percent, the current account balance is 514.89 percent and the capital account balance is 66.92 percent. Based on the results of the analysis carried out by exports, foreign debt, current account balance, and capital account have a positive and significant effect on foreign exchange reserves with a coefficient of determination of 98.37 percent. Keywords: Foreign exchange, export, Foreign debt, Current account, Capital account

scholarly journals China and Special Drawing Rights—Towards a Better International Monetary System

2019 ◽  
Vol 12 (2) ◽  
pp. 60 ◽  
Author(s):  
Harrison ◽  
Xiao
Keyword(s):  
Hong Kong ◽  
Current Account ◽  
Current System ◽  
International Monetary System ◽  
Capital Account ◽  
Monetary System ◽  
Special Drawing ◽  
Trading Partners ◽  
Special Drawing Rights ◽  
Rmb Internationalization

China and the international monetary system need each other. The international monetary system is strained, with crisis just around the corner, yet reform is not on anyone’s agenda. Meanwhile China, deeply invested in the current system, faces narrowing options as trading partners question its moves abroad, debt levels rise at home, and its current account moves from surplus to deficit. RMB internationalization might appear to provide a way out, but the policy has its limits and tends to exacerbate rather than relieve tensions. We argue that a tension-reducing solution is at hand to the problems of both the international monetary system and China—IMF-style Special Drawing Rights (SDRs). If in a unilateral initiative China were to make the SDR central to its next phase of capital account opening, China’s institutions, corporates and individuals—presently restricted in their access to international currency—would likely embrace it. Begun by China, with support from the international community and Hong Kong, promulgation of the SDR would usher in an era of lower tensions, providing space for development and avoidance of conflict within a reordered monetary system in which China would have a more prominent role.

scholarly journals Financial flows and the New Developmentalism

2018 ◽  
Vol 38 (1) ◽  
pp. 115-124 ◽  
Author(s):  
Fernando J. Cardim de Carvalho
Keyword(s):  
Exchange Rate ◽  
Current Account ◽  
Manufacturing Firms ◽  
Balance Of Payments ◽  
Capital Account ◽  
Equilibrium Exchange Rate ◽  
Large Measure ◽  
Financial Flows ◽  
Equilibrium Exchange

ABSTRACT New Developmentalism has focused its attention on trade problems created, to a large measure, by the divergences between the exchange rate that keeps the current account of the balance of payments balanced and what it calls industrial equilibrium exchange rate, the rate that would preserve the competitiveness of manufacturing firms operating at the state-or-art frontier. ND acknowledges that these rates may be disturbed by financial flows, but the role of capital account movements may be underestimated. The paper argues that financial flows have indeed been underestimated, which may make more difficult to devise efficacious policies to correct the problem of currency overvaluation.

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