IV. The introduction of a parallel currency by countries with a current account surplus

2012 ◽  
Keyword(s):  
Current Account ◽  
Current Account Surplus ◽  
Parallel Currency ◽  
A Current

scholarly journals What Do We Really Know about the Transatlantic Current Account?

2019 ◽  
Vol 65 (3) ◽  
pp. 255-274
Author(s):  
Martin T Braml ◽  
Gabriel J Felbermayr
Keyword(s):  
Current Account ◽  
Current Account Surplus ◽  
Jel Codes ◽  
National Statistics ◽  
The Usa ◽  
International Transactions ◽  
Official Sources ◽  
A Current ◽  
The U.S ◽  
The Eu

Abstract Do the USA have a current account surplus or a deficit with the EU? Since 2009, official sources disagree: The U.S. Department of Commerce claims a consistent US surplus while Eurostat reports the opposite. International transactions are notoriously difficult to measure accurately, but the size of the transatlantic discrepancy is extremely substantial: over the last 10 years, it has grown to a cumulated 1 Trillion USD. In times of severe trade policy disagreements across the Atlantic, this gap is obviously problematic. This article tries to dissect the transatlantic reporting gap. Two country-pairs—USA-UK and USA-Netherlands—account for almost the entire transatlantic discrepancy, which, in 2017, stood at about 180 billion USD. In the former case, national statistics on net services trade disagree by as much as 55 billion USD; in the latter case, there is a reporting difference in net primary income of about 60 billion USD. In contrast, data provided by the Bundesbank for the German-US current account closely mirror US data. Nonrandom measurement error and, possibly, deliberate manipulation seem to cause the observed discrepancies. (JEL codes: F14, F32, H26)

scholarly journals Pengaruh Neraca Transaksi Berjalan Terhadap Pertumbuhan Ekonomi Indonesia

2014 ◽  
Vol 2 (1) ◽  
pp. 68-75
Author(s):  
Sudirman Sudirman
Keyword(s):  
Current Account ◽  
Open Economy ◽  
Capital Flows ◽  
Developing Economies ◽  
Current Account Deficit ◽  
Balance Of Payments ◽  
Current Account Balance ◽  
Current Account Surplus ◽  
The Stability ◽  
A Current

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.

scholarly journals Czech Republic

2019 ◽  
Vol 19 (160) ◽  
pp. 1
Author(s):  
Keyword(s):  
Czech Republic ◽  
Housing Market ◽  
Current Account ◽  
Metropolitan Areas ◽  
Current Account Surplus ◽  
Potential Growth ◽  
Capacity Limits ◽  
Wage Increases ◽  
A Current

The economy is doing well, but supply constraints are biting. Growth has slowed as the economy has reached capacity limits, with very low unemployment even as participation has increased. Recent wage increases have been very strong, ahead of productivity. So far, inflation remains contained. The economy continues to run a current account surplus, even though domestic absorption has picked up. But the housing market is pressured, especially in metropolitan areas. Policies should balance risks of overheating against a faster-than-expected slowdown and aim to boost potential growth.

Nepal - Assessment Letter for the World Bank

Policy Papers ◽  
2015 ◽  
Vol 2015 (28) ◽  
Author(s):  
Keyword(s):  
World Bank ◽  
Current Account ◽  
Public Debt ◽  
Current Account Deficit ◽  
Macroeconomic Performance ◽  
Current Account Surplus ◽  
Revenue Growth ◽  
The World Bank ◽  
External Position ◽  
A Current

Before the earthquakes of April 25 and May 12, Nepal’s macroeconomic performance was relatively strong: Growth accelerated to 5.5 percent in 2013/14, thanks largely to a favorable monsoon; Inflation had been moderating, broadly in line with developments in India, but remained high at 7 percent (y/y) in March 2015; The fiscal position in 2013/14 (mid-July 2013 to mid-July 2014) was again in surplus, on account of under-execution of spending amid solid revenue growth. As a result, public debt eased further, to 25 percent of GDP. The trend of budget under-execution continued through April 2015, indicating that a small fiscal surplus looked again likely in 2014/15. Public debt remained on a declining path; The external position remained strong. The current account surplus reached 4.6 percent of GDP in 2013/14, as remittances continued to grow rapidly, reaching a record-high 28 percent of GDP. Net of remittances, however, Nepal ran a current account deficit of 23.6 percent of GDP in 2013/14. International reserves rose to US$6.2 billion by March 2015, equal to 29 percent of GDP and covering almost eight months of prospective imports. The earthquakes are expected to cause an initial slowdown in economic activity.

What Explains Current Account Surplus in Korea?

2018 ◽  
Vol 17 (2) ◽  
pp. 70-93
Author(s):  
Chirok Han ◽  
Kwanho Shin
Keyword(s):  
Exchange Rate ◽  
Fiscal Policy ◽  
Current Account ◽  
Current Account Balance ◽  
Budget Deficits ◽  
Current Account Surplus ◽  
Short Run ◽  
The Right ◽  
The Impact ◽  
The Current Account

Since the currency crisis in 1998, Korea has experienced continuous current account surpluses. Recently, the current account surplus increased more rapidly—amounting to 7.7 percent of GDP in 2015. In this paper, we investigate the underlying reasons for the widening of Korea's current account surpluses. We find that the upward trend in Korea's current account surpluses is largely explained by its demographical changes. Other economic variables are only helpful when explaining short run fluctuations in current account balances. Moreover, we show that Korea's current account surplus is expected to disappear by 2042 as it becomes one of the most aged economies in the world. Demographic changes are so powerful that they explain, quite successfully, the current account balance trends of other economies with highly aged populations such as Japan, Germany, Italy, Finland, and Greece. When we add the real exchange rate as an additional explanatory variable, it is statistically significant with the right sign, but the magnitude explained by it is quite limited. For example, to reduce the current account surplus by 1 percentage point, a 12 percent depreciation is needed. If Korea's current exchange rate is undervalued 4 to 12 percent less than the level consistent with fundamentals, it is impossible to reduce Korea's current account surplus to a reasonable level by adjusting the exchange rate alone. Another way to reduce current account surplus is to expand fiscal policies. We find, however, that the impact of fiscal adjustments in reducing current account surplus is even more limited. According to our estimates, reducing the current account surplus by 1 percentage point requires an increase in budget deficits (as a ratio to GDP) of 5 to 6 percentage points. If we allow endogenous movements of exchange rate and fiscal policy, the impact of exchange rate adjustment increases by 1.6 times but that of fiscal policy decreases that it is no longer statistically significant.

scholarly journals ESTIMATION OF BALANCE OF PAYMENTS OF UKRAINE

2021 ◽  
Author(s):  
Volodymyr Tyshchenko ◽  
Olena Tyshchenko
Keyword(s):  
Current Account ◽  
The State ◽  
Balance Of Payments ◽  
Current Account Surplus ◽  
Foreign Economic Policy ◽  
Goods And Services ◽  
Financial Account ◽  
Positive Balance ◽  
Main Components ◽  
The Current Account

The article highlights the features of the formation and assessment of the balance of payments in Ukraine. The balance of payments of Ukraine is a functional macroeconomic model that reflects all transactions that are carried out between the subjects of the national economy and the subjects of the economies of other countries of the world. This model allows you to develop and implement a sound foreign economic policy of Ukraine, analyze the state of commodity and financial markets, conduct scientific research of economic processes in the state, etc. Ukraine is actively implementing the methodology of balance of payments formation according to the recommendations of the International Monetary Fund. Ukraine's balance of payments by main components is grouped into two accounts: "capital and financial transactions" and "current transactions": capital transactions cover all transactions related to the receipt or payment of capital transfers and the acquisition or sale of property rights and non-financial assets; current transactions include all transactions between residents and non-residents on real values, as well as transactions on the free provision or receipt of valuables for current use. Like any other "balance of payments" consists of receipts and payments. It is active (surplus) when revenues are greater than payments and passive (deficit) when payments are greater than revenues. Based on the assessment of the balance of payments of Ukraine for 2020, certain conclusions can be drawn: stable external demand for food softened the drop in exports of goods from Ukraine during the COVID-19 pandemic, and the increase in prices contributed to its growth at the end of 2020; despite a slight recovery in domestic demand in the IV quarters of 2020, imports of goods to Ukraine by the results of 2020 decreased significantly; the current account surplus in Ukraine in 2020 was provided by a significant positive balance of trade in services and a record surplus of the primary income account; capital outflow from Ukraine on the financial account stopped at the end of 2020 due to the optimism of investors; despite the crisis and significant payments on external debt, Ukraine's gross reserves increased in 2020, and the financial crisis once again confirmed the importance of both international support and a balanced macroeconomic policy. The current account surplus in Ukraine in 2020 reached one of the largest levels in the history of Ukraine, it was formed due to a significant decrease in imports of goods and services, a reduction in payments on primary income and the relative stability of exports of goods and remittances. The article proposes recommendations for improving approaches to the formation of the balance of payments in Ukraine using certain methods when regulating the balance of payments of the state.

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