Bussière, Matthieu; Fratzscher, Marcel; Müller, Gernot J. - 2005
Currently the U.S. is experiencing record budget and current account deficits, a phenomenon familiar from the "Twin … of the US current account deficit. We suggest a theoretical framework which allows to evaluate empirically the relative … importance of budget deficits and productivity shocks for the determination of the current account. Using a sample of 21 OECD …