Acharya, Viral V; Schnabl, Philipp - In: IMF Economic Review 58 (2010) 1, pp. 37-73
The global imbalance explanation of the financial crisis of 2007–09 suggests that demand for riskless assets from countries with current account surpluses created fragility in countries with current account deficits, most notably in the United States. This paper examines this explanation by...