In this paper, we examine theoretically how corporate saving in emerging markets is contributing to global rebalancing. We consider a two-country dynamic general equilibrium model, based on Bacchetta and Benhima (2014), with a Developed and an Emerging country. Firms need to save in liquid...

The paper presents a critique of loanable funds theory by using simple accounting relationships. It is shown that many economists identify saving and the credit supply by interpreting the macroeconomic saving-investment identity as a budget constraint. According to that interpretation, more...

The paper analyses the accounting relationships between the financial and the real economy. It will be shown that accounting can clarify the nature of economic phenomena and be an important building block for economic theory. The paper will argue that there is much confusion about key...

This paper re-examines the implications for economic growth from the perspective of a two-sector growth model with separate consumption and capital goods production sectors. The analysis is an extension of traditional approaches limited to a single sector. In light of the 40-year downward trend...

Since 2001, OECD corporate net lending has risen sharply. This paper examines the main forces at play behind this run-up and provides some insight into whether and how they might possibly unwind in the future, a process that may already be underway. It shows in particular that, the increase is...

This study examines the complementarity or substitutability of regional capital mobility to global capital mobility within the Sub-Saharan African (SSA) economies. With a re-specified inter-temporal consumption framework, the savings-investment correlation of the Feldstein-Horioka (hereinafter...

Since 2001, OECD corporate net lending has risen sharply. This paper examines the main forces at play behind this run-up and provides some insight into whether and how they might possibly unwind in the future, a process that may already be underway. It shows in particular that, the increase is...

Abstract: This paper is about the comparison of the velocity of minimum escaped savings with the velocity of financial liquidity. This analysis is based on the cycle of money in combination with the velocity of minimum escaped savings with the velocity of financial liquidity. This means that...

This paper is about the comparison of the velocity of cycle of money with the velocity of financial liquidity. This analysis is based on the cycle of money in combination with the velocity of escaped savings with the velocity of financial liquidity. This means that used the escaped savings and...

This paper is about the comparison of the velocity of minimum escaped savings with the velocity of financial liquidity. This analysis is based on the cycle of money in combination with the velocity of minimum escaped savings with the velocity of financial liquidity. This means that used the...