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This paper examines the effects that windfalls from international commodity price booms have on net foreign assets in a panel of 145 countries during the period 1970-2007. The main finding is that windfalls from international commodity price booms lead to a significant increase in net foreign...
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that the greater (lesser) the persistence of the terms of trade shock, the more (less) the investment effect dominates the … shock …
Persistent link: https://www.econbiz.de/10014401279
taxes on labor income, showing that such a policy could increase world productive capacity while being consistent with a …
Persistent link: https://www.econbiz.de/10003472886
Theory suggests a significant positive relationship in long-run equilibrium between net foreign assets (NFA) as a …
Persistent link: https://www.econbiz.de/10009792044
domestic product fluctuations and external balances. We produce a model that replicates these facts. A productivity shock in a … shock in the large country will have correlated, negative net exports. The trade balances of all other countries will …
Persistent link: https://www.econbiz.de/10011778771
This paper explores the effect of news shocks on the current account and other macroeconomic variables using worldwide giant oil discoveries as a directly observable measure of news shocks about future output - the delay between a discovery and production is on average 4 to 6 years. We first...
Persistent link: https://www.econbiz.de/10013011202
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This paper examines the effect that windfalls from international commodity price booms have on net foreign assets in a panel of 145 countries during the period 1970-2007. The main finding is that windfalls from international commodity price booms lead to a significant increase in net foreign...
Persistent link: https://www.econbiz.de/10013130907