Global and euro imbalances: China and Germany
AbstractWe analyse global and euro area imbalances by focusing on China and Germany as large surplus and creditor countries. In the 2000s, domestic reforms in both countries expanded the effective labour force, restrained wages, shifted income towards profits and increased corporate saving. As a result, both economies' current account surpluses widened before the global financial crisis, and that of Germany has proven more persistent as domestic investment has remained subdued.
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Bibliographic InfoPaper provided by Bank for International Settlements in its series BIS Working Papers with number 424.
Length: 32 pages
Date of creation: Sep 2013
Date of revision:
Global imbalances; current account; capital account; saving and investment; international assets and liabilities; distribution of income; world banker;
Other versions of this item:
- F15 - International Economics - - Trade - - - Economic Integration
- F32 - International Economics - - International Finance - - - Current Account Adjustment; Short-term Capital Movements
This paper has been announced in the following NEP Reports:
- NEP-ALL-2013-09-26 (All new papers)
- NEP-EEC-2013-09-26 (European Economics)
- NEP-OPM-2013-09-26 (Open Economy Macroeconomic)
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