Financial Flows, Financial Crises, and Global Imbalances
Abstract
In this lecture I document the proliferation of gross international asset and liability positions and discuss some of the consequences for individual countries’ external adjustment processes and for global financial stability. In light of the rapid growth of gross global financial flows and the serious risks associated with them, one might wonder about the continuing relevance of the net financial flow measured by the current account balance. I argue that global current account imbalances remain an essential target for policy scrutiny, for financial as well as macroeconomic reasons. Nonetheless, it is critically important for policymakers to monitor as well the rapidly evolving structure of global gross assets and liabilities.Download Info
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Bibliographic Info
Paper provided by C.E.P.R. Discussion Papers in its series CEPR Discussion Papers with number 8611.Length:
Date of creation: Oct 2011
Date of revision:
Handle: RePEc:cpr:ceprdp:8611
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Related research
Keywords: current account balance; financial instability; global imbalances; international asset positions; international financial flows;Other versions of this item:
- Obstfeld, Maurice, 2012. "Financial flows, financial crises, and global imbalances," Journal of International Money and Finance, Elsevier, vol. 31(3), pages 469-480.
- F32 - International Economics - - International Finance - - - Current Account Adjustment; Short-term Capital Movements
- F34 - International Economics - - International Finance - - - International Lending and Debt Problems
- F36 - International Economics - - International Finance - - - Financial Aspects of Economic Integration
This paper has been announced in the following NEP Reports:
- NEP-ALL-2011-11-01 (All new papers)
- NEP-CBA-2011-11-01 (Central Banking)
- NEP-IFN-2011-11-01 (International Finance)
- NEP-OPM-2011-11-01 (Open Economy Macroeconomic)
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References listed on IDEASPlease report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
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Citations
Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.Cited by:
- Bonatti, Luigi & Fracasso, Andrea, 2013. "Hoarding of international reserves in China: Mercantilism, domestic consumption and US monetary policy," Journal of International Money and Finance, Elsevier, vol. 32(C), pages 1044-1078.
- Francisco Ceballos & Tatiana Didier & Sergio L. Schmukler, 2012.
"Financial Globalization in Emerging Countries : Diversification vs. Offshoring,"
Finance Working Papers
23350, East Asian Bureau of Economic Research.
- Ceballos, Francisco & Didier, Tatiana & Schmukler, Sergio L., 2012. "Financial globalization in emerging countries : diversification vs. offshoring," Policy Research Working Paper Series 6105, The World Bank.
- Francisco Ceballos & Tatiana Didier & Sergio L. Schmukler, 2012. "Financial Globalization in Emerging Countries : Diversification vs. Offshoring," Labor Economics Working Papers 23350, East Asian Bureau of Economic Research.
- Francisco Ceballos & Tatiana Didier & Sergio L. Schmukler, 2012. "Financial Globalization in Emerging Countries : Diversification vs. Offshoring," Macroeconomics Working Papers 23350, East Asian Bureau of Economic Research.
- Ceballos, Francisco & Didier, Tatiana & Schmukler, Sergio L., 2012. "Financial Globalization in Emerging Countries: Diversification vs. Offshoring," ADBI Working Papers 389, Asian Development Bank Institute.
- Claessens, Stijn & Kose, Ayhan, 2013.
"Financial Crises: Explanations, Types, and Implications,"
CEPR Discussion Papers
9329, C.E.P.R. Discussion Papers.
- Stijn Claessens & M. Ayhan Kose, 2013. "Financial Crises Explanations, Types, and Implications," IMF Working Papers 13/28, International Monetary Fund.
- Stijn Claessens & M. Ayhan Kose, 2013. "Financial Crises: Explanations, Types and Implications," CAMA Working Papers 2013-06, Centre for Applied Macroeconomic Analysis, Crawford School of Public Policy, The Australian National University.
- Rafael Domenech & Monica Correa-Lopez, 2012. "The internationalisation of Spanish firms," Working Papers 1230, BBVA Bank, Economic Research Department.
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