Consumption and Capital Mobility in the Nordic Countries
AbstractI use a consumption-based test to examine the importance of income constraints and the degree of capital mobility across the Nordic countries over the period 1968-96. In particular, I explore the effects of financial deregulation of the 1980s. The estimating equation is derived along the lines of Bayoumi and MacDonald (1995). The results indicate that Nordic financial markets are highly integrated, but that the consumption behavior of a significant part of the Nordic population is constrained by income. There is no evidence that financial deregulation altered the consumption behavior of households or increased the degree of capital mobility across countries.
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Bibliographic InfoPaper provided by Uppsala University, Department of Economics in its series Working Paper Series with number 1999:6.
Length: 26 pages
Date of creation: 10 Mar 1999
Date of revision:
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Postal: Department of Economics, Uppsala University, P. O. Box 513, SE-751 20 Uppsala, Sweden
Phone: + 46 18 471 25 00
Fax: + 46 18 471 14 78
Web page: http://www.nek.uu.se/
More information through EDIRC
Consumer behavior; international capital mobility; financial deregulation;
Find related papers by JEL classification:
- E21 - Macroeconomics and Monetary Economics - - Macroeconomics: Consumption, Saving, Production, Employment, and Investment - - - Consumption; Saving; Wealth
- F36 - International Economics - - International Finance - - - Financial Aspects of Economic Integration
This paper has been announced in the following NEP Reports:
- NEP-ALL-1999-05-03 (All new papers)
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