Eight Reasons We Are Given Not to Worry About the U.S. Deficits

The large U.S. current account deficit over the last decade-and the corresponding surpluses in China and elsewhere-has been interpreted in two very different ways. Many mainstream economists view the phenomena as primarily the outcome of a low rate...

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Bibliographic Details
Main Author:	Frankel, Jeffrey
Format:	Working Paper
Language:	English en_US
Published:	World Bank, Washington, DC 2017
Subjects:	ACCOUNTING BALANCE OF PAYMENTS BALANCE OF PAYMENTS DEFICITS BENEFICIARY BOND BOND MARKET BONDS BOOM GENERATION BUDGET BALANCE BUDGET DEFICIT BUDGET DEFICITS BUSINESS CLIMATE BUSINESS INVESTMENT CAPITAL ACCOUNT CAPITAL FLOWS CAPITAL FORMATION CAPITAL GAINS CAPITAL INFLOW CAPITAL INFLOWS CAPITAL MARKET CAPITAL MARKET INTEGRATION CAPITAL MOBILITY CENTRAL BANK CENTRAL BANKS CLAIM COMMODITIES CORPORATE GOVERNANCE COUNTRY RISK CREDIT MARKETS CREDITOR CURRENCY CURRENCY CONVERTIBILITY CURRENT ACCOUNT CURRENT ACCOUNT BALANCE CURRENT ACCOUNT BALANCES CURRENT ACCOUNT DEFICIT CURRENT ACCOUNT DEFICITS CURRENT ACCOUNT IMBALANCES DEBTOR DEBTOR COUNTRY DEFICITS DEPOSITS DEPRECIATION DEVELOPING COUNTRIES DIRECT INVESTMENT DISPOSABLE INCOME DIVIDENDS DOLLAR VALUE ECONOMIC ACTIVITY ECONOMIC GROWTH ECONOMIC INTEGRATION ECONOMIC POLICY EMERGING MARKETS EMPLOYER ENVIRONMENTAL BENEFITS EQUILIBRIUM EUROPEAN MONETARY SYSTEM EXCHANGE RATE EXCHANGE RATE VOLATILITY EXCHANGE RATES EXPENDITURE EXTERNAL ASSETS EXTERNAL POSITIONS FACE VALUE FEDERAL BUDGET FEDERAL RESERVE FEDERAL RESERVE BANK FINANCIAL ASSETS FINANCIAL DEVELOPMENT FINANCIAL INSTITUTIONS FINANCIAL MARKETS FISCAL AUTHORITIES FISCAL POLICIES FISCAL POLICY FLOW OF CAPITAL FOREIGN ASSETS FOREIGN CENTRAL BANKS FOREIGN COMPANIES FOREIGN CREDITOR FOREIGN DEBT FOREIGN INDEBTEDNESS FOREIGN INVESTORS FOREIGN LENDERS FOREIGN RELATIONS GLOBAL CAPITAL GLOBAL CAPITAL FLOWS GLOBAL CURRENT ACCOUNT IMBALANCES GLOBAL IMBALANCES GLOBAL INVESTMENT GLOBAL PORTFOLIO GLOBAL RISK GOLD GOVERNMENT SPENDING GRADUAL DEPRECIATION GROWTH RATES HIDDEN ASSETS HOLDINGS HOME COUNTRY HOUSEHOLD SAVING HOUSEHOLD SAVING RATE IMPORT IMPORTS INDEBTEDNESS INFLATION INFLATION RATES INTEREST RATES INTERNATIONAL BANK INTERNATIONAL CAPITAL INTERNATIONAL CAPITAL FLOWS INTERNATIONAL CURRENCY INTERNATIONAL DEBT INTERNATIONAL DEVELOPMENT INTERNATIONAL ECONOMICS INTERNATIONAL FINANCE INTERNATIONAL INVESTMENT INTERNATIONAL MARKET INTERNATIONAL MONEY INTERNATIONAL PORTFOLIOS INTERNATIONAL RESERVE INTERNATIONAL SETTLEMENTS INVESTING INVESTMENT BOOM INVESTMENT CLIMATE INVESTMENT INCOME INVESTMENT OPPORTUNITIES INVESTMENT RATE INVESTMENT SLUMP JUDGMENT LIQUID ASSET LIQUIDITY LOW INTEREST RATES MANDATE MARKET INTEGRATION MONETARY AUTHORITIES MONETARY POLICIES MONETARY POLICY MORTGAGE NATIONAL DEBT NATIONAL SAVING NATURAL RESOURCES NET DEBT OUTPUT PORTFOLIO PORTFOLIO CAPITAL PORTFOLIOS POVERTY REDUCTION PRIVATE INVESTORS PRIVATE SAVING PRIVATE SAVINGS PROPERTY RIGHTS RATE OF RETURN RATES OF RETURN REAL ESTATE REAL EXCHANGE RATE RECESSION RESERVE RESERVE CURRENCY RESERVE HOLDINGS RESERVES RETURN RISK AVERSION SECURITIES SECURITIES MARKETS SECURITY MARKET SEIGNORAGE SHORTFALL SOCIAL SECURITY STOCK MARKET STOCK MARKETS STOCKS SURPLUS SURPLUSES TAX TAX RATES TAX REVENUE TRADABLE GOODS TRADE BALANCE TRADE DEFICIT TRADE DEFICITS TREASURY TREASURY BILLS TREASURY SECURITY VALUATION VENTURE CAPITALIST WORLD FINANCIAL MARKETS
Online Access:	http://documents.worldbank.org/curated/en/675851468160782077/Eight-reasons-we-are-given-not-to-worry-about-the-U-S-deficits http://hdl.handle.net/10986/28002