Ghassan, Hassan B. and Al-Jefri, Essam H. (2015): الحساب الجاري في المدى البعيد عبر نموذج داخلي الزمن. Published in: Journal of Economic & Financial Research , Vol. 4, No. 1 (June 2017): pp. 81-102.
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Abstract
This paper analyses the current account in the intertemporal model framework. Based on Obstfeld and Rogoff’s book (1996), we aim to model the ratio of the current account to GDP explicitly in the long run. Also, we criticize the tautological approach in the paper of Cerrato et al. (2014) which supposes a strong hypothesis that the output growth is the sum of the population growth and the per-capita GDP growth. This hypothesis leads to the identical equation of the ratio current account to GDP expressed by level or per capita. In this paper, we consider the overlapping generations to determine precisely the equation of the per-capita current account using the relevant variables. Then, this model appears more interesting and testable. It allows to verify the validity of the intertemporal model of the current account through the semi-elasticity of the ratio of per-capita current account to the per-capita GDP to the per-capita GDP growth or the per-capita consumption growth.
Item Type: | MPRA Paper |
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Original Title: | الحساب الجاري في المدى البعيد عبر نموذج داخلي الزمن |
English Title: | The Current Account in the Long Run through the Intertemporal Model |
Language: | Arabic |
Keywords: | Current account, Intertemporal Model, Long-run, Per-capita GDP, Consumption. |
Subjects: | E - Macroeconomics and Monetary Economics > E2 - Consumption, Saving, Production, Investment, Labor Markets, and Informal Economy > E21 - Consumption ; Saving ; Wealth F - International Economics > F4 - Macroeconomic Aspects of International Trade and Finance > F41 - Open Economy Macroeconomics F - International Economics > F6 - Economic Impacts of Globalization > F62 - Macroeconomic Impacts |
Item ID: | 80392 |
Depositing User: | Professor Hassan Ghassan |
Date Deposited: | 27 Jul 2017 08:26 |
Last Modified: | 08 Dec 2024 23:14 |
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URI: | https://mpra.ub.uni-muenchen.de/id/eprint/80392 |
Available Versions of this Item
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الحساب الجاري في المدى البعيد عبر نموذج داخلي الزمن. (deposited 10 Sep 2015 06:44)
- الحساب الجاري في المدى البعيد عبر نموذج داخلي الزمن. (deposited 27 Jul 2017 08:26) [Currently Displayed]