Tille, Cédric; Van Wincoop, Eric - Finrisk - 2008
We develop a new theory of international capital flows based on dispersed in-formation across individual investors … model, and emphasize twoimplications for capital flows that are speci
c to the presence of dispersed infor-mation. First …, gross and net capital flows become partially disconnected frompublicly observed fundamentals.[...] …