Bayoumi, Tamim; Gagnon, Joseph - Federal Reserve Board (Board of Governors of the … - 1992
return to saving in each country are strongly and negatively correlated with the rate of inflation. It follows that a country …'s net foreign asset position (and its current account balance) ought to be negatively correlated with its inflation rate …-sectional regressions confirm that inflation rates are good predictors of current accounts, even after controlling for business cycles and …