Fratzscher, Marcel; Juvenal, Luciana; Sarno, Lucio - Federal Reserve Bank of St. Louis - 2008
current account in the past, accounting for up to 32% of the movements of the US trade balance at a horizon of 20 quarters. By … element of an adjustment of today's large current account imbalances, and that in particular relative global asset price …This paper analyses the role of asset prices in comparison to other factors, in particular exchange rates, as a driver …