interesting implications for how one views the huge US current account deficit and how the emergence of China’s savings surplus … rates in the context of a simple model that takes into account the global external savings equilibrium. The simple model has … also at a lower income level than without the China effect. Moreover, we argue that the lower real interest rates resulting …

interesting implications for how one views the huge US current account deficit and how the emergence of China's savings surplus … rates in the context of a simple model that takes into account the global external savings equilibrium. The simple model has … also at a lower growth rate than without the China effect. Moreover, we argue that the lower real interest rates resulting …

the combination of economic policies adopted by the two key economies, the US and China. Global financial markets served … economic policies followed by emerging markets such as China and the oil-exporting countries contributed to the US ability to …

jointly contributed to the upsurge in aggregate savings in China in the past two decades. Government policies to rebalance the …This paper analyzes the causes of rising savings rates for the corporate, government, and household sectors, which have …

. In 2008, China's national savings rate soared to over 53 percent of its GDP, whereas its current account surplus exceeded … distortions. I document major trends in aggregate savings, investment, trade, and net foreign asset positions in China, and …Over the last decade, the internal and external macroeconomic imbalances in China have risen to unprecedented levels …

In recent years China has experienced two forms of extreme macroeconomic imbalance: an expenditure imbalance in the …; risk of capital loss on the foreign exchange holdings; and the threat of retaliation by China's trading partners. A …

. On the other hand, it increases the demand for precautionary savings, which might imply higher capital accumulation in …