In this paper an index of financial competitiveness is calculated that corresponds to themarket-to-book ratio of inward FDI stocks. For a panel of five advanced economies from1980 to 2006 it is shown that price competitiveness, stable inflation rates and registeredpatents have a positive impact...

This paper examines German and foreign bank factors that can explain cross-border central bank liquidity flows between Germany and the rest of the euro area. Using data from the German component of Eurosystem's real-time gross settlement system TARGET2 and BankFocus for the period between 2009...

In some countries, a sizable fraction of savings is derived from corporate savings. Although larger, traded corporations are often co-owned by foreign portfolio investors, current international accounting standards allocate all corporate savings to the host country. This paper suggests a...

Germany's current account balance has been persistently high for about two decades and has increasingly attracted criticism as well as prompted proposals for policy measures geared to reducing the surplus. Assessing such proposals properly requires an analysis based on structural models. As...

This Kiel Policy Brief demonstrates the calculation of a new stock market index informing about the price competitiveness of a country's assets vis-à-vis its foreign competitors. In line with the portfolio balance approach we empirically identify net foreign holdings of a country's assets as...

In some countries, a sizable fraction of savings is derived from corporate savings. Although larger, traded corporations are often co-owned by foreign portfolio investors, current international accounting standards allocate all corporate savings to the host country. This paper suggests a...