Author/Editor: Benoît Mercereau.

Release Date:December, 2006

Holding foreign assets reduces the volatility of a country's income by allowing countries to share risk. Yet, financial integration is limited in Asia. This paper estimates how much Australia and more...

Author/Editor: Benoît Mercereau.

Release Date:September, 2005

China's dramatic success in attracting foreign direct investment (FDI) has raised concerns that it has success diverted FDI from other countries in Asia. We develop a new methodology to estimate more...

Author/Editor: Dhaneshwar Ghura, Benoît Mercereau.

Release Date:May, 2004

This paper provides empirical evidence that the propensity for political instability in the Central African Republic (C.A.R.) has been increased by low tax revenues and deteriorations in the terms of more...

Author/Editor: Benoît Mercereau.

Release Date:March, 2004

This paper develops a simple model to study the impact of stock markets on the current account. A closed-form solution for the current account is derived from the optimal portfolio and more...

Author/Editor: Benoît Mercereau.

Release Date:May, 2003

This paper tests a model of the role of stock markets in current account dynamics, developed in a companion paper. With U.S. data, the model performs better than the same model without stock markets. more...

Author/Editor: Benoît Mercereau.

Release Date:May, 2003

The paper presents an N-country model with stock markets, in which a closed-form solution for the real exchange rate is derived. Risky asset prices and allocation of risky assets among countries are more...