The balance-of-payments constraint: from balanced trade to sustainable debt
This paper extends the balance-of-payments constraint on growth known as Thirlwall's law to incorporate unbalanced trade and debt accumulation. Assuming that small open economies face a liquidity constraint, the text shows the growth and real-exchange-rate policy rules consistent with a stable...
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Format: | Article |
Language: | English |
Published: |
Associazione Economia civile
2012-04-01
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Series: | PSL Quarterly Review |
Subjects: | |
Online Access: | https://rosa.uniroma1.it/rosa04/psl_quarterly_review/article/view/9952 |