G7 Current Account Imbalances: Sustainability and Adjustment

G7 Current Account Imbalances: Sustainability and Adjustment
Richard H. Clarida, editor

The University of Chicago Press, 2007
Cloth: $99.00
507 pages
ISBN: 0-226-10726-4; 978-0-226-10726-4 (cloth)

Some chapters may have appeared as NBER Working Papers, which are preliminary versions of the published papers.

Table of Contents:

    Introduction, p. 1-8
    Richard H. Clarida

    I. Origins of G7 Current Account Imbalances

    1. From World Banker to World Venture Capitalist: U.S. External Adjustment and the Exorbitant Privilege, p. 11-55
    Pierre-Olivier Gourinchas and Hélène Rey

      Comment: José De Gregorio, p. 56-66

    2. A Global Perspective on External Positions, p. 67-98
    Philip R. Lane and Gian Maria Milesi-Ferretti

      Comment: Richard Portes, p. 99-102

    3. Direct Investment, Rising Real Wages, and the Absorption of Excess Labor in the Periphery, p. 103-126
    Michael P. Dooley, David Folkerts-Landau and Peter Garber

      Comment: Shang-Jin Wei, p. 126-130

    II. Empirical Studies of G7 Current Account and Exchange Rate Adjustment

    4. Current Account Deficits in Industrial Countries: The Bigger They Are the Harder They Fall?, p. 133-162
    Caroline Freund and Frank Warnock

      Comment: Assaf Razin, p. 162-167

    5. Are There Thresholds of Current Account Adjustment in the G7? p. 169-200
    Richard H. Clarida, Manuela Goretti, and Mark P. Taylor

      Comment: Robert E. Cumby, p. 201-203

    6. Current Account Reversals: Always a Problem? p. 205-242
    Muge Adalet and Barry Eichengreen

      Comment: Frederic S. Mishkin, p. 242-245

    7. Understanding the U.S. Trade Deficit: A Disaggregated Perspective, p. 247-278
    Catherine L. Mann and Katharina Plück

      Comment: Peter B. Kenen, p. 278-281

    8. Will the Euro Eventually Surpass the Dollar as Leading International Reserve Currency? p. 283-322
    Menzie Chinn and Jeffrey A. Frankel

      Comment: Edwin M. Truman, p. 322-335

    III. Theoretical Perspectives on Current Account Sustainability and Adjustment

    9. The Unsustainability U.S. Current Account Position Revisited, p. 339-366
    Maurice Obstfeld and Kenneth Rogoff

      Comment: Kristin J. Forbes, p. 367-375

    10. Smooth Landing or Crash? Model-Based Scenarios of Global Current Account Rebalancing, p. 377-451
    Hamid Faruqee, Douglas Laxton, Dirk Muir and Paolo A. Pesenti

      Comment: Lars E. O. Svensson, p. 451-455

    11. The Dot-Com Bubble, the Bush Deficits, and the U.S. Current Account, p. 457-492
    Aart Kraay and Jaume Ventura

      Comment: Joseph E. Gagnon, p. 492-495

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