Country Portfolios in Open Economy Macro Models
---- Acknowledgements ----
We are grateful to Philip Lane, Klaus Adam, Pierpaolo Benigno, Gianluca Benigno, Martin Bodenstein, Charles Engel, Berthold Herrendorf, Andrea Civelli, Fabrizio Perri, Robert Kollmann, Giancarlo Corsetti, Morten Ravn, Makoto Saito, Alessandro Rebucci, Martin Evans and Viktoria Hnatkovska for comments on an earlier draft of this paper. This research is supported by the ESRC World Economy and Finance Programme, award number 156-25-0027. Devereux also thanks SSHRC, the Bank of Canada, and the Royal Bank of Canada for financial support. The views in this paper are those of the authors alone, and do not represent those of the Bank of Canada or those of the National Bureau of Economic Research.