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AA00260492-19870002-0027.pdf
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Title |
Title |
ECONOMIC GROWTH AND THE CURRENT ACCOUNT IN LARGE COUNTRIES
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MARJIT, Sugata
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Jadavpur University
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Keio Economic Society, Keio University
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1987
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Keio economic studies
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24
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2
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1987
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27
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End page |
31
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Abstract |
This paper discusses current account movements of large countries in terms of an intertemporal model. It is shown that anticipated current income shock may lead to current account deficit for a large open economy. This might happen even when the economy is not immiserized. This outcome is never possible in 'small' economy type models which have been extensively discussed in the literature.
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