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Does Latvia Give Us Any Clues?

…of Ireland and Portugal. The chart above illustrates the Dutch estimate of world trade. Notably, there was a resurgence of trade spanning mid 2009 to Q1 2011, which support European…

Internal Devaluation ?!?

…(we would have a capital account deficit). Strange but true, the US current account deficit is simiilar to our trade deficit. Even though on paper we are huge debtors (biggest…

REAL GDP

…1991 and 2001. But compared to previous recoveries and the depth of the recession this still looks like an extremely weak recovery. The major revision was in the trade sector…

C+I+G+T

…economists should look at this. But anyway, the theory was that it is OK to run a large trade deficit and import capital from abroad if the foreign capital is…

General Equilibrium Theory by Popular Demand

…assets. The idea is that there are 2 periods, period and period 1. IN period agents trade financial assets which are all in zero net supply. The state the world…