by Joseph Joyce Capital Flows in a World of Low Interest Rates Interest rates in advanced economies continue to persist at historically low levels. This trend is due not only…

…flows in driving extreme capital flows. Forbes and Warnock also repeat their earlier analysis of the determinants of extreme capital flows using data from the post-crisis period. They find less…

…working paper, “Financial Globalization and Inequality: Capital Flows as a Two-Edged Sword.” They point out that the various types of capital flows will have different effects and review the separate…

by Joseph Joyce (Capital Ebbs and Flows) Has the Third Era of Globalization Ended? Behind the headlines forecasting a global economic recession there is another narrative about the end of globalization. This reflects…

…1 million per year. This would be (all else equal) roughly consistent with a halving of net immigration flows if these flows returned to pre-2022 levels.2 Finally, Figure D shows the…

Put all this together, and you have a classic recipe for vulnerability. Capital inflows (borrowing overseas plus foreigners coming into the local stock market) tend to keep the exchange rate…

In part #1 of this series on international flows, Norway’s trade deficit of the 1960’s was associated with foreign investment coming into their country. So the net trade deficit of…

…They continue: This suggests either that there is something wrong with: the theory of money neutrality; the theory of the money multiplier; or how money is measured. Or, I would…

…cash flow rather than assets. If corporate margins are indeed under threat, that is self-deluding. …The money will have come from their own immense cash piles. But US companies still…

…by a decrease in net outflows for unilateral current transfers, a shift to a surplus on income from a deficit, and an increase in the surplus on services. In contrast,…