Economics at your fingertips  

Balance-of-Payments constrained growth dynamics: An empirical investigation

Virmantas Kvedaras, Carlos Garcimartín and Jhonatan Astudillo

Economic Modelling, 2020, vol. 89, issue C, 232-244

Abstract: •The dynamics of the BOP constrained growth model are analyzed.•Future growth is forecasted by means of a long-run component consistent with external equilibrium and a cyclical term.•Whenever the cyclical term, driven by current account deficits, is substantial, it conditions future growth rates.•Our findings are in sharp contrast with the predictions of forward-looking rational expectations models.

Date: 2020
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (4) Track citations by RSS feed

Downloads: (external link)
Full text for ScienceDirect subscribers only

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link:

DOI: 10.1016/j.econmod.2019.10.026

Access Statistics for this article

Economic Modelling is currently edited by S. Hall and P. Pauly

More articles in Economic Modelling from Elsevier
Bibliographic data for series maintained by Catherine Liu ().

Page updated 2022-06-16
Handle: RePEc:eee:ecmode:v:89:y:2020:i:c:p:232-244