HKS Affiliated Authors


The growing current account surpluses in East Asia: the effect of dark matter assets. Ricardo Hausmann, June 12, 2008, Paper. "In a series of papers we have developed the notion that net foreign assets could be better approximated by capitalizing the net investment income line of the balance of payments statistics. Hidden assets or changes in financial costs may change the net return of net foreign assets even when the valuation of assets remains unchanged. By capitalizing the net investment income a more realistic picture emerges on the true burden or return of net foreign assets. This paper estimates external positions for East Asian economies..." Link