On cyclicality in the current and financial accounts evidence from nine industrial countries by Jens R. Clausen

Cover of: On cyclicality in the current and financial accounts | Jens R. Clausen

Published by International Monetary Fund, Monetary and Financial Systems Dept and IMF Institute in [Washington, D.C.] .

Written in English

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  • Balance of payments -- Developed countries,
  • Imports -- Developed countries.,
  • Exports -- Developed countries.

Edition Notes

Book details

Statementprepared by Jens R. Clausen and Magda Kandil.
SeriesIMF working paper -- WP/05/56
ContributionsKandil, Magda., International Monetary Fund. Monetary and Financial Systems Dept., IMF Institute.
The Physical Object
Pagination40 p.
Number of Pages40
ID Numbers
Open LibraryOL19514765M

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[Jens R Clausen; Magda Kandil; International Monetary Fund.] -- The paper investigates cyclical fluctuations in the current and financial (formerly capital) accounts of the balance of payments and major underlying components for nine industrial countries.

The paper investigates cyclical fluctuations in the current and financial accounts of the balance of payments and major underlying components for nine industrial countries.

Explanatory variables are domestic output growth, price inflation, real exchange rate fluctuations, energy price inflation, global growth, and regional growth.

The evidence indicates the importance of fluctuations in Cited by: 7. Downloadable. The paper investigates cyclical fluctuations in the current and financial (formerly capital) accounts of the balance of payments and major underlying components for nine industrial countries.

The empirical model uses as explanatory variables domestic output growth, price inflation, real exchange rate fluctuations, energy price On cyclicality in the current and financial accounts book, global growth, and regional growth.

On Cyclicality in the Current and Financial Accounts: Evidence From Nine Industrial Countries Article (PDF Available) in Eastern Economic Journal 35(3) April with Reads.

The current account and capital account comprise the two elements of the balance of payments in international er an economic actor (individual, business or government) in. Firstly, the current account on balance of payments measures trade in goods, services, investment incomes and current transfers.

The financial account measures capital flows / short term and long term. For example, long-term investment in building a factory or financial flows such as buying bonds or depositing money in bank accounts.

The trade current account is the sum of the balance of trade (goods and services exports less imports), net income from abroad and net current transfers. Financial account is a component of a country’s balance of payments that covers claims on or. Downloadable.

We assess the cyclicality of current account balances for the period QQ4, focussing on Portugal and in Germany, as a benchmark. We find that the cyclical component of the current account was positively explained by 3-months Euribor, but negatively by the financial crisis, systemic stress in Europe, employment and compensation of by: 1.

Purpose – The purpose of this paper is to study the role of public and private imbalances in the cyclicality of the current account balance in a sample of advanced and developing countries.

Related to cyclical: Cyclical unemployment, Cyclical Stocks cyclical Of or relating to a variable, such as housing starts, car sales, or the price of a certain stock, that is.

It was a charming little woman to whom he said it--a sprightly little woman, dressed in perfect taste, who came out of a green velvet bower to attend upon him, from posting up some dainty little books of account which one could hardly suppose to be ruled for the entry of any articles more commercial On cyclicality in the current and financial accounts book kisses, at a dainty little shining desk which looked in itself like a sweetmeat.

Liquidity creation measures. Taking Russia-specific factors into account, we construct our bank liquidity creation measures using the three-step procedure developed by Berger and Bouwman ().In the first step, we classify all bank balance sheet items as liquid, semi-liquid, or classification is based on the ease, cost, and time necessary for banks (customers) to turn Cited by: 1.

Description: The Eastern Economic Journal, a quarterly publication of the Eastern Economic Association, was established in The EEJ publishes papers written from every perspective, in all areas of economics and is committed to free and open intellectual inquiry from diverse philosophical perspectives.

Financial leverage We have not had a bank crisis in the U.S. for a while, so most investors have forgotten just how risky banks can be. But as Warren Buffett has said, by the time you find out a Author: Vitaliy Katsenelson, CFA. Loan Loss Reserve Accounting and Bank Behavior By Eliana Balla, Morgan J.

Rose, and Jessie Romero The rules governing banks’ loan loss provisioning and reserves require a trade-off between the goals of bank regulators, who emphasize safety and soundness, and the goals of accounting standard setters, who emphasize the. Introduction. Private equity partnerships play an important role in allocating liquidity across the corporate sector.

Venture Capital partnerships (VCs), for example, move capital from their limited partners (LPs)—long-horizon investors like pension funds, insurance companies, and university endowments—to risky startups who have a high demand for cash to fund R&D and product Cited by: Forecasted financial statements reply on additivity within the financial statements and articulation across separate financials statements.

Given this information, forecasts of growth in sales revenue will most likely affect growth in: A. Accounts receivable B.

Accounts payable C. In the above, denotes the real price of capital and is the economy's inflation rate. Households. There are a large number of households of type, which denotes a household's fixed cost of making state contingent transfers from a brokerage account to a checking cost is constant across time but differs across household types according to the probability density function.

Book-To-Bill Ratio: A book-to-bill ratio is the ratio of orders received to units shipped and billed for a specified period, generally a month or quarter. It is a widely used metric in the. Vol Issue 1, February ISSN: (Print) Research Article.

Financial Frictions, the Great Trade Collapse and International Trade over the Business Cycle. Anna Watson Pages Decomposing and Analysing the Determinants of Current Accounts’ Cyclicality: Evidence from the Euro Area. António Afonso, João Tovar.

J Cyclicality and the Severity of the U.S. Supervisory Stress Test: to Jose Berrospide, Andrew Cohen, Ronel Elul (Federal Reserve Bank of Philadelphia), David Hou, Aytek Malkhozov, Marc Rodriguez, and Robert Sarama 1. In this study, we provide a measure of the severity of the US supervisory stress tests, and examine how that severity measure has evolved.

It is urged that whenever possible a similar level of disclosure stringency should be maintained for accounting fair value measurements As to its details, The Paper explains the mechanism of pro-cyclicality of FV measurements and accounts for the effect of leverage of financial institutions in this : Andrey Igorevich Artemenkov.

The current financial crisis suggests that a sound capital buffer is critical for banks' resilience to risks and financial stability in a broader sense. Effectively addressing the pro-cyclicality elements in the existing capital requirement framework is essential for avoiding a repetition of serious financial crisis.

The price-to-book (P/B) ratio is widely associated with value investing. Like the price-to-earnings (P/E) ratio, a low P/B ratio isn't always indicative of an undervalued company. Conversely Author: Philip Durell. R&D: In the first six months of the current financial year, G&H invested £ million in research & development.

This represents % of revenue and is 8% higher than the same period last year ( £m). G&H’s continued commitment to investing in targeted R&D programmes is bearing fruit, with a record thirteen new. Financial Accounting 1) Purpose of Financial Accounting is to provide financial information to a) Shareholders b) Board Of Directors c) Tax Authorities d) All Of these.

2) According to the Money Measurement concept,the following will be recorded in the books of accounts a) Quality Control in Business b) Commission Payable to salesmen. Outlook for Order book of $bn 5 reflects our short cycle model, the work off of legacy fixed price work as the portfolio is de-risked and enhanced tender governance.

Current visibility typical for this point in the year with c60% of forecast revenue covered by order book, of which c75% is reimbursable. Non-cyclical stocks (defensive stocks) are stocks that are generally essential items—toothpaste, soap, or food staples that people will purchase even when the economy is slow.

Cyclical stocks (offensive stocks) are other investments that follow the up and down trends of the market. Non-Cyclical Stocks. Non-Cyclical Stocks, or defensive stocks. Then these accounts are added together they balance to $0.

Thus we have the balance of payments. Relationship Between Current Account and the Capital and Financial Account. The two accounts when added together equal zero. Essentially, in Australia’s case, the deficit on the current account is equal to the surplus on the capital and financial.

It is a useful starting point for estimating historical equity premiums. Implied Equity Risk Premiums - United States. Download: These risk premiums are estimated based upon a simple 2-stage Augmented Dividend discount model and reflect the risk premium which would justify they current level of the index, given the dividend yield, expected.

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is a method of foreign-currency translation in which items in the subsidiaries’ financial. Royal Caribbean stock is up over 85% over the last 12 months, has short interest of 2%, and trades at record highs on a book value basis (we believe this is. –rm size. In Section II, we document the cyclical behavior of debt and equity using cyclical components constructed using the HP-–lter, which is the most common way in the macroeconomics literature to study cyclicality.

In addition to debt and equity, we also look at internal –nance and real –rm variables, such as. Report on pro-cyclicality of the IRB approach.

As mandated by the European Commission, the EBA also assessed whether the Capital Requirements Directive (CRD) contributes to pro-cyclicality in the financial system, i.e. whether the capital requirement regulation exacerbates business cycle fluctuations.

generally supervise the work of accounting clerks, help with daily accounting work, and summarize accounting info. in small to medium size businesses, they may also help managers and owners interpret the accounting info.

they usually have one to two years of accounting education and experience as an accounting clerk. Pro-cyclicality impacts The key driver of pro-cyclicality is NAB’s corporate and SME book which accounts for % of the RWA position* at September The stress tests indicate that the impact of pro-cyclicality on the residential mortgage book (% of the RWA position* at September ) is dampened by the.

whether approaches should vary according to trading book activity. It anticipates that market risk requirements in the trading book may increase by up to per cent as a result. Pro-cyclicality and counter-cyclical buffers The approaches to banking book risk weightings under Basel II have theFile Size: 94KB.

Current accounts, net foreign assets and the implications of cyclical factors Matthieu Bussiere Georgios Chortareas and Rebecca L Driver* Department of Economics, European University Institute, Badia Fiesolana, San Domenico di Fiesole, Italy.

The Company's tangible net worth was $ million and net debt to capitalization on a book risks inherent to product concentration and cyclicality.

Syllabus: Examine how the current account and the financial account are interdependent. The balance of payments should balance. All inflows of money into the country should be matched by an equivalent outflow (across all the accounts - current, capital and financial).

In practice, this is .what is finalisation of accounts? what are finalisation of accounts entries?. Answer / sivanandan Preparation of the statement of account comprising Balance sheet, Profit and Loss Accounts and Notes forming part of the Accounts is the finalisation of accounts after making adequate provision for.

Lord Turner on Wednesday unveiled plans to end the era of light-regulation of London's financial services industry to ensure the financial crisis was not repeated. Here are his main recommendations.

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