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| Author: | Khalid, A. Guan, T. |
| Title: | Causality tests of budget and current account deficites: cross-country comparisons |
| Journal: | Empirical Economics
1999 : VOL. 24:3, p. 389-402 |
| Index terms: | ECONOMICS BUDGET CURRENT ACCOUNT |
| Language: | eng |
| Abstract: | This study attempts to determine the causal relationship between budget and current account deficits as well as the direction of such causality. A selected sample of some developed and developing countries with annual time series data is used and cointegration techniques are applied to bring evidence regarding this important issue. These results do not support any long-run relationship between the two deficits for developed countries while the data for developing countries do not reject such a relationship. |
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