The Role of Macroeconomic Stability in Current Account Balances
This study aims to find out the role of macroeconomic stability in current account balances. The analysis is completed for the period between 1980 and 2016 for 97 countries. The macroeconomic stability is represented by an index created with the countries’ inflation rate (CPI), growth rate, unemploy...
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| Language: | English |
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Istanbul University Press
2022-12-01
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| Series: | İstanbul İktisat Dergisi |
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| Online Access: | https://cdn.istanbul.edu.tr/file/JTA6CLJ8T5/9FCD1B84A9C44A2F98000802B9D5E6FD |
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| author | Murat Çetrez Yasin Barış Altaylıgil |
| author_facet | Murat Çetrez Yasin Barış Altaylıgil |
| author_sort | Murat Çetrez |
| collection | DOAJ |
| description | This study aims to find out the role of macroeconomic stability in current account balances. The analysis is completed for the period between 1980 and 2016 for 97 countries. The macroeconomic stability is represented by an index created with the countries’ inflation rate (CPI), growth rate, unemployment rate, and fiscal balance data. It is found that macroeconomic stability is one of the important determinants of current account balances like institutional quality and financial development. It has negative and statistically significant relationships with current account balances for four different country groups: developing countries, all countries except industrial, all countries except industrial and African countries, and all countries. Results show that macroeconomic stability is a crucial determinant for developing countries rather than high-income countries. |
| format | Article |
| id | doaj-art-467311d9fb024b458e96abb345d974bd |
| institution | OA Journals |
| issn | 2602-3954 |
| language | English |
| publishDate | 2022-12-01 |
| publisher | Istanbul University Press |
| record_format | Article |
| series | İstanbul İktisat Dergisi |
| spelling | doaj-art-467311d9fb024b458e96abb345d974bd2025-08-20T02:28:28ZengIstanbul University Pressİstanbul İktisat Dergisi2602-39542022-12-0172256959710.26650/ISTJECON2022-1172316123456The Role of Macroeconomic Stability in Current Account BalancesMurat Çetrezhttps://orcid.org/0000-0001-9567-7644Yasin Barış Altaylıgil0https://orcid.org/0000-0002-7007-8431İstanbul Üniversitesi, İstanbul, TürkiyeThis study aims to find out the role of macroeconomic stability in current account balances. The analysis is completed for the period between 1980 and 2016 for 97 countries. The macroeconomic stability is represented by an index created with the countries’ inflation rate (CPI), growth rate, unemployment rate, and fiscal balance data. It is found that macroeconomic stability is one of the important determinants of current account balances like institutional quality and financial development. It has negative and statistically significant relationships with current account balances for four different country groups: developing countries, all countries except industrial, all countries except industrial and African countries, and all countries. Results show that macroeconomic stability is a crucial determinant for developing countries rather than high-income countries.https://cdn.istanbul.edu.tr/file/JTA6CLJ8T5/9FCD1B84A9C44A2F98000802B9D5E6FDcurrent account balancesmacroeconomic stabilitypanel data analysis |
| spellingShingle | Murat Çetrez Yasin Barış Altaylıgil The Role of Macroeconomic Stability in Current Account Balances İstanbul İktisat Dergisi current account balances macroeconomic stability panel data analysis |
| title | The Role of Macroeconomic Stability in Current Account Balances |
| title_full | The Role of Macroeconomic Stability in Current Account Balances |
| title_fullStr | The Role of Macroeconomic Stability in Current Account Balances |
| title_full_unstemmed | The Role of Macroeconomic Stability in Current Account Balances |
| title_short | The Role of Macroeconomic Stability in Current Account Balances |
| title_sort | role of macroeconomic stability in current account balances |
| topic | current account balances macroeconomic stability panel data analysis |
| url | https://cdn.istanbul.edu.tr/file/JTA6CLJ8T5/9FCD1B84A9C44A2F98000802B9D5E6FD |
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