Skip to main content

Vol. 94, No. 3
Posted 2012-05-01

Liquidity Shocks, Real Interest Rates, and Global Imbalances


The author uses a simple neoclassical model to show how liquidity shocks at home and abroad can contribute to trade imbalances and low real interest rates. The author’s interpretation is consistent with Bernanke’s (2005) “global saving glut” hypothesis.




Related Content


Subscribe to our newsletter


Follow us

Twitter logo Google Plus logo Facebook logo YouTube logo LinkedIn logo
Back to Top