01755cas a2200241 a 4500 AALejournalIMF007591 230101c9999 xx r poo 0 0eng d 5.00 USD 9781451980196 1018-5941 BD-DhAAL BD-DhAAL Molho, Lazaros. The Significance of the Current Account : Implications of European Financial Integration / Lazaros Molho. Washington, D.C. : International Monetary Fund, 1990. 1 online resource (44 pages) IMF Working Papers <strong>Off-Campus Access:</strong> No User ID or Password Required <strong>On-Campus Access:</strong> No User ID or Password Required Electronic access restricted to authorized BRAC University faculty, staff and students This paper reasseses the significance of persistent current imbalances as they become easier to finance in the process of European integration. After highlighting some limitations of simple saving-investment guidelines for policies toward the current account, the paper shows that an economy's current account position may be an indicator of its attitude toward risk. Externalities in the incidence of risk could warrant government concern over current imbalances, even if they are caused by privately motivated investment and saving decisions. Such externalities may arise from credit markets' conventional perceptions about country risk and from existing deposit insurance arrangements. Mode of access: Internet IMF Working Papers; Working Paper ; No. 1990/030 Full text available on IMF http://elibrary.imf.org/view/journals/001/1990/030/001.1990.issue-030-en.xml IMF e-Library