02206cas a2200337 a 4500 AALejournalIMF022129 230101c9999 xx r poo 0 0eng d 5.00 USD 9781484380239 1018-5941 BD-DhAAL BD-DhAAL Bayoumi, Tamim. Official Financial Flows, Capital Mobility, and Global Imbalances / Tamim Bayoumi, Joseph Gagnon, Christian Saborowski. Washington, D.C. : International Monetary Fund, 2014. 1 online resource (45 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 We use a cross-country panel framework to analyze the effect of net official flows (chiefly foreign exchange intervention) on current accounts. We find that net official flows have a large but plausible effect on current account balances. The estimated effects are larger with instrumental variables (42 cents to the dollar on average compared to 24 without instruments), reflecting a possible downward bias in regressions without instruments owing to an endogenous response of net official flows to private financial flows. We consistently find larger impacts of net official flows when international capital flows are restricted and smaller impacts when capital is highly mobile. A further result is that there is an important positive effect of lagged net official flows on current accounts that we believe operates through the portfolio balance channel. Mode of access: Internet Bop Fin imf Capital Mobility imf Financial Market imf Official Flow imf WP imf United States imf Gagnon, Joseph. Saborowski, Christian. IMF Working Papers; Working Paper ; No. 2014/199 Full text available on IMF http://elibrary.imf.org/view/journals/001/2014/199/001.2014.issue-199-en.xml IMF e-Library