KESİKOĞLU, Ferdi Bülent Ecevit Üniversitesi - Devrek Meslek Yüksekokulu (MYO), Turkey , YILDIRIM, Ertuğrul Bülent Ecevit Üniversitesi - Iktisadi ve Idari Bilimler Fakültesi (İİBF), Turkey , ÇEŞTEPE, Hamza Bülent Ecevit Üniversitesi - Iktisadi ve Idari Bilimler Fakültesi (İİBF), Turkey

THE DETERMINANTS OF CURRENT ACCOUNT DEFICIT: PANEL VAR ANALYSIS FOR 28 OECD COUNTRIES

39752

Current account imbalances are one of the main problems in the most of developed and developing countries. It must be focused on, first, reasons of current account deficit to form a true policy aimed at reducing imbalances. In this study, the determinants of current account deficit is tried to detect by using panel VAR approach for 28 OECD countries in the period of 1999-2009. Lots of different variables such as microeconomic and macroeconomic variables could be used in the studies aiming the detection of determinants of current account deficit. In a similar way to the studies in the literature, it is assumed that economic growth, interest rate, budget deficit and exchange rate may be determinants of current account deficit. According to achieved findings from panel VAR estimation, growth, interest rate and budget deficit have a small and medium term effect on the current account deficit and exchange rate has no effect.

15

Current Account Deficit , OECD , Panel Data Analysis

The International Journal Of Economic and Social Research

34