"Essays on International Capital Flows"
Meng, Gao, Economics - Graduate School of Arts and Sciences, University of Virginia
van Wincoop, Eric, Department of Economics, University of Virginia
Young, Eric, Department of Economics, University of Virginia
The first chapter proposes a method to break down capital flows into portfolio growth and reallocation components and apply it to data on the US equity and bond outflows. The results shed light on the importance of the various decomposition components as drivers of capital flows in both the short and long run. The second chapter presents a model that allows us to examine how countries' degree of openness affects the cyclical properties of disaggregated capital flows. I found that technology capital and countries' degree of openness have significant effect on the time evolution of the cyclical behavior of both FDI flows and portfolio flows.
PHD (Doctor of Philosophy)