Skip to main content

The intertemporal budget constraint and current account sustainability in Cyprus: evidence and policy implications

Buy Article:

$47.50 plus tax (Refund Policy)

Using the recently developed 'bounds' testing approach, this article provides evidence that Cyprus is not in violation of its intertemporal budget constraint and its current account balance is 'strongly' sustainable in the long-run. A policy implication of these findings is that the loss of exchange rate policy following the adoption of the euro in 2008 may not be a serious cost for Cyprus. On a methodological level, the results presented in this article support theoretical models that employ an intertemporal approach to modelling the current account.
No Reference information available - sign in for access.
No Citation information available - sign in for access.
No Supplementary Data.
No Article Media
No Metrics

Document Type: Research Article

Affiliations: Leeds Business School, Leeds Metropolitan University, Leeds LS6 3QS, UK

Publication date: 2010-02-01

More about this publication?
  • Access Key
  • Free content
  • Partial Free content
  • New content
  • Open access content
  • Partial Open access content
  • Subscribed content
  • Partial Subscribed content
  • Free trial content
Cookie Policy
X
Cookie Policy
Ingenta Connect website makes use of cookies so as to keep track of data that you have filled in. I am Happy with this Find out more