TY  - JOUR
TT  - On the Sustainability of Current Account Deficits in Cameroon
AU  - Djeutem, Edouard T.
AU  - Nguimkeu, Pierre E.
PY  - 2013
DA  - June
JF  - International Journal of Economics and Financial Issues
JO  - IJEFI
PB  - İlhan ÖZTÜRK
WT  - DergiPark
SN  - 2146-4138
SP  - 486
EP  - 495
VL  - 3
IS  - 2
KW  - Current account
KW  - Sustainability
KW  - Intertemporal budget constraint
KW  - Cointegration
KW  - Stationarity
KW  - Ponzi scheme
N2  - Two approaches are used to analyze the sustainability of the current account deficits of Cameroon in order to find out whether current economic policies are sound enough to guarantee the country’ s financial solvency.  The first uses a structural procedure to compare current account deficits relative to an optimal benchmark using the Campbell-Shiller’s methodology. The second uses a reduced form approach to test for intertemporal budget constraint through cointegration tests between imports and exports plus net transfer payments on foreign obligations.  Our results suggest that the current account imbalances for Cameroon based on data from the period 1970-2002 are “excessive” and the deficits are currently unsustainable.
UR  - https://dergipark.org.tr/tr/pub/ijefi/issue//351923
L1  - https://dergipark.org.tr/tr/download/article-file/362784
ER  -