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RDP 9705: The Response of the Current Account to Terms of Trade Shocks: A Panel-data Study
Equation (10′)
Δ
C
A
i
t
=
∑
j
=
1
4
α
j
Δ
C
A
i
t
−
j
+
∑
j
=
0
4
β
j
Δ
T
O
T
i
t
−
j
s
+
∑
j
=
0
4
γ
j
Δ
G
D
P
i
t
−
j
s
+
∑
j
=
0
1
φ
j
Δ
G
V
T
i
t
−
j
+
u
i
t
,
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