RDP 2005-09: The US Current Account Deficit: A Re-Examination of the Role of Private Saving Equation (3)

Y t + 1 W = Y t + 1 V + Y t + 1 * V = P t + 1 C t + 1 + P t + 1 * C t + 1 * = β R t + 1 ( P t C t + P t * C t * ) = β R t + 1 ( Y t V + Y t * V ) = β R t + 1 Y t W . MathType@MTEF@5@5@+= feaagKart1ev2aaatCvAUfeBSjuyZL2yd9gzLbvyNv2CaerbuLwBLn hiov2DGi1BTfMBaeXatLxBI9gBaerbd9wDYLwzYbItLDharqqtubsr 4rNCHbGeaGqiVu0Je9sqqrpepC0xbbL8F4rqqrFfpeea0xe9Lq=Jc9 vqaqpepm0xbba9pwe9Q8fs0=yqaqpepae9pg0FirpepeKkFr0xfr=x fr=xb9adbaqaaeGaciGaaiaabeqaamaabaabaaGceaqabeaacaGGzb Waa0baaSqaaiaadshacqGHRaWkcaaIXaaabaGaam4vaaaakiabg2da 9iaacMfadaqhaaWcbaGaamiDaiabgUcaRiaaigdaaeaacaWGwbaaaO Gaey4kaSIaaiywamaaDaaaleaacaWG0bGaey4kaSIaaGymaaqaaiaa cQcacaWGwbaaaOGaeyypa0JaamiuamaaBaaaleaacaWG0bGaey4kaS IaaGymaaqabaGccaWGdbWaaSbaaSqaaiaadshacqGHRaWkcaaIXaaa beaakiabgUcaRiaadcfadaqhaaWcbaWaaSbaaWqaaiaadshacqGHRa WkcaaIXaaabeaaaSqaaiaacQcaaaGccaWGdbWaa0baaSqaamaaBaaa meaacaWG0bGaey4kaSIaaGymaaqabaaaleaacaGGQaaaaOGaeyypa0 JaeqOSdiMaamOuamaaBaaaleaacaWG0bGaey4kaSIaaGymaaqabaGc daqadaqaaiaadcfadaWgaaWcbaGaamiDaaqabaGccaWGdbWaaSbaaS qaaiaadshaaeqaaOGaey4kaSIaamiuamaaDaaaleaacaWG0baabaGa aiOkaaaakiaadoeadaqhaaWcbaWaaSbaaWqaaiaadshaaeqaaaWcba GaaiOkaaaaaOGaayjkaiaawMcaaaqaaiabg2da9iabek7aIjaadkfa daWgaaWcbaGaamiDaiabgUcaRiaaigdaaeqaaOWaaeWaaeaacaGGzb Waa0baaSqaaiaadshaaeaacaWGwbaaaOGaey4kaSIaaiywamaaDaaa leaacaWG0baabaGaaiOkaiaadAfaaaaakiaawIcacaGLPaaacqGH9a qpcqaHYoGycaWGsbWaaSbaaSqaaiaadshacqGHRaWkcaaIXaaabeaa kiaadMfadaqhaaWcbaGaamiDaaqaaiaadEfaaaGccaGGUaaaaaa@839D@