Unraveling the Cobweb of Global Imbalances: Drivers, Vulnerabilities and Adjustment Scenarios -- by Stefan Avdjiev, Kristin Forbes, Tsvetelina Nenova, Marjorie Santos

The views in this paper are those of the authors and do not necessarily reflect the views of the BIS, its member central banks or other institutions with which they are affiliated. The authors thank Kai Arvai, Torsten Ehlers, Joseph Gagnon, Gaston Gelos, Pierre-Olivier Gourinchas, Branimir Gruic, Ida Hjortsoe, Gian Maria Milesi-Ferretti, Benoit Mojon, Swapan-Kumar Pradhan, Daniel Rees, Hélène Rey, Georg Strasser, Cedric Tille, Goetz von Peter, and Pinar Yesin, as well as participants at a BIS seminar, BoE BEAR Conference, CEBRA Annual Meeting, EEA-ESEM Congress and OECD seminar on capital flows for helpful comments and discussions. All errors are our own. The views expressed herein are those of the authors and do not necessarily reflect the views of the National Bureau of Economic Research.