earticle

영어

This study investigates the determinants of the current account before and after the Global Financial Crisis(GFS) in Korea. For this purpose, we divide the determinants into two factors, economic variables and structural variables and estimate these factors’ effect on the current account by using GMM. We find that economic variables, such as the business cycle and the terms of trade, have lost its statistical significance after the GFC. Also, after the GFC, the export structure has been changed around the hi-quality products and the proportion of trade to emerging countries has been increased. And we define the recessionary current account surplus and examine its characteristics in Korea.