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Liung shi Ding and Tuck cheong Tang
''‘Net Errors and Omissions' of Balance of Payments and Its Sustainability: A Survey of Literature''
( 2017, Vol. 37 No.4 )
This survey covers 18 studies on ‘net errors and omissions' (NEO) or balancing items. Three groups have been classified by research interest (i) NEO sustainability; (ii) ‘sources' or ‘factors' of determining NEO behaviour; and (iii) components of NEO (i.e. nonlinearity). This survey focuses on the first group. 40% of the sample countries examined by the literature shows sustainable NEO. The meta-analysis recommends the method, region, and income “common factors” are found to have mixture implication on sustainable NEO.
Keywords: Balancing item; Net errors and omissions; Sustainability
JEL: F4 - Macroeconomic Aspects of International Trade and Finance: General
C8 - Data Collection and Data Estimation Methodology; Computer Programs: General
Manuscript Received : Nov 30 2016 Manuscript Accepted : Dec 01 2017

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