Demographic changes, international capital movements and profitability of net external assets

2017 Fiscal Year Final Research Report

• Project/Area Number: 15H03368
• Research Category: Grant-in-Aid for Scientific Research (B)
• Allocation Type: Single-year Grants
• Section: 一般
• Research Field: Money/ Finance
• Research Institution: Musashi University
• Principal Investigator: OHNO SANAE 武蔵大学, 経済学部, 教授 (40307145)
• Co-Investigator(Kenkyū-buntansha): 熊本 方雄 東京経済大学, 経済学部, 教授 (30328257) ; 松原 聖 日本大学, 商学部, 教授 (40336699) ; 黒坂 佳央 武蔵大学, 総合研究所, 研究員 (80139401) ; 鈴木 唯 武蔵大学, 経済学部, 教授 (80746694)
• Project Period (FY): 2015-04-01 – 2018-03-31
• Keywords: 対外純資産 / 少子高齢化 / 家計の資産運用 / 企業の海外進出 / 為替レート

Outline of Final Research Achievements

The objectives of this research projects are two-fold. The first objective is to examine the impact of demographic changes on the domestic macroeconomy and international capital flows. We employed an overlapping generations model incorporating investment adjustment costs to explore the relationship of a change in population structures with asset price and return. Furthermore, we attempted to clarify the impact of the lower growth of productive population on international capital movements and interest receipts from abroad. Second objective is to investigate profitability of net external assets. We particularly focused on outward direct investments, one of the major items in the Japanese external asset position in the recent years, and analyzed the return determinants, paying sufficient attention to the impact of tax erosion and risk premium for macro risk factors. In the research project, we also studied foreign exchange valuation effects.

Free Research Field

国際金融