Homework 9 (related with the 11th Week, 46th Reading Material): Here are given historical data of some crisis-stricken Eurozone countries before and at the 2008 global financial crisis. What is the relationship among cumulative current account balance, cumulative budget balance and % debt-GDP ratio across countries? Do you agree that all countries should be categorized as a single group? 1999-2007 (% of GDP) Cumulative Current Cumulative Budget % Debt-GDP Ratio Account Balance Deficit 2008 Greece -84 -47 109 - 26 Italy Belgium Portugal Ireland -8 102 47 -5 92 -96 -36 72 -21 14 43

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