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Role of risk aversion in countries' portfolio choices

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Figure 1: U.S. CA balance as a percentage of GDP - Source: World Bank World Development Indicators and Global Development Finance
Figure 2: U.S. Net Foreign Asset as a ratio of GDP - Source: World Bank World Development Indicators and Global Development Finance
Figure 3: Us Gross Long and Short Term External Debt Position - -Source: World Bank Quarterly External Debt Statistics
Figure 4: VIX Chicago Board Options Exchange Market Volatility Index - Source: Daily data from CBOE, annual average: author’s calculation
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