Wing Thye Woo noted that the paper aims to provide a characterization of net capital flows to emerging market economies (EMEs). Woo asked, as a basic conceptual matter, whether the period of investigation was 1997–2017? He asked if capital flows by themselves can be a source of instability. He said the current approach does not distinguish unstable capital flows during crises and asked whether such flows were free of history, which would impact capital flows directly. Woo also noted that a two-country model is applied to a multi-country world. He asked where is Japan's interest rate in the model as Japan is the second largest source of capital flows. Woo also asked about the interest rate for the Euro area.
Woo raised three minor technical issues. He said there is no consistent data source. Interest rate data are from the IMF, but the data for U.S. monetary policy are from...