oecd vii causes of the recent widening current account imbalances have recently widenedraisingconcernsabout sustainability and protectionism over past two years a number countries in south east asia experi enced massive swings positions world trade growth has slowed sub stantially for some major widened sharply deficit united states is expected to increase from 1 per cent gdp 1996 3 this year whereas surplus japan projected widen european union eu remains relatively stable at just these movements reflect partly inter related factors counterpart adjustment financial crisis differences economic cyclical changes competitiveness as well under lying structural although percentage posi tions are not extreme those reached mid 1980s they begun raise policy concerns
