4.6.1 Investor Behaviour in the Search for Yield
At the core of the financial crisis was an interplay between macroeconomic imbalances
and financial market developments. Since 2000 there has been an explosion of world
macro-imbalances, with very large current account surpluses occurring predominantly in
China, Japan and the oil-exporting countries and large, increasing current account deficits in
the US, the UK and other European countries. A key driver of those imbalances had been the