The macroeconomic imbalances that lay at the root of the financial crisis must be righted, said Ignazio Visco, a deputy director general of the Bank of Italy, in a new paper.

Visco said that the rise in United States private - sector saving was due to cyclical, not structural, factors and that what happened as the world economy came out of the recession depended largely on what drove the recovery. He said that if there was an expansion of demand in the surplus countries some real correction of