As import-substitution industrialization yields to increasing market liberalization in Latin America in the 1990s, privatization assigns new roles to both the public and private sectors. After the decade of the debt crisis, a much weakened State will reorient its policy efforts to the difficult issues of limited fiscal and monetary choices, regulation of newly privatized firms, and long-postponed social programs. However, privatization represents a mhallenge for the private sector as much as it is an issue for the public sector. Foreign and domestic capital will be asked to play a critical role in revitalizing battered economies. New players, from penny-capitalists to pension funds, and new institutions, including dramatically altered banking systems and suddenly thriving stock markets, have recently appeared. The changing roles of public and private sectors and the implications of these developments are the focus of this book.

This volume treats various aspects of the Yugoslav economic model and focuses on the long-term program of stabilization undertaken by that country in the last few years. The contributors discuss such diverse topics as the country's socioeconomic relations, and problems and prospects for carrying out a long-term stabilization program. "Essays on the Yugoslav Economic Model" puts forth a number of assertions relating to the country's economic performance: that Yugoslavia must resort to greater reliance on markets; it must become more export oriented with a fully convertible currency; the country must rid itself of debilitating inflation; it must preserve a social policy consistent with its socialist principles.

This volume treats various aspects of the Yugoslav economic model and focuses on the long-term program of stabilization undertaken by that country in the last few years. "Essays on the Yugoslav Economic Model" puts forth a number of assertions relating to the country's economic performance: that Yugoslavia must resort to greater reliance on markets; it must become more export oriented with a fully convertible currency; the country must rid itself of debilitating inflation; it must preserve a social policy consistent with its socialist principles. Furthermore, Yugoslavia must take all of these measures and more within the constraints of the existing socio-political framework of socialist self-management and heterogeneous population. The contributors each agree that given the country's diversity, a resort to markets is the only meaningful option available.

This book provides key insights into how to control local government debts and optimize the makeup of debts in China. The rapid growth of investment in infrastructure on the part of local governments has offset the slowdown of investment growth in manufacturing and real estate and maintained the growth rate of 7.7% in 2013. However, local governments' debts have accumulated, which increases the risk of debt default and threatens the stability of China's financial system. The research suggests that increasing the proportion of issuing bonds in total debts would be the first step toward eliminating the debt risk. Second, the Chinese government should play its part; and lastly, the government should relinquish its administrative control and monopoly in order to allow the service industry to further develop.

As the decade of the 1980s draws to a close, international debt--and the role of international banks in solving the debt crisis--is considered by some to be the major problem facing the world's economies. This collection of essays, contributed by some of the nation's most respected thinkers, academics, policy advisors, and top ranking executives examines the world monetary system in terms of its institutions and mechanisms and their relationship to liquidity, exchange rates, credit creation, trade, and growth. Practicing professionals, academics, and all those interested in monetary theory will find this volume to be an excellent reference on questions of policy relating to international banking, world monetary system, and world economic growth in the late 1980s.

Japan and the European Union sets out to answer a number of crucial questions on the effect of Japan's international relations upon its internal affairs -- in particular how international issues, and Japan's growing relationship with the European Union, have come to penetrate the political economy and decision-making structure in Japanese industry and legislation. Japan/EU affairs have never been marked by any significant political relations, and until the past twenty years, they have been characterized by a reserved indifference. However, as a result of accelerated political and economic changes in the past decade, the two economic giants have made considerable efforts to nurture bilateral relations largely initiated by trade concerns. The author examines the development of this relationship informed by International Relations perspectives and taking into account the growing dependence of successful bilateral relations on the international political economy. Furthermore, Dr. Abe explains the attempt that has been made to resolve Japanese/EU disputes by way of a Joint Declaration. This includes an examination of the 1991 Automobile Agreement involving Japan, the EC Commission and the Japanese manufacturers; and the Liquor Tax dispute which ran from 1986-1995. Throughout this account, the concerns of the United States, and its impact on this relationship, are fully registered.

Ray presents a comprehensive review of U.S. trade policy since World War II, with particular emphasis on how that policy has affected developing countries. Special attention is given to trade policy shifts in the last twenty years in an attempt to determine whether or not U.S. trade concessions to developing countries contribute positively to their efforts to meet their considerable debt obligations. The author combines theoretical discussion with empirical data drawn from the seven leading debtor nations--Argentina, Brazil, Indonesia, Korea, Mexico, the Philippines, and Venezuela--in a provocative examination of the economic and sociopolitical causes and implications of changes in protectionism and the pattern of tariff and nontariff trade barriers in the last few decades.

Following an introductory analysis of the history of protectionism in the United States, Ray explores the role of the General Agreement on Tariffs and Trade (GATT) after World War II in eliminating protection and the impact on developing countries of the changes in tariffs and in the use of nontariff trade barriers under the auspices of GATT. Subsequent chapters deal with such issues as the reasons for the adoption of the Generalized System of Preferences (GSP) adopted in 1975, the relationship between U.S. trade policies since 1975 and the world debt crisis, the reasons behind the adoption of the Caribbean Basin Initiative in 1983, and the 1985 revision of the GSP. A separate empirical chapter assesses the effects of the new GSP legislation on exports to the United States from developing countries in general and from the severely indebted seven in particular. The final chapter is organized around three major themes: the future course of U.S. trade policy, the likely impact of the U.S.-Canada Free Trade Agreement on the United States and Canada, and the Uruguay Round negotiations and the implications of the Omnibus Trade and Competitiveness Act of 1988 on trade between the United States and the debtor nations. Students of international business, international politics, and economic development will find Ray's analysis of the relationship between trade protectionism and world debt an important contribution to current debates on the causes, effects, and solutions to the Third World debt crisis.

With six essays exploring different aspects of economic growth, poverty, inequality and social security, this book offers a critical perspective on India's development experience since independence. Incisive and empirically rich, the book opens up new vistas in development discourse and informs current policy debates.

The book analyzes the relationship between globalization and sustainable development. It presents analysis of the relationship between social and environmental conditions of sustainability. It explores the interaction between history of facts (globalization since the industrial revolution) and history of ideas (liberalism since Adam Smith). It focuses on generally neglected aspects such as health and social corporate responsibility.This book examines how consistent the post-war process of globalization has been with the basic requisites of sustainable development. It argues that the polarization of public opinion into support of either globalization or sustainable development has not helped an understanding of the issues, and that the confrontation should be abandoned.

In his penetrating analysis of Mexico's current economic, political, and social situation, Ramirez focuses on the major structural problems that underlie the nation's profound economic difficulties and the challenges they pose to its people. Writing for both economists and political scientists, Ramirez offers a framework of analysis for a better understanding of Mexico's economic crisis -- one based on an in-depth examination of both its historical origins and its present ramifications. The discussion is supported by comprehensive coverage of the relevant economic data, making this one of the most thorough treatments of the subject available in print.

Following an introductory chapter that provides essential background information, Ramirez addresses the historical and institutional background of the current situation. His study is unusually broad-based in scope, encompassing such issues as the social costs of modernization and the legacy of revolution during the first part of this century, Cardenas and the revolutionary process, economic growth via import-substitution policies, the exhaustion of the Mexican growth model during the 1970s and 1980s, the IMF austerity program. The final chapters present cogently argued policy recommendations -- including alternatives to the austerity measures imposed by international lending organizations. Ramirez's conclusions regarding the causes of Mexico's economic decline and his predictions for the country's economic future make an important contribution to the debate over Mexico's economic survival.

As a result of the financial crisis, the weaknesses of the Eurozone, including the public debt crisis, materialized in severe depressions in certain of its country members. In this monograph, the author analyzes structural weaknesses of the Eurozone and argues that they can be traced to (i) institutional differences, (ii) differences in the economic structures, (iii) the fundamental inability of European Bureaucracy to deal with crises, and (iv) the extreme rigidity of markets which prevents a general equilibrium in product and credit markets. He concludes that whether the Eurozone is sustainable, depends on future monetary and credit policies, and discusses the implications of reforming it in the best interest of the international banking and financial system. The recent policies of the ECB of "cheap" credit expansion are examined in detail. The approach of the work is along the lines of von Mises' and Hayek's Austrian tradition; additionally, substantive international empirical evidence supporting this Austrian approach is presented.

Kristi A. Olson asks: What is a fair income distribution? She rejects equal income shares: equal pay undercompensates workers in dangerous and onerous jobs. The envy test, which takes both income and work into account, fares better. Yet, a distribution in which no one prefers someone else's circumstances to her own-as the envy test requires-is unlikely to exist, and even when it does exist, the normative connection between envy and fairness has not been established. After critiquing existing answers, Olson invokes the idea of mutual justifiability: when someone claims that her situation should be improved at someone else's expense, she must be able to give a reason that cannot be reasonably rejected by a free and equal individual who regards everyone else as the same. To give the answer bite, Olson distinguishes two types of envy. Reasons based on personal envy can be reasonably rejected; reasons based on impersonal envy cannot. Olson then tests the solidarity solution against the theories of Ronald Dworkin, Philippe Van Parijs, and Marc Fleurbaey and applies it directly to the concrete issues of the gender wage gap and taxation. By providing a new approach to problems of fair resource allocation, The Solidarity Solution establishes philosophical discussion as critical to today's fight to end economic injustice.

Arguing that Britain's sterling policy had a significant impact on its colonial economic policy, this book focuses on the connection between Britain's sterling and balance of payments policy, colonial economic policy, and the British government's decision to transfer power to colonial peoples. The volume considers such factors as sterling policy and the state of the British economy, U.S. and Western European pressure for multilateralism in Britain's trade and commercial policy, the movement toward independence in colonial territories, and the cost of financing colonial development and welfare. The book argues that in the postwar years the assumptions guiding British policies for colonial political reform were undermined by postwar developments in Ghana, Nigeria, and the Malayan Federation--the three greatest dollar-earning colonies. As these colonies moved toward independence, their demands for development finance forced Britain to face the prospect of meeting such demands at great costs when the expenditure could not be justified. Britain extricated itself from this dilemma by transferring power to colonial peoples.

COVID-19 and the Response of Central Banks analyses the reactions of central banks to the COVID-19 crisis in Sub-Saharan Africa. It focuses on how the pandemic has affected the economic performance of Sub-Saharan African countries, many of which were already struggling with growth and sustainability. The first part of the book covers countries within monetary unions such as Cameroon, Congo, Senegal, and Cote d'Ivoire. In the second half, countries with their own independent central banks such as the Democratic Republic of Congo, Nigeria, Ghana, and Sierra Leone, are discussed. Chapters highlight the differences between monetary union membership and independent central banks during health crises and explore the role of central banking in minimizing the deleterious effects. This theoretical and empirical analysis of central bank reactions and monetary regimes in these Sub-Saharan African countries is important, useful information for central bankers and policymakers responsible for making decisions before, during, and post crises. Among others, graduate students interested in development analysis and how monetary policy works in Africa will also benefit from the insight in COVID-19 and the Response of Central Banks.

What actually was the economic situation in 1929 and what happened to the stock market? Harold Bierman's fresh look at the Crash of '29 provides provocative answers that challenge the "facts" and overturn previously held assumptions concerning the catastrophic events that led to ten years of economic depression and very likely created the fertile soil of despair and unrest that ultimately led to World War II. This cogent re-evaluation takes a different tack and arrives at a different set of conclusions than John Kenneth Galbraith's classic overview of the period, The Great Crash. Echoes of the great stock market price declines that ended ten years of the greatest prosperity the U.S. had ever experienced have continued to reverberate down the corridors of history. Bierman believes that a more complete understanding of these past events can enhance current market decisions; that by accurately assessing the stock market crash of 1929-1932, readers can better grasp the present market situation and more wisely forecast the future. Arriving at drastically different conclusions from most widely read books on the subject, the 11-chapter study takes the position that the stock market was not unreasonably high in October of '29, asserting that, in fact, there was reason for optimism. Bierman presents sound explanations for the initial decline that are not dependent on the assumption of overvaluation. He also clarifies the vital distinction between speculation and investment and shows how President Herbert Hoover's "war on speculation" may have contributed to the crash and subsequent depression. The first chapter outlines seven commonly held myths regarding 1929. Other chapters compare the stockmarket and profitability of corporations; attempt to determine whether RCA stock was outrageously overpriced or merely a reasonably priced growth stock; and look at the 1931 banking system hearings. The Mitchell, Wiggin, and Insull affairs are all given new, fact-based twists. Final chapters examine margin buying, probability, and short selling, develop important perspectives on the crash of 1987, and extract valuable lessons to be learned. The book effectively refutes prior notions and replaces them with solidly built, readable explanations that are most relevant to history courses dealing with the period or courses on investment in common stock. Any general reader with an interest in early twentieth century history or in investment will find this a rewarding read.

In the face of globalization, workers feel less secure in their jobs and fear wage losses and unemployment. This book explores these issues, asking whether the concerns are warranted.It brings together recent work in an important and rapidly expanding area. It provides comprehensive coverage of both theoretical and empirical aspects. It takes popular concerns about globalization seriously.Although economists have long pointed to the aggregate gains from increased economic integration, the popular perception of globalization is much more pessimistic.

The world is changing rapidly. The global economic crisis has called into question the political decisions that have been made by all countries for decades and has led to a re-formulation of tools and aims. Adjustments to the new situation are necessary and entail considerable economic and social costs. The Balkan and Black Sea area is an important reference point for the European and global economy. Accordingly, the study of the economic development in the area is of great interest, engaging politicians and scientists alike. Under this framework, the matter of the relation between the area's countries and the E.U., the role of the banking system and the importance of the primary sector of the economy as an important developmental factor for the countries' economies are of great importance. "

This is the first comprehensive presentation of how monetary policymakers can use market prices to produce price stability. Drs. Johnson and Keleher show why other, conventional methods have failed and why market prices are superior guides for setting monetary policy. Their book presents the rationale, history, and philosophy underlying their approach; offers three forms of empirical research evidence to support it; and then presents special methods to use market prices as policy setting guides. Important and challenging reading for monetary policymakers and economists, bankers, financial analysts, and professional investors, as well as their colleagues in the academic community with similar interests.

Substantial changes involving revolutions in telecommunications and information processing, financial deregulation, and the global integration of financial markets have altered the environment in which central banks operate. This altered environment has undermined various conventional approaches to monetary policy. This book presents an alternative market price approach to monetary policy. The approach is easily adapted to the above-cited change: it adopts a price stabilization policy goal and uses key market prices from the commodity, foreign exchange, and bond markets as guides to policy. Commodity prices, foreign exchange rates, and bond yields represent proxies for the exchange rate between domestic money and (1) commodities, (2) foreign monies, and (3) future money (bonds), respectively. These market prices are assessed in conjunction with one another to yield policy guidance to the monetary authority. This book describes how this approach is carried out in practice. Empirical evidence support the approach from three perspectives. First, empirical support exists for each of the individual market price indicators examined in isolation. Second, market price indicators provided accurate signals for monetary policymakers during the post-Bretton Wood era. Had this market price approach been used by policymakers, the performance of the macroeconomy during this period likely would have been improved. Third, at least one historical episode demonstrates that when the approach was employed, economic performance was impressive, and price stability was, in fact, achieved.

The authors provide an intimate knowledge of the fundamentals required to cope with the everchanging nature of the money and foreign exchange markets. Its emphasis is on the management of down to earth operations, covering how to read and take advantage of market quotations, the funds manager and the interaction between money and foreign exchange markets, funds management in a two-way market, problems and solutions in the trading room of a bank, problems and solutions of the multinational non-financial business, returns and risks, in foreign exchange operations, and control of foreign exchange and money market operations. This new edition is updated to account for recent changes and expanded to emphasize and broaden the treatment of money markets.

This book investigates the contemporary functioning of financial institutions and monetary policies in order to assess their effects in different economic situations. It advances some proposals to improve their contribution towards a more stable and vigorous economy in the context of both developed and developing countries. This book includes important contributions on the theory and econometric testing of monetary policy strategies, hedging by firms, financial liberalization in Latin America and the role of financial institutions in promoting economic development.

Based on extensive primary source analysis and in-depth interviews with key figures in the field of public debt administration and policy development, this volume presents a comprehensive history of the U.S. public debt from 1775--when the first debt was incurred to finance the Revolutionary War--to the present. The authors document how the public debt has accumulated and review the methods the government has employed to manage and administer it. They describe the impact of wars, depressions, and macroeconomic policy on the growth of the debt and detail how the handling of the debt was linked to the evolution of the banking system. Their goal throughout is to put the current debt situation into historical perspective, providing an objective evaluation of both the current levels of debt growth and the effectiveness of debt management policies and administration.

Following an introductory chapter, the study is arranged chronologically and begins with three chapters which describe the management of the public debt through 1900--a period during which the public debt was relatively small and its management simple. The debt was small, the authors show, because prevailing attitudes toward public finance fostered a fiscal system that relied on balanced budgets, except in wartime. The remaining chapters focus on twentieth century debt growth, administration, and management. A shift in policy away from balanced budgets and a public attitude of less concern about payment of the public debt have made federal budget deficits the norm, the authors demonstrate, and such running deficits require complex debt administration measures. The evolution of the system of debt management and administration that is coordinated by the Treasury Department, the Federal Reserve, and the Bureau of Public Debt is a major focus of these chapters. Challenging the views of many analysts and observers, the authors conclude that the recent growth of the public debt is no greater than that which has occurred in other periods, and that government policies of debt management and administration have been effective and timely and have made good use of modern technology. An important contribution to the literature of economic history, this book will also be of significant interest to scholars in economic policy, economic theory, and public policy.

In this edited collection, Joseph Stiglitz and Martin Guzman present a series of studies on contemporary macroeconomic issues. The book discusses a set of key lessons for macroeconomic theory following the recent global financial crisis and explores unconventional monetary policy in a post-crisis world. This volume is divided into five parts. The introduction includes keynote speeches by the Governors of the Bank of Japan and Central Bank of Jordan. Part one focuses on macroeconomic theory for understanding macroeconomic fluctuations and crises. Part two addresses the issue of the measurement of wealth. Part three discusses macroeconomic policies in times of crises. Finally, part four focuses on central banking and monetary policy.

Macroeconomics: Understanding the Global Economy, 3rd Edition is to help students and indeed anyone understand contemporary and past economic events that shape the world we live in, and at a sophisticated level. But it does so without focusing on mathematical techniques and models for their own sake. Theory is taken seriously so much so that the authors go to pains to understand the key aspects of theories in a way that will not put people off before they see how theories are useful to analyse issues. The authors believe that theories are essential to better understand the world, thus the book includes a wealth of historic and current episodes and data to both see how theories can help interpret the world and also to judge their validity. Economies today are very inter-connected; what happens in China matters pretty much everywhere; and what happens in one (even small) country in the euro zone has implications for the whole euro area and beyond, consequently Macroeconomics, 3rd Edition adopts a very international focus.

A worsening economic crisis due to the shift in wealth over the past decade is the central concern of this carefully documented study. It profiles the current status of income inequality in the United States and discerns disturbing trends for the future. A wealth of data are collected, evaluated, and simplified into a straightforward look at both the economic changes brought on by misguided reforms of the 1980s and a proposed system for measuring income inequality which may help clarify the issues pertinent to the debate.

Folke Dovring perceives the current U.S. economy as an imminent threat to our democratic system, and urges increased awareness of the variables which will effect its return to a healthy state of balance where income inequality, necessary to a certain degree, sustains productivity and individual incentives. A general overview of the facts and problems associated with income distribution, viewed from historical, geographical, and sociological perspectives, establishes the study's priorities, and is followed by the development of criteria which can more accurately estimate the nature and extent of income inequality, moving the study closer to recommendations for systematic public policy which may promote continued economic growth. The urgency with which Dovring addresses this topic and the thoroughness of his presentation will compel scholars and policymakers, especially those interested in poverty economics, to give immediate attention to the issue of economic inequality through informed, meaningful discussion.

This study investigates the econometric properties of the demand-for-money function as it affects monetary policy. Particular emphasis is placed throughout on the general properties of conventional and alternative demand-for-money specifications and on the predictability of those specifications over time. The data sets used for the econometric work of this study constitute an important contribution for the empirical demand for money literature. Most of the existing literature on money demand has been based on U.S. data. An important criticism of that literature is that the various hypotheses about post-1974 demand for money in the United States have been tested on the same body of data that originally suggested the hypotheses. Grivoyannis here uses a new data set-the Japanese data base-for the first time, comparing the results with those obtained for the United States. The comparison is justified because of the significant similarities between the U.S. and Japanese monetary sectors. Thus Grivoyannis is able to reliably test proposed explanations for the recent abnormal behavior of U.S. money demand on a different set of data and offer important new insights into the general properties of money demand functions.

Grivoyannis begins by examining conventional short-run demand-for-money specifications, presenting estimation and simulation results from log-level and log-first-difference specifications for both countries. These results are then compared with data-driven best-variable specifications. In Chapter 2, the author separates the demand for real M1 into the demand for currency and the demand for demand deposits in order to determine the main source of the function's instability. Sectorally disaggregated demands for real M1 by money holder are also examined in depth. Alternative specifications, which attempt to take into consideration institutional events as well as financial innovation and deregulation, form the focus of the third chapter. Grivoyannis' conclusions support the general suspicion among policy makers that the assumed stability of the money demand relationship has collapsed. Required reading for scholars of monetary policy, econometrics, and macroeconomics, this study will also be of significant interest to students of international finance and banking.