This is the fourth volume of Paul Davidson's major contributions to the economics and policy debates of our times, with writings on the debates surrounding the interpretation of the General Theory. The book contains professional articles, newspaper columns and papers that explain why Keynes' General Theory, as developed by Post Keynesian theorists, and provides important policy implications for the economic problems of the twenty-first century global economy.

This book brings together leading economists from continental Europe, the U.S. and the U.K. to examine the slow growth and other problems experienced by the Eurozone in it's early years, and the challenges which is now faces. The authors investigate the operation of monetary and fiscal policy in the Eurozone, the extent of structural reform and the reasons for it, and other topics from the possible inflation increases in the 2002 notes and coin changeover to financial integration.

A careful basic theoretical and econometric analysis of the factors determining the real exchange rates of Canada, the U.K., Japan, France and Germany with respect to the United States is conducted. The resulting conclusion is that real exchange rates are almost entirely determined by real factors relating to growth and technology such as oil and commodity prices, international allocations of world investment across countries, and underlying terms of trade changes. Unanticipated money supply shocks, calculated in five alternative ways have virtually no effects. A Blanchard-Quah VAR analysis also indicates that the effects of real shocks predominate over monetary shocks by a wide margin. The implications of these facts for the conduct of monetary policy in countries outside the U.S. are then explored leading to the conclusion that all countries, to avoid exchange rate overshooting, have tended to automatically follow the same monetary policy as the United States. The history of world monetary policy is reviewed along with the determination of real exchange rates within the Euro Area.

The European Economic and Monetary Union comprises twelve member states and forms a currency area of considerable size and, until now, remarkable stability. Still, however, discussion is going on whether it can survive as an institution providing the highest degree of monetary integration which is a single monetary policy for a group of member countries with divergent economic performance. It is also questioned whether it can withstand financial crises in international markets and contribute to the stability of the global financial system. The book addresses these questions with special emphasis on the need for new forms of economic policy coordination.

Foreign exchange black markets in Argentina, Brazil, Colombia, Jamaica and Peru were studied during the period 1990-93. This group of case studies presents a broad view of the phenomenon in Latin America at the beginning of the 1990s. This is not a traditional economic analysis of foreign exchange markets, for many reasons. Most importantly, since black markets are illegal by definition, they are not recorded in offical statistics and the participants are not easily identified. Nevertheless, these markets are often widely used and well known to people living in the Latin American countries, so it is possible to paint a reasonably accurate picture of them. The work is based largely on interviews with black market participants in each country. This primary means of collecting information was desirable because of the general lack of published sources of data or other records; though published information was also used when available. The book discusses foreign exchange black markets from a variety of perspectives, looking at who participates in them, how they function, and what impacts they have on local economies.

Financial capital, whether mediated through the financial market or Foreign Direct Investment has been a key factor in European economic growth. This book examines the interaction between European and global financial integration and analyses the dynamics of the monetary sector and the real economy in Europe. The key analytical focus is on the theoretical and empirical dynamics of financial markets in Europe, however, it also provides regional case studies of key institutional developments and lessons from foreign direct investment. There is a broad range of findings for Central, Eastern and Western Europe as well as EU Partner Countries. Crucially the analysis includes new approaches and options for solving the transatlantic banking crisis and suggests policy innovations for a world with unstable financial markets.

This book explores the role of political factors in the occurrence of currency crises, using an eclectic approach that blends case studies, a rigorous theoretical discussion, and econometric analysis.

The contributors present theoretical and empirical advances on business cycles analysis with particular attention to Euro-zone characteristics. The book also identifies applications of sophisticated tools by private and public institutions involved in the analysis of economic fluctuations.

Capitalizing on the extensive experience of the author in estimating shadow prices, Shadow Prices for Project Appraisal forges a bridge between theory and practice, explaining what shadow (or accounting) prices are, how they are used, and how they can be estimated. Starting from the basic principles of applied welfare economics, Elio Londero's book provides a step by step derivation of those formulas more frequently utilized in estimating shadow prices. The preparation and use of input-output techniques are examined in detail, and different estimation approaches and updating procedures are presented. Finally, a detailed case study of shadow prices for Colombia illustrates their practical application. This book will be essential reading for students and teachers interested in cost-benefit analysis, and in shadow prices as a specialized field of applied welfare economics. In addition, the book will be an invaluable source for applied economists and practitioners interested in calculating shadow prices.

The author examines the indirect macroeconomic roots of the global financial crisis and Eurozone debt crisis: the escalation of global trade imbalances between the US and China and regional trade imbalances in the Eurozone. He provides new insights into the sources and dynamics of power and instability in the contemporary global monetary system

This valuable book examines the interaction between economic ideas and the policy-making process in Europe, centred around the creation of European Monetary Union. The essays cover three broad areas: early debates on European monetary integration, economic thought at the European Community institutions, and the establishment of Economic and Monetary Union (EMU) in Europe. Core elements of the book are analyses of Europe's quest for exchange rate stability and of the debates on the nature of EMU and the path towards it. With the aid of crucial case studies, Ivo Maes goes on to chart the growing awareness among policymakers of the increasing interdependence between Europe's economies and the rise of a new medium-term, stability-oriented policy conception - both vital and necessary factors in the genesis of EMU. Drawing on the extensive experience of the author, both as an academic and a senior official involved in European economic policy-making, this book undoubtedly contributes towards a better understanding of the role of economic ideas in the process of European monetary integration. It will be an important addition to the literature on EMU and will be required reading for scholars and policymakers in the fields of economics, European studies and the history of economic thought.

Volatility is very much with us in today's equity markets. Day-to-day price swings are often large and intra-day volatility elevated, especially at market openings and closings. What explains this? What does this say about the quality of our markets? Can short-period volatility be controlled by better market design and a more effective use of electronic technology? Featuring insights from an international array of prominent academics, financial markets experts, policymakers and journalists, the book addresses these and other questions concerning this timely topic. In so doing, we seek deeper knowledge of the dynamic process of price formation, and of the market structure and regulatory environment within which our markets function.

The Zicklin School of Business Financial Markets Series presents the insights emerging from a sequence of conferences hosted by the Zicklin School at Baruch College for industry professionals, regulators, and scholars. Much more than historical documents, the transcripts from the conferences are edited for clarity, perspective and context; material and comments from subsequent interviews with the panelists and speakers are integrated for a complete thematic presentation. Each book is focused on a well delineated topic, but all deliver broader insights into the quality and efficiency of the U.S. equity markets and the dynamic forces changing them.

This volume presents a critical examination of the EMU from different perspectives. It includes essays on the political economy of currency unions, on the Growth and Stability pact, the European Central Bank, an evaluation of the first four years of the EMU, and the costs and benefits for Sweden as well as for Britain of adopting the euro. JAMES FORDER Lecturer in Economics, Balliol College, Oxford University, UK JAMES FOREMAN-PECK Professor in Economics and Director of the Welsh Institute for Research in Economics and Development at Cardiff Business School, UK JESPER JESPERSON Professor in Economics at Roskilde University, Denmark ARJO KLAMER Professor in Cultural Economics at Erasmus University, Rotterdam, the Netherlands HANS ALBIN LARSSON Professor in History at the School of Education and Communication, Jonkoping University, Sweden RENATE OHR Professor in Economics at the Georg-August University of G/ttingen, Germany ROLAND VAUBEL Professor in Economics at the University of Mannheim, Germany MARKET 1: Postgraduates and academics in the fields of Finance; European Economics and Development Economics

Financial authorities face a number of key challenges, including maintaining financial stability; ensuring long-term finance for stable economic growth; promoting greater access to financial services for both households and small and medium-sized enterprises (SMEs); and fostering a competitive financial industry. Access to finance for SMEs is particularly important, given their large shares in economic activity and employment in Asian economies. Striking the appropriate balance in achieving these objectives through financial supervision and regulation is an important policy issue for financial regulators. This book is the record of a joint conference in 2014 organized by the Asian Development Bank Institute; Financial Services Agency, Japan; and International Monetary Fund Regional Office for Asia and the Pacific on the topic of financial system stability, regulation, and financial inclusion. Participants included noted scholars, policymakers, and financial industrial participants from Asia. ADB Institute The ADB Institute, located in Tokyo, is the think tank of the Asian Development Bank. Its mission is to identify effective development strategies and improve development management in ADB's developing member countries. Financial Services Agency, Japan The Financial Services Agency, Japan is responsible for ensuring the stability of Japan's financial system, the protection of depositors, insurance policyholders and securities investors, and smooth finance through such measures as planning and policymaking. International Monetary Fund Regional Office for Asia and the Pacific The International Monetary Fund Regional Office for Asia and the Pacific contributes to economic surveillance and research, leads the IMF's involvement in regional cooperation, manages regional capacity building programs, and promotes the understanding and two-way dialogue of the IMF in the region.

This book examines how Japan should cope with fiscal challenges, as demands on the budget from an ageing society have necessitated the reigning in of public debt and the revamp of the pension and healthcare systems. It combines insights from academic research with the views of policymakers to distil key issues that need to inform public debate.

This book approaches macroprudential oversight from the viewpoint of three tasks. The focus concerns a tight integration of means for risk communication into analytical tools for risk identification and risk assessment. Generally, this book explores approaches for representing complex data concerning financial entities on low-dimensional displays. Data and dimension reduction methods, and their combinations, hold promise for representing multivariate data structures in easily understandable formats. Accordingly, this book creates a Self-Organizing Financial Stability Map (SOFSM), and lays out a general framework for mapping the state of financial stability. Beyond external risk communication, the aim of the visual means is to support disciplined and structured judgmental analysis based upon policymakers' experience and domain intelligence.

Part of The Elgar Series on Central Banking and Monetary Policy, this book explores challenges surrounding central banking today. It goes beyond the immediate concerns with monetary policy and focuses instead on the concept of central banking more generally. Chapter authors explore emerging fields of central bank's actions, discussing, for instance, how monetary policy can affect income distribution, how it has differentiated impacts according to gender, how it can help to deal with climate change, and how it can promote financial stability and structural change. Policy makers, academics and the financial press will all benefit from the insight in The Future of Central Banking.

Anna Kassulke provides a penetrating scrutiny of the most globally important concept of our time: money. Dr. Kassulke has gathered together a rich selection of money stories and characters, and shows how they function in terms of both our social relations as well as our psychological and cognitive makeup.

Money was invented when human beings minted coins. Then we printed paper money, and now we have e-cash. Or so the fiction of money's origins would have it. Dr. Kassulke unveils the purely mythological status money has in contemporary Western societies. She presents a wide range of concepts attached to money in its various forms, from coins to paper to e-cash. Examples are drawn from children's literature, popular novels, films, advertising, biographies, financial journalism, political-economic theory, and sociology.

With considerable sensitivity to both textual analysis and historical context, Kassulke provides a penetrating scrutiny of the most globally important concept of our time: money. She pinpoints how money's mythologies determine social relations as well as subjectivity. Perceptive, lucid, and elegant, "Cooking the Books" exposes an important area of cultural activity that will be of great interest to scholars and students in cultural studies, communications studies, and comparative literature.

This book examines the options for adopting an appropriate model of the exchange rate determination and its associated regime suitable for developing countries, with a case study of Indonesia. It examines exchange rate issues, develops market based, equilibrium and shadow pricing exchange rate models for developing countries, and suggests a suitable approach which is based on the consideration of all these three types of models and the choice of its associated exchange rate regime. This book shows that a credible exchange rate regime and policy, which reduces uncertainty in the exchange rate market, may mitigate the flight to currency from broad money, and ensure the stability and certainty for private sectors, especially in terms of export competitiveness.

The book examines the development and the dynamics of the personal distribution of income in Germany, Great Britain, Sweden and the United States and some other OECD countries. Starting with the distribution of labour income, the issue is then expanded to include all monetary incomes of private households and to adjust for household size by an equivalence scale. Some authors analyse one country in detail by decomposing aggregate inequality measures, other authors focus on direct comparisons of some features of the income distribution in Germany with those in Great Britain or in the United States. The results suggest dominant influences of unemployment as well as of tax and transfer policies and different welfare regimes, respectively, but also show that our knowledge about distributional processes is still limited.

This book discusses some of the challenges relating to macroeconomic and financial management in a volatile and uncertain world brought about by greater financial openness. It explores the implications of a key set of issues emanating from financial globalisation on emerging market economies in a rigorous but readable manner.

A comprehensive study of the international coordination of economic policy in a monetary union. It carefully discusses the process of policy competition and the structure of policy cooperation. As to policy competition, the focus is on competition between the union central bank, the German government, and the French government. Similarly, as to policy cooperation, the focus is on cooperation between the union central bank, the German government, and the French government. The key questions are: Does the process of policy competition lead to full employment and price stability? Can these targets be achieved through policy cooperation? And is policy cooperation superior to policy competition? Another important issue is monetary competition / monetary cooperation between Europe and America.

The creation of a single monetary currency and a single monetary policy in the euro area has faced extraordinary challenges, among them the design of suitable monetary policy instruments. This book evaluates monetary policy instruments of the Eurosystem against a number of requirements. To do so, a theoretical model framework is developed which brings together the monetary policy activities of a central bank and the liquidity management of banks considering the main characteristics and institutional features of the euro area.

Monetary Policy and the Onset of the Great Depression challenges Milton Friedman and Anna Schwartz's now-consensus view that the high tide of the Federal Reserve System in the 1920s was due to the leadership skills of Benjamin Strong, head of the Federal Reserve Bank of New York. In this new work, Toma develops a self-regulated model of the Federal Reserve, which stands in contrast to a conventional discretionary model. Given the easy redemption of dollars for gold and the competition among Reserve banks, the self-regulated model implies that the early Fed could control neither the money supply nor the price level. Exploiting an untapped data set, later chapters test the thesis of self-regulation by focusing on the monetary decisions of individual Reserve banks.
The micro-based evidence indicates that "Reserve banks really did compete" - and that Benjamin Strong as decisive leader during the 1920s is a myth. This finding, with its emphasis on monetary policy in the years leading up to the Great Depression, will be of interest to scholars, students, and sophisticated lay readers with an interest in macroeconomic and monetary economic policy issues, specifically to those with an interest in economic history.