When are policy makers willing to make costly adjustments to their
macroeconomic policies to mitigate balance-of-payments problems?
Which types of adjustment strategies do they choose? Under what
circumstances do they delay reform, and when are such delays likely
to result in financial crises? To answer these questions, this book
examines how macroeconomic policy adjustments affect individual
voters in financially open economies and argues that the
anticipation of these distributional effects influences policy
makers' decisions about the timing and the type of reform.
Empirically, the book combines analyses of cross-national survey
data of voters' and firms' policy evaluations with comparative case
studies of national policy responses to the Asian Financial Crisis
of 1997/8 and the recent Global Financial Crisis in Eastern Europe.
The book shows that variation in policy makers' willingness to
implement reform can be traced back to differences in the
vulnerability profiles of their countries' electorates.
General
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