Monetary economics Books

Book SynopsisThe economies of the eurozone countries are plagued by multiple crises, which cast major doubts over the future of the euro. In this engaging new book, leading economist Malcolm Sawyer argues that the entire policy framework of the eurozone was fundamentally flawed from its foundation. He shows how these ‘design faults’ intensified the crisis and are now locking in perpetual self-defeating austerity. Sawyer proposes a bold alternative agenda for reviving the continent’s economic prosperity and saving the euro. He argues, however, that the required solutions are certain to encounter huge obstacles. He therefore concludes that Europe faces a bleak economic future, blighted by low growth, high unemployment and social division. This major contribution to one of the key economic debates of our time will be essential reading for everyone interested in Europe’s future.Trade Review"Malcolm Sawyer, like a safety inspector, examines the design faults of the European Union and highlights measures to make the European system safe. His book will be indispensable after the next financial crisis focuses European minds. I heartily endorse his analysis."Ann Pettifor, City University London "For an open-minded, clear and analytical discussion of the problems of the euro and the eurozone, the reader can do no better than Malcolm Sawyer’s book. Whatever one’s position on the single currency, this is a must-read." John Weeks, University of LondonTable of Contents Contents Preface Chapter 1 - The Euro Crises Chapter 2 - The Shaky Foundations of the Euro Project Chapter 3 - The Failures of the Euro Area Chapter 4 - An Agenda for Prosperity Chapter 5 - Barriers to Progress Endnotes References

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Book SynopsisThe economies of the eurozone countries are plagued by multiple crises, which cast major doubts over the future of the euro. In this engaging new book, leading economist Malcolm Sawyer argues that the entire policy framework of the eurozone was fundamentally flawed from its foundation. He shows how these ‘design faults’ intensified the crisis and are now locking in perpetual self-defeating austerity. Sawyer proposes a bold alternative agenda for reviving the continent’s economic prosperity and saving the euro. He argues, however, that the required solutions are certain to encounter huge obstacles. He therefore concludes that Europe faces a bleak economic future, blighted by low growth, high unemployment and social division. This major contribution to one of the key economic debates of our time will be essential reading for everyone interested in Europe’s future.Trade Review"Malcolm Sawyer, like a safety inspector, examines the design faults of the European Union and highlights measures to make the European system safe. His book will be indispensable after the next financial crisis focuses European minds. I heartily endorse his analysis."Ann Pettifor, City University London "For an open-minded, clear and analytical discussion of the problems of the euro and the eurozone, the reader can do no better than Malcolm Sawyer’s book. Whatever one’s position on the single currency, this is a must-read." John Weeks, University of LondonTable of Contents Contents Preface Chapter 1 - The Euro Crises Chapter 2 - The Shaky Foundations of the Euro Project Chapter 3 - The Failures of the Euro Area Chapter 4 - An Agenda for Prosperity Chapter 5 - Barriers to Progress Endnotes References

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Book SynopsisFew economic phenomena provoke as much confusion as money. From the first measures of value and the physical coins that circulated at the dawn human civilization to the era of ‘virtual’ money transmitted through cyberspace, it is ubiquitous and hugely important, yet economists cannot even agree on what it is. In this pithy, accessible book, Geoffrey Ingham cuts through this tangled web of debate to bring rare clarity. Ingham begins by examining the fundamental debate over the nature of money: is it fundamentally a natural, ‘neutral’ measure of pre-existing value produced by ‘real’ economic forces? Or is it a socially produced and politically manipulated force that creates new value? He proceeds to trace the import of these competing views for how we understand our contemporary monetary systems and their practical and policy-related implications, from their role in financial crises to proposals for reform. Students of political economy, economic sociology and monetary economics will find this book an invaluable primer, as will general readers wishing to understand how money shapes their lives, from the cash in their pocket to the numbers on their computer screen.Trade Review‘Geoffrey Ingham offers a masterful account of money as a social technology, contrasting it with mainstream monetary theory and focusing on the relations between states and markets. He does so with an impressive sweep from ancient history to the present.’Sheila Dow, University of Stirling ‘This is a brilliantly clear and succinct survey. Ingham provides a crisp and critical account of the major theories of money, together with a sharp analysis of contemporary forms of money such as Bitcoin and other alternative moneys. For anyone searching for a reliable and accessible way into the extraordinarily complex phenomenon of money, this book is a must-read.’Nigel Dodd, London School of Economics and Political ScienceTable of ContentsPart I What is Money? 1 Money’s Puzzles 2 The ‘incompatibles’ 3 A social theory of money and monetary systems Part II Capitalism and Money 4 The evolution of capitalist money 5 Modern money (i): states, central banks, and their banking system 6 Modern money (ii): ‘near’ money; ‘complementary’, ‘alternative’; ‘surrogate’ money; and ‘crypto currency’ 7 The Great Financial Crisis and the Question of Money 8 Some conclusions

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Book SynopsisThe Theory of Monetary Institutions covers free banking monetary thought and a theoretical account of the evolution of monetary institutions.Trade Review"The Theory of Monetary Institutions is a thorough and insightful treatment of the emergence and evolution of money and banking regimes. Professor White's brilliant exposition of alternative regimes is innovative and sheds a great deal of light upon the crucial features of contemporary money and banking institutions. This tour-de-force is a 'must-read'." Steve H. Hanke, The John Hopkins University "Larry White's The Theory of Monetary Institutions provides a very clear, extremely readable and up-to-date overview of monetary theory. White provides a uniquely insightful perspective into a difficult and controversial area, and his arguments and analysis are unbeatable. All monetary economists should read it." Kevin Dowd, University of Sheffield "White has written an academically rigorous text covering the theory of money, banking, and monetary policy. The text stands out from others in the way it describes the evolution of economists' thinking about monetary institutions. White excels in combining the historic with the contemporary, the abstract with the tangible, and the theoretical with the practical. The chapters on alternative monetary regimes will no doubt challenge many widely-held views about the proper role of government within an economy's monetary system." James A. Overdahl "Lawrence H. White has emerged as one of the most thoughtful monetary economists of his generation, and The Theory of Monetary Institutions fills an important lacuna in the literature. The book is mature and balanced; its encyclopedic knowledge of the literature covers a far broader range of material than conventional texts. I am aware of no other book that does such a superb job of placing institutional arrangements in theoretical and historical perspective." Hugh Rockoff, Rutgers UniversityTable of ContentsList of Figures and Tables. Preface. Acknowledgments. Part 1: The Evolution of Market Monetary Institutions:. The Mystery of Money. Menger's Theory Restated. Some Implications of the Theory. From Simple Commodity Money to Coins. Bank-Issued Money. Regular Par Acceptance. Clearing Arrangements. The Path to Fiat Money. Spontaneous Separation Between the Media of Redemption and Account?. Questions. Part II: Commodity Money:. Determining the Price Level. The Simple Stock-Flow Analytics of Gold Supply and Demand. The Historical Sources of Gold Supply Disturbances. The Benefits of a Gold Standard. The Resource Costs of a Gold Standard. Is a Gold Standard Worth the Resource Cost?. Questions. Part III: Money Issue by Unrestricted Banks:. The Purchasing Power of Money. Bank Optimization and the Equilibrium Quantity of Bank-Issued Money. Correcting Over-Issue by an Individual Bank. Correcting Over-Issue by the System as a Whole. Responding to Shifts in Demand. Shifts Between Deposits and Currency. Questions. Part IV: The Evolution and Rationales of Central Banking:. Central Banking Roles and Clearinghouse Associations. The Origins of Government Central Banks. Historical Cases. Questions. Part V: Should Government Play a Role in Money?. Is Some Aspect of Money a Public Good?. Are There Relevant External Benefits in the Choice of Which Money to Use?. Are There Relevant External Benefits to the Choice of How Much Money to Hold?. iv. Is the Supply of Base Money a Natural Monopoly?. Questions. Part VI: Should Government Play a Role in Banking? . The Problem of Bank Runs. Inherent Vulnerability in Theory: The Diamond-Dybvig Model. The Fragility of the Diamond-Dybvig Bank: A Numerical Example. Deposit Insurance in the Diamond-Dybvig Model. Criticism of the Diamond-Dybvig Model. Are Deposit Contracts Inherently Fragile?. Historical Evidence on Inherent Vulnerability. Is There a Natural Monopoly in Bank-Issued Money?. Questions. Part VII: Seigniorage:. The Sources of Seigniorage. Maximizing the Take from Seigniorage. Reserve Requirements. Other Legal Restrictions. The Dynamics of Hyperinflation. The Transition Between Steady States: Is Honesty a Government's Best Policy?. How Well Does Seigniorage Explain Actual Governments' Behavior?. Questions. Appendix. Part VIII: Central Bank as Bureaucracy:. Bureaucratic Explanation of the Fed's Operating Procedures. Bureaucracy and "inflationary bias". Questions. Part IX: Political Business Cycle Hypotheses:. The Nordhaus-MacRae Model. The Rational Expectations Critique. An Alternative Formulation: Wagner's Political Seigniorage Cycle. The "Partisan" Political Business Cycle Theory. Questions. Part X: Discretion and Dynamic Inconsistency:. The Kydland-Prescott Model. Positive Implications: Using the Model to Explain Changes in Inflation. Policy Implications Under Discretion. Rules Versus Discretion. Subsequent Literature. Questions. Appendix. Part XI: Monetary Rules:. Benefits and Burdens of Counter-Cyclical Policy. Independence for the Central Bank. Arguments for Rules. Friedman's Proposals. McCallum's Case for a Feedback Rule. Simple Versus Complicated Rules. Questions. Part XII: Competitive Supply of Fiat-Type Money:. i. Klein's Model with Perfect Foresight. ii. Klein's Model with "Imperfect Foresight". Is the Equilibrium Rate of Inflation Bounded under Imperfect Foresight?. Conclusion. Questions. Part XIII: Cashless Competitive Payments and Legal Restrictions:. The Greenfield-Yeager Proposal. Is Bundles-Worth Redemption Workable?. Other Concerns About the GY Proposal. The Legal Restrictions Theory. Historical Evidence on the Non-Coexistence Prediction. Questions. References. Index.

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Book SynopsisThe study of international economics has never been more vital than it is today. The past global financial crisis, the economic uncertainty in many advanced countries, increasing barriers to international trade, and currency crises have created challenges for both policy makers and corporate decision makers involved in international trade and finance. This book provides a concise and rigorous approach to the understanding of international trade and finance without relying on mathematical models or graphs. It explains the basis and pattern of trade, the effects of trade and trade policies on companies, national welfare, and the global economy. It explains the determination and changes in exchange rates. Finally, it describes the operation of the economy and examines the impact of national economic policies on the domestic economy and the rest of the world.Corporate managers and MBA students must learn the complex interrelationships between trade policies; the actions of central banks; and changes in government spending and taxes on interest rates, prices, exchange rates, and economic activity. This book adopts a nontechnical approach to explaining the basis for trade between countries and the role of firms in global trade and describes the effect of tariffs and fluctuations in exchange rates on a company’s sales, costs, and profits.

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Book SynopsisCryptocurrency EconomicsNew Critical Thinking about Monetary Change and the Development of Information CurrenciesAuthor and Economist Virginia B. Robertson shows how cryptocurrencies and Web3 are disrupting industries and transforming business practices globally, much like the advent of the Internet at the turn of the 21st century. Book is a primer for business owners and forward-thinking executives to learn details of this hard reality of fast-moving change. Readers will learn how to adapt their businesses to survive, and how to implement innovative new strategies that will enable their long-term success.Packed full of original ideas, tips, tactics, and inspiration for business owners this book provides a roadmap for business leaders to navigate the ongoing paradigm shift of decentralized finance and a revolution in new technologies whereby dollars will become a thing of the past.

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Book Synopsis"The United States of Europe" considers the post-WWII transition of Europe from a diverse and disparate continent to the economically integrated European Union of today. Initiated by the Benelux Customs Union, and later the European Coal and Steel Cooperation, the six-member European Economic Community was formed in 1957, becoming the EC in 1967, and finally the EU in 1992. This process of Europeanization reached its zenith in 1987 with the approval of the Single European act, creating a single market economy. This was followed in 1993 by the Maastricht Treaty, defining the intra-EU macro- and micro-economic parameters. The inauguration of a single common currency, the euro, on 1st January 1999 was a further innovative step, a process that has enabled the EU-27 to enjoy a competitive share of the world GDP and trade.Table of ContentsDedication. Acknowledgments. INTRODUCTION TO THE SERIES. Preface. List of Figures. List of Tables. Chapter 1 The Paradigm of a Continental Economy. Chapter 2 The European Union – An Economic Overview: A Paradigm of Unity in Diversity. Chapter 3 Historical Progression of the EU. Chapter 4 The Theory of Supranational Macroeconomics. Chapter 5 The Euro and the European Central Bank (ECB): Theory of Optimum Currency Area Revisited. Chapter 6 The Constitution for Europe: The Treaty of Lisbon. Chapter 7 The EU and the USA. Chapter 8 The EU: A Learning Model. Chapter 9 Challenges Ahead – Can Europe be Saved?. Chapter 10 The European Union: Search for Options. References. Subject Index. The United States of Europe: European Union and the Euro Revolution, Revised Edition. Contributions to Economic Analysis. The United States of Europe: European Union and the Euro Revolution, Revised Edition. Copyright page.

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Book SynopsisThe microeconomic foundation of the theory of money has long represented a puzzle to economic theory. Why is there Money? derives the foundations of monetary theory from advanced price theory in a mathematically precise family of trading post models. It has long been recognized that the fundamental theoretical analysis of a market economy is embodied in the Arrow-Debreu-Walras mathematical general equilibrium model, with one great deficiency: the analysis cannot accommodate money and financial institutions. In this groundbreaking book, Ross M. Starr addresses this problem directly, by expanding the Arrow-Debreu model to include a multiplicity of trading opportunities, with the resultant endogenous derivation of money as the carrier of value among them. This fundamental breakthrough is achieved while maintaining the Walrasian general equilibrium price-theoretic structure, augmented primarily by the introduction of separate bid and ask prices reflecting transaction costs. The result is foundations of monetary theory consistent with and derived from modern price theory. This fascinating book will provide a stimulating and thought-provoking read for academics and postgraduate students focusing on economics, macroeconomics, macroeconomic policy and finance, money and banking. Central bankers will also find much to interest them within this book. Contents: Introduction: Why is There No Money? 1. Why is There Money? 2. An Economy Without Money 3. The Trading Post Model 4. An Elementary Linear Example: Liquidity Creates Money 5. Absence of Double Coincidence of Wants is Essential to Monetization in a Linear Economy 6. Uniqueness of Money: Scale Economy and Network Externality 7. Monetization of General Equilibrium 8. Government-Issued Fiat Money 9. Efficient Structure of Exchange 10. Microfoundations of Jevons's Double Coincidence Condition 11. Commodity Money Equilibrium in a Convex Trading Post Economy 12. Efficiency of Commodity Money Equilibrium 13. Alternative Models 14. Conclusion and a Research Agenda Bibliography IndexTrade Review‘Starr’s brilliant little volume is the latest of a long line of attempts to integrate money and price (general equilibrium) theory. Within 160 pages and 14 dense chapters, the author synthesizes forty years of careful and painstaking research. He sets them against the background not only of the tradition inaugurated by Walras and carried on by Pareto, Hicks, Patinkin, Samuelson, Clower, Hahn, Kyotaki and Wright (to name but a few) but also of the no-less famous conflict between trust and authority at the origin of money (Frankel, 1977). Hence, and before discussing Starr’s trading post model, it seems not out of place to recall briefly the analytical history of these two central riddles in monetary theory.’ -- > Œconomia - History/Methodology/Philosophy‘This book makes compelling reading for anyone interested in exploring the foundations of monetary theory from a rigorous general equilibrium perspective.’ -- Gabriele Camera, Purdue University, US‘Introducing the Arrow-Debreu-Starr model of monetary general equilibrium, Professor Starr provides the best defense ever made for the relevance of the Walrasian model to the pure theory of money. While most monetary theorists ventured to the overlapping generations model and then to the search model, only to create recently a hybrid search-Walrasian model, Starr presents the culmination of a patient, career-long effort to integrate money into the basic Walrasian model, with realistic taxation critically helping the government’s money to dominate.’ -- Dror Goldberg, Bar Ilan University, IsraelTable of ContentsContents: Introduction: Why is There No Money? 1. Why is There Money? 2. An Economy Without Money 3. The Trading Post Model 4. An Elementary Linear Example: Liquidity Creates Money 5. Absence of Double Coincidence of Wants is Essential to Monetization in a Linear Economy 6. Uniqueness of Money: Scale Economy and Network Externality 7. Monetization of General Equilibrium 8. Government-Issued Fiat Money 9. Efficient Structure of Exchange 10. Microfoundations of Jevons’s Double Coincidence Condition 11. Commodity Money Equilibrium in a Convex Trading Post Economy 12. Efficiency of Commodity Money Equilibrium 13. Alternative Models 14. Conclusion and a Research Agenda Bibliography Index

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Book SynopsisIn the wake of the financial crisis of 2008, there has been increasing debate over the appropriate role of central banks in mitigating economic disaster. This timely volume combines detailed historical and econometric analyses to explore the profound changes that occurred within the US financial system from the 1980s to the present, and shows how these changes have affected the US economy.Hasan Cömert demonstrates how dramatic shifts in the financial system undermined the ability of the US Federal Reserve to control the price and quantity of credit. He identifies several key factors that facilitated this loss of control, including deregulation, rapid financial innovations, increased financial integration and a number of policy decisions implemented within the Federal Reserve itself. Through a combination of several methods, including historical and institutional analyses, descriptive statistics, simulation and econometric techniques, the author provides a well-rounded and vitally important picture of the US financial system and offers insightful policy recommendations for the future.Students, professors and policymakers with an interest in economics, finance, banking and monetary policy will no doubt find this book a fascinating and invaluable resource.Contents: Foreword 1. Introduction 2. The Co-evolution of Monetary Policy and the US Financial System: Declining Effectiveness of US Monetary Policy 3. Decreasing Balance Sheet Constraints on Financial Firms 4. Weakening Relationship between the Federal Funds Rate and Long-term Interest Rates: Decreasing Effectiveness of Monetary Policy in the US 5. Did the Fed Create the US Financial Crisis of 2008? 6. Concluding Remarks Bibliography IndexTrade Review'Hasan Cömert's timely book reaches us during the prolonged conditions of the global great recession. By providing a thorough and detailed econometric analysis of the institutional and historical developments of the hegemonic leader of capitalism, Cömert reveals that the simplistic monetary policy tools of the central banks of the so-called 'modern great moderation' era are over, and we are now at the crossroads of a paradigmatic shift. Cömert's book suggests itself as one of the first leading examples of this shift.' --Erinç Yeldan, Yasar University, Turkey'This provocative book shows that the Federal Reserve has, in the last four decades, gradually lost influence over credit and financial markets. This argument, supported by institutional analysis and econometric tests, has two explosive implications: first, Federal Reserve policy did not cause the subprime crisis; second, central banks no longer have instruments for intervening in economies whose growth they are now expected to restore. Anyone concerned with the future of global capitalism should consider Cömert s work as a matter of urgency.' --Gary Dymski, Leeds University Business School, UK and University of California, Riverside, US'Prior to the outbreak of the financial crisis in 2008, mainstream economists celebrated a 'New Consensus' on monetary policy in which independent central banks were assumed able to bring about a 'Great Moderation' of low inflation and high economic growth by manipulating short-term interest rates. In this important and interesting book, Hasan Cömert demonstrates convincingly, through institutional analysis and econometrics, that central banks lost control of the price and quantity of credit starting two decades before this celebration. He shows that central banks themselves, through their support of financial market deregulation and globalization, helped bring about both monetary policy impotence and the global crisis. It's a must-read.' --James Crotty, University of Massachusetts, Amherst, USTable of ContentsContents: Foreword 1. Introduction 2. The Co-evolution of Monetary Policy and the US Financial System: Declining Effectiveness of US Monetary Policy 3. Decreasing Balance Sheet Constraints on Financial Firms 4. Weakening Relationship between the Federal Funds Rate and Long-term Interest Rates: Decreasing Effectiveness of Monetary Policy in the US 5. Did the Fed Create the US Financial Crisis of 2008? 6. Concluding Remarks Bibliography Index

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Book SynopsisIn this impressive work, Norman Miller tackles a central - perhaps the central - puzzle in international finance: why it is that changes in exchange rates do not equalize returns across borders. In this comprehensive treatment, Miller surveys and synthesizes the recent empirical literature to develop a new interpretation of exchange rate behavior, incorporating a central role for the carry trade. All serious researchers in the field need to read this important book.'- Menzie Chinn, University of Wisconsin, US'This excellent book develops carefully all of the research on uncovered interest parity, the puzzles that arise from its poor empirical performance, and other puzzling features of exchange rate behaviour of the last 30-40 years. It also develops several fresh ideas on how to model exchange rates with a simple intertemporal model, which I find very appealing. The book will appeal to academics and graduate students working in international macroeconomics and finance, market participants, policy makers and their staff.'- Lucio Sarno, City University LondonThe Uncovered Interest Parity (UIP) puzzle has remained a moot point since it first circulated economic discourse in 1984. Despite a number of attempts at a solution, the UIP puzzle and other anomalies in exchange rate economics continue to perplex economic thought in international finance. This fundamental book fills gaps in the scholarly literature, suggesting new explanations for the many exchange rate anomalies.Exchange Rate Economics amalgamates key discourse, generating synthesis models that appear consistent with the UIP puzzle and related anomalies, uniquely bringing them together in one place. A thorough, current review of the literature is presented to provide an extensive analysis of exchange rate aberrations, which contributes numerous new explanations for these puzzling facts. Norman C. Miller probes into the perplexities of international finance and offers an alternative approach toward the UIP puzzle, invigorating and guiding future research.This timely book will be a useful tool for undergraduate and postgraduate students looking to acquire state of the art knowledge into exchange rate economics and international finance. Scholars and practitioners with an interest in the UIP puzzle and similar anomalies will find this book thought provoking and informative for further inquiry.Content: 1. Major Puzzles and Anomalies 2. Attempts to Solve Major Puzzles 3. The Intertemporal Approach to UIP 4. Key Features of the Synthesis Models 5. Synthesis Model I 6. Synthesis Model II 7. More Puzzles and Solutions 8. A UIP Framework with Regressive Expectations 9. Summary and Future Work IndexTrade Review‘In this impressive work, Norman Miller tackles a central – perhaps the central – puzzle in international finance: why it is that changes in exchange rates do not equalize returns across borders. In this comprehensive treatment, Miller surveys and synthesizes the recent empirical literature to develop a new interpretation of exchange rate behavior, incorporating a central role for the carry trade. All serious researchers in the field need to read this important book.’ -- Menzie Chinn, University of Wisconsin, US‘This excellent book develops carefully all of the research on uncovered interest parity, the puzzles that arise from its poor empirical performance, and other puzzling features of exchange rate behaviour of the last 30–40 years. It also develops several fresh ideas on how to model exchange rates with a simple intertemporal model, which I find very appealing. The book will appeal to academics and graduate students working in international macroeconomics and finance, market participants, policy makers and their staff.’ -- Lucio Sarno, City University LondonTable of ContentsContents: 1. Major Puzzles and Anomalies 2. Attempts to Solve Major Puzzles 3. The Intertemporal Approach to UIP 4. Key Features of the Synthesis Models 5. Synthesis Model I 6. Synthesis Model II 7. More Puzzles and Solutions 8. A UIP Framework with Regressive Expectations 9. Summary and Future Work Index

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Book SynopsisThis important book discusses European integration in a global economic setting, investigating the impact of China and Russia as emerging global players in the catching-up process in Central, Eastern and South-Eastern Europe. The expert contributors focus on global imbalances and accompanying policy challenges, competitiveness and trade, the sustainability of current growth strategies, and banking and financial stability in the light of the global economic and financial crisis. They provide a multi-disciplinary assessment, combining the views of high-ranking central bankers, policymakers, commercial bankers and academics, and demonstrate that a broad view of European economic integration is crucial given that spillovers and contagion were major issues of the recent economic crisis. This book will prove an illuminating read for academics, researchers, students and policymakers with an interest in international economics, money, finance and banking and European studies. Contributors: S. Aleksashenko, A. Aslund, M.D. Chinn, A. Csermely, L. Everaert, P. Harasztosi, W.J. Kooi, I. Korhonen, E. Liikanen, G.M. Milesi-Ferretti, P. Mooslechner, C. Moser, F. Moss, E. Nowotny, G.F. Papa, G. Pellenyi, D. Ritzberger-Grunwald, A.K. Rose, C. Schitter, G. Schnabl, J.-L. Schneider, A. Scott, M. Silgoner, D. Soskic, K. Steiner, L. Stemitsiotis, A. Tanku, M. Taube, J. Worz, H. Zemanek, M. ZhuTrade ReviewThe emergence of the BRICs and of China in particular has played an important if underappreciated role to the competitive difficulties of Greece, Portugal and other Southern European countries. The contributors to this volume warn that similar challenges now confront the economies of Eastern and South-Eastern Europe, many of which compete head to head with China in international markets. More reassuringly, the authors also specify an agenda for structural adjustment, product upgrading and deeper integration with Western Europe that offers hope for meeting the China challenge. --- Barry Eichengreen, University of California, Berkeley, USTable of ContentsContents: Preface PART I: CESEE, CHINA AND RUSSIA – SHIFTS IN GLOBAL ACTIVITY 1. The Economic Impact of China and Russia on the Catching-up Process in CESEE Ewald Nowotny 2. Global Shifts in the Balance of Economic Activity through the Emergence of China and Russia Erkki Liikanen PART II: GLOBAL IMBALANCES AND POLICY CHALLENGES 3. The Global Outlook, a Growth Strategy for Europe, and the Role of China Min Zhu, Alasdair Scott and Luc Everaert 4. China, East Asia and Global Rebalancing Menzie D. Chinn 5. Global Imbalances, Capital Flows and the Crisis Gian Maria Milesi-Ferretti 6. Oil Exporters’ Contribution to Global Imbalances Iikka Korhonen 7. German Unification and Intra-European Imbalances Gunther Schnabl and Holger Zemanek PART III: COMPETITIVENESS AND TRADE 8. Why do Trade Negotiations Take so Long? Christoph Moser and Andrew K. Rose 9. Global Trade, Regional Trade and Emerging Europe Loukas Stemitsiotis and Willem J. Kooi 10. Competition in the EU-15 Market: CESEE, China and Russia Christian Schitter, Maria Silgoner, Katharina Steiner and Julia Wörz 11. Opportunities and Challenges – the Impact of Chinese Competition on Hungarian Manufacturing Ágnes Csermely, Péter Harasztosi and Gábor Pellényi PART IV: ON THE SUSTAINABILITY OF CURRENT GROWTH STRATEGIES 12. Economic Problems Facing the Next Russian President Sergey Aleksashenko 13. Is the Catching-up Process in Central and Eastern Europe Sustainable? Anders Åslund 14. Short-term Outlook and Long-term Convergence in China, Russia and Eastern Europe Jean-Luc Schneider 15. The Impact of China and Russia on Catching up in South-Eastern Europe Altin Tanku 16. The Sustainability of the Catching-up Process – a Multidimensional Take Frank Moss PART V: BANKING AND FINANCIAL STABILITY 17. China’s Shadow Banking Sector – Pillar or Threat to the System? Markus Taube 18. Banking and Financial Stability in the Light of the Crisis from the Perspective of UniCredit Gianni Franco Papa 19. Banking and Financial Stability in the Light of the Crisis Dejan Šoškić Index

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Book SynopsisAt a time of renewed interest in Keynes, this volume provides an illuminating and forward-looking collection of papers. They explain the meaning of Keynes s great contribution and also show how that contribution can be developed further for application to modern economic policy issues. Most important, the papers explain the ways in which Keynes's methodological approach is so different from that which continues to dominate mainstream economics and how productive it would be if that approach were applied to our modern experience.'- Sheila Dow, University of Stirling, UK'This book celebrates the 75th anniversary of Keynes's General Theory, which has proved yet again to be an endless source of inspiration. These authors take The General Theory as a point of departure from which to address the problems of today from fresh perspectives. This volume is indeed Keynes for today - and tomorrow.'- Victoria Chick, University College London, UK'Keynes's General Theory for Today is a fine set of thoughtful and highly relevant essays. They relate several ideas of Keynes to today's happenings, putting forward modifications and extensions to take into account both short-term and long-term happenings in advanced capitalist economies. Especially useful are the investigations of Keynes's revolutionary methods of reasoning in economics, long abandoned by orthodox economists, to the great detriment of our understanding of what is happening and what may be done about it. These essays should be required reading for students, teachers and policy makers alike.'- G.C. Harcourt, University of New South Wales, AustraliaThe themes of this important new volume were chosen to mark the 75th anniversary of the publication of The General Theory of Employment, Interest and Money. The distinguished authors concentrate on the relevance of this seminal publication for macroeconomic theory, method and the politics of today. This is particularly pertinent as similarities with the 1930s are striking in terms of unemployment, low growth, financial fragility and the European monetary union resembling the gold standard.Illustrating new ways of understanding the importance of uncertainty in macroeconomics, particularly in view of the importance of finance and balance of payments imbalances within a monetary union, this book will prove a stimulating and challenging read for academics, researchers and students of macroeconomics, heterodox economics, and the methodology and history of economic thought.Contributors include: A. Carabelli, E. De Antoni, J. Galbraith, M. Hayes, J. Jespersen, M. Laine, N. Levy-Orlik, M.O. Madsen, T.D. Togati, A. Truger, J. Uxó, S. VossTrade Review'At a time of renewed interest in Keynes, this volume provides an illuminating and forward-looking collection of papers. They explain the meaning of Keynes's great contribution and also show how that contribution can be developed further for application to modern economic policy issues. Most important, the papers explain the ways in which Keynes's methodological approach is so different from that which continues to dominate mainstream economics and how productive it would be if that approach were applied to our modern experience.' - Sheila Dow, University of Stirling, UK 'This book celebrates the 75th anniversary of Keynes's General Theory, which has proved yet again to be an endless source of inspiration. These authors take The General Theory as a point of departure from which to address the problems of today from fresh perspectives. This volume is indeed Keynes for today - and tomorrow.' - Victoria Chick, University College London, UK 'Keynes's General Theory for Today is a fine set of thoughtful and highly relevant essays. They relate several ideas of Keynes to today's happenings, putting forward modifications and extensions to take into account both short-term and long-term happenings in advanced capitalist economies. Especially useful are the investigations of Keynes's revolutionary methods of reasoning in economics, long abandoned by orthodox economists, to the great detriment of our understanding of what is happening and what may be done about it. These essays should be required reading for students, teachers and policy makers alike.' --- G.C. Harcourt, University of New South Wales, AustraliaTable of ContentsContents: Introduction Jesper Jespersen and Mogens Ove Madsen 1. The General Theory: A Neglected Work?! M.G. Hayes 2. The Final Death and Next Life of Maynard Keynes James Galbraith 3. The Crisis in Macro and the Limitations of the Economics of Keynes – or Why the Master will not Return Unless his General Theory is Dressed up in Neo-modern Clothes Teodoro Dario Togati 4. Keynes on Method: Is Economics a Moral Science? Michael Lainé 5. A New Methodological Approach to Economic Theory: What I Have Learnt from 30 Years of Research on Keynes Anna Carabelli 6. Keynes’s Early Cognition of the Concept of Time Mogens Ove Madsen 7. When Keynes and Minsky Meet Mandelbrot. . . Stefan Voss 8. Keynes’s General Theory After 75 Years: Time to Re-read and Reflect Jesper Jespersen 9. The General Theory After the Sub-prime Crisis: A Minskyan Perspective Elisabetta De Antoni 10. Keynes’s Views in Financing Economic Growth: The Role of Capital Markets in the Process of Funding Noemi Levy-Orlik 11. Nothing Learned from the Crisis? Some Remarks on the Stability Programmes 2011–2014 of the Euro Area Governments Gregor Semieniuk, Till van Treeck and Achim Truger 12. European Economic Policy and the Problem of Current Account Imbalances: The Case of Germany and Spain Jorge Uxó, Jesús Paúl and Eladio Febrero Index

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Book SynopsisThe interplay between the macro-economic imbalances, notably in the relationship between the USA and China, and the more micro-economic shortcomings of the West's financial systems, particularly the lax regulation, forms the centre-piece of this excellently written book. In the disputes about the relative culpability of China and the USA for current macro-economic problems, they tend to support the Chinese arguments, and give well-considered arguments for so doing. This book provides an excellent, clear, and at times provocative, assessment of the course of the macro-monetary problems of the world since the 'great recession' struck.'- Charles A.E. Goodhart, London School of Economics, UKThis thought-provoking book addresses challenging questions raised in light of the aftermath of the global financial crisis that saw an accelerated rise in the economic growth of China and other emerging market economies, while the US, Japan and Europe have labored under the great recession.The authors examine global post-crisis reordering in a long-run context, identify five fundamental flaws in global bank business models and document the explosion of gross capital flows. They tackle difficult-to-answer lines of enquiry such as: can zero interest rates and quantitative easing lift the advanced world back to growth, or will they be dragged down by the overhang of debt? Might costs on savers, retirees and distortions to the pattern of global financing render zero rates counter-productive? What issues face the BRICs? Could 'China as number one' see the renminbi soon challenge the dollar and the euro as a major international currency?Providing a detailed analysis of the post-crisis world and the issues posed by the rise of China and emerging market economies relative to developed countries, this book will prove a stimulating account for academics, students and researchers in the fields of economics, money, finance and banking, and world trade. Bank and market economists as well as policymakers based in central banks, governments and think-tanks will also find this book to be an invaluable reference tool.Contents: Preface 1. The Rapidly Changing World Economy 2. The Great Recession 3. Global Finance and Payments Imbalances 4. The Role of Monetary Policy 5. The Post-crisis World 6. China's Prospects and Challenges 7. The US External Position 8. The Redback, the Greenback and the Troubled Euro 9. Conclusions References IndexTrade ReviewRichard Iley and Mervyn Lewis have written an extremely useful book on the global economy since the Western financial crisis. Well-written, well-informed and easily accessible to non-economists, it offers much good sense about many questions, from the future of the renminbi to that of the United States. They wisely urge that, as China's rise continues, the United States should engage with China rather than resist it. This is a book full of good judgement that deserves a wide readership. --Martin Jacques, author, When China Rules the World: The End of the Western World and the Birth of a New Global OrderTable of ContentsContents: Preface 1. The Rapidly Changing World Economy 2. The Great Recession 3. Global Finance and Payments Imbalances 4. The Role of Monetary Policy 5. The Post-crisis World 6. China’s Prospects and Challenges 7. The US External Position 8. The Redback, the Greenback and the Troubled Euro 9. Conclusions References Index

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Book SynopsisIn this timely and thought-provoking book, Eckhard Hein illustrates that the Great Recession, which hit the world economy in 2008/09, is rooted in the contradictions of finance-dominated capitalism. The author provides an in-depth exploration of the macroeconomics of finance-dominated capitalism, its problems and its crisis, and presents economic policy lessons and alternatives. In particular, he shows that since the early 1980s, finance-dominated capitalism has affected long-run economic developments via three distinct channels: - the re-distribution of income at the expense of low labor incomes, - the dampening of investment in real capital stock, - and an increasing potential for wealth-based and debt-financed consumption. The author concludes that against the background of these basic macroeconomic tendencies, increasing instability potentials at the national economy levels and rising current account imbalances at both global and European levels have developed and have contributed to the severity of the Great Recession. This systematic study of finance-dominated capitalism presented from a macroeconomic perspective will prove a thought-provoking read for academics, researchers, graduate students and economic policy consultants with an interest in macroeconomics, financial economics, economic policies, and distribution and growth.Trade ReviewEckhard Hein examines the causes and consequences of financialisation. His book is economics as it should always be: it combines reflections, data gathering, empirical analysis, theoretical formalization, and policy recommendations. Hein goes beyond the exuberant behaviour of the banking industry to analyse the global financial crisis and the eurozone crisis, showing, through various variants of a Kaleckian growth model, the macroeconomic consequences of the rising dominance of finance over modern capitalism during the last three decades. --Marc Lavoie, University of Ottawa, CanadaThe rise to dominance of finance in the past three decades has had many profound effects on economic performance. In this book Eckhard Hein provides us with detailed, well-grounded and highly insightful analyses of the macroeconomic impacts on investment, employment, global imbalances, income distribution and much more. This is 'must read' for those wanting to comprehend the macroeconomics of the era of financialization, and for those seeking macro-economic policies to address the financial crisis and bring economic prosperity. --Malcolm Sawyer, University of Leeds, UKTable of ContentsContents: Preface 1. Introduction 2. Finance-dominated Capitalism and Re-distribution of Income 3. Finance-dominated Capitalism, Capital Accumulation and Macroeconomic Regimes 4. Finance-dominated Capitalism and Long-run Productivity Growth 5. Finance-dominated Capitalism, Consumption, Household Debt and Instability 6. Finance-dominated Capitalism, Global Imbalances and Crisis 7. Requirements for Income-led Recovery and a Global Keynesian New Deal 8. The European Financial and Economic Crisis: Alternative Solutions from a Post-Keynesian Perspective 9. Summary and Conclusions References Index

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Book SynopsisHas the economic and financial crisis changed the way we conduct monetary policy? Is quantitative easing consistent with the endogeneity of money? These are but two of the questions this new book explores. The various contributors offer interesting and new perspectives on the conduct of monetary policy during the crisis, and provide sharp criticism of central bank policies in the US and Europe. Divided into two parts, this book presents a detailed, multi-faceted analysis of banking and monetary policy. The first part examines the role of central banks within an endogenous money framework. These chapters address post-Keynesian interest rate policy, monetary mercantilism, financial market organization and developing economies. In the second part of the book, the focus switches to the analysis of the financial crisis that began in 2007. The chapters in this section discuss the role of central banks in times of crisis. Monetary Policy and Central Banking is a must read for all those interested in the critical analysis of monetary policy. Students and scholars of post-Keynesian economics, banking, and financial crises will find this book of particular relevance. Contributors: A. Asensio, J. Bibow, R. Dimand, R. Guttmann, E. Kam, R. Koehn, M. Lavoie, E. Le Heron, N. Levy-Orlik, W. Mosler, S. Olawoye, L.-P. Rochon, M. Seccareccia, M. Setterfield, J. Smithin, D. Tropeano, K. von SeekammTable of ContentsContents: Introduction Louis-Philippe Rochon and Salewa ’Yinka Olawoye PART I: CENTRAL BANKING AND MONETARY POLICY 1. Between the Cup and the Lip: On Post Keynesian Interest Rate Rules and Long-term Interest Rate Management Angel Asensio 2. Stabilization Policy with an Endogenous Commercial Bank Mark Setterfield and Kurt von Seekamm 3. Capitalism in One Country? A Re-examination of Mercantilist Systems from the Financial Point of View Eric Kam and John Smithin 4. Proposals for the Banking System, the FDIC, the Fed, and the Treasury Warren Mosler 5. Financial Market Organizations, Central Banks and Credits: The Experience of Developing Economies Noemi Levy-Orlik PART II: CENTRAL BANK POLICY IN TIMES OF CRISIS 6. Financial Crisis, State of Confidence, and Economic Policies in a Post Keynesian Stock-flow Consistent Model Edwin Le Heron 7. Central Bank Responses to Financial Crises: Lenders of Last Resort in Interesting Times Robert Dimand and Robert Koehn 8. Central Banking in a Systemic Crisis: The Federal Reserve’s ‘Credit Easing’ Robert Guttmann 9. Monetary Policy in a Period of Financial Chaos: The Political Economy of the Bank of Canada in Extraordinary Times Marc Lavoie and Mario Seccareccia 10. The Euro and its Guardian of Stability: Fiction and Reality of the 10th Anniversary Blast Jörg Bibow 11. Quantitative Easing in the United States After the Crisis: Conflicting Views Domenica Tropeano Index

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Book SynopsisThere was a world BC (Before Crisis) and there will be a world AD (After Deleveraging) - the challenge is to create an effective, efficient yet stable and sustainable financial system for this 'new world'. This book provides the most comprehensive and thought-provoking basis for action I have seen so far.'- Paul Achleitner, Chair of Supervisory Board Deutsche Bank AG'The financial crisis demonstrated conclusively that for central bankers and other policymakers financial stability must always be of paramount concern, for without it the macroeconomy will perform badly and monetary policy will lose its effectiveness. This book underscores the importance of financial stability, laying out the key issues and what must be done to avoid such disasters in the future.'- William C. Dudley, President of the Federal Reserve Bank of New York, US'Since 2008, financial stability has moved to the center of the policy stage. This volume, combining contributions from leading policy makers and academics, is the essential introduction to the issues. Must reading.'- Barry Eichengreen, George C. Pardee and Helen N. Pardee Professor of Economics and Political Science, University of California, Berkeley, US'Financial stability is an overarching goal. In open and democratic societies, ensuring financial stability is a matter of interest not only to central bankers, academics and financial market players, but also to all well-informed citizens. This book provides an excellent basis for a wide-ranging and rewarding debate.'- Thomas J. Jordan, Chairman of the Governing Board of the Swiss National Bank'Financial stability is necessary. To achieve this common target an on-going dialogue is required between industry, policymakers, academia and other relevant stakeholders. This book provides a welcome and refreshing perspective from different standpoints on the issues at stake, and reminds us of the remaining work ahead.'- Axel Weber, Chair of Supervisory Board, UBSIn the aftermath of the financial crisis, new financial market regulation is being implemented, and increasing numbers of countries are establishing new legislation for macroprudential oversight. Against this backdrop, this thought provoking book provides a platform for the leading international experts to discuss and encourage future debate on financial stability.The breadth and scope of the issues addressed reflect the challenge of developing and consistently implementing a coherent set of financial reforms to promote financial stability. The book advocates the development of financial reforms that are effective in striking the optimal balance between realizing the enormous benefits of efficient financial intermediation, capital allocation and risk management on the one hand, and controlling systemic risks and maintaining financial stability on the other.Making an important contribution to deepening our understanding of the many facets of financial stability, this book will prove a challenging read for policy makers, regulators and central bankers as well as for researchers and scholars in the fields of economics, money, finance and banking.Contributors include: P. Angelini, S.N. Altimari, L. Bini Smaghi, M. Blessing, C.M. Buch, M.C. Burda, J.M. Campa Fernandez, M. Carney, J. Caruana, A. Dombret, W.P. Gaglianone, P. Hildebrand, V. Hofstätter, A. Ittner, K.H.W. Knot, U. Körner, C. Lagarde, J.-P. Landau, S. Lautenschläger, D.T. Llewellyn, O. Lucius, Y. Mersch, H. Nakaso, E. Nowotny, L.A. Pereira da Silva, W. Rothensteiner, A. Soares Sales, N. Sheets, P. Tucker, G. Tumpel-Gugerell, H. van Voorden, I. ViscoTrade Review‘[the book] addresses the stability of the entire financial system and does so exceptionally well. It is a critical analysis and a treasure trove of specialist information and analytical viewpoints for the subject matter expert.’ -- Banking & Finance Law Review‘With its comprehensive list of topics addressed by an eminent line-up of authors on an impressive 550 pages (including introductory pages and a brief index), this book indeed goes a long way towards shedding light on the difficult question to what extent, and how, stability of the financial system can realistically be achieved.’ -- Ernest Gnan, SUERF‘There was a world BC (Before Crisis) and there will be a world AD (After Deleveraging) – the challenge is to create an effective, efficient yet stable and sustainable financial system for this “new world”. This book provides the most comprehensive and thought-provoking basis for action I have seen so far.’ -- Paul Achleitner, Chair of Supervisory Board Deutsche Bank AG‘The financial crisis demonstrated conclusively that for central bankers and other policymakers financial stability must always be of paramount concern, for without it the macroeconomy will perform badly and monetary policy will lose its effectiveness. This book underscores the importance of financial stability, laying out the key issues and what must be done to avoid such disasters in the future.’ -- William C. Dudley, President of the Federal Reserve Bank of New York, US‘Since 2008, financial stability has moved to the center of the policy stage. This volume, combining contributions from leading policy makers and academics, is the essential introduction to the issues. Must reading.’ -- Barry Eichengreen, George C. Pardee and Helen N. Pardee Professor of Economics and Political Science, University of California, Berkeley, US‘Financial stability is an overarching goal. In open and democratic societies, ensuring financial stability is a matter of interest not only to central bankers, academics and financial market players, but also to all well-informed citizens. This book provides an excellent basis for a wide-ranging and rewarding debate.’ -- Thomas J. Jordan, Chairman of the Governing Board of the Swiss National Bank‘Financial stability is necessary. To achieve this common target an on-going dialogue is required between industry, policymakers, academia and other relevant stakeholders. This book provides a welcome and refreshing perspective from different standpoints on the issues at stake, and reminds us of the remaining work ahead.’ -- Axel Weber, Chair of Supervisory Board, UBSTable of ContentsContents: Preface Stability of the Financial System – An Introduction Mark Carney PART I: ABOUT FINANCIAL STABILITY 1. Financial and Fiscal Stability Beyond the Crisis Years: Two Paradigm Shifts and their Consequences Martin Blessing 2. Criteria for Financial Stability – The European View Andreas Dombret 3. Criteria for Financial Stability – A US View Nathan Sheets 4. Financial Stability in Brazil Luiz Awazu Pereira da Silva, Adriana Soares Sales and Wagner Piazza Gaglianone 5. From the Stability Pact to ESM – What Next? Claudia M. Buch 6. Economic Convergence – The Need for Economic Cooperation and Coordination Walter Rothensteiner and Valentin Hofstätter 7. Banking System and Financial Stability Andreas Ittner 8. Competition, the Pressure for Returns, and Stability Paul Tucker 9. Measuring Systemic Risk Jaime Caruana PART II: THE CONSEQUENCES OF FINANCIAL INSTABILITY 10. Sovereign Risk Lorenzo Bini Smaghi 11. Default of Systemically Important Financial Intermediaries: Short-Term Stability vs. Incentive Compatibility Yves Mersch 12. Systemically Important Banks – Possible Options for Policy Makers Klaas H.W. Knot and Hanne van Voorden 13. A Paradigm Shift: Resolution of Banks Jean-Pierre Landau 14. Consequences of Financial Shocks for the Real Economy Hiroshi Nakaso PART III: PREVENTION OF FINANCIAL INSTABILITY 15. The Economics of Financial Regulation Ewald Nowotny 16. A Strategic Approach to Post Crisis Regulation – The Need for Pillar 4 David T. Llewellyn 17. Regulation of Banks and the ‘Level Playing Field’ – The Case of Shadow Banking Otto Lucius 18. Enhancing Financial Stability – A Global Bank’s Perspective Ulrich Körner 19. Stable Liquidity and Funding Flows José Manuel Campa Fernández 20. How to Avoid Contagion and Spillover Effects in the Euro Zone? Michael C. Burda 21. The New European Supervisory System – Harmonisation and Macroprudential Oversight Sabine Lautenschläger 22. Macroprudential, Microprudential and Monetary Policies: Conflicts, Complementarities and Trade-Offs Paolo Angelini, Sergio Nicoletti-Altimari and Ignazio Visco 23. Why Central Banks need a Macroeconomic Toolkit Philipp M. Hildebrand 24. Lender of Last Resort – Which Institution Could Best Fulfil this Function? Gertrude Tumpel-Gugerell Stability of the Financial System: Illusion or Feasible Concept? An Epilogue Christine Lagarde Index

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Book SynopsisDespite the financial liberalization agenda of the mid-1980s, a system of bank oligopolies has developed in both large and small, open developing economies. Mainstream monetary theory tends to assume a capital markets structure and is therefore not well suited to an analysis of these economies. This book outlines a unique theoretical framework that can be used to examine monetary and exchange rate policies in developing economies or other economies in which banks dominate external finance.Giving the foreign exchange market a prominent role, this volume presents extensive econometric results and descriptive statistics to support core theoretical ideas, including both micro and macroeconomic models. Topics discussed include oligopoly market power, excess liquidity, bank concentration, interest rate spread and the implications of bank foreign exchange trading on exchange rate stability, foreign exchange rate regime choice and monetary management.Students and scholars of development economics, money and banking, and development finance will find this book a valuable resource, as will policy makers and others affiliated with central banks in developing economies.Contents: 1. Motivation and scope of study 2. Stylized facts and bank liquidity preference 3. Oligopolistic banking, compensation and financial stability 4. The bank liquidity trap 5. Compensation and endogenous money in an open economy 6. The investment demand constraint and the FX market 7. Concluding remarks References IndexTrade Review'One of the fundamental features of the financial system in most small island developing countries is the existence of oligopolistic banking systems. While economists have, for some time now, been working on developing models to explain the behaviour of firms in such market structures, this book is unique as it applies these tools to monetary models of the banking system. In doing so, the text highlights many of the important differences between banking systems in small states and those in larger and more developed markets. Applied researchers, policymakers, students and teachers examining the behaviour of financial systems in small states would find the text quite useful, as it provides fairly accessible theoretical models supported by relevant data and econometric analysis.' --Winston Moore, The University of the West Indies'In 162 pages this book makes an outstanding and novel presentation of the current functioning of the banking and foreign exchange markets in emerging economies and small open economies.' --Review of Keynesian EconomicsTable of ContentsContents: 1. Motivation and scope of study 2. Stylized facts and bank liquidity preference 3. Oligopolistic banking, compensation and financial stability 4. The bank liquidity trap 5. Compensation and endogenous money in an open economy 6. The investment demand constraint and the FX market 7. Concluding remarks References Index

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Book SynopsisBringing together the most important articles from leading authors in the field, Professor Geoffrey Miller's new collection, Economics of Securities Law, is an essential resource for students, policymakers and those interested in the history and current status of the subject. The papers included represent fundamental contributions that shaped later thinking, illustrate approaches that have proven durably influential or represent important challenges to conventional views. The collection also explores new approaches, such as behavioural economics, alongside 'Chicago School' papers, comparative analyses and influential works by people involved in the creation of laws governing modern securities markets.Table of ContentsContents: Introduction Geoffrey P. Miller PART I ORIGINS 1. Jonathan R. Macey and Geoffrey P. Miller (1991), ‘Origin of the Blue Sky Laws’, Texas Law Review, 70 (2), December, 347–97 2. William O. Douglas and George E. Bates (1933), ‘The Federal Securities Act of 1933’, Yale Law Journal, 43 (2), December, 171–217 PART II DISCLOSURE 3. George J. Stigler (1964), ‘Public Regulation of the Securities Markets’, Journal of Business, 37 (2), April, 117–42 4. George J. Benston (1973), ‘Required Disclosure and the Stock Market: An Evaluation of the Securities Exchange Act of 1934’, American Economic Review, 63 (1), March, 132–55 5. Gregg A. Jarrell (1981), ‘The Economic Effects of Federal Regulation of the Market for New Security Issues’, Journal of Law and Economics, 24 (3), December, 613–75 6. Frank H. Easterbrook and Daniel R. Fischel (1984), ‘Mandatory Disclosure and the Protection of Investors’, Virginia Law Review, 70 (4), May, 669–715 7. John C. Coffee, Jr. (1984), ‘Market Failure and the Economic Case for a Mandatory Disclosure System’, Virginia Law Review, 70 (4), May, 717–53 8. Paul G. Mahoney (1995), ‘Mandatory Disclosure as a Solution to Agency Problems’, University of Chicago Law Review, 62 (3), Summer, 1047–112 9. Douglas W. Diamond (1985), ‘Optimal Release of Information by Firms’, Journal of Finance, 40 (4), September, 1071–94 PART III EFFICIENT MARKETS 10. Eugene F. Fama (1970), ‘Efficient Capital Markets: A Review of Theory and Empirical Work’, Journal of Finance, Papers and Proceedings, 25 (2), May, 383–417 11. Michael C. Jensen (1978), ‘Some Anomalous Evidence Regarding Market Efficiency’, Journal of Financial Economics, 6 (2–3), June–September, 95–101 12. Charles M.C. Lee, Andrei Shleifer and Richard H. Thaler (1991), ‘Investor Sentiment and the Closed-End Fund Puzzle’, Journal of Finance, 46 (1), March, 75–109 13. Sanford J. Grossman and Joseph E. Stiglitz (1980), ‘On the Impossibility of Informationally Efficient Markets’, American Economic Review, 70 (3), June, 393–408 14. Ronald J. Gilson and Reinier Kraakman (2014), ‘Market Efficiency After the Financial Crisis: It's Still a Matter of Information Costs’, Virginia Law Review, 100 (2), April, 313–75 PART IV ASSET PRICING AND DIVERSIFICATION 15. Harry Markowitz (1952), ‘Portfolio Selection’, Journal of Finance, 7 (1), March, 77–91 16. William F. Sharpe (1964), ‘Capital Asset Prices: A Theory of Market Equilibrium Under Conditions of Risk’, Journal of Finance, 19 (3), September, 425–42 PART V SECURITIES CLASS ACTIONS 17. Jonathan R. Macey and Geoffrey P. Miller (1990), ‘Good Finance, Bad Economics: An Analysis of the Fraud-on-the-Market Theory’, Stanford Law Review, 42, April, 1059–92 18. John C. Coffee, Jr. (2006), ‘Reforming the Securities Class Action: An Essay on Deterrence and Its Implementation’, Columbia Law Review, 106 (7), November, 1534–86 19. Donald C. Langevoort (2009), ‘Basic at Twenty: Rethinking Fraud on the Market’, Wisconsin Law Review, 2009 (2), April, 151–98 Index Volume II An introduction to both volumes by the editor appears in Volume I PART I TAKEOVERS 1. Henry G. Manne (1965), ‘Mergers and the Market for Corporate Control’, Journal of Political Economy, 73 (2), April, 110–20 2. Frank H. Easterbrook and Daniel R. Fischel (1981), ‘The Proper Role of a Target’s Management in Responding to a Tender Offer’, Harvard Law Review, 94 (6), April, 1161–204 3. Lucian A. Bebchuk (1982), ‘The Case for Facilitating Competing Tender Offers’, Harvard Law Review, 95, 1028–56 4. Michael C. Jensen and Richard S. Ruback (1983), ‘The Market for Corporate Control: The Scientific Evidence’, Journal of Financial Economics, 11 (1–4), April, 5–50 PART II INSIDER TRADING 5. Henry G. Manne (1966), ‘In Defense of Insider Trading’, Harvard Business Review, 44, November–December, 113–22 6. Dennis W. Carlton and Daniel R. Fischel (1982), ‘The Regulation of Insider Trading’, Stanford Law Review, 35, May, 857–95 7. David D. Haddock and Jonathan R. Macey (1986), ‘A Coasian Model of Insider Trading’, Northwestern University Law Review, 80 (6), 1449–72 8. James D. Cox (1986), ‘Insider Trading and Contracting: A Critical Response to the “Chicago School”’, Duke Law Journal, 35 (4), September, 628–59 9. Lawrence R. Glosten and Paul R. Milgrom (1985), ‘Bid, Ask and Transaction Prices in a Specialist Market with Heterogeneously Informed Traders’, Journal of Financial Economics, 14 (1), March, 71–100 PART III BEHAVIOURAL FINANCE 10. Malcolm Baker, Jeffrey Wurgler and Yu Yuan (2012), ‘Global, Local, and Contagious Investor Sentiment’, Journal of Financial Economics, 104 (2), May, 272–87 11. David Hirshleifer (2001), ‘Investor Psychology and Asset Pricing’, Journal of Finance, 56 (4), August, 1533–97 12. Robert J. Shiller (2003), ‘From Efficient Markets Theory to Behavioral Finance’, Journal of Economic Perspectives, 17 (1), Winter, 83–104 13. Stephen J. Choi and A.C. Pritchard (2003), ‘Behavioral Economics and the SEC’, Stanford Law Review, 56 (1), October, 1–73 PART IV REGULATORY DESIGN 14. Roberta Romano (1998), ‘Empowering Investors: A Market Approach to Securities Regulation’, Yale Law Journal, 107, 2359–430 15. Jennifer H. Arlen and William J. Carney (1992), ‘Vicarious Liability for Fraud on Securities Markets: Theory and Evidence’, University of Illinois Law Review, 1992, 691–740 PART V THE ROLE OF SHAREHOLDERS 16. John C. Coffee, Jr. (1991), ‘Liquidity Versus Control: The Institutional Investor as Corporate Monitor’, Columbia Law Review, 91 (6), October, 1277–368 17. Marcel Kahan and Edward Rock (2011), ‘The Insignificance of Proxy Access’, Virginia Law Review, 97, 1347–434 18. Henry T.C. Hu and Bernard Black (2006), ‘Empty Voting and Hidden (Morphable) Ownership: Taxonomy, Implications, and Reforms’, Business Lawyer, 61 (3), May, 1011–70 PART VI COMPARATIVE PERSPECTIVE 19. Rafael La Porta, Florencio Lopez-de-Silanes and Andrei Shleifer (2006), ‘What Works in Securities Laws?’, Journal of Finance, 61 (1), February, 1–32 Index

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Book SynopsisThere has been a recent evolution in the relationship between modern monetary policy and central banking, visible in the now merged study of public economic choices made every day and the features of monetary architectures and institutions. Though previously separate focuses, these are now accepted by academic scholars and policymakers to be two critical areas that are intrinsically linked.Modern Monetary Policy and Central Bank Governance explores this change by bringing together the best research from experts in the field to achieve a comprehensive examination of the subject, innovatively addressing its two critical angles in a single volume.Trade Review'In the aftermath of the crisis, redesigning the institutional framework governing money and finance to foster financial stability has become a priority. This volume brings together key contributions that help elucidate the economic and political complexity that must be addressed to improve the governance of central banks and their contribution to economic and financial stability.' -- Athanasios Orphanides, Professor of the Practice of Global Economics and Management, MIT Sloan School of ManagementTable of ContentsContents Acknowledgements Introduction Sylvester Eijffinger and Donato Masciandaro PART I MONETARY POLICY: HOW TO GOVERN MONEY AND INTEREST RATES A New Classical View: Rational Expectations, Monetary Policy and Central Bankers 1. Thomas J. Sargent and Neil Wallace (1981), ‘Some Unpleasant Monetarist Arithmetic’ 2. Robert J. Barro and David B. Gordon (1983), ‘Rules, Discretion and Reputation in a Model of Monetary Policy’ 3. Kenneth Rogoff (1985), ‘The Optimal Degree of Commitment to an Intermediate Monetary Target’ 4. Susanne Lohmann (1992), ‘Optimal Commitment in Monetary Policy: Credibility Versus Flexibility’ 5. Sylvester C.W. Eijffinger and Marco Hoeberichts (1998), ‘The Trade Off Between Central Bank Independence and Conservativeness’ B New Keynesian View: Market Imperfections, Monetary Policy and Real Effects 6. Ben S. Bernanke and Mark Gertler (1995), ‘Inside the Black Box: The Credit Channel of Monetary Policy Transmission’ 7. Richard Clarida, Jordi Galí and Mark Gertler (1999), ‘The Science of Monetary Policy: A New Keynesian Perspective’ 8. Michael Woodford (2003), ‘Optimal Interest-Rate Smoothing C Merging the Views: Monetary Policy and the Engineering of Rules and Institutions 9. John B. Taylor (1993), ‘Discretion Versus Policy Rules in Practice’ 10. Dale W. Henderson and Warwick J. McKibbin (1993), ‘A Comparison of Some Basic Monetary Policy Regimes for Open Economies: Implications of Different Degrees of Instrument Adjustment and Wage Persistence’ 11. Torsten Persson and Guido Tabellini (1993), ‘Designing Institutions for Monetary Stability’ 12. Carl E. Walsh (1995), ‘Optimal Contracts for Central Bankers’ 13. Lars E.O. Svensson (1997), ‘Optimal Inflation Targets, “Conservative” Central Banks, and Linear Inflation Contracts’ PART II CENTRAL BANKING: HOW TO DESIGN THE MONETARY ARCHITECTURES A Central Bank Independence 14. Vittorio Grilli, Donato Masciandaro and Guido Tabellini (1991), ‘Political and Monetary Institutions and Public Financial Policies in the Industrial Countries’ 15. Alex Cukierman, Steven B. Webb and Bilin Neyapti (1992), ‘Measuring the Independence of Central Banks and Its Effect on Policy Outcomes’ 16. Alberto Alesina and Lawrence H. Summers (1993), ‘Central Bank Independence and Macroeconomic Performance: Some Comparative Evidence’ 17. Bennett T. McCallum (1995), ‘Two Fallacies Concerning Central-Bank Independence’ 18. Adam S. Posen (1995), ‘Declarations Are Not Enough: Financial Sector Sources of Central Bank Independence’ 19. Charles Goodhart and Dirk Schoenmaker (1995), ‘Should the Functions of Monetary Policy and Banking Supervision be Separated?’ B Central Bank Accountability and Transparency 20. Clive Briault, Andrew Haldane and Mervyn King (1996), ‘Central Bank Independence and Accountability: Theory and Evidence’ 21. Otmar Issing (2005), ‘Communication, Transparency, Accountability: Monetary Policy in the Twenty-First Century’ 22. Sylvester C.W. Eijffinger and Petra M. Geraats (2006), ‘How Transparent are Central Banks?’ C Central Bank Communication 23. Alex Cukierman and Allan H. Meltzer (1986), ‘A Theory of Ambiguity, Credibility and Inflation under Discretion and Asymmetric Information’ 24. Marvin Goodfriend (1986), ‘Monetary Mystique: Secrecy and Central Banking’ 25. Alan S. Blinder, Michael Ehrmann, Marcel Fratzscher, Jakob de Haan and David-Jan Jansen (2008), ‘Central Bank Communication and Monetary Policy: A Survey of Theory and Evidence’

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Book SynopsisIn this book, outstanding political economists provide wide-ranging and accessible essays on the global monetary system and its interaction with dynamic and crisis-prone financial markets. The essays are filled with fresh and well-articulated insights. This timely survey of an increasingly important field deserves a prominent place on the syllabi of graduate and advanced undergraduate courses in international political economy, global governance, and international finance.'- Louis W. Pauly, University of Toronto, Canada'Here is an intellectual feast for anyone interested in the political economy of international monetary and financial systems, served up by an impressive collection of experts. Students and specialists alike can gorge themselves on the many fascinating analyses of core issues and latest debates in the field. Highly recommended for anyone with an appetite to learn more about global money and finance.'- Eric Helleiner, University of Waterloo, CanadaThis extensive Handbook provides an in-depth exploration of the political economy dynamics associated with the international monetary and financial systems. Leading experts offer a fresh take on research into the interaction between system structure, the self-interest of private firms, the political institutions within which governments make policy, and the ideas that influence beliefs about appropriate policy responses. Crucially they also assess how these factors have shaped the political economy of various facets of monetary and financial systems.Organized into four comprehensive sections, the Handbook begins with a focus on the international system and explores how the distribution of power in the system shapes its structure and dynamics. The next section then considers the politics of exchange rate regime choice before analyzing current research on financial crises and financial regulation. Key questions are asked, such as: what drives financial crises and why do some economies suffer banking and currency crises while others do not? How does politics shape the central characteristics of the IMF s approach to crisis management? And how does change in the distribution of power in the international system change the structure of the global monetary and financial systems? The Handbook addresses these concerns and concludes with an examination of international governance, including the IMF and institutional reform in the post-crisis eurozone.This detailed Handbook brings together original contributions from some of the leading authorities in the field, making it an invaluable resource to academics and students of international relations, governance, and political economy.Contributors: L.E. Armijo, D.H. Bearce, G. Bird, P.G. Cerny, M. Chang, H.-k. Chey, E.M.P. Chiu, S. Cooper, J. Echeverri-Gent, K.A. English, Y.H. Ferguson, J. Grittersová, M.J. Lee, R.W. Mansbach, B. Momani, T. Oatley, T.B. Pepinsky, D. Rowlands, H. Schwartz, W.T. Selmier II, A.C. Sobel, S. Walter, H. Wang, T.D. Willett, W.K. Winecoff, K. Young, E. YujuicoTrade Review‘In this book, outstanding political economists provide wide-ranging and accessible essays on the global monetary system and its interaction with dynamic and crisis-prone financial markets. The essays are filled with fresh and well-articulated insights. This timely survey of an increasingly important field deserves a prominent place on the syllabi of graduate and advanced undergraduate courses in international political economy, global governance, and international finance.’ -- Louis W. Pauly, University of Toronto, Canada‘Here is an intellectual feast for anyone interested in the political economy of international monetary and financial systems, served up by an impressive collection of experts. Students and specialists alike can gorge themselves on the many fascinating analyses of core issues and latest debates in the field. Highly recommended for anyone with an appetite to learn more about global money and finance.’ -- Eric Helleiner, University of Waterloo, CanadaTable of ContentsContents: 1. The Political Economy of the International Monetary and Financial Systems Thomas Oatley and W. Kindred Winecoff PART I: STRUCTURE, POWER, AND THE GLOBAL FINANCIAL SYSTEM 2. Financial Roots of Hegemony, Cooperation, and Globalization Andrew C. Sobel 3. Political Economy of Currency Internationalization Hyoung-kyu Chey 4. The Political Economy of the Contemporary Dollar Standard Thomas Oatley 5. Global Imbalances and the International Monetary System Herman Schwartz 6. The Triffin Dilemma, the Lucas Paradox, and Monetary Politics in the 21st Century W. Kindred Winecoff 7. The Renminbi-Dollar Relationship: Politics and Economics of a Diminishing Issue Yale H. Ferguson 8. Absolute or Relative Gains? How Status Quo and Emerging Powers Conceptualize Global Finance Leslie Elliott Armijo and John Echeverri-Gent PART II: THE POLITICAL ECONOMY OF EXCHANGE RATES Core Theoretical Perspectives 9. Private Actor Exchange Rate Policy Preferences Stephanie Walter 10. Domestic Institutions and Exchange Rates David H. Bearce Regional Exchange Rate Systems 11. Exchange Rates In Transition Economies Jana Grittersová 12. Currency Unions in the Developing World Scott Cooper 13. The Political Economy of Exchange Rates in East Asia Hongying Wang PART III: GLOBAL FINANCE: CRISES AND REGULATION 14. Financial Crises and the Politics of Adjustment and Reform Thomas B. Pepinsky 15. Fixed Exchange Rate Regimes and Financial Markets as Sources of Macroeconomic Discipline Thomas D. Willett, Eric M.P. Chiu and Stefanie Walter 16. The Politics of Global Financial Regulation Kevin Young 17. Why Club Goods Proliferated in Investment Finance W. Travis Selmier II 18. Rethinking Financial Regulation: Risk, Club Goods, and Regulatory Fatigue Philip G. Cerny 19. The Gnomes of Zurich Meet the Dogs of War: Financial Leadership and Regulation, 1850–2013 Michael Lee PART IV: INTERNATIONAL MONETARY INSTITUTIONS 20. Financial Governance in a Globalizing World Richard W. Mansbach 21. IMF Programs: Participation, Implementation, and Effects Graham Bird and Dane Rowlands 22. In Lieu of an Anchor: The Fund and its Surveillance Function Bessma Momani and Kevin A. English 23. The EU and the Euro Michele Chang 24. Our (Gracious?) Benefactors: US, Japan, China and East Asian Monetary Relations Emmanuel Yujuico Index

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Book SynopsisWhat is the link between the financial cycle -financial booms, followed by busts - and the real economy? What is the direction of this link and how salient is this connection? This unique book examines these fundamental questions and offers a paramount contribution to the debate surrounding the recent financial and economic crisis.With contributions from eminent academics and policy makers, this multi-disciplinary collection ascertains the policy challenges perpetuated by financial cycles in the real economy. Prominent macroeconomic models are challenged as experts question the nexus between financial deepening and growth, and assess the contribution of real estate bubbles to financial crises. Focusing on Europe, and in particular on Central, Eastern and South-Eastern Europe, the collection provides country-specific accounts, suggesting policy initiatives for dealing with financial cycles. The book concludes that financial cycles are leading indicators for financial crises and calls for economists to integrate financial factors into macroeconomic modeling.The multi-faceted nature of this book will be invaluable to researchers and students interested in the post financial crisis debate. Policy makers and practitioners will find the expert insight into lessons learned in Europe in the wake of the financial crisis and the proposal for dynamic policy initiatives to be invaluable.Contributors: J. Asmussen, M. Belka, D. Bernhofer, C. Borio, C.M. Buch, G. M. Caporale, K. D'Hulster, M. Dumi i , O. Fernández-Amador, M. Gächter, U. Herman, O. Holtemöller, B. Jazbec, M. Lozej, D. Mihaljek, B. Mijailovi , E. Nowotny, E. Ortega, J. Peñalosa, C. Rault, F. Sindermann, V. o i , A. Sova, R. Sova, A. Subelyte, J.W. van den End, P. van den Noord, A. Winkler, E. Zamrazilová, V. árekTable of ContentsContents: Preface PART I: FRAMING THE DISCUSSION ON THE FINANCE-GROWTH NEXUS 1. Towards a European Perspective on Financial Integration Ewald Nowotny 2. The Financial Ccycle and Macroeconomics: What Have We Learned and What are the Policy Implications? Claudio Borio 3. Do We Need New Modelling Approaches in Macroeconomics? Claudia M. Buch and Oliver Holtemöller 4. Economic Convergence Across Central, Eastern and South-Eastern Europe: Achievements and Challenges Jörg Asmussen PART II: CREDIT CYCLES, CENTRAL BANK POLICY AND THE REAL ECONOMY IN CESEE 5. Capital Flows as a Source of Funding in a Catching-up Economy: Lessons from the Crisis, Challenges for the Future Marek Belka 6. Synchronisation and Decoupling of Cycles in Slovenia Boštjan Jazbec, Uroš Herman and Matija Lozej 7. Credit Cycles and Central Bank Policy in Croatia: Lessons from the 2000s Mirna Dumičić and Vedran Šošić 8. Two Czech Crises Revisited: Panta Rhei Eva Zamrazilová and Václav Žďárek PART III: REAL ESTATE BUBBLES AND THE FINANCIAL CRISIS 9. Do We Understand What Drives House Prices? Dubravko Mihaljek and Agne Subelyte 10. The Real Estate Sector and the Financial Crisis: the Spanish Experience Eloísa Ortega and Juan Peñalosa 11. Housing Bubbles: What are their Causes and Can We Get Rid of Them? Paul van den Noord PART IV: THE FINANCE-GROWTH NEXUS: IMPLICATIONS FOR CESEE 12. Finance, Growth and Crisis – a European Perspective Adalbert Winkler 13. The Finance-growth Nexus: Evidence from Ten New EU Members Guglielmo Maria Caporale, Christophe Rault, Anamaria Sova and Robert Sova 14. Finance, Potential Output and the Business Cycle Dominik Bernhofer, Octavio Fernández-Amador, Martin Gächter and Friedrich Sindermann PART V: THE POLICY RESPONSE IN EUROPE: HOW TO DEAL WITH THE FINANCIAL CYCLE 15. Building Resilient Financial Systems in the CESEE Region Katia D'Hulster 16. How to Deal with the Financial Cycle – the Case of Serbia Bojana Mijailović 17. Financial Cycles and Macro-prudential Policy Jan Willem van den End Index

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Book SynopsisThe Demise of Finance-Dominated Capitalism goes well beyond the dominant interpretation that the recent financial and economic crises are rooted in malfunctioning and poorly regulated financial markets. The book provides an overview of different theoretical, historical and empirical perspectives on the long-run transition towards finance-dominated capitalism, on the implications for macroeconomic and financial stability, and ultimately on the recent global financial and economic crises.In the first part of the book the macroeconomics of finance-dominated capitalism, the theories of financial crisis and important past crises are reviewed. The second part deals with the 2007-09 financial and economic crises in particular, and discusses five explanations of the crises in more detail. The special focus of the book is the long-run problems and inconsistencies of finance-dominated capitalism that played a key role in the crisis and its severity.The comprehensive literature reviews on the issues of financialization and economic crises will be a valuable aid to students. Policy makers will find the broader views on the causes of the recent financial and economic crises and the contradictions of finance-dominated capitalism of great interest. Alternative views on the long-run developments towards financialization, as well as on the relationships of these developments with the recent financial crises, will appeal to researchers in this field.Contributors: R. Barradas, N. Budyldina, C.A. Carrasco, D. Detzer, N. Dodig, T. Evans, G. Gabbi, E. Hein, H. Herr, A. Kalbaska, S. Lagoa, E. Leão, J. Michell, Ö. Orhangazi, F. Serrano, A. VercelliTable of ContentsContents: List of contributors Acknowledgements Introduction Eckhard Hein, Daniel Detzer and Nina Dodig 1. The Transition Towards Finance-dominated Capitalism: French Regulation School, Social Structures of Accumulation and Post-Keynesian Approaches Compared Eckhard Hein, Nina Dodig and Natalia Budyldina 2. Finance-dominated Capitalism, Distribution, Growth and Crisis – Long-run Tendencies Eckhard Hein and Nina Dodig 3. Theories of Financial Crises as Cumulative Processes – An Overview Daniel Detzer and Hansjörg Herr 4. Financial Crises Leading to Stagnation – Selected Historical Case Studies Nina Dodig and Hansjörg Herr 5. Five Explanations for the International Financial Crisis Trevor Evans 6. Income Distribution and the Financial and Economic Crisis Jo Michell 7. Global and European Imbalances and the Crisis: A Critical Review Carlos A. Carrasco and Felipe Serrano 8. Financial Deregulation and the 2007-08 US Financial Crisis Özgür Orhangazi 9. The Role of Incentives for the Great Recession: Securitization and Contagion Giampaolo Gabbi, Alesia Kalbaska and Alessandro Vercelli 10. Risk Management, the Subprime Crisis and Finance-dominated Capitalism: What Went Wrong? A Systematic Literature Review Sérgio Lagoa, Emanuel Leão and Ricardo Barradas Index

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Book SynopsisAre fiscally decentralized countries inherently more unstable? Or is it a question of the design of decentralization, requiring, for example, higher sub-national revenue autonomy and hard budget constraints? The ongoing euro crisis offers an assortment of relevant country case studies to test some of those important propositions. This volume provides authoritative and insightful assessments of how decentralization and macroeconomic stability relate to each other, and significantly contributes to our understanding of multi-level finance and to improving decentralization design.'- Jorge Martinez-Vazquez, Georgia State University, USRepresenting a unique contribution to the analysis and discussion of the unfolding Eurozone crisis in terms of the relationship between central and local government, this book addresses a number of important fiscal and political economy questions. To what extent have local and regional governments contributed to the crisis? To what degree have sub-national services and investments borne the brunt of the adjustments? How have multi-level fissures affected tensions between different levels of government from the supranational to the local? This volume covers these and many other critical issues that have been largely ignored despite their relevance.The book first addresses general issues of fiscal coordination and management across levels of government in the context of incentives, which can be altered by the existence of a supranational tier. The country-specific chapters, prepared by leading experts, provide a thorough review of the key problems of multi-levels of government in the biggest economies in the Eurozone (France and Germany) and Southern Europe (Portugal, Spain, Italy and Greece). In further chapters the juxtaposition of Barcelona and Turin provides an opportunity to evaluate large investments in a multi-level context, associated, in this case, with the Olympics. Macedonia provides a discussion of the related issues in an EU accession country. As a whole, the book explores the long-term impact of the crisis on local service delivery and investment, and the consequences for sustainable growth and political cohesion. It also offers rarely found insights and suggestions to increase the stability and strength of multi-level European institutions.This is an enlightening resource for all those, from academics and graduates to policy makers and practitioners, seeking a comprehensive understanding of European fiscal, federal and financial issues.Contributors: E. Ahmad, M.F. Ambrosanio, P. Balduzzi, M. Bordignon, G. Brosio, G. Chortareas, M. Fortuna, P. Garello, S. Lagos-Peñas, V.E. Logothetis, G. Milbradt, L.F. Minervini, A. Mourmouras, M. Nikolov, J.S. Pandiello, S. Piperno, P. Rangazas, A. Solé Ollé, P.B. Spahn, T. Ter-Minassian, A. VinellaTrade Review‘Are fiscally decentralized countries inherently more unstable? Or is it a question of the design of decentralization, requiring, for example, higher sub-national revenue autonomy and hard budget constraints? The ongoing euro crisis offers an assortment of relevant country case studies to test some of those important propositions. This volume provides authoritative and insightful assessments of how decentralization and macroeconomic stability relate to each other, and significantly contributes to our understanding of multi-level finance and to improving decentralization design.’ -- Jorge Martinez-Vazquez, Georgia State University, USTable of ContentsContents: Introduction: How Multilevel Finance has Contributed to the Crisis and is Affected by it? Ehtisham Ahmad, Massimo Bordignon and Giorgio Brosio PART I MANAGING SUBNATIONAL LIABILITIES IN EUROPE 1. Promoting Stabilizing and Sustainable Sub-national Fiscal Policies in the Euro Area Teresa Ter-Minassian 2. Political Economy of Information Generation and Financial Management for Sub-national Governments: Some lessons from International Experience Ehtisham Ahmad 3. History of the Constitutional Debt Limits in Germany and the New “Debt Brake” - Experiences and Critique: Georg Milbradt PART II INCIPIENT PROBLEMS IN THE BIGGEST COUNTRIES IN EUROPE 4. Multi-level Finance and the Euro Crisis: The German Experience Paul Bernd Spahn 5. French Subnational Public Finances: On the Difficulty of being a Decentralized Unitary State. Pierre Garello PART III THE TROUBLED COUNTRIES OF SOUTHERN EUROPE 6. Economics and Politics of Local Greek Government Giorgios Chortareas and Vassileios E. Logothetis 7. Portugal’s Multi-level Finance Adjustments Within the Sovereign Debt and Euro Crises Mário Fortuna 8. Multi-level Finance and Governance in Spain: The Impact of the Euro Crisis Santiago Lago-Peñas and Alberto Solé Ollé 9. Economic Crisis and Fiscal Federalism in Italy Maria Flavia Ambrosanio, Paolo Balduzzi and Massimo Bordignon PART IV CITIES, THE OLYMPICS AND GROWTH 10. A Tale of Two Cities: The Olympics in Barcelona and Turin Giorgio Brosio, Stefano Piperno and Javier Suarez Pandiello PART V ACCESSION STATES 11. The Impact of the Global Crisis on Macedonian Local Governments. Marjan Nikolov PART VI SOME GENERAL LESSONS 12. Clientelistic Politics and Multi-level Finance: Some Implications for Regional Inequality and Growth Alex Mourmouras and Peter Rangazas 13. Incentives Facing Local Governments in the Absence of Credible Enforcement Leo Fulvio Minervini and Annalisa Vinella Index

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Book SynopsisEurozone Dystopia traces the origin of the Eurozone and shows how the historical Franco-German rivalry combined with the growing dominance of neo-liberal economic thinking to create a monetary system that was deeply flawed and destined to fail. William Mitchell argues that the political class in Europe is trapped in a destructive groupthink. Based on a flawed understanding of macroeconomic fundamentals, groupthink extols the virtues of the erroneous concept of the self-regulating free market and prevents Europe from seeing its own policy failures. As a result, millions are unemployed, with imperiled member states caught in a cycle of persistent stagnation and rising social instability.Providing a detailed historical analysis of the evolution of the Eurozone and its failings from the 1940s to the present day, the book argues that the Eurozone lacks the necessary monetary architecture, particularly the existence of a federal fiscal function which could have resolved the economic crisis quickly. The author examines the options available to Europe and concludes that an orderly abandonment of the euro and a return to national currencies is the superior option available. The justification for this conclusion is exhaustively argued within a Modern Monetary Theory framework.This thoughtful and accessible account of Europe's economic woes will appeal to all those who are seeking an explanation for the crisis and are receptive to sensible and credible alternatives to the current scenario.Table of ContentsContents: 1. Introduction PART I THE EARLY YEARS 2. Early Attempts at Monetary Union and the Hague Summit 3. The Werner Report and the Collapse of Bretton Woods 4. The ‘Snake in the Tunnel’ Reappears 5. Monetarism Arrives Amidst Currency Turmoil 6. The Delors Report 7. Onward to Maastricht 8. The Maastricht Treaty 9. Converging to Crisis and Austerity 10. The Ideological Straitjacket 11. The Stability and Growth Pact (SGP) 12. The Convergence Farce: Smokescreens and Denial PART II THE PATH TO CRISIS 13. The First Few Years: Smug Self Congratulation and Mass Delusion 14. The 2003 Fiscal Crisis 15. The German “Jobwunder” 16. European Groupthink: Denial on a Grand Scale PART III THE OPTIONS FOR EUROPE 17. A Monetary Framework for Fiscal Policy Activism 18. Framing the Debate - Two Alternative Visions of the Economy 19. The Basic Principles of Functional Finance 20. The Federal Solution 21. Overt Monetary Financing 22. Abandoning the Euro 23. Employment Guarantees References Index

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Book SynopsisCasting a wide net in this, their second edition, Froyen and Guender provide coverage of the model-based literature on optimal monetary policy in the presence of uncertainty, with both open- and closed-economy frameworks considered. The authors have grounded New Keynesian research of the 1990s and 2000s in the literature of the 1970s, which viewed optimal policy as primarily a question of the optimal use of information, and studies in the 1980s that gave primacy to time inconsistency problems. The Global Financial Crisis of 2007-09 led to the recognition that financial markets and institutions required greater attention in policy modeling. Herein, the authors provide a thorough survey of the post-crisis literature that resulted from this recognition. Researchers in academia and at central banks, students and policy makers will value the wide scope of coverage provided in this examination, leading them to a better understanding of issues such as discretion versus commitment, target versus instrument rules, policy in closed versus open economies and the proper mandate for central banks, including the relationship between interest rate policy and macro-prudential instruments. Praise for the first edition: 'In this book the authors provide a comprehensive review of optimal monetary policy in the context of small, log-linear, macroeconomic models that are subject to stochastic shocks. . . I think the book provides a very good introduction to the literature on optimal monetary policy (in short-run models) for non-specialists and students. Some of the content of the book could be used in upper-year undergraduate courses in either macroeconomics or in a specialised monetary economics course. The models are clearly set-out and discussed and there is frequent use of diagrams. The authors spend a lot of time and effort to provide the economic intuition for the models that are presented.' - Glenn Otto, Economic Record 'Froyen and Guender have provided a thorough and careful analysis of optimal monetary policy over most of the range of theoretical models that have been used in modern macroeconomics. By providing a comprehensive and clear comparative framework they will help the student of monetary policy understand why there have been conflicting views of what policy makers should do.' - Central Banking 'In Optimal Monetary Policy Under Uncertainty, academicians and economists Richard T. Froyen and Alfred V. Guender have collaborated on presenting an informed and informative survey of optimal monetary policy literature arising during the 1970s and 1980s as a ground work for understanding current market and other economic influences on such germane issues as discretion versus commitment, target versus instrument rules, and the delegation of policy making authority within the private and public sectors. With meticulous attention to scholarship and objectivity. . . Optimal Monetary Policy Under Uncertainty is a thoughtful and thought-provoking body of work that is very strongly recommended for professional, academic, corporate and governmental economic reference collections and supplemental reading lists.' - Midwest Book ReviewTrade Review'In this second edition of Optimal Monetary Policy Under Uncertainty, Richard Froyen and Alfred Guender update and extend their lucid exposition of monetary policymaking in a stochastic setting. As in the first edition, the book links past and current research on this broad topic. Thus, the book is useful both for a young researcher who wishes to relate contemporary theories to practical policy issues and for an established scholar who seeks to catch up on recent developments. Particularly useful for all readers are new chapters that explore efforts to better integrate banking and finance into theories of optimal monetary policymaking.' --David VanHoose, Baylor University, USTable of ContentsContents: Preface PART I IMPERFECT INFORMATION, RESPONSES TO SHOCKS, AND CREDIBILITY ISSUES 1. Introduction, Part 1 2. A basic model and some early results 3. The strategy of monetary policy: targets, instruments and information variables 4. A variable price level, supply shocks and rational expectations 5. Optimal monetary and exchange rate policy in the open economy 6. Monetary policy credibility PART II OPTIMAL MONETARY POLICY: A NEW KEYNESIAN PERSPECTIVE 7. Introduction, Part 2 8. The Phillips Curve: an evolving concept 9. The forward-looking model: the closed economy 10. The forward-looking model: additional topics 11. The forward-looking model: the open economy 12. The New Keynesian model: the backward-looking case PART III RESEARCH IN MONETARY POLICY since the GLOBAL FINANCIAL CRISIS 13. Introduction, Part 3 14. Money and finance in Keynesian models 15. Rethinking stabilization policy 16. Financial markets since the crisis: a smorgasbord of issues Bibliography Index

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Book SynopsisCasting a wide net in this, their second edition, Froyen and Guender provide coverage of the model-based literature on optimal monetary policy in the presence of uncertainty, with both open- and closed-economy frameworks considered. The authors have grounded New Keynesian research of the 1990s and 2000s in the literature of the 1970s, which viewed optimal policy as primarily a question of the optimal use of information, and studies in the 1980s that gave primacy to time inconsistency problems. The Global Financial Crisis of 2007-09 led to the recognition that financial markets and institutions required greater attention in policy modeling. Herein, the authors provide a thorough survey of the post-crisis literature that resulted from this recognition. Researchers in academia and at central banks, students and policy makers will value the wide scope of coverage provided in this examination, leading them to a better understanding of issues such as discretion versus commitment, target versus instrument rules, policy in closed versus open economies and the proper mandate for central banks, including the relationship between interest rate policy and macro-prudential instruments. Praise for the first edition: 'In this book the authors provide a comprehensive review of optimal monetary policy in the context of small, log-linear, macroeconomic models that are subject to stochastic shocks. . . I think the book provides a very good introduction to the literature on optimal monetary policy (in short-run models) for non-specialists and students. Some of the content of the book could be used in upper-year undergraduate courses in either macroeconomics or in a specialised monetary economics course. The models are clearly set-out and discussed and there is frequent use of diagrams. The authors spend a lot of time and effort to provide the economic intuition for the models that are presented.' - Glenn Otto, Economic Record 'Froyen and Guender have provided a thorough and careful analysis of optimal monetary policy over most of the range of theoretical models that have been used in modern macroeconomics. By providing a comprehensive and clear comparative framework they will help the student of monetary policy understand why there have been conflicting views of what policy makers should do.' - Central Banking 'In Optimal Monetary Policy Under Uncertainty, academicians and economists Richard T. Froyen and Alfred V. Guender have collaborated on presenting an informed and informative survey of optimal monetary policy literature arising during the 1970s and 1980s as a ground work for understanding current market and other economic influences on such germane issues as discretion versus commitment, target versus instrument rules, and the delegation of policy making authority within the private and public sectors. With meticulous attention to scholarship and objectivity. . . Optimal Monetary Policy Under Uncertainty is a thoughtful and thought-provoking body of work that is very strongly recommended for professional, academic, corporate and governmental economic reference collections and supplemental reading lists.' - Midwest Book ReviewTrade Review'In this second edition of Optimal Monetary Policy Under Uncertainty, Richard Froyen and Alfred Guender update and extend their lucid exposition of monetary policymaking in a stochastic setting. As in the first edition, the book links past and current research on this broad topic. Thus, the book is useful both for a young researcher who wishes to relate contemporary theories to practical policy issues and for an established scholar who seeks to catch up on recent developments. Particularly useful for all readers are new chapters that explore efforts to better integrate banking and finance into theories of optimal monetary policymaking.' --David VanHoose, Baylor University, USTable of ContentsContents: Preface PART I IMPERFECT INFORMATION, RESPONSES TO SHOCKS, AND CREDIBILITY ISSUES 1. Introduction, Part 1 2. A basic model and some early results 3. The strategy of monetary policy: targets, instruments and information variables 4. A variable price level, supply shocks and rational expectations 5. Optimal monetary and exchange rate policy in the open economy 6. Monetary policy credibility PART II OPTIMAL MONETARY POLICY: A NEW KEYNESIAN PERSPECTIVE 7. Introduction, Part 2 8. The Phillips Curve: an evolving concept 9. The forward-looking model: the closed economy 10. The forward-looking model: additional topics 11. The forward-looking model: the open economy 12. The New Keynesian model: the backward-looking case PART III RESEARCH IN MONETARY POLICY since the GLOBAL FINANCIAL CRISIS 13. Introduction, Part 3 14. Money and finance in Keynesian models 15. Rethinking stabilization policy 16. Financial markets since the crisis: a smorgasbord of issues Bibliography Index

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Book SynopsisAcclaim for the first edition:'Peter Bernholz's book brings together his comprehensive studies of inflation from the fourth century to the present, showing their common elements and their differences. This is an impressive work that bankers, central bankers, economists and laymen can read with pleasure and profit. I recommend it highly.'- Allan H. Meltzer, The Hoover Institution, StanfordExploring the characteristics of inflations and comparing historical cases from Roman times up to the modern day, this book provides an in depth discussion of the subject. It analyses the high and moderate inflations caused by the inflationary bias of political systems and economic relationships, as well as the importance of different monetary regimes in containing them. The differences for the possible size of inflations among monetary regimes like metallic currencies, the gold standard and fiat paper money are discussed. It is shown that huge budget deficits of government have been responsible for all hyperinflations. This revised second edition debates whether a growth of the money supply exceeding that of real Gross Domestic Production is a necessary or sufficient reason for inflation and also includes a new concluding chapter, which explores the long-term tendencies to create, maintain and abolish inflation-stable monetary regimes. Moreover, the conditions for long-term inflation-stable monetary regimes in history are explored.By surveying thirty hyperinflations, Peter Bernholz demonstrates that certain economic traits have been stable characteristics of inflations over the centuries, and illustrates their causes. He also examines the consequences of high inflations for unemployment, the distortions between relative prices and the political conditions that allow a return to stable monetary regimes after high inflations, given the inflationary tendencies of political systems.This book will appeal to a wide-ranging audience, including students, economists, historians, political scientists and sociologists looking to improve their knowledge of monetary regimes and inflation. Bankers, businessmen and politicians attempting to solve the problems caused for them by inflation, will also find this to be a useful read.Trade Review'What makes this book so special is the interaction of historical detail, innovative economic analysis and public choice theory. A wealth of historical evidence, both institutional and quantitative, is used to illustrate key hypotheses from monetary theory and political economy and draw important lessons for public policy. Not only is inflation shown to be a monetary phenomenon but the monetary regime itself is explained by political institutions and events.' --Roland Vaubel, Universitat Mannheim, GermanyTable of ContentsContents: Preface 1. Introduction 2. Inflation and Monetary Regimes 3. Inflation under Metallic Monetary Regimes 4. Moderate Paper Money Inflations 5. Characteristics of Hyperinflations 6. Currency Competition, Inflation, Gresham’s Law and Exchange Rate 7. Ending Mild or Moderate Inflations 8. Currency Reforms Ending Hyperinflations 9. Forces Establishing, Maintaining and Eroding Stable Monetary Regimes Appendix Index

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Book SynopsisNo issue is more fundamental in contemporary macroeconomics than identifying the causes of the recent Great Recession. The standard view is that the banks were to blame because they took on too much risk, 'went bust' and had to be bailed out by governments. However very few banks actually had losses in excess of their capital. The counter-argument presented in this stimulating new book is that the Great Recession was in fact caused by a collapse in the rate of change of the quantity of money. This was the result of a mistimed and inappropriate tightening of banks' capital regulations, which had vicious deflationary consequences at just the wrong point in the business cycle. Central bankers and financial regulators made serious mistakes. The book's argument echoes that on the causes of the Great Depression made by Milton Friedman and Anna Schwartz in their classic book A Monetary History of the United States. Offering an alternative monetary explanation of the Great Recession, this book is essential reading for all economists working in macroeconomics and monetary economics. It will also appeal to those interested in the wider public policy debates arising from the crisis and its aftermath.Contributors include: P. Booth, J.E. Castañeda, T. Congdon, C. Goodhart, S. Hanke, D. Laidler, A. Ridley, R. Skidelsky, R. ThomasTrade Review'Tim Congdon has brought together a thorough coverage of the analysis, by leading academic and market economists, of the causes of the recent Great Recession. The focus is the key roles that money and financial regulation played in the recession and continue to play in the weak recovery. This is an important book that policymakers, economists, and others should read.' --Forrest Capie, Cass Business School, City University London, UK'The financial crisis: central bankers were the heroes, and bankers were the villains - right? Wrong, totally. To understand why, read this book, with contributions from many leading economists who study money and central banks. As Tim Congdon, the editor, points out, central bankers permitted much too fast a growth in the money supply in the run-up to the crisis. The banks had every incentive to extend too much credit. The same central bankers then allowed the money supply growth rate to crash when the crisis hit. During and after the crisis, they brought in Draconian regulations that damaged the recovery process by increasing the cost of credit creation, so sandbagging money supply growth. It is an inglorious tale. Central bankers are not godlike technocrats, but simply civil servants, whose behaviour needs to be understood in terms of flawed incentives, incentives that can generate terrible outcomes. They - like governments - need to be governed by rules that keep the economy on track without inflation.' --Patrick Minford, Cardiff University, UKTable of ContentsContents: PART I What were the causes of the Great Recession? Preface to Part I Tim Congdon 1. What were the causes of the Great Recession?: the mainstream approach vs. the monetary interpretation Tim Congdon 2. The debate over ‘quantitative easing’ in the UK's Great Recession and afterwards Tim Congdon 3. UK broad money growth and nominal spending during the Great Recession: An analysis of the money creation process and the role of money demand Ryland Thomas 4. Have central banks forgotten about money?: The case of the European Central Bank, 1999 – 2014 Juan E. Castañeda and Tim Congdon PART II The financial system in the Great Recession: culprit or victim? Preface to Part II Tim Congdon 5. The impact of the New Regulatory Wisdom on banking, credit and money: good or bad? Sir Adam Ridley 6. Why has monetary policy not worked as expected?: Some interactions between financial regulation, credit and money Charles Goodhart 7. The Basle rules and the banking system: an American perspective Steve Hanke PART III How should the Great Recession be viewed in monetary thought and history? Preface to Part III Tim Congdon 8. Monetary policy, asset prices and financial institutions? Philip Booth 9. How would Keynes have analysed the Great Recession of 2008 and 2009? Robert Skidelsky 10. Why Friedman and Schwartz’s interpretation of the Great Depression still matters: reassessing the thesis of their 1963 Monetary History David Laidler Index

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Book SynopsisIn the long aftermath of the acute global financial crisis of 2008/09, the need to get economies back on track and to handle high levels of public and private debt has created conflicting objectives. Challenges yet to be mastered are the need to avoid counterproductive measures of adjustment and the persistent need to 'rebalance' the economy with new sources of growth and productivity. Hence, there is an urgent requirement for policies to reverse the decline in public and private investment, and to fuel innovation.These needs, and the corresponding policy challenges, are especially prevalent in Europe, in particular Central, Eastern and South-Eastern Europe. On this issue, this book contributes important lessons learned from earlier balance sheet recessions. It also addresses the often overlooked link between macroeconomic imbalances and economic inequality. A mix of contributions from academics and policy-makers focus on the interaction between monetary policy and financial stability, adding regional perspectives to the resulting dilemmas and trade-offs.This book is essential reading for the study of economics in emerging economies.Contributors: T. Beck, M. Belka, S. Chakrabarti, D. Daianu, J.B. DeLong, N. Fabris, M. Gächter, M. Geiger, F. Glotzl, D. Gros, M. Holzner, J. in 't Veld, R.C. Koo, R. Kuodis, E. Nowotny, P. Pontuch, R. Raciborski, L. Reichlin, D. Ritzberger-Grunwald, H. Schuberth, M. Singer, L.E.O. Svensson, T. van TreeckTable of ContentsContents: Preface Ewald Nowotny, Doris Ritzberger-Grünwald and Helene Schuberth PART I FRAMING THE DISCUSSION ON REBALANCING CHALLENGES 1. European Investment to Support CESEE and Euro Area Countries Ewald Nowotny 2. The Rebalancing Challenge in Europe J. Bradford Delong 3. Mid-Term Growth Perspectives for CESEE Marek Belka 4. Rebalancing the CESEE Economies: A Crucial Agenda for Future Years Sir Suma Chakrabarti PART II BALANCE SHEET ADJUSTMENTS AND ECONOMIC GROWTH 5. Fighting Balance Sheet Recessions: A Japanese Lesson for the Euro Zone Richard C. Koo 6. Post-Crisis Recovery in Slow-Motion Mode: The Role of the Non-Financial Corporate Sector Martin Gächter, Martin Geiger, Florentin Glötzl and Helene Schuberth 7. Private and Public Sector Deleveraging in the EU Jan In't Veld, Peter Pontuch and Rafal Raciborski PART III MACROECONOMIC ADJUSTMENTS AND ECONOMIC INEQUALITY 8. External Rebalancing: Is it Cyclical or Structural? Daniel Gros 9. Macroeconomic Imbalances and Economic Inequality in CESEE Mario Holzner 10. Inequality, the Crisis and Stagnation Till van Treeck PART IV THE FUTURE OF (CENTRAL) BANKING IN EUROPE 11. The ECB, the Banks and the Sovereigns Lukrezia Reichlin 12. Europe's Banking Union: Glass Half Full or Glass Half Empty? Thorsten Beck 13. What can Monetary Policy Achieve, and What is the Relation between Monetary Policy and Financial Stability? Lars E.O. Svensson PART V REGIONAL PERSPECTIVES ON MONETARY POLICY ISSUES: DILEMMAS AND TRADE-OFFS 14. Policy Trade-offs in CESEE and Elsewhere Raimondas Kuodis 15. A Central Bank's Dilemmas in Highly Uncertain Times: A Romanian View Daniel Daianu 16. A Monetary Financial Framework of the Central Bank of Montenegro: Is Financial Stability a Feasible Central Bank Goal? Nikola Fabris 17. Inflation Targeting and Use of the Exchange Rate as a Monetary Policy Instrument: The CNB Experience Miroslav Singer Index

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Book SynopsisThis extensive research review discusses more than one hundred of the very best and most influential scholarly articles on the sovereign debt of central governments around the world. It examines discussions of the debt of many emerging nations as well as the largest sovereign debtors in the world thus providing a thorough understanding of sovereign debt as seen by the best economists from around the world. This research review is an essential tool to libraries, academic institutions, economic scholars and students alike.Trade Review‘Bob Kolb has assembled this outstanding collection of research articles, which could have been called the Greatest Hits of Sovereign Debt. The future of all people on the planet depends heavily on understanding what really happens when governments borrow. Bringing the body of knowledge of this subject under this umbrella is a masterful and thankless achievement.’ -- Don M. Chance, Louisiana State University, USTable of ContentsContents: Volume I Research Review Robert W. Kolb PART I THE THEORY OF SOVEREIGN DEBT 1. Robert J. Barro (1974), ‘Are Government Bonds Net Wealth?’, Journal of Political Economy, 82 (6), November–December, 1095–117 2. Robert J. Barro (1979), ‘On the Determination of the Public Debt’, Journal of Political Economy, 87 (5, Part 1), October, 940–71 3. Martin Feldstein (1985), ‘Debt and Taxes in the Theory of Public Finance’, Journal of Public Economics, 28 (2), November, 233–45 4. Jonathan Eaton and Mark Gersovitz (1981), ‘Debt with Potential Repudiation: Theoretical and Empirical Analysis’, Review of Economic Studies, XLVII (2), April, 289–309 5. Jonathan Eaton, Mark Gersovitz and Joseph E. Stiglitz (1986), ‘The Pure Theory of Country Risk’, European Economic Review, 30 (3), June, 481–513 6. Herschel I. Grossman and John B. Van Huyck, (1988), ‘Sovereign Debt as a Contingent Claim: Excusable Default, Repudiation, and Reputation’, American Economic Review, 78 (5), December, 1088–97 7. Jeremy Bulow and Kenneth Rogoff (1989), ‘Sovereign Debt: Is to Forgive to Forget?’, American Economic Review, 79 (1), March, 43–50 8. Jeremy Bulow and Kenneth Rogoff (1989), ‘A Constant Recontracting Model of Sovereign Debt’, Journal of Political Economy, 97 (1), February, 155–78 9. Harold L. Cole and Patrick J. Kehoe (1998), ‘Models of Sovereign Debt: Partial Versus General Reputations’, International Economic Review, 39 (1), February, 55–70 10. Kenneth M. Kletzer and Brian D. Wright (2000), ‘Sovereign Debt as Intertemporal Barter’, American Economic Review, 90 (3), June, 621–39 PART II SOVEREIGN DEBT BEFORE THE MODERN STATE 11. John M. Veitch (1986), ‘Repudiations and Confiscations by the Medieval State’, Journal of Economic History, 46 (1), March, 31–6 12. J. Bradford De Long and Andrei Shleifer (1993), ‘Princes and Merchants: European City Growth Before the Industrial Revolution’, Journal Of Law and Economics, XXXVI (2), October, 671–702 13. James Conklin (1998), ‘The Theory of Sovereign Debt and Spain under Philip II’, Journal of Political Economy, 106 (3), June, 483–513 14. Mauricio Drelichman and Hans-Joachim Voth (2010), ‘The Sustainable Debts of Philip II: A Reconstruction of Castile’s Fiscal Position, 1566–1596’, Journal of Economic History, 70 (4), December, 813–42 15. Mauricio Drelichman and Hans-Joachim Voth (2011), ‘Lending to the Borrower from Hell: Debt and Default in the Age of Philip II’, Economic Journal, 121 (557), December, 1205–27, technical appendix 16. Mauricio Drelichman and Hans-Joachim Voth (2011), ‘Serial Defaults, Serial Profits: Returns to Sovereign Lending in Habsburg Spain, 1566–1600’, Explorations in Economic History, 48 (1), January, 1–19 17. Mauricio Drelichman and Hans-Joachim Voth (2015), ‘Risk Sharing with the Monarch: Contingent Debt and Excusable Defaults in the Age of Philip II, 1556–1598’, Cliometrica, 9 (1), January, 49–75 18. Earl J. Hamilton (1947), ‘Origin and Growth of the National Debt in Western Europe’, American Economic Review, 37 (2), May, 118–30 19. David R. Weir (1989), ‘Tontines, Public Finance, and Revolution in France and England, 1688–1789’, Journal of Economic History, 49 (1), March, 95–124 PART III POLITICAL INSTITUTIONS AND SOVEREIGN DEBT 20. Douglass C. North and Barry R. Weingast (1989), ‘Constitutions and Commitment: The Evolution of Institutional Governing Public Choice in Seventeenth-Century England’, Journal of Economic History, XLIX (4), December, 803–32 21. David Stasavage (2002), ‘Credible Commitment in Early Modern Europe: North and Weingast Revisited’, Journal of Law Economics and Organization, 18 (1), April, 155–86 22. Kenneth A. Schultz and Barry R. Weingast (2003), ‘The Democratic Advantage: Institutional Foundations of Financial Power in International Competition’, International Organization, 57 (1), Winter, 3–42 23. Sebastian M. Saiegh (2005), ‘Do Countries Have a “Democratic Advantage”?: Political Institutions, Multilateral Agencies, and Sovereign Borrowing’, Comparative Political Studies, 38 (4), May, 366–87 24. David Stasavage (2007), ‘Cities, Constitutions, and Sovereign Borrowing in Europe, 1274–1785’, International Organization, 61 (3), July, 489–525 25. Candace C. Archer, Glen Biglaiser and Karl DeRouen Jr. (2007), ‘Sovereign Bonds and the “Democratic Advantage”: Does Regime Type Affect Credit Rating Agency Ratings in the Developing World?’, International Organization, 61 (2), April, 341–65 26. Glen Biglaiser and Joseph L. Staats (2012), ‘Finding the “Democratic Advantage” in Sovereign Bond Ratings: The Importance of Strong Courts, Property Rights Protection, and the Rule of Law’, International Organization, 66 (3), July, 515–35 27. Emanuel Kohlscheen (2007), ‘Why Are There Serial Defaulters? Evidence from Constitutions’, Journal of Law and Economics, 50 (4), November, 713–30 28. Juan Carlos Hatchondo and Leonardo Martinez (2010), ‘The Politics of Sovereign Defaults’, Economic Quarterly, 96 (3), Third Quarter, 291–317 29. Atif Mian, Amir Sufi and Francesco Trebbi (2014), ‘Resolving Debt Overhangs: Political Constraints in the Aftermath of Financial Crises’, American Economic Journal: Macroeconomics, 6 (2), April, 1–28 PART IV SOVEREIGN DEBT: THE LONG VIEW 30. Mark Dincecco (2010), ‘The Political Economy of Fiscal Prudence in Historical Perspective’, Economics and Politics, 22 (1), March, 1–36 31. Michael D. Bordo (1999), ‘International Rescues versus Bailouts: A Historical Perspective’, Cato Journal, 18 (3), Winter, 363–75 32. John Joseph Wallis (2000), ‘American Government Finance in the Long Run: 1790 to 1990’, Journal of Economic Perspectives, 14 (1), Winter, 61–82 33. Carmen M. Reinhart and Vincent R. Reinhart (2015), ‘Financial Crises, Development, and Growth: A Long-Term Perspective’, World Bank Economic Review, Annual Bank Conference on Development Economics “The Role of Theory in Development Economics” June 2–3, 2014 Washington D.C., 29 (Supplement 1), April, S57–S76 34. Carmen M. Reinhart, Vincent R. Reinhart and Kenneth S. Rogoff (2012), ‘Public Debt Overhangs: Advanced–Economy Episodes Since 1800’, Journal of Economic Perspectives, 26 (3), Summer, 69–86 35. Moritz Schularick and Alan M. Taylor (2012), ‘Credit Booms Gone Bust: Monetary Policy, Leverage Cycles, and Financial Crises, 1870–2008’, American Economic Review, 102 (2), April, 1029–61 Volume II Acknowledgements PART I THE “LONG” 19TH CENTURY 1. Michael D. Bordo and Eugene N. White (1991), ‘A Tale of Two Currencies: British and French Finance During the Napoleonic Wars’, Journal of Economic History, 51 (2), June, 303–16 2. Marc Flandreau and Juan H. Flores (2009), ‘Bonds and Brands: Foundations of Sovereign Debt Markets, 1820–1830’, Journal of Economic History, 69 (3), September, 646–84 3. Gerardo della Paolera and Alan M. Taylor (2013), ‘Sovereign Debt in Latin America, 1820–1913’, Revista de Historia Económica/Journal of Iberian and Latin American Economic History, 31 (2), September, 173-217 4. Richard Sicotte, Catalina Vizcarra and Kirsten Wandschneider (2010), ‘Military Conquest and Sovereign Debt: Chile, Peru and the London Bond Market, 1876–1890’, Cliometrica, 4 (3), October, 293–319 5. Marc D. Weidenmier (2005), ‘Gunboats, Reputation, and Sovereign Repayment: Lessons from the Southern Confederacy’, Journal of International Economics, 66 (2), July, 407–22 6. Michael D. Bordo and Hugh Rockoff (1992), ‘The Gold Standard as a “Good Housekeeping Seal of Approval”’, Journal of Economic History, 56 (2), June, 389–428 7. Niall Ferguson and Moritz Schularick (2006), ‘The Empire Effect: The Determinants of Country Risk in the First Age of Globalization, 1880–1913’, Journal of Economic History, 66 (2), June, 283–312 8. Theodore Roosevelt (1904) ‘President Theodore Roosevelt’s Annual Message to Congress’, delivered December 6th, 1904 9. Kris Mitchener and Marc Weidenmier (2005), ‘Empire, Public Goods, and the Roosevelt Corollary’, Journal of Economic History, 65 (3), September, 658–92 10. Kris James Mitchener and Marc D. Weidenmier (2010), ‘Supersanctions and Sovereign Debt Repayment’, Journal of International Money and Finance, 29 (1), February, 19–36 PART II THE 20TH CENTURY IN PERSPECTIVE 11. Barry Eichengreen and Ricardo Hausmann (1999) ‘Exchange Rates and Financial Fragility’ in Federal Reserve Bank of Kansas City (eds.), New Challenges for Monetary Policy, 329–68 12. Michael D. Bordo and Christopher M. Meissner (2006), ‘The Role of Foreign Currency Debt in Financial Crises: 1880–1913 versus 1972–1997’, Journal of Banking and Finance, 30 (12), December, 3299–329 13. Lyndon Moore and Jakub Kaluzny (2005), ‘Regime Change and Debt Default: The Case of Russia, Austro-Hungary, and the Ottoman Empire following World War One’, Explorations in Economic History, 42 (2), April, 237–58 14. Kim Oosterlinck and John S. Landon–Lane (2006), ‘Hope Springs Eternal - French Bondholders and the Soviet Repudiation (1915–1919)’, Review of Finance, 10 (4), 507–35 15. Barry Eichengreen and Richard Portes (1986), ‘Debt and Default in the 1930s: Causes and Consequences’, European Economic Review, 30 (3), June, 599–640 16. Barry Eichengreen (1991), ‘Historical Research on International Lending and Debt’, Journal of Economic Perspectives, 5 (2), Spring, 149–69 17. Peter Boone and Simon Johnson (2014), ‘Forty Years of Leverage: What Have We Learned About Sovereign Debt?’, American Economic Review: Papers and Proceedings, 104 (5), May, 266–71 PART III CRISES OF THE 1980s AND 1990s 18. Paolo Manasse and Nouriel Roubini (2009), ‘’Rules for Thumb’ for Sovereign Debt Crises’, Journal of International Economics, 78 (2), July, 192–205 19. Bergljot Barkbu, Barry Eichengreen and Ashoka Mody (2012), ‘Financial Crises and the Multilateral Response: What the Historical Record Shows’, Journal of International Economics, 88 (2), November, 422–35 [14] 20. Allan H. Meltzer (1984), ‘The International Debt Problem’, Cato Journal, 4 (1), Sping/Summer, 63–9 21. Jeffrey Sachs (1986), ‘Managing the LDC Debt Crisis’, Brookings Paper on Economic Activity, No. 2, 397–431 22. Jeffrey Sachs and Harry Huizinga (1987), ‘U.S. Commercial Banks and the Developing-Country Debt Crisis’, Brookings Paper on Economic Activity, No. 2, 555–601 23. Jeremy Bulow (2002), ‘First World Governments and Third World Debt’, Brookings Papers on Economic Activity, No. 1, 229–55 24. Allan H. Meltzer (2004), ‘Argentina 2002: A Case of Government Failure’, Cato Journal, 23 (1), Spring/Summer, 29–31 25. Eugenio Andrea Bruno (2006), ‘The Failure of Debt-Based Development: Lessons from Argentina’, Cato Journal, 26 (2), Spring/Summer, 357–65 PART IV THE RISKS AND COSTS OF SOVEREIGN DEFAULT 26. Juan Carlos Hatchondo, Leonardo Martinez and Horacio Sapriza (2007), ‘The Economics of Sovereign Default’, Economic Quarterly, 93 (2), Spring, 163–87 27. Ugo Panizza, Federico Sturzenegger and Jeromin Zettelmeyer (2009), ‘The Economics and Law of Sovereign Debt and Default’, Journal of Economic Literature, 47 (3), September, 651–98 28. Michael Tomz and Mark L. J. Wright (2013), ‘Empirical Research on Debt and Default’, Annual Review of Economics, 5, August, 247–72 29. Fernando Broner, Alberto Martin and Jaume Ventura (2010), ‘Sovereign Risk and Secondary Markets’, American Economic Review, 100 (4), September, 1523–55 30. Michael Tomz and Mark L. J. Wright (2007), ‘Do Countries Default in ‘Bad Times’?’, Journal of the European Economic Association, 5 (2–3), April–May, 352–60 31. Edward I. Altman and Herbert A. Rijken (2011), ‘Toward a Bottom-Up Approach to Assessing Sovereign Default Risk’, Journal of Applied Corporate Finance, 23 (1), Winter, 20–31 32. Federico Sturzenegger and Jeromin Zettelmeyer (2008), ‘Haircuts: Estimating Investor Losses in Sovereign Debt Restructurings, 1998–2005’, Journal of International Money and Finance, 27 (5), September, 780–805 [26] 33. Juan J. Cruces and Christoph Trebesch (2013), ‘Sovereign Defaults: The Price of Haircuts’, American Economic Journal: Macroeconomics, 5 (3), July, 85–117 34. Miguel Fuentes and Diego Saravia (2010), ‘Sovereign Defaulters: Do International Capital Markets Punish Them?’, Journal of Development Economics, 91 (2), March, 336–47 35. Eduardo Levy Yeyati and Ugo Panizza (2011), ‘The Elusive Costs of Sovereign Defaults’, Journal of Development Economics, 94 (1), January, 95–105 Volume II Acknowledgements PART I THE CONUNDRUM OF SOVEREIGN DEBT 1. Alberto Alesina and David Dollar (2000), ‘Who Gives Foreign Aid to Whom and Why?’, Journal of Economic Growth, 5 (1), March, 33–63 2. Alberto Alesina and Beatrice Weder (2002), ‘Do Corrupt Governments Receive Less Foreign Aid?’, American Economic Review, 92 (4), September, 1126–37 3. Craig Burnside and David Dollar (2000), ‘Aid, Policies and Growth’, American Economic Review, 90 (4), September, 847–68 4. Robert J. Barro and Jong-Wha Lee (2005), ‘IMF Programs: Who is Chosen and What Are the Effects?’, Journal of Monetary Economics, 52 (7), October, 1245–69 5. William Easterly (2002), ‘How Did Heavily Indebted Poor Countries Become Heavily Indebted? Reviewing Two Decades of Debt Relief’, World Development, 30 (10), October, 1677–96 6. Serkan Arslanalp and Peter Blair Henry (2005), ‘Is Debt Relief Efficient?’, Journal of Finance, LX (2), April, 1017–51 7. Federico Sturzenegger and Jeromin Zettelmeyer (2007), ‘Creditors’ Losses Versus Debt Relief: Results From a Decade of Sovereign Debt Crises’, Journal of the European Economic Association, 5 (2–3), April–May, 343–51 8. Rutsel Silvestre J. Martha (1990), ‘Preferred Creditor Status under International Law: The Case of the International Monetary Fund’, International and Comparative Law Quarterly, 39 (4), October, 801–26 9. Raghuram G. Rajan (2005), ‘Institutional Reform and Sovereign Debt Crises’, Cato Journal, 25 (1), Winter, 17–24 PART II THE EUROZONE SOVEREIGN DEBT CRISIS 10. Nouriel Roubini and Jeffrey Sachs (1989), ‘Government Spending and Budget Deficits in the Industrial Countries’, Economic Policy, 4 (8), April, 99–132 11. Marina Azzimonti, Eva de Francisco and Vincenzo Quadrini (2014), ‘Financial Globalization, Inequality, and the Rising Public Debt’, American Economic Review, 104 (8), August, 2267–302 12. Viral Acharya, Itamar Drechsler and Philipp Schnabl (2014), ‘A Pyrrhic Victory? Bank Bailouts and Sovereign Credit Risk’, Journal of Finance, LXIX (6), December, 2689–739 13. Mark Aguiar, Manuel Amador, Emmanuel Farhi and Gita Gopinath (2014), ‘Sovereign Debt Booms in Monetary Unions’, American Economic Review: Papers and Proceedings, 104 (5), May, 101–6 14. Laurence J. Kotlikoff (2004), ‘Fiscal Policy and the Future of the Euro’, Cato Journal, 24 (1–2), Spring/Summer, 51-5 15. Jerome L. Stein (2011), ‘The Diversity of Debt Crises in Europe’, Cato Journal, 31 (2), Spring/Summer, 199–215 16. Philip R. Lane (2012), ‘The European Sovereign Debt Crisis’, Journal of Economic Perspectives, 26 (3), Summer, 49–67 17. Kevin H. O’Rourke and Alan M. Taylor (2013), ‘Cross of Euros’, Journal of Economic Perspectives, 27 (3), March, 167–91 18. John Beirne and Marcel Fratzscher (2013), ‘The Pricing of Sovereign Risk and Contagion During the European Sovereign Debt Crisis’, Journal of International Money and Finance, 34, April, 60–82 PART III THE UNITED STATES TODAY AND THE FUTURE OF THE INDUSTRIALIZED NATIONS 19. Carmen M. Reinhart and Kenneth S. Rogoff (2010), ‘Growth in a Time of Debt’, American Economic Review, 100 (2), May, 573–78 20. Thomas Herndon, Michael Ash and Robert Pollin (2014), ‘Does High Public Debt Consistently Stifle Economic Growth? A Critique of Reinhart and Rogoff’, Cambridge Journal of Economics, 38 (2), December, 257–79 21. Ugo Panizza and Andrea F. Presbitero (2013), ‘Public Debt and Economic Growth in Advanced Economies: A Survey’, Swiss Journal of Economics in Statistics, 149 (2), 175–204 22. Anja Baum, Cristina Checherita-Westphal and Philipp Rother (2013), ‘Debt and Growth: New Evidence from the Euro Area’, Journal of International Money and Finance, 32, February, 809–21 23. Alan J. Auerbach, Jagadeesg Gokhale and Laurence J. Kotlikoff (1994), ‘Generating Accounting: A Meaningful Way to Evaluate Fiscal Policy’, Journal of Economic Perspectives, 8 (1), Winter, 73–94 24. Pierre Lemieux (2013), ‘American and European Welfare States: Similar Causes, Similar Effects’, Cato Journal, 33 (2), Spring/Summer, 227–32 25. Michael Tanner (2013), ‘Is America Becoming Greece?’, Cato Journal, 33 (2), Spring/Summer, 211–25 26. John H. Cochrane (2011), ‘Inflation and Debt’, National Affairs, Fall, 56–78 27. Carmen Reinhart and M. Belen Sbrancia (2015), ‘The Liquidation of Government Debt’, Economic Policy, 30 (82), April, 291–333 PART IV SOVEREIGN DEBT: CONTEMPORARY SOCIAL AND ETHICAL ISSUES 28. James M. Buchanan (1986), ‘The Ethics of Debt Default’, in James M. Buchanan, Charles K. Rowley and Robert D. Tollison (eds.), Deficit, Oxford, UK: Basil Blackwell, 361–73 29. Geoffrey Brennan and Giuseppe Eusepi (2002), ‘The Dubious Ethics of Debt Default’, Public Finance Review, 30 (6), November, 546–61 30. Seema Jayachandran and Michael Kremer (2006), ‘Odious Debt’, American Economic Review, 96 (1), March, 82–92 31. Albert H. Choi and Eric A. Posner (2007), ‘A Critique of the Odious Debt Doctrine’, Law and Contemporary Problems, 70 (3), Summer, 33–51 32. Nouriel Roubini (2002), ‘Do We Need a New Bankruptcy Regime?’, Brookings Papers on Economic Activity, 1, 321–33 33. Andrei Shleifer (2003), ‘Will the Sovereign Debt Market Survive?’, American Economic Review, 93 (2), May, 85–90 34. Rohan Pitchford and Mark L. J. Wright (2012), ‘Holdouts in Sovereign Debt Restructuring: A Theory of Negotiation in a Weak Contractual Environment’, Review of Economic Studies, 79 (2), April, 812–37 35. Robert W. Kolb (2015), ‘The Virtue of Vultures: Distressed Debt Investors in the Sovereign Debt Market’, Journal of Social, Political, and Economic Studies, 40 (4), Winter, 368–412 Index

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Book SynopsisFinancialisation and the Financial and Economic Crises provides comparative, empirical case studies of a diverse set of eleven countries. In particular, the book helps in understanding the current (mal)performance of Euro area economies by explaining the causes of the shifts in growth regimes during and after the crises. It goes well beyond the dominant interpretation of the recent financial and economic crises as being rooted in malfunctioning and poorly regulated financial markets.The contributions to this book provide detailed accounts of the long-term effects of financialisation and cover the main developments leading up to and during the crisis in eleven selected countries: the US, the UK, Spain, Greece, Portugal, Germany, Sweden, Italy, France, Estonia, and Turkey. The introductory chapter presents the theoretical framework and synthesizes the main findings of the country studies. Furthermore, the macroeconomic effects of financialisation on the EU as a whole are analyzed in the final chapter. Offering an illuminating overview and invaluable alternative perspective on the long-run developments leading to the recent crises, this book is essential reading for researchers, students and policymakers and an ideal starting point for further research.Contributors: S. Bahçe, R. Barradas, C.A. Carrasco, H. Cömert, G. Cornilleau, J. Creel, D. Detzer, N. Dodig, N. Erdem, T. Evans, J. Ferreiro, G. Gabbi, C. Gálvez, C. Gomez, A. González, E. Hein, E. Juuse, E. Karaçimen, A.H. Köse, S. Lagoa, E. Leão, J. Lepper, Ö. Orhangazi, G. Özgür, R. Paes Mamede, M. Shabani, A. Stenfors, E. Ticci, J. Toporowski, L. Tserkezis, J. Tyson, Y. Varoufakis, P. Vozzella, G.L. YalmanTable of ContentsContents: Preface 1. Financialisation and the Financial and Economic Crises: Theoretical Framework and Empirical Analysis for 15 Countries Nina Dodig, Eckhard Hein and Daniel Detzer 2. The Crisis of Finance-led Capitalism in the United States Trevor Evans 3. Monetary Adjustment and Inflation of Financial Claims in the UK after 1980 John Lepper, Mimoza Shabani, Jan Toporowski and Judith Tyson 4. Financialisaton and the Economic Crisis in Spain Jesús Ferreiro, Cataliana Gálvez and Anna Gonzáles 5. Financialisation and the Crisis: The Case of Greece Yanis Varoufakis and Lefteris Tserkezis 6. The Real Sector Developments in Estonia – Financialisation Effects Behind the Transition Process Egert Juuse 7. Financialisation and the Crisis in the Export-led Mercantilist German Economy Daniel Detzer and Eckhard Hein 8. Swedish Financialisation: ‘Nordic Noir’ or ‘Safe Haven’? Alexis Stenfors 9. France, a Domestic Demand-led Economy Under the Influence of External Shocks Gérard Cornilleau and Jérôme Creel 10. The Transmission Channels Between the Financial and the Real Sectors in Italy and the Crisis Giampaolo Gabbi, Elisa Ticci and Pietro Vozzella 11. The Long Boom and the Early Bust: The Portuguese Economy in the Era of Financialisation Ricardo Paes Mamede, Sérgio Lagoa, Emanuel Leão and Ricardo Barradas 12. Financialisation and the Financial and Economic Crises: The Case of Turkey Serdal Bahçe, Hasan Cömert, Nilgün Erdem, Elif Karaçimen, Ahmet Haşim Köse, Özgür Orhangazi, Gökçer Özgür and Galip L.Yalman 13. The Impact of the Financial and Economic Crisis on European Union Member States Carlos A. Carrasco, Jesus Ferreiro, Catalina Galvez, Carmen Gomez and Ana González Index

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Book SynopsisThis research review offers an examination and discussion of the seminal contributions by many prominent scholars in the heterodox tradition of post-Keynesian economic thought. The authors explore methodological issues - showing the contrast with orthodox thinking on fundamental grounds, concepts such as credit, money and production - which are crucial to understanding the working of our economic systems, as well as several interrelated macroeconomic issues including employment, distribution, growth, development, asset bubbles, and financial crises. The review provides a unique opportunity to appraise and appreciate the depth and variety of post-Keynesian economics at both theoretical and policy-oriented level.Trade Review‘With the neoclassical mainstream in disarray, this anthology on post-Keynesian economics is very timely, providing a great many building blocks to set up a coherent alternative. Articles on method are followed by contributions on fundamentals: credit, money, production, employment, and distribution. Fascinating themes are taken up: wage-led or profit-led economic growth, financialisation and asset bubbles, and international monetary architecture. The collection brings together the classical (Ricardian) tradition of political economy, revived by Sraffa, along with Keynes’s theory of effective demand, complemented by endogenous money as Joan Robinson had suggested in the 1950s. To systematically realise this project amounts to working out a monetary theory of production as originally envisaged by Keynes in 1933.’ -- Heinrich Bortis, University of Fribourg, SwitzerlandTable of ContentsVolume I: Issues in Methodology - Louis-Philippe Rochon and Sergio Rossi Contents: Introduction Louis-Philippe Rochon and Sergio Rossi PART I WHAT IS POST-KEYNESIAN ECONOMICS? 1. Sheila C. Dow (1988), ‘Post Keynesian Economics: Conceptual Underpinnings’, British Review of Economic Issues, 10 (3), Autumn, 1–18 2. O. F. Hamouda and G. C. Harcourt (1988), ‘Post Keynesianism: From Criticism to Coherence?’, Bulletin of Economic Research, 40 (1), January, 1–33 3. Sheila C. Dow (1990), ‘Post-Keynesianism as Political Economy: A Methodological Discussion’, Review of Political Economy, 2 (3), 345–58 4. Victoria Chick (1995), ‘Is There a Case for Post Keynesian Economics?’, Scottish Journal of Political Economy, 42 (1), February, 20–36 5. Philip Arestis (1996), ‘Post-Keynesian Economics: Towards Coherence’, Cambridge Journal of Economics, 20 (1), January, 111–35 6. Sheila C. Dow (2000), ‘Prospects for the Progress of Heterodox Economics’, Journal of the History of Economic Thought, 22 (2), 157–70 7. Victoria Chick (2004), 'On Open Systems', Brazilian Journal of Political Economy, 24 (1), January–March, 3–16 8. Tony Lawson (2006), ‘The Nature of Heterodox Economics’, Cambridge Journal of Economics, 30 (4), July, 483–505 9. John B. Davis (2006), ‘The Nature of Heterodox Economics’, Post-Autistic Economics Review: Symposium on Reorienting Economics, 40 (1), December, 23–30 PART II POST-KEYNESIAN ECONOMICS AND OTHER HETERODOX TRADITIONS 10. Edward Nell (1990), ‘Keynes and Sraffa: Marshallian or Classical Foundations?’, in Krishna Bharadwaj and Bertram Schefold (eds), Essays on Piero Sraffa: Critical Perspectives on the Revival of Classical Theory, Part II, Chapter 10, London, UK: Unwin Hyman, 352–57 11. Marc Lavoie (1992), ‘Towards a New Research Programme for Post-Keynesianism and Neo-Ricardianism’, Review of Political Economy, 4 (1), 37–78 12. Tony Lawson (1994), ‘The Nature of Post Keynesianism and its Links to Other Traditions: A Realist Perspective’, Journal of Post Keynesian Economics, 16 (4), Summer, 503–38 13. Marc Lavoie (2003), ‘The Tight Links between Post-Keynesian and Feminist Economics’, in Edward Fullbrook (ed.), The Crisis in Economics, The Post Autistic Economics Movement: The First 600 Days, Part 3, London, UK: Routledge, 189–92 14. Marc Lavoie (2006), ‘Do Heterodox Theories Have Anything in Common? A Post-Keynesian Point of View’, European Journal of Economics and Economic Policies: Intervention, 3 (1), May, 87–112 15. J. E. King (2012), ‘Post Keynesians and Others’, Review of Political Economy, 24 (2), April, 305–19 16. John E. King (2013), ‘Should Post-Keynesians Make a Behavioural Turn?’, European Journal of Economics and Economic Policies: Intervention, 10 (2), September, 231–42 PART III POST-KEYNESIAN ECONOMICS AND CRITICAL REALISM 17. Victoria Chick (1998), ‘On Knowing One’s Place: The Role of Formalism in Economics’, Economic Journal, 108 (451), November, 1859–69 18. Sheila C. Dow (1999), ‘Post Keynesianism and Critical Realism: What is the Connection?’, Journal of Post Keynesian Economics, 22 (1), Fall, 15–33 19. Mark Setterfield (2003), ‘Critical Realism and Formal Modelling: Incompatible Bedfellows?’, in Paul Downward (ed.), Applied Economics and the Critical Realist Critique, Part IIA, Chapter 5, London, UK: Routledge, 71–88 20. Therese Jefferson and John E. King (2011), ‘Michal Kalecki and Critical Realism’, Cambridge Journal of Economics, 35 (5), September, 957–72 PART IV MICROECONOMIC FOUNDATIONS OF POST-KEYNESIAN ANALYSIS 21. G. C. Harcourt and Peter Kenyon (1976), ‘Pricing and the Investment Decision’, Kyklos, 29 (3), January, 449–77 22. Alfred S. Eichner (1983), ‘The Micro Foundations of the Corporate Economy’, Managerial and Decision Economics, 4 (3), September, 136–52 23. E. Agliardi (1988), ‘Microeconomic Foundations of Macroeconomics in the Post-Keynesian Approach’, Metroeconomica, 39 (3), October, 275–97 24. Marc Lavoie (1994), ‘A Post Keynesian Approach to Consumer Choice’, Journal of Post Keynesian Economics, 16 (4), Summer, 539–62 25. Marc Lavoie (1996), ‘Mark-up Pricing versus Normal Cost Pricing in Post-Keynesian Models’, Review of Political Economy, 8 (1), January, 57–66 26. Paul Downward (2000), ‘A Realist Appraisal of Post-Keynesian Pricing Theory’, Cambridge Journal of Economics, 24 (2), March, 211–24 27. Claudio Sardoni (2002), ‘On the Microeconomic Foundations of Macroeconomics: A Keynesian Perspective’, in Philip Arestis, Meghnad Desai and Sheila Dow (eds), Methodology, Micrcoeconomics and Keynes: Essays in Honour of Victoria Chick, Volume Two, Chapter 2, London, UK: Routledge, 4–14 28. John E. King (2009), ‘Microfoundations?’ in Eckhard Hein, Torsten Niechoj and Engelbert Stockhammer (eds), Macroeconomic Policies on Shaky Foundations: Whither Mainstream Economics?, Part I, Marburg, Germany: Metropolis-Verlag, 33–53 29. Frederic S. Lee (2010), ‘A Heterodox Teaching of Neoclassical Microeconomic Theory’, International Journal of Pluralism and Economics Education, 1 (3), 203–35 PART V POST-KEYNESIAN ECONOMICS AND ITS CRITICS 30. Philip Arestis, Stephen P. Dunn and Malcolm Sawyer (1999), ‘Post Keynesian Economics and its Critics’, Journal of Post Keynesian Economics, 21 (4), Summer, 527–49 31. Bernard Walters and David Young (1999), ‘Is Critical Realism the Appropriate Basis for Post Keynesianism?’, Journal of Post Keynesian Economics, 22 (1), Fall, 105–23 32. Philip Arestis, Stephen P. Dunn and Malcolm Sawyer (1999), ‘On the Coherence of Post-Keynesian Economics: A Comment on Walters and Young’, Scottish Journal of Political Economy, 46 (3), August, 339–45 33. Frederic S. Lee (2012), ‘Heterodox Economics and its Critics’, Review of Political Economy, 24 (2), April, 337–51 PART VI THE FUTURE OF POST-KEYNESIAN ECONOMICS 34. Giuseppe Fontana (2003), ‘Reflections on the Development of Post Keynesian Economics’, History of Economic Ideas, XI (3), 87–94 35. Giuseppe Fontana and Bill Gerrard (2006), ‘The Future of Post Keynesian Economics’, Banca Nazionale del Lavoro Quarterly Review, LIX (236), March, 49–80 36. Engelbert Stockhammer and Paul Ramskogler (2009), ‘Post-Keynesian Economics – How to Move Forward’, European Journal of Economics and Economic Policies: Intervention, 6 (2), November, 227–46 37. Matías Vernengo (2013), ‘Conversation or Monologue? On Advising Heterodox Economists, with Addendum’, in Frederic S. Lee and Marc Lavoie (eds), In Defense of Post-Keynesian and Heterodox Economics: Responses to their Critics, Chapter 8, Abingdon, UK: Routledge, 158–71 38. Marc Lavoie (2013), ‘After the Crisis: Perspectives for Post-Keynesian Economics’, in Frederic S. Lee and Marc Lavoie (eds), In Defense of Post-Keynesian and Heterodox Economics: Responses to their Critics, Chapter 2, Abingdon, UK: Routledge, 18–41 Volume II: Credit, Money and Production - Louis-Philippe Rochon and Sergio Rossi Contents: Acknowledgements Introduction An introduction by the editors appears in Volume I PART I KEYNES AND KALECKI ON MONEY AND FINANCE 1. Paul Davidson (1965), ‘Keynes’s Finance Motive’, Oxford Economic Papers, 17 (1), March, 47–65 2. A. Asimakopulos (1983), ‘Kalečki and Keynes on Finance, Investment and Saving’, Cambridge Journal of Economics, 7 (3–4), September–December, 221–33 3. Augusto Graziani (1984), ‘The Debate on Keynes’ Finance Motive’, Economic Notes, 13 (1), 5–33 4. Jörg Bibow (1995), ‘Some Reflections on Keynes’s “Finance Motive” for the Demand for Money’, Cambridge Journal of Economics, 19 (5), October, 647–66 5. Louis-Philippe Rochon (1997), ‘Keynes’s Finance Motive: A Re-assessment. Credit, Liquidity Preference and the Rate of Interest’, Review of Political Economy, 9 (3), 277–93 PART II BANKS, CREDIT AND MONEY FROM A POST KEYNESIAN PERSPECTIVE 6. Marc Lavoie (1984), ‘The Endogenous Flow of Credit and the Post Keynesian Theory of Money’, Journal of Economic Issues, XVIII (3), September, 771–97 7. Philip Arestis (1987), ‘Post-Keynesian Theory of Money, Credit and Finance’, Thames Papers in Political Economy, Spring, 1–22 8. Louis-Philippe Rochon and Sergio Rossi (2013), ‘Endogenous Money: The Evolutionary versus Revolutionary Views’, Review of Keynesian Economics, 1 (2), Summer, 210–29 PART III THE THEORY OF THE MONETARY CIRCUIT 9. Edward J. Nell (1967), ‘Wicksell’s Theory of Circulation’, Journal of Political Economy, 75 (4), August, 386–94 10. Augusto Graziani (1989), ‘The Theory of the Monetary Circuit’, Thames Papers in Political Economy, Spring, 1–26 11. Riccardo Bellofiore (1992), ‘Monetary Macroeconomics before the General Theory: The Circuit Theory of Money in Wicksell, Schumpeter and Keynes’, Social Concept, 6 (2), 47–89 12. Jacques Le Bourva (1992), ‘Money Creation and Credit Multipliers’, Review of Political Economy, 4 (4), 447–66 13. Louis-Philippe Rochon (1999), ‘The Creation and Circulation of Endogenous Money: A Circuit Dynamique Approach’, Journal of Economic Issues, XXIII (1), March, 1–21 14. Alain Parguez and Mario Seccareccia (2000), ‘The Credit Theory of Money: The Monetary Circuit Approach’, in John Smithin (ed.), What is Money?, Chapter 5, London, UK: Routledge, 101–23 15. Biagio Bossone (2001), ‘Circuit Theory of Banking and Finance’, Journal of Banking and Finance, 25 (5), May, 857–90 16. Sergio Rossi (2009), ‘Monetary Circuit Theory and Money Emissions’, in Jean-François Ponsot and Sergio Rossi (eds), The Political Economy of Monetary Circuits: Tradition and Change in Post-Keynesian Economics, Chapter 3, Basingstoke, UK and New York, NY, USA: Palgrave Macmillan, 36–55 PART IV THE THEORY OF ENDOGENOUS MONEY: EARLY DEVELOPMENTS 17. Stephen W. Rousseas (1960), ‘Velocity Changes and the Effectiveness of Monetary Policy, 1951–57’, Review of Economics and Statistics, 42 (1), February, 27–36 18. Nicholas Kaldor (1970), ‘The New Monetarism’, Lloyds Bank Review, 97, July, 1–18 19. Paul Davidson and Sidney Weintraub (1973), ‘Money as Cause and Effect’, Economic Journal, 83 (332), December, 1117–32 20. Nicholas Kaldor and James A. Trevithick (1981), ‘A Keynesian Perspective on Money’, Lloyds Bank Review, 139, January, 1–19 PART V THE THEORY OF ENDOGENOUS MONEY: HORIZONTALIST/STRUCTURALIST DEBATES 21. Allin Cottrell (1986), ‘The Endogeneity of Money and Money-Income Causality’, Scottish Journal of Political Economy, 33 (1), February, 2–27 22. Basil J. Moore (1991), ‘Money Supply Endogeneity: “Reserve Price Setting” or “Reserve Quantity Setting”?’, Journal of Post Keynesian Economics, 13 (3), Spring, 404–13 23. Robert Pollin (1991), ‘Two Theories of Money Supply Endogeneity: Some Empirical Evidence’, Journal of Post Keynesian Economics, 13 (3), Spring, 366–96 24. Thomas I. Palley (1994), ‘Competing Views of the Money Supply Process: Theory and Evidence’, Metroeconomica, 45 (1), February, 67–88 25. Sheila C. Dow (1996), ‘Horizontalism: A Critique’, Cambridge Journal of Economics, 20 (4), July, 497–508 26. Marc Lavoie (1996), ‘Horizontalism, Structuralism, Liquidity Preference and the Principle of Increasing Risk’, Scottish Journal of Political Economy, 43 (3), August, 275–300 27. Marc Lavoie (1999), ‘The Credit-Led Supply of Deposits and the Demand for Money: Kaldor’s Reflux Mechanism as Previously Endorsed by Joan Robinson’, Cambridge Journal of Economics, 23 (1), January, 103–13 28. Mario Seccareccia (2003), ‘Pricing, Investment and the Financing of Production within the Framework of the Monetary Circuit: Some Preliminary Evidence’, in Louis-Philippe Rochon and Sergio Rossi (eds), Modern Theories of Money: The Nature and Role of Money in Capitalist Economies, Chapter 9, Cheltenham, UK and Northampton, MA, USA: Edward Elgar Publishing, 173–97 29. Giuseppe Fontana (2004), ‘Rethinking Endogenous Money: A Constructive Interpretation of the Debate between Horizontalists and Structuralists’, Metroeconomica, 55 (4), November, 367–85 PART VI MODERN MONEY THEORY AND ITS CRITICS 30. Warren Mosler (1997–98), ‘Full Employment and Price Stability’, Journal of Post Keynesian Economics, 20 (2), Winter, 167–82 31. Sergio Rossi (1999), ‘Review of “Understanding Modern Money”’, Kyklos, 52 (3), August, 483–485 32. Stephanie Bell (2000), ‘Do Taxes and Bonds Finance Government Spending?’ Journal of Economic Issues, XXXIV (3), September, 603–20 33. Louis-Philippe Rochon and Matías Vernengo (2003), ‘State Money and the Real World: Or Chartalism and its Discontents’, Journal of Post Keynesian Economics, 26 (1), Fall, 57–67 34. Claude Gnos and Louis-Philippe Rochon (2002), ‘Money Creation and the State: A Critical Assessment of Chartalism’, International Journal of Political Economy, 32 (3), Fall, 41–57 35. Marc Lavoie (2013), ‘The Monetary and Fiscal Nexus of Neo-Chartalism: A Friendly Critique’, Journal of Economic Issues, XLVII (1), March, 1–31 PART VII CENTRAL BANKING, MONETARY POLICY AND INTEREST RATE SETTING 36. Philip Arestis and Malcolm Sawyer (2004), ‘On the Effectiveness of Monetary Policy and of Fiscal Policy’, Review of Social Economy, LXII (4), December, 441–63 37. Giuseppe Fontana and Alfonso Palacio-Vera (2007), ‘Are Long-Run Price Stability and Short-Run Output Stabilization All That Monetary Policy Can Aim For?’, Metroeconomica, 58 (2), May, 269–98 38. Louis-Philippe Rochon and Sergio Rossi (2007), ‘Central Banking and Post-Keynesian Economics’, Review of Political Economy, 19 (4), October, 539–54 39. Louis-Philippe Rochon and Mark Setterfield (2008), ‘The Political Economy of Interest-Rate Setting, Inflation, and Income Distribution’, International Journal of Political Economy, 37 (2), Summer, 5–25 40. Mark Setterfield (2009), ‘Macroeconomics without the LM Curve: An Alternative View’, Cambridge Journal of Economics, 33 (2), March, 273–93 41. Scott T. Fullwiler (2013), ‘An Endogenous Money Perspective on the Post-Crisis Monetary Policy Debate’, Review of Keynesian Economics, 1 (2), Summer, 171–94 Volume III: Employment, Distribution, Growth, Development, Asset Bubbles and Financial Crises - Louis-Philippe Rochon and Sergio Rossi Contents: Acknowledgements Introduction An introduction by the editors appears in Volume I PART I EMPLOYMENT, PRIVATE DEBT AND INCOME DISTRIBUTION 1. Amitava Krishna Dutt (1984), ‘Stagnation, Income Distribution and Monopoly Power’, Cambridge Journal of Economics, 8 (1), March, 25–40 2. Massimo Pivetti (1985), ‘On the Monetary Explanation of Distribution’, Political Economy: Studies in the Surplus Approach, 1 (2), 73–103 3. Amit Bhaduri and Stephen Marglin (1990), ‘Unemployment and the Real Wage: The Economic Basis for Contesting Political Ideologies’, Cambridge Journal of Economics, 14 (4), December, 375–93 4. Amitava Krishna Dutt (1992), ‘Conflict Inflation, Distribution, Cyclical Accumulation and Crises’, European Journal of Political Economy, 8 (4), December, 579–97 5. Steven Pressman and Robert Scott (2009), ‘Consumer Debt and the Measurement of Poverty and Inequality in the US’, Review of Social Economy, LXVII (2), June, 127–48 6. Aldo Barba and Massimo Pivetti (2009), ‘Rising Household Debt: Its Causes and Macroeconomic Implications – a Long-Period Analysis’, Cambridge Journal of Economics, 33 (1), January, 113–37 PART II WAGE-LED OR PROFIT-LED ECONOMIC GROWTH 7. Robert A. Blecker (1989), ‘International Competition, Income Distribution and Economic Growth’, Cambridge Journal of Economics, 13 (3), September, 395–412 8. Marc Lavoie (1995), ‘Interest Rates in Post-Keynesian Models of Growth and Distribution’, Metroeconomica, 46 (2), June, 146–77 9. Robert Boyer (2005), ‘From Shareholder Value to CEO Power: The Paradox of the 1990s’, Competition and Change, 9 (1), March, 7–47 10. Eckhard Hein (2007), ‘Interest Rate, Debt, Distribution and Capital Accumulation in a Post-Kaleckian Model’, Metroeconomica, 58 (2), May, 310–39 11. Amit Bhaduri (2008), ‘On the Dynamics of Profit-Led and Wage-Led Growth’, Cambridge Journal of Economics, 32 (1), January, 147–60 12. Engelbert Stockhammer and Özlem Onaran (2013), ‘Wage-Led Growth: Theory, Evidence, Policy’, Review of Keynesian Economics, 1 (1), Spring, 61–78 PART III THE IMPORTANCE OF FISCAL POLICY 13. Sebastian Dullien (2012), ‘Is New Always Better than Old? On the Treatment of Fiscal Policy in Keynesian Models’, Review of Keynesian Economics: Inaugural Issue, 0 (1), Autumn, 5–23 14. Hassan Bougrine (2012), ‘Fiscal Austerity, the Great Recession and the Rise of New Dictatorships’, Review of Keynesian Economics: Inaugural Issue, 0 (1), Autumn, 109–25 15. Philip Arestis (2012), ‘Fiscal Policy: A Strong Macroeconomic Role’, Review of Keynesian Economics: Inaugural Issue, 0 (1), Autumn, 93–108 16. Nathan Perry and Matías Vernengo (2014), ‘What Ended the Great Depression? Re-evaluating the Role of Fiscal Policy’, Cambridge Journal of Economics, 38 (2), March, 349–67 PART IV SUSTAINABLE DEVELOPMENT AND ENVIRONMENTAL ISSUES 17. Richard P. F. Holt (2005), ‘Post-Keynesian Economics and Sustainable Development’, International Journal of Environment, Workplace and Employment, 1 (2), 174–86 18. Giuseppe Fontana and Malcolm Sawyer (2013), ‘Post-Keynesian and Kaleckian Thoughts on Ecological Macroeconomics’, European Journal of Economics and Economic Policies: Intervention, 10 (2), September, 256–67 19. Neil Perry (2013), ‘Environmental Economics and Policy’, in G. C. Harcourt and Peter Kriesler (eds), The Oxford Handbook of Post-Keynesian Economics, Volume 2: Critiques and Methodology, Chapter 18, New York, NY, USA: Oxford University Press, 391–411 20. Armon Rezai, Lance Taylor and Reinhard Mechler (2013), ‘Ecological Macroeconomics: An Application to Climate Change’, Ecological Economics, 85, January, 69–76 PART V PAYMENT SYSTEMS AND FINANCIAL CRISES 21. Hyman P. Minsky (1977), ‘The Financial Instability Hypothesis: An Interpretation of Keynes and an Alternative to “Standard” Theory’, Challenge, 20 (1), March–April, 20–27 22. James R. Crotty (1990), ‘Owner-Manager Conflict and Financial Theories of Investment Instability: A Critical Assessment of Keynes, Tobin, and Minsky’, Journal of Post Keynesian Economics, 12 (4), Summer, 519–42 23. Martin H. Wolfson (1996), ‘A Post Keynesian Theory of Credit Rationing’, Journal of Post Keynesian Economics, 18 (3), Spring, 443–70 24. Scott T. Fullwiler (2003), ‘Timeliness and the Fed’s Daily Tactics’, Journal of Economic Issues, XXXVII (4), December, 851–80 25. Jan Toporowski (2008), ‘Minsky’s “Induced Investment and Business Cycles”’, Cambridge Journal of Economics, 32 (5), September, 725–37 26. Sergio Rossi (2010), ‘The 2007–9 Financial Crisis: An Endogenous-Money View’, Studi e Note di Economia, XV (3), 413–30 27. Sergio Rossi (2015), ‘Structural Reforms in Payment Systems to Avoid Another Systemic Crisis’, Review of Keynesian Economics, 3 (2), Summer, 213–25 PART VI FINANCIALISATION AND ASSET BUBBLES 28. Engelbert Stockhammer (2004), ‘Financialisation and the Slowdown of Accumulation’, Cambridge Journal of Economics, 28 (5), September, 719–41 29. Gennaro Zezza (2008), ‘U.S. Growth, the Housing Market, and the Distribution of Income’, Journal of Post Keynesian Economics, 30 (3), Spring, 375–401 30. Yongbok Jeon and Matías Vernengo (2008), ‘Puzzles, Paradoxes, and Regularities: Cyclical and Structural Productivity in the United States (1950–2005)’, Review of Radical Political Economics, 40 (3), Summer, 237–43 31. Robert Guttmann (2009), ‘Asset Bubbles, Debt Deflation, and Global Imbalances’, International Journal of Political Economy, 38 (2), Summer, 45–68 32. Dirk J. Bezemer (2010), ‘Understanding Financial Crisis through Accounting Models’, Accounting, Organizations and Society, 35 (7), October, 676–88 33. Özgür Orhangazi (2012), ‘”Financial” vs. “Real”: An Overview of the Contradictory Role of Finance’, Research in Political Economy: Revitalizing Marxist Theory for Today’s Capitalism, 27, 121–48 34. Engelbert Stockhammer (2012), ‘Financialization, Income Distribution and the Crisis’, Investigación Económica, LXXI (279), January–March, 39–70 35. Riccardo Bellofiore (2013), ‘Endogenous Money, Financial Keynesianism and Beyond’, Review of Keynesian Economics, 1 (2), Summer, 153–70 PART VII INTERNATIONAL MONETARY ARCHITECTURE 36. Paul Davidson (1992–1993), ‘Reforming the World’s Money’, Journal of Post Keynesian Economics, 15 (2), Winter, 153–79 37. Jane D’Arista (2004), ‘Dollars, Debt, and Dependence: The Case for International Monetary Reform’, Journal of Post Keynesian Economics, 26 (4), Summer, 557–72 38. Robert Skidelsky (2005), ‘Keynes, Globalisation and the Bretton Woods Institutions in the Light of Changing Ideas about Markets’, World Economics, 6 (1), January–March, 15–30 39. Pietro Alessandrini and Michele Fratianni (2009), ‘Resurrecting Keynes to Stabilize the International Monetary System’, Open Economies Review, 20 (3), July, 339–58 40. Lilia Costabile (2009), ‘Current Global Imbalances and the Keynes Plan: A Keynesian Approach for Reforming the International Monetary System’, Structural Change and Economic Dynamics, 20 (2), June, 79–89 41. Nadia F. Piffaretti (2009), ‘Reshaping the International Monetary Architecture: Lessons from the Keynes Plan’, Banks and Bank Systems, 4 (1), 45–54 42. Sergio Rossi (2009), ‘International Payment Finality Requires a Supranational Central-Bank Money: Reforming the International Monetary Architecture in the Spirit of Keynes’, China-USA Business Review, 8 (11), November, 1–20 43. Anna M. Carabelli and Mario A. Cedrini (2010), ‘Global Imbalances, Monetary Disorder, and Shrinking Policy Space: Keynes’s Legacy for our Troubled World’, European Journal of Economics and Economic Policies: Intervention, 7 (2), November, 303–23 44. Alvaro Cencini (2010), ‘For a New System of International Payments’, Banks and Bank Systems, 5 (1), 47–57 Index

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Book SynopsisIn the global financial crisis, competitiveness gaps between Euro area countries caused additional strain. This book discusses the various dimensions of competitiveness, with a special focus on emerging Central, Eastern and Southeastern European countries. For Europe to proceed with convergence and to resist global competitive pressures, it argues that policies to boost productivity and innovation are vital. With products becoming ever more technically sophisticated and global interconnectedness on a relentless rise, it also demonstrates that quality, customer orientation and participation in global production networks and global value chains are at least as important as relative costs and prices. This book delves into the literature and dissects the complexity of competitiveness, aiming to offer tangible policy advice focussed on how well the European economy is performing and how it could improve. The key findings of the book, from a mix of academics and policymakers, constitute a state-of-the-art assessment of competitiveness that may change traditional perceptions of how economies can return to a path of sustainable growth. Comprehensive and forward-looking, this enlightening book will appeal to academics, researchers and policymakers with a particular interest in European economies and economic integration.Contributors include: D. Andrews, B.B. Bakker, I. Begg, M. Belka, K. Benkovskis, Z. Darvas, A. de Serres, M. Gradzewicz, D. Hanzl-Weiss, B.S. Javorcik, A. Kosior, K. Krogulski, M. Landesmann, E. Nowotny, B. Pinto, D. Ritzberger Grünwald, M. Rubaszek, P. Samecki, M. Silgoner, P. Sinclair, K. Vondra, B. Vujcic, J. Wörz, L. YuehTable of ContentsContents: PART I FRAMING THE DISCUSSION ON THE COMPETITIVENESS CHALLENGE 1. Boosting European Competitiveness Marek Belka, Ewald Nowotny, Doris Ritzberger-Grünwald and Pawel Samecki 2. Harnessing Foreign Direct Investment to Boost Economic Growth Beata S. Javorcik 3. Correcting External Imbalances in the European Economy Doris Hanzl-Weiss and Michael Landesmann PART II THE VARIOUS DIMENSIONS OF COMPETITIVENESS 4. New Indicators of Competitiveness – The Austrian Perspective Doris Ritzberger-Grünwald, Maria Silgoner and Klaus Vondra 5. Globalisation and Growth: The Case of China Linda Yueh 6. Non-price Components of Market Share Gains – Evidence for EU Countries Konstantins Benkovskis and Julia Wörz PART III EU STRUCTURAL POLICIES 7. EU Economic Governance: Euro Area Periphery Lessons for Central and Eastern European Countries Zsolt Darvas 8. EU Structural Policies Today: Missing Piece of the Growth Puzzle, or Wishful Thinking? Brian Pinto 9. EU Structural Policies and Euro Adoption in CEE Countries Anna Kosior and Michał Rubaszek PART IV LABOUR MARKET AND PRODUCTIVITY DEVELOPMENTS 10. Labour Market Integration and Associated Issues: Kipling is Wrong Peter Sinclair 11. Do Jobs Created in CEE Countries Result in Higher Productivity? Michał Gradzewicz 12. Productivity and Competitiveness in CESEE Countries: A Look at the Key Structural Drivers Dan Andrews and Alain de Serres PART V CESEE’S CONTRIBUTION TO GROWTH IN THE EURO AREA AND EUROPE 13. Convergence of ‘New’ EU Member States: Past, Present and Future Bas B. Bakker and Krzysztof Krogulski 14. EU and CEE: Productivity and Convergence Boris Vujčić 15. Peering into the Crystal Ball: Can the CESEE Countries be an Engine of Growth for the EU? Iain Begg Index

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Book SynopsisMonetary problems are important and widely debated, but the complexity of the international monetary system and the disparate systems that make it up gives rise to many fallacies about the inner workings of these systems. When shared by those who decide economic and monetary policies, these fallacies can have damaging consequences. This book provides a rigorous and approachable analysis of these systems and consequences, providing the keys to untangling and understanding their mechanisms and influence.A clear understanding of the working of monetary systems becomes an indispensable decision-making tool when it comes to pressing questions about reform and issues of global debate such as whether a country should join (or leave) the Eurozone or attempts to cure the so-called 'balance of payments problems'. Starting from basic concepts, Pascal Salin progressively builds upon his analysis of monetary systems in a coherent and easily readable way, drawing on the most reliable theoretical contributions from research and giving examples of lessons that can be drawn from this rigorous examination of topics including devaluations, fixed and flexible exchange rates, monetary integration, monetary crises, monetary policy, and more. His clear, orderly style pares down accumulated details and theories to leave a concise and usable toolkit for analysis and action.This book makes it possible for anyone, starting from scratch, to come to a comprehensive understanding of the working of monetary systems. Students and scholars in economics as well as policy makers and practitioners will find this lucid volume an important resource and reference, as it provides intellectual instruments to evaluate the working of any monetary system.Trade Review‘. . . The International Monetary System and the Theory of Monetary Systems is replete with well-grounded arguments and thought-provoking insights. It is thus both a useful and distinctive resource for economics scholars and students, and an intellectually compelling journey into the principles of domestically sound currencies, and into how to build sound international monetary systems..’ -- Carmen Elena Dorobat, ?Quarterly Journal of Austrian EconomicsTable of ContentsContents: PART I BASIC STATEMENTS AND ANALYSES 1. The Concept of Nation 2. The Theory of Exchange 3. Equilibrium and Disequilibrium 4. The Demand for Money 5. Money Creation 6. The Exchange Rate 7. An Overview of Monetary Systems and Exchange Rate Regimes PART II THE BALANCE OF PAYMENTS 8. The Accounting Approach to the Balance of Payments 9. The Economic Approach to the Balance of Payments 10. Lessons from the Analysis of the Balance of Payments PART III INTERNATIONAL MONETARY EQUILIBRIUM IN MODERN MONETARY SYSTEMS 11. Money Creation in Hierarchical Systems 12. Inflation, a Monetary Phenomenon 13. The Formation of International Prices 14. General Principles about the Working of Fixed Exchange Rate Systems and Flexible Exchange Rate Systems 15. The Monetary Approach to the Balance of Payments (Under Fixed Exchange Rates) 16. The Processes of Transmission Between Monetary Systems Under Fixed Exchange Rates 17. International Monetary Equilibrium Under Fixed Exchange Rates 18. The Monetary Approach to Exchange Rate Variations 19. The Devaluation PART IV MONETARY PROBLEMS 20. The Very Long Term Evolution of Monetary Systems 21. The Working of Fixed Rate Systems Without an International Currency 22. Monetary Policy and Monetary Crises 23. Monetary Integration in Europe Conclusion : The Future Of Monetary Systems References Index

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Book SynopsisThis research review assesses the ground-breaking contributions to the evolution of knowledge in the economics of risk and time, from its early twentieth-century explorations to its current diversity of approaches. The analysis focuses first on the basic decisions under uncertainty, and then on asset pricing. It further discusses both classical expected utility approach and its non-expected utility generalizations, with applications to dynamic portfolio choices, insurance, risk sharing, and risk prevention. This review will be valuable for scholars in finance and macroeconomics, particularly those with an interest in the modeling foundations of consumer and investor decisions under uncertainty. Table of ContentsContents: PART I EXPECTED UTILITY 1. Daniel Bernoulli (1954), ‘Exposition of a New Theory on the Measurement of Risk’, trans. by Louise Sommer, Econometrica, 22 (1), January, 23–36 2. Milton Friedman and L.J. Savage (1948), ‘The Utility Analysis of Choices Involving Risk’, Journal of Political Economy, 56 (4), August, 279–304 3. John W. Pratt (1964), ‘Risk Aversion in the Small and in the Large’, Econometrica, 32 (1–2), January-April, 122–36 4. Michael Rothschild and Joseph Stiglitz (1970), ‘Increasing Risk: I. A Definition’, Journal of Economic Theory, 2 (3), September, 225–43 5. Paul A. Samuelson (1963), ‘Risk and Uncertainty: The Fallacy of the Law of Large Numbers’, Scientia, 57 (6), 1–6 6. Larry G. Epstein and Stephen M. Tanny (1980), ‘Increasing Generalized Correlation: A Definition and Some Economic Consequences’, Canadian Journal of Economics, 13 (1), 16–34 7. Louis Eeckhoudt and Harris Schlesinger (2006), ‘Putting Risk in its Proper Place’, American Economic Review, 96 (1), March, 280–8 8. Christian Gollier and John W. Pratt (1996), ‘Risk Vulnerability and the Tempering Effect of Background Risk’, Econometrica, 64 (5), September, 1109–23 PART II STATIC CHOICES UNDER UNCERTAINTY 9. Charles A. Holt and Susan K. Laury (2002), ‘Risk Aversion and Incentive Effects’, American Economic Review, 92 (5), December, 1644–55 10. Kenneth J. Arrow (1963), ‘Uncertainty and the Welfare Economics of Medical Care’, American Economic Review, 53 (5), December, 941–73 11. Artur Raviv (1979), ‘The Design of an Optimal Insurance Policy’, American Economic Review, 69 (1), March, 84–96 12. Jan Mossin (1968), ‘Aspects of Rational Insurance Purchasing’, Journal of Political Economy, 76 (4), July-August, 533–68 13. Isaac Ehrlich and Gary S. Becker (1972), ‘Market Insurance, Self-Insurance, and Self-Protection’, Journal of Political Economy, 80 (4), July-August, 623–48 14. Robert Wilson (1968), ‘The Theory of Syndicates’, Econometrica, 36 (1), January, 119–32 15. Robert M. Townsend (1994), ‘Risk and Insurance in Village India’, Econometrica, 62 (3), May, 539–91 16. Agnar Sandmo (1971), ‘On the Theory of the Competitive Firm under Price Uncertainty’, American Economic Review, 61 (1), March, 65–73 PART III RISK AND TIME 17. Jacques H. Drèze and Franco Modigliani (1972), ‘Consumption Decisions Under Uncertainty’, Journal of Economic Theory, 5 (3), December, 307–35 18. Kenneth J. Arrow and Anthony C. Fisher (1974), ‘Environmental Preservation, Uncertainty and Irreversibility’, Quarterly Journal of Economics, 88 (2), May, 312–19 19. Robert Pindyck (1991), ‘Irreversibility, Uncertainty and Investment’, Journal of Economic Literature, 29 (3), September, 1110–48 20. Jan Mossin (1968), ‘Optimal Multiperiod Portfolio Policies’, Journal of Business, 41 (2), April, 215–29 21. Paul A. Samuelson (1969), ‘Lifetime Portfolio Selection by Dynamic Stochastic Programming’, Review of Economics and Statistics, 51 (3), August, 239–46 PART IV ASSET PRICING 22. Karl H. Borch (1962), ‘Equilibrium in a Reinsurance Market’, Econometrica, 30 (3), July, 424–44 23. Robert E. Lucas, Jr. (1978), ‘Asset Prices in an Exchange Economy’, Econometrica, 46 (6), November, 1429–46 24. Mark Rubinstein (1974), ‘An Aggregation Theorem for Securities Markets’, Journal of Financial Economics, 1 (3), September, 225–44 25. Rajnish Mehra and Edward Prescott (1985), ‘The Equity Premium: A Puzzle’, Journal of Monetary Economics, 15 (2), March, 145–61 26. Narayana R. Kocherlakota (1996), ‘The Equity Premium: It’s Still a Puzzle’, Journal of Economic Literature, 34 (1), March, 42–71 27. Ian Martin (2012), ‘On the Valuation of Long-Dated Assets’, Journal of Political Economy, 120 (2), April, 346–58 28 Robert J. Barro (1989), ‘Rare Disasters and Asset Markets in the Twentieth Century’, Quarterly Journal of Economics, 121 (3), August, 823–66 29. Martin L. Weitzman (2007), ‘Subjective Expectations and Asset-Return Puzzle’, American Economic Review, 97 (4), September, 1102–30 PART V NON-EXPECTED UTILITY 30. Uzi Segal and Avia Spivak (1990), ‘First Order Versus Second Order Risk Aversion’, Journal of Economic Theory, 51 (1), June, 111–25 31. Matthew Rabin (2000), ‘Risk Aversion and Expected-Utility Theory, A Calibration Theorem’ Econometrica, 68 (5), September, 1281–92 32. Menahem E. Yaari (1987), ‘The Dual Theory of Choice Under Risk’, Econometrica, 55 (1), January, 95–115 33. John Quiggin (1982), ‘A Theory of Anticipated Utility’, Journal of Economic Behavior and Organization, 3 (4), December, 323–43 34. Amos Tyversky and Daniel Kahneman (1992), ‘Advances in Prospect Theory – Cumulative Representation of Uncertainty’, Journal of Risk and Uncertainty, 5 (4), October, 297–323 35. Mark J. Machina (1987), ‘Choice Under Uncertainty: Problems Solved and Unsolved’, Journal of Economic Perspectives, 1 (1), Summer, 121–54 36. Faruk Gul (1991), ‘A Theory of Disappointment Aversion’, Econometrica, 59 (3), May, 667–86 37. Larry G. Epstein and Stanley Zin (1991), ‘Substitution, Risk Aversion and the Temporal Behavior of Consumption and Asset Returns: An Empirical Analysis’, Journal of Political Economy, 99 (2), April, 263–86 38. Philippe Weil (1989), ‘The Equity Premium Puzzle and the Risk-Free Rate Puzzle’, Journal of Monetary Economics, 24 (3), November, 401–21 39. Ravi Bansal and Amir Yaron (2004), ‘Risks for the Long Run: A Potential Resolution of Asset Pricing Puzzles’, Journal of Finance, 59 (4), August, 1481–509 40. Yoram Halevy and Vincent Feltkamp (2005), ‘A Bayesian Approach to Uncertainty Aversion’, Review of Economic Studies, 72 (2), April, 449–66 41. Fabio Maccheroni, Massimo Marinacci and Doriana Ruffino (2013), ‘Alpha as Ambiguity: Robust Mean-Variance Portfolio Analysis’, Econometrica, 81 (3), May, 1075–113 Index

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Book SynopsisThis timely research review analyses a broad selection of important readings from the existing literature addressing several fundamental questions about recessions. These include what a recession is, the causes and effects of recessions, how to identify and predict recessions, and how to manage the associated risks. The review offers a general overview of the subject, detailed analysis of the readings, discussion of policy implications and acknowledgment of the areas where further research is required, proving itself to be an invaluable source of reference for academics, scholars and practitioners alike.Trade Review‘This two-volume project contains an excellent collection of the leading articles on the economics of recessions that will be very useful to researchers in macroeconomics and students in Ph.D. programs. It is well organized with the appropriate set of topics and accompanied by a well written editorial introduction which provides provides a nice summary of the literature and puts the papers in perspective.’ -- Frederic S. Mishkin, Columbia Business School, USTable of ContentsContents: Introduction Arturo Estrella PART I WHAT IS A RECESSION? 1. Geoffrey H. Moore (1967), ‘What is a Recession?’, American Statistician, 21 (4), October, 16–9 2. Allan P. Layton and Anirvan Banerji (2003), ’What is a Recession?: A Reprise’, Applied Economics, 35 (16), 1789–97 3. Arthur F. Burns and Wesley C. Mitchell (1946), ‘Working Plans’, in Measuring Business Cycles, Chapter 1, New York, NY, USA: National Bureau of Economic Research, 3–22 4. Arthur F. Burns and Wesley C. Mitchell (1946), ‘Dating Specific and Business Cycles’, in Measuring Business Cycles, Chapter 4, New York, NY, USA: National Bureau of Economic Research, 56–114 5. Geoffrey H. Moore (1958), ‘Measuring Recessions’, Journal of the American Statistical Association, 53 (282), June, 259–316 6. James D. Hamilton (1989), ‘A New Approach to the Economic Analysis of Nonstationary Time Series and the Business Cycle’, Econometrica, 57 (2), March, 357–84 7. Michael D. Boldin (1994), ‘Dating Turning Points in the Business Cycle’, Journal of Business, 67 (1), January, 97–131 8. Don Harding and Adrian Pagan (2003), ‘A Comparison of Two Business Cycle Dating Methods’, Journal of Economic Dynamics and Control, 27 (9), July, 1681–90 9. João Victor Issler and Farshid Vahid (2006), ‘The Missing Link: Using the NBER Recession Indicator to Construct Coincident and Leading Indices of Economic Activity’, Journal of Econometrics, 132 (1), May, 281–303 10. James H. Stock and Mark W. Watson (2010), ‘Indicators for Dating Business Cycles: Cross-History Selection and Comparisons’, American Economic Review: Papers and Proceedings, 100 (2), May, 16–9 PART II WHAT CAUSES RECESSIONS? 11. Christina D. Romer and David H. Romer (1989), ‘Does Monetary Policy Matter? A New Test in the Spirit of Friedman and Schwartz’, in Olivier Jean Blanchard and Stanley Fischer (eds), NBER Macroeconomics Annual 1989, Cambridge, MA, USA and London, UK: MIT Press, 121–70 12. Ben S. Bernanke, Mark Gertler and Mark Watson (1997), ‘Systematic Monetary Policy and the Effects of Oil Price Shocks’, Brookings Papers on Economic Activity, 1997 (1), 91–157 13. Christopher A. Sims and Tao Zha (2006), ‘Does Monetary Policy Generate Recessions?’, Macroeconomic Dynamics, 10 (2), April, 231–72 14. Marvin Goodfriend (2007), ‘How the World Achieved Consensus on Monetary Policy’, Journal of Economic Perspectives, 21 (4), Fall, 47–68 15. Tobias Adrian and Arturo Estrella (2008), ‘Monetary Tightening Cycles and the Predictability of Economic Activity’, Economics Letters, 99 (2), May, 260–64 16. Christopher Allsopp and David Vines (2005), ‘The Macroeconomic Role of Fiscal Policy’, Oxford Review of Economic Policy, 21 (4), Winter, 485–508 17. Gary D. Hansen and Edward C. Prescott (1993), ‘Did Technology Shocks Cause the 1990-1991 Recession?’, American Economic Review: Papers and Proceedings, 83 (2), May, 280–86 18. Giovanni Caggiano, Efrem Castelnuovo and Nicolas Groshenny (2014), ‘Uncertainty Shocks and Unemployment Dynamics in U.S. Recessions’, Journal of Monetary Economics, 67, October, 78–92 19. Charlotte Christiansen (2013), ‘Predicting Severe Simultaneous Recessions Using Yield Spreads as Leading Indicators’, Journal of International Money and Finance, 32, February, 1032–43 PART III HOW DO RECESSIONS END? 20. John B. Taylor (1993), ‘Discretion versus Policy Rules in Practice’, Carnegie-Rochester Conference Series on Public Policy, 39, December, 195–214 21. Paul Krugman (2005), ‘Is Fiscal Policy Poised for a Comeback?’, Oxford Review of Economic Policy, 21 (4), Winter, 515–23 22. Alan J. Auerbach and Yuriy Gorodnichenko (2012), ‘Measuring the Output Responses to Fiscal Policy’, American Economic Journal: Economic Policy, 4 (2), May, 1–27 PART IV THE EFFECTS OF RECESSION: LABOR MARKETS 23. John Roberts (1987), ‘An Equilibrium Model with Involuntary Unemployment at Flexible, Competitive Prices and Wages’, American Economic Review, 77 (5), December, 856–74 24. Kenneth Clark, Derek Leslie and Elizabeth Symons (1994), ‘The Costs of Recession’, Economic Journal, 104 (422), January, 20–36 25. Truman Bewley (1999), ‘Work Motivation’, Federal Reserve Bank of St. Louis Review, 81 (3), May–June, 35–49 26. Lisa B. Kahn (2010), ‘The Long-Term Labor Market Consequences of Graduating from College in a Bad Economy’, Labour Economics, 17 (2), April, 303–16 27. Steven J. Davis and Till von Wachter (2011), ‘Recessions and the Costs of Job Loss’, Brookings Papers on Economic Activity, 2011 (2), Fall, 1–55 Volume II Contents: Introduction An introduction to both volumes by the editor appears in Volume I PART I THE EFFECTS OF RECESSION: OTHER SYSTEMIC EFFECTS 1. Min Ouyang (2009), ‘The Scarring Effect of Recessions’, Journal of Monetary Economics, 56 (2), March, 184–99 2. Arturo Estrella (2004), ‘The Cyclical Behavior of Optimal Bank Capital’, Journal of Banking and Finance, 28 (6), June, 1469–98 3. Alessandro Beber and Michael W. Brandt (2010), ‘When it Cannot Get Better or Worse: The Asymmetric Impact of Good and Bad News on Bond Returns in Expansions and Recessions’, Review of Finance, 14 (1), January, 119–55 4. Kyle Bagwell and Robert W. Staiger (1997), ‘Collusion over the Business Cycle’, RAND Journal of Economics, 28 (1), Spring, 82–106 5. Gadi Barlevy (2002), ‘The Sullying Effect of Recessions’, Review of Economic Studies, 69 (1), January, 65–96 6. Kwan Ok Lee and Gary Painter (2013), ‘What Happens to Household Formation in a Recession’, Journal of Urban Economics, 76, July, 93–109 7. Elizabeth A.M. Searing (2013), ‘Love Thy Neighbor? Recessions and Interpersonal Trust in Latin America’, Journal of Economic Behavior and Organization, 94, October, 68–79 8. Paola Giuliano and Antonio Spilimbergo (2014), ‘Growing Up in a Recession’, Review of Economic Studies, 81 (2), April, 787–817 9. Alexandra Graddy-Reed and Maryann P. Feldman (2015), ‘Stepping Up: An Empirical Analysis of the Role of Social Innovation in Response to an Economic Recession’, Cambridge Journal of Regions, Economy and Society, 8 (2), July, 293–312 10. Christopher J. Ruhm (2000), ‘Are Recessions Good for Your Health?’, Quarterly Journal of Economics, 115 (2), May, 617–50 11. Jan Boone and Jan C. van Ours (2006), ‘Are Recessions Good for Workplace Safety?’, Journal of Health Economics, 25 (6), November, 1069–93 12. Melissa McInerney and Jennifer M. Mellor (2012), ‘Recessions and Seniors’ Health, Health Behaviors, and Healthcare Use: Analysis of the Medicare Current Beneficiary Survey’, Journal of Health Economics, 31 (5), September, 744–51 13. Ehsan Latif (2014), ‘The Impact of Recession on Drinking and Smoking Behaviours in Canada’, Economic Modelling, 42, October, 43–56 PART II FORECASTING RECESSIONS 14. James H. Stock and Mark W. Watson (1989), ‘New Indexes of Coincident and Leading Economic Indicators’, in Olivier Jean Blanchard and Stanley Fischer (eds), NBER Macroeconomics Annual 1989, Cambridge, MA, USA and London, UK: MIT Press, 351–94 15. Arturo Estrella and Gikas A. Hardouvelis (1991), ‘The Term Structure as a Predictor of Real Economic Activity’, Journal of Finance, XLVI (2), June, 555–76 16. Benjamin M. Friedman and Kenneth N. Kuttner (1993), ‘Why Does the Paper-Bill Spread Predict Real Economic Activity?’, in James H. Stock and Mark W. Watson (eds), Business Cycles, Indicators, and Forecasting: National Bureau of Economic Research, Studies in Business Cycles, Volume 28, Chapter 5, Chicago, IL, USA and London, UK: University of Chicago Press, 213–53 17. Arturo Estrella and Frederic S. Mishkin (1997), ‘The Predictive Power of the Term Structure of Interest Rates in Europe and the United States: Implications for the European Central Bank’, European Economic Review, 41 (7), July, 1375–1401 18. Arturo Estrella and Frederic S. Mishkin (1998), ‘Predicting U.S. Recessions: Financial Variables as Leading Indicators’, Review of Economics and Statistics, 80 (1), February, 45–61 19. Henri Bernard and Stefan Gerlach (1998), ‘Does the Term Structure Predict Recessions? The International Evidence’, International Journal of Finance and Economics, 3 (3), July, 195–215 20. Arturo Estrella, Anthony P. Rodrigues and Sebastian Schich (2003), ‘How Stable is the Predictive Power of the Yield Curve? Evidence from Germany and the United States’, Review of Economics and Statistics, 85 (3), August, 629–44 21. Arturo Estrella (2005), ‘Why Does the Yield Curve Predict Output and Inflation?’, Economic Journal, 115 (505), July, 722–44, A1–A2 22. Agustin Duarte, Ioannis A. Venetis and Ivan Paya (2005), ‘Predicting Real Growth and the Probability of Recession in the Euro Area Using the Yield Spread’, International Journal of Forecasting, 21 (2), April–June, 261–77 23. Arturo Estrella and Mary R. Trubin (2006), ‘The Yield Curve as a Leading Indicator: Some Practical Issues’, Federal Reserve Bank of New York: Current Issues in Economics and Finance, 12 (5), July/August, 1–7 24. Charlotte Christiansen, Jonas Nygaard Eriksen and Stig Vinther Møller (2014), ‘Forecasting US Recessions: The Role of Sentiment’, Journal of Banking and Finance, 49, December, 459–68 25. John C. Bluedorn, Jörg Decressin and Marco E. Terrones (2016), ’Do Asset Price Drops Foreshadow Recessions?’, International Journal of Forecasting, 32 (2), April–June, 518–26 26. Marcelle Chauvet and Simon Potter (2005), ‘Forecasting Recessions Using the Yield Curve’, Journal of Forecasting, 24 (2), March, 77–103 27. Heikki Kauppi and Pentti Saikkonen (2008), ‘Predicting U.S. Recessions with Dynamic Binary Response Models’, Review of Economics and Statistics, 90 (4), November, 777–91 28. Pär Österholm (2012), ‘The Limited Usefulness of Macroeconomic Bayesian VARs When Estimating the Probability of a US Recession’, Journal of Macroeconomics, 34 (1), March, 76–86 29. Glenn D. Rudebusch and John C. Williams (2009), ‘Forecasting Recessions: The Puzzle of the Enduring Power of the Yield Curve’, Journal of Business and Economic Statistics, 27 (4), October, 492–503 PART III IDENTIFYING RECESSIONS IN REAL TIME 30. Marcelle Chauvet and Jeremy Piger (2008), ‘A Comparison of the Real-Time Performance of Business Cycle Dating Methods’, Journal of Business and Economic Statistics, 26 (1), January, 42–9 31. James D. Hamilton (2011), ‘Calling Recessions in Real Time’, International Journal of Forecasting, 27 (4), October–December, 1006–26 PART IV MANAGING THE INDIVIDUAL RISKS OF RECESSION 32. James Ang and Adam Smedema (2011), ‘Financial Flexibility: Do Firms Prepare for Recession?’, Journal of Corporate Finance, 17 (3), June, 774–87 33. Ricardo J. Caballero and Mohamad L. Hammour (1994), ‘The Cleansing Effect of Recessions’, American Economic Review, 84 (5), December, 1350–68 Index

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Book SynopsisThe global crude oil market is critically important in many respects. It is the fuel that drives the global economy and, as such, is the focus of climate policies. Moreover, crude oil is the basis of a tradable financial asset. It is therefore connected to several outstanding macroeconomic developments of recent years, including financial market fluctuations, the financial crisis and the exceptional conduct of monetary policy. This book investigates the impacts of monetary policy and the financial system on the global crude oil market. Furthermore, it outlines how monetary policy may also be used to guarantee stability and to contribute to ecological sustainability. This unique and innovative book will appeal to students and economists interested in macroeconomics, the environment, energy and monetary policy. It will also be essential reading for policy makers and those interested in economic policy that will benefit both society and the environment.Trade Review'This book unveils how and why monetary policy decisions, notably by the US Federal Reserve, affect the crude oil market at the global level, impacting on oil prices as well as on oil production, thereby affecting financial stability and environmental conditions negatively. Basil Oberholzer puts forward an innovative policy mix that addresses both these issues through an oil-price targeting system combined with various market-based fiscal policy tools. This volume must be read by all policy makers around the world.' --Sergio Rossi, University of Fribourg, Switzerland'With this unique book, Basil Oberholzer takes us into a rarely explored field. Although oil is a natural resource for wealth production, the oil price and the oil market are largely influenced by financial speculation in the futures market. Basil Oberholzer sheds light on the links between monetary policy, speculation, oil prices, economic stability and ecological sustainability, notably thanks to ingenious stock-flow consistent modeling. The analysis is brilliant.' --Edwin Le Heron, University of Bordeaux, France'We all know now that monetary expansion impacts financial asset prices. Oberholzer comes up with an intriguing twist to this argument by claiming that expansionary monetary policy has a positive impact on oil prices because it induces speculative activity in the futures market of oil. To back this, the author offers an original stock-flow consistent model which combines the financial and the real sides of the economy, as well as the oil market, and he provides some interesting empirical evidence.' --Marc Lavoie, University of Ottawa, Canada, and University of Paris 13, FranceTable of ContentsContents: PART I FACTS AND THEORY OF MONETARY POLICY AND CRUDE OIL 1. The Crude Oil Market and its Driving Forces 2. Monetary Policy and Crude Oil: A Theoretical Analysis PART II MONETARY POLICY AND CRUDE OIL IN THE REAL WORLD 3. US Monetary Policy and the Global Crude Oil Market 4. Empirical Evidence: Monetary Policy Impacts on Oil Market Variables PART III ACHIEVING STABILITY AND SUSTAINABILITY: ECONOMIC POLICY MAKING 5. Economic Policy Propositions: An Overview 6. An Economically Stable Way Out of Fossil Energies Index

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Book SynopsisFinancialisation and the Financial and Economic Crises provides comparative, empirical case studies of a diverse set of eleven countries. In particular, the book helps in understanding the current (mal)performance of Euro area economies by explaining the causes of the shifts in growth regimes during and after the crises. It goes well beyond the dominant interpretation of the recent financial and economic crises as being rooted in malfunctioning and poorly regulated financial markets.The contributions to this book provide detailed accounts of the long-term effects of financialisation and cover the main developments leading up to and during the crisis in eleven selected countries: the US, the UK, Spain, Greece, Portugal, Germany, Sweden, Italy, France, Estonia, and Turkey. The introductory chapter presents the theoretical framework and synthesizes the main findings of the country studies. Furthermore, the macroeconomic effects of financialisation on the EU as a whole are analyzed in the final chapter. Offering an illuminating overview and invaluable alternative perspective on the long-run developments leading to the recent crises, this book is essential reading for researchers, students and policymakers and an ideal starting point for further research.Contributors: S. Bahçe, R. Barradas, C.A. Carrasco, H. Cömert, G. Cornilleau, J. Creel, D. Detzer, N. Dodig, N. Erdem, T. Evans, J. Ferreiro, G. Gabbi, C. Gálvez, C. Gomez, A. González, E. Hein, E. Juuse, E. Karaçimen, A.H. Köse, S. Lagoa, E. Leão, J. Lepper, Ö. Orhangazi, G. Özgür, R. Paes Mamede, M. Shabani, A. Stenfors, E. Ticci, J. Toporowski, L. Tserkezis, J. Tyson, Y. Varoufakis, P. Vozzella, G.L. YalmanTable of ContentsContents: Preface 1. Financialisation and the Financial and Economic Crises: Theoretical Framework and Empirical Analysis for 15 Countries Nina Dodig, Eckhard Hein and Daniel Detzer 2. The Crisis of Finance-led Capitalism in the United States Trevor Evans 3. Monetary Adjustment and Inflation of Financial Claims in the UK after 1980 John Lepper, Mimoza Shabani, Jan Toporowski and Judith Tyson 4. Financialisaton and the Economic Crisis in Spain Jesús Ferreiro, Cataliana Gálvez and Anna Gonzáles 5. Financialisation and the Crisis: The Case of Greece Yanis Varoufakis and Lefteris Tserkezis 6. The Real Sector Developments in Estonia – Financialisation Effects Behind the Transition Process Egert Juuse 7. Financialisation and the Crisis in the Export-led Mercantilist German Economy Daniel Detzer and Eckhard Hein 8. Swedish Financialisation: ‘Nordic Noir’ or ‘Safe Haven’? Alexis Stenfors 9. France, a Domestic Demand-led Economy Under the Influence of External Shocks Gérard Cornilleau and Jérôme Creel 10. The Transmission Channels Between the Financial and the Real Sectors in Italy and the Crisis Giampaolo Gabbi, Elisa Ticci and Pietro Vozzella 11. The Long Boom and the Early Bust: The Portuguese Economy in the Era of Financialisation Ricardo Paes Mamede, Sérgio Lagoa, Emanuel Leão and Ricardo Barradas 12. Financialisation and the Financial and Economic Crises: The Case of Turkey Serdal Bahçe, Hasan Cömert, Nilgün Erdem, Elif Karaçimen, Ahmet Haşim Köse, Özgür Orhangazi, Gökçer Özgür and Galip L.Yalman 13. The Impact of the Financial and Economic Crisis on European Union Member States Carlos A. Carrasco, Jesus Ferreiro, Catalina Galvez, Carmen Gomez and Ana González Index

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Book SynopsisAll Fall Down traces the ways in which changes in financial structure and regulation eroded monetary control and led to historically high levels of debt relative to GDP in both developed and emerging economies. Rising stocks of debt drove the global financial system into crisis in 2008 when households, businesses, financial institutions and the public sector in some countries strained to generate sufficient income for debt service. The stagnation and fall in asset prices that followed began the process of unwinding that led to a run on the financial sector by the financial sector. This engaging examination describes critical developments that changed the structure of US financial markets as well as developments and innovations in US credit markets that created the context for crisis. It discusses the advent of dollar hegemony, the critical role of international reserves in generating credit, the emergence of the debt bubble in the 1980s and the mounting risks of debt in the new millennium. The author also proposes a systemic approach to monetary control, offering two new reform proposals. The analysis concludes that reforms are needed in order to support sustainable economic activity in the US and global economies. This volume will appeal to students and scholars of economics interested in international finance and banking, financial regulation and monetary policy implementation. It will also be of interest to business economists, lawyers, policymakers and journalists concerned with the effects of financial instability and involved in ongoing debates on financial and monetary reform.Trade Review‘This book provides a comprehensive assessment of how the monetary and financial system was transformed in the US during the last 50 years.’ -- Gökçer Özgür, Review of Keynesian EconomicsTable of ContentsContents: 1. Introduction and Summary Part I: The Unraveling of the 1930s-Era Framework 2. The Euro Market Erodes US Financial Structure 3. Commercial Paper Guarantees and the Emergence of a Parallel Banking System 4. ERISA Moves Savings into Securities Markets Part II: Deregulation and Financial Innovation Create the Context for Crisis 5. An Overview of Financial Restructuring and its Consequences 6. Securitization 7. Weaving the Web of Interconnectedness 8. Opaque Markets and Opaque Balance Sheets 9. Growing Concentration Leads to "Too Big to Fail" 10. Regulating the Post-Crisis System 11. Mending the Financial Safety Net for Savers Part III: The Advent of Globalization 12. Dollar Hegemony 13. Foreign Exchange Reserves 14. An Overview of Developments in Global Financial Markets in the 1990s Part IV: Building Toward Crisis in the Global Economy 15. Concerns and Warnings 16. Crises in the Periphery of the Global System 17. Liquidity Expansion in the Period Before the Crisis Part V: Debt and the Collapse of Monetary Control 18. The Failure to Halt the Emergence and Growth of the Debt Bubble 19. Rising Imbalances in Credit Flows 20. Mounting Risks of the Continuing Debt Bubble in the New Millennium 21. How Eroding Monetary Tools Facilitated Debt Creation 22. Monetary Tools: What They Are and How They Function 23. The Inability of Capital Requirements to Prevent or Moderate Financial Crises 24. How Crisis Reshaped the Monetary Toolkit Part VI: An Agenda for Monetary Reform 25. Introducing a Systemic Approach 26. Creating a System-wide Asset-based Reserve System 27. Implementing Policy Under the Current and Proposed Systems 28. Implications of the Proposed System for the Conduct of Policy Part VII: Reforming the Privatized International Monetary System 29. Can Special Drawing Rights Replace the Dollar and Other National Currencies as a Reserve Asset? 30. Restructuring Flows of Private International Investment into Emerging and Developing Economies 31. Reforming the International Payments System Part VIII: Conclusion 32. Building Toward Crisis in the Global Economy — Again Bibliography Index

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Book Synopsis'The thoroughgoing disaster inflicted on the global economy in 2008 by the gambling of the financial system should have resulted serious sanctions for financial actors and the jettisoning of any belief in the efficacy and fairness of the neoliberal regime. But the tepid action of policy makers has allowed the system to muddle through and undermined any remaining trust and faith among the polity. It is not hard to see the breakdown of political stability across the world in the last two to three years as resulting direct from the justified belief that the rules of the global economy favor the very few. In this book, a group of critical scholars painstakingly identify and illuminate key aspects of the global financial system that continue to reinforce global inequalities of power and that contribute to dangerous political and economic instability. Through a series of thorough case studies ranging from the macroeconomic instability engendered by untrammeled capital flows, to the way sovereign debt restructuring favors northern creditors, to the hierarchy of the monetary system that concentrates enormous power in the hands of a few central banks, these studies throw light on the ways global financial neoliberalism and political and social power work to undermine macroeconomic stability and social justice. It will be read by serious scholars of the political economy of finance with great interest.'- Arjun Jayadev, Azim Premji University, India and Institute for New Economic ThinkingThe essays in this book describe and analyze the current contours of the international financial system, covering both developed and developing countries, and focusing on the ways in which the current international financial system structures and is affected by profound inequalities in the international system. This keen analysis of key topics in international finance takes a heterodox perspective, with focus on the role of inequalities in power in shaping the structure and outcomes in the international sphere.The Political Economy of International Finance in an Age of Inequality begins with a discussion of capital flows and financial crisis, moves into an up-to-date discussion of the political economy of currency unions, and then focuses on analysis of capital flows and economic crises. New and established academics present a broad variety of special case studies within that general framework focusing on understudied yet important up to date cases from understudied regions and countries for a unique and important exploration of the field.This book will be of interest to students and specialists in international finance, who will benefit from the combination of the strong general framework and illustrative case studies. Its approach will appeal both to generalists and specialists.Contributors include: M. Arora, E. Braunstein, H. Comert, D. Dutt, N. Eichacker, G. Epstein, I. Grabel, S. Khalil, M. Majd, F. Perez, L.D. Rosero, Z. YbrayevTrade Review'This volume is a must read for everyone interested in the problems posed by the dollar-based international financial system for countries on the periphery of the world economy. The countries in question must first exchange their ''soft'' domestic currencies for ''hard'' currencies like the dollar before they can purchase goods, services, and assets in international markets. The authors of this volume offer a series of expert, well-researched, and critical analyses of the policies they can pursue to ensure greater equality and stability under these circumstances.' --Edwin Dickens, Saint Peter's University, US'This important book expands the discussion of developments in international finance to take into account the power relations between countries that issue hard or soft currencies. It makes clear that the destructive power of large financial institutions has not abated and the impact of their speculation on developing and emerging market countries has intensified. While the book notes some positive trends such as the growing acceptance of the need for capital controls, the ongoing problem remains: the global economic architecture created by US dollar hegemony perpetuates instability and pervasive inequality within these countries and in their relations with the rest of the world.' --Jane D'Arista, University of Massachusetts Amherst, US'A much needed volume on the developments in the international financial system in the post-2008 crisis era. Through a combination of theoretical analyses and case studies, it uncovers the underlying economic and power structures in international finance and puts the inequalities in the global economy into perspective by focusing on institutions and power relations. The thought-provoking contributions to this volume are essential reading for researchers, students and policymakers and an ideal starting point for further research.' --Ozgur Orhangazi, Kadir Has University, TurkeyTable of ContentsContents: 1. Introduction Gerald A. Epstein Part I Capital Flows and Financial Crises 2. Financial Crises Among Emerging and Developing Economies in the Modern Era: A Brief History and Some Stylized Themes Elissa Braunstein 3. Too Good to Be True: What the Icelandic Crisis Revealed About Global Finance Nina Eichacker 4. Reanalyzing the gender-specific effects of the Great Recession Sana Khalil Part II Managing International Capital Flows: Costs and Dilemmas 5. Capital Controls In a Time of Crisis Ilene Grabel 6. Easing the Trilemma through Reserve Accumulation? The Latin American Case Luis D. Rosero 7. The Costs of Foreign Exchange Intervention: Trends and Implications Devika Dutt 8. Monetary Policy under Financial Dollarization: The Case of Eurasian Economic Union Zhandos Ybrayev Part III Power Relations in the International Financial System: Global and Regional Dimensions 9. The Cost of a SWIFT Kick: Estimating the Cost of Financial Sanctions on Iran Mariam Majd 10. Changing Rules of the Game of Global Finance: Glimpses from the Argentina's Sovereign Debt Restructuring Mohit Arora 11. Solidarity vs. Similarity: The Political Economy of Currency Unions Francisco Perez 12. International Financial Flows and the Future of EU-Turkey Relations Hasan Cömert Index

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Book SynopsisThis Encyclopedia is an invaluable reference book for post-Keynesian and heterodox economics. It consists of 300 entries, written by 180 different authors. The volume includes entries on key concepts of interest to post-Keynesians as well as descriptions of some of the seminal books in the post-Keynesian tradition. It will interest both students and scholars of heterodox economics, as well as policy makers around the world looking for a better alternative to mainstream economic policies at national and international levels in the aftermath of the global financial crisis that burst in 2008 and the COVID-19 pandemic crisis that began in 2020.Key Features: Offers a non-conventional understanding of economic analysis on a number of key economic topics Provides a deep and convincing criticism of orthodox thinking Explains how money, banking and finance are crucial elements of economics today Addresses the roots of the 2008 global financial crisis Points out the importance of sound economic policies Presents the essence of the subject matter concisely This comprehensive reference work will be a key tool to students, scholars, policy makers and anyone else seeking to understand the world economy through the important lens of post-Keynesian thought.Trade Review‘Rochon and Rossi compile an excellent overview of the origins and current state of post-Keynesian economic theory. Consisting of more than 300 entries by roughly 170 authors, the volume is geared toward economists of all levels, particularly the “younger generation” of economists and economics students. Entries generally do an excellent job of covering the historical and current aspects of a given concept, and some entries assess the impacts of both the 2008 economic crisis and COVID-19. Each entry includes detailed references, notes, and charts, where applicable. Ultimately, Rochon and Rossi have assembled a volume that fits nicely within the larger collection of Elgar encyclopedia and the current landscape of introductory texts on post-Keynesian economics.’ -- W. Kramer, Choice MagazineTable of ContentsContents: Introduction to the Elgar Encyclopedia of Post-Keynesian Economics xvii A Tract on Monetary Reform 1 Aldo Barba Accelerator effects 2 Fabio Freitas AD–AS model 3 Anil Aba Agent-based modelling 4 Corrado Di Guilmi Aggregate demand 6 Geoff Harcourt and Peter Kriesler Animal spirits 7 Sheila Dow Asset backed securities 8 Clara Capelli and Eugenio Caverzasi Asymmetric information 9 Lino Sau Austerity 11 Aldo Barba Balance of payments 12 Gilberto Libanio and João P. Romero Balance of payments constrained growth 13 Anthony Thirlwall Balance of trade 15 João P. Romero and Gilberto Libanio Balanced budget 17 Arne Heise Bank lending and creditworthiness 18 Fábio Terra Bank lending and expectations 19 Fábio Terra Banking and finance 20 Noemi Levy-Orlik and Jorge Bustamante-Torres Banking regulation 22 Peter Docherty Banking School 24 Eugenio Caverzasi Banks 25 Marcelo Milan Basel Agreements 27 Yannis Panagopoulos Behavioural economics 29 Mathieu Dufour Bretton Woods 30 Mario Cedrini Bubbles – credit 31 Lino Sau Bubbles – financial 33 Steve Keen Business cycles 34 Ekaterini Tsouma Business cycles and prey–predator models 35 Geoff Harcourt and Peter Kriesler Cambridge Circus 37 Maria Cristina Marcuzzo Cambridge equation 38 Luigi L. Pasinetti and Ariel L. Wirkierman Capacity utilization 40 Attilio Trezzini and Daria Pignalosa Capital controls 41 Luis Reyes Capital flows 43 Pablo Bortz Capital requirements 44 Ted P. Schmidt Capital theory controversies 45 Geoff Harcourt and Peter Kriesler Capitalism 47 Marco Veronese Passarella Capitalism – stages of 48 John E. King Capitalism – varieties of 49 Guillaume Vallet Carbon tax 51 Étienne Espagne and Antoine Godin Central bank independence 52 Sergio Rossi Central bank–treasury relations 54 Flavia Dantas Central banking 56 Peter Docherty Central banking – developing economies 58 Esteban Pérez Caldentey Chicago School 59 Luigi Ventimiglia Clearing balances 61 Edoardo Beretta Common currency area 62 Arslan Razmi Compensation thesis 64 Simona Bozhinovska Complex systems 65 Corrado Di Guilmi Consumer behaviour 67 Robert H. Scott Consumer choice 68 Anil Aba Consumption theory 69 Ted P. Schmidt Contagion effects 70 Luigi Ventimiglia Corn model 72 Marco Missaglia Corporate debt 73 Melanie G. Long Credit 74 Robert H. Scott Credit constraints 75 Nicolas Piluso and Louis-Philippe Rochon Credit default swaps 77 Daniele Tori Credit divisor 78 Jonathan Massonnet Credit easing 79 Olivia Bullio Mattos Credit money 81 David M. Fields Credit multiplier 82 Plamen Ivanov Credit-led boom 84 Fernando Toledo and Jorge Carrera Critical realism 85 Ariane Agunsoye Crowding-in and crowding-out 87 Najib Khan Cumulative causation 88 David M. Fields Currency board 90 Shirley Gedeon Currency hierarchy 91 Fernando Ferrari Filho Currency School 93 Robert W. Dimand Current accounts 94 Christos Pierros Debt deflation 96 Steve Keen Debt – external 98 Luis Reyes Debt – household 99 Aldo Barba Debt – non-financial corporate sector 100 Fernanda Ultremare Debt – public 101 Alain Parguez and Slim Thabet Debt-led boom 102 Fernando Toledo and Jorge Carrera Deindustrialization and economic growth 104 José Gabriel Palma Deindustrialization, ‘premature’ deindustrialization and the Dutch disease 106 José Gabriel Palma Demand-led growth 109 Marco Missaglia Dependency theory 111 David M. Fields Deregulation 112 Ivan Velasquez Development 114 Amitava Dutt Development banking 115 Konstantinos Loizos Dollar dominance 117 Adrien Faudot Dollarization 118 Wesley C. Marshall Double-entry bookkeeping 119 Matheus Grasselli Dual economy 120 Marco Missaglia Dutch disease 122 Adrien Faudot Ecological macroeconomics 123 Étienne Espagne, Antoine Godin and Romain Svartzman Ecological microeconomics 125 Richard P.F. Holt Econometrics – role of 127 Florent McIsaac Economic Dynamics 128 Heinrich Bortis Economic geography 130 Jordan Ayala Economic Growth and the Balance-of- Payments Constraint 132 Paulo Robilloti Economic integration 133 Mehdi Ben Guirat Effective demand 135 Claude Gnos Employer of last resort 136 Antoine Godin Endogenous money 138 Louis-Philippe Rochon Entrepreneurial State 139 Esteban Cruz Hidalgo, José Francisco Rangel Preciado and Francisco M. Parejo Moruno Essays in the Theory of Economic Growth 140 Heinrich Bortis Euro 142 Sergio Rossi European Monetary Union 144 Guillaume Vallet and Hamed Karamoko Eurozone imbalances 145 Luis Reyes Euthanasia of the rentier 146 Ana Laura Viveros Exchange rates 148 Aleksandr V. Gevorkyan Exchange rates – fixed vs flexible 149 Luigi Ventimiglia Exchange rates – managed 150 Aleksandr V. Gevorkyan Exogenous money 152 Yannis Panagopolous Expectations 153 Ekaterini Tsouma Fallacy of composition 154 Jonathan Massonnet Feminist economics 156 Melanie G. Long Finance – initial vs final 157 Andrea Carrera Finance and development 159 Wesley C. Marshall Finance in developing countries 160 Noemi Levy-Orlik Finance motive 161 Claude Gnos Financial crises 163 Mathieu Dufour Financial deepening 164 Diego Guevara Financial fragility 165 Steve Keen Financial innovations 166 Marcelo Milan Financial instability hypothesis 168 Mathieu Dufour Financial liberalization 169 Konstantinos Loizos Financial macroeconomics 171 Vincent Duwicquet Financial regulations 172 Domenica Tropeano Financial risk 174 Melanie G. Long Financial sectoral balances 175 Christos Pierros Financialization 176 Plamen Ivanov Fiscal consolidation 177 Shakuntala Das Fiscal deficits 179 Malcolm Sawyer Fiscal multiplier 180 Aldo Barba Fiscal policy 181 Arne Heise Foreign-exchange reserves 183 Aleksandr V. Gevorkyan Free trade 185 Mohamed Aslam Full employment 186 Paolo Paesani and Antonella Palumbo Functional finance 187 John E. King General Theory – interpretations of 189 Robert W. Dimand Gibson paradox 192 Enrico Sergio Levrero Globalization 194 Wesley C. Marshall Goodwin cycles 195 Robert A. Blecker Government deficits and inflation 197 Hassan Bougrine Government deficits and money creation 198 Hassan Bougrine Growth 199 Amitava Dutt Growth – unequal 201 Ricardo Araujo Growth – wage-led vs profit-led 202 David M. Fields Harrod’s dynamics 203 Esteban Pérez Caldentey Harrod’s foreign trade multiplier 204 Germán D. Feldman Harrod’s trade cycle 206 Cédric Rogé Harrodian instability 208 David M. Fields Heterodox economics 209 Paolo Ramazzotti Historical time 211 Charles M.A. Clark Horizontalism 212 Matteo Deleidi Hysteresis 213 Mark Setterfield Imperfect competition 215 Maria Cristina Marcuzzo Income distribution 216 Eckhard Hein Income multiplier 218 Jo Michell Induction and deduction 220 Edward Teather-Posadas Inequality 221 James K. Galbraith Inflation 223 Sergio Rossi Inflation – conflict theory of 224 Malcolm Sawyer Inflation – cost-push 225 Carlo Cristiano Inflation targeting 226 Ulaş Şener Innovation 228 Nicola De Liso Institutional economics – core ideas 230 Slim Thabet Institutional economics – origins 231 William E. McColloch Interest rate – long term 233 Salvatore Perri Interest rate, natural 234 Basil Oberholzer Interest rate and income distribution 235 Enrico Sergio Levrero Interest rate rules 237 Achilleas Mantes Interest rate targeting 239 Hassan Bougrine Interest rates and investment 240 Matteo Deleidi International clearing union 241 Hassan Bougrine International financial architecture 243 John T. Harvey International monetary system 245 Pablo Bortz Investment – theories of 246 William E. McColloch Investment theory – ecological 248 Basil Oberholzer Investment theory – Kaleckian 249 Malcolm Sawyer Investment theory – Keynesian 250 Robert H. Scott Involuntary unemployment – explanations of 251 Ítalo Pedrosa Involuntary unemployment – origins of 253 Esteban Cruz Hidalgo, Francisco M. Parejo Moruno and JoséFrancisco Rangel Preciado IS–LM model 254 Fernando Toledo and Demian T. Panigo Job guarantee 255 Esteban Cruz Hidalgo, Francisco M. Parejo Moruno and José Francisco Rangel Preciado Kaleckian economics 257 John E. King Keynes effect 258 Peter Docherty Keynes Plan 259 Sergio Rossi Keynesian cross diagram 261 Maurizio Solari Kuznets curve 263 Daniela Tavasci Land rents 264 Dirk Löhr and Oliver Richters Lender of last resort 265 Ted P. Schmidt Lexicographic preferences 266 Anil Aba Limits to substitution revisited: energy 267 Oliver Richters Liquidity preference 268 Suranjana Nabar-Bhaduri Mark-up pricing 270 Jordan Melmiès and Florian Botte Maturity and Stagnation in American Capitalism 271 Fernando Rugitsky Methodology 272 Sheila Dow Microfoundations 274 John E. King Military Keynesianism 275 John E. King Modern money theory 276 Shakuntala Das Monetary circuit 278 Edouard Cottin-Euziol and Louis-Philippe Rochon Monetary circuit French School 279 Alain Parguez Monetary circuit Italian School 280 Marco Veronese Passarella Monetary integration 282 Guillaume Vallet and Hamed Karamoko Monetary policy 283 Peter Docherty Monetary policy dominance 285 Fábio Terra Monetary policy transmission mechanism 286 Devrim Yilmaz Monetary theory of production 287 Alain Parguez and Slim Thabet Money and banking 288 Jo Michell Money as a means of payment 290 Sergio Rossi Money creation history of 292 Wesley C. Marshall Money creation nature of 293 Maurizio Solari Money illusion 295 Robert W. Dimand Money in Motion 296 Enrique Delamónica Monopoly Capital 298 Peter Kriesler Monopoly power 299 Ilhan Dögüs NAIRU 301 Corrado Di Guilmi Negative interest rate policy 302 Guillaume Vallet and Louis-Philippe Rochon Neoclassical economics 303 Hassan Bougrine Neo-liberalism 305 Anil Aba New Consensus in Macroeconomics 306 Alvaro Martín Moreno Rivas New fiscalism 308 Wesley C. Marshall New Keynesianism 309 Esteban Pérez Caldentey Non-ergodicity 310 Matheus Grasselli Okun’s law 312 Antonella Palumbo, Claudia Fontanari and Chiara Salvatori Oligopoly and Technical Progress 313 Joseph Halevi Open economy macro models 314 Robert A. Blecker Orthodox dissenters 316 Diego Guevara Overdraft economies 317 Severin Reissl Paradox – Kalecki’s 319 Peter Kriesler Paradox of costs 321 YK Kim Paradox of debt 321 YK Kim Paradox of liquidity 322 Lídia Brochier Paradox of thrift 324 Robert H. Scott Paradox of tranquillity 325 Eugenio Caverzas Pasinetti’s index 326 Sylvio Antonio Kappes Pasinetti’s paradox 327 Alex Pelham Phillips curve 328 Florent McIsaac and Luis Reyes Ponzi finance 330 Ted P. Schmidt Post-Keynesian economics – a big tent? 331 John E. King Post-Keynesian economics and Marxian economics 333 Jelle Versieren Post-Keynesian social policy 334 Enrique Delamónica Power 336 Camilo Andrés Guevara Pricing 338 Jordan Melmiès and Florian Botte Principle of increasing risk 339 Aleksandr V. Gevorkyan Production of Commodities by Means of Commodities 341 Enrico Sergio Levrero Profit 342 Laurent Cordonnier Property premium 343 Frank Decker Property theory of money 344 Frank Decker Public finance 346 Camilo Andrés Guevara Quantitative easing 347 Vijayaraghavan Ramanan Quantum macroeconomics 349 Sergio Rossi Rationality 350 Roderick O’Donnell Reflux mechanism 352 Vijayaraghavan Ramanan and Louis-Philippe Rochon Regional economic integration and free trade agreements 353 Mohamed Aslam Regulation School 355 Matthieu Montalban Remittances 357 Salewa Olawoye-Mann Rentier income 358 Hanna Szymborska Reserves – role of 359 Domenica Tropeano Satisficing 361 J. Barkley Rosser, Jr. Savings 362 Orsola Costantini Secular stagnation 363 William E. McColloch Securitization 365 Carryl Oberson Selected Essays on the Dynamics of Capitalist Economy 1933–1970 367 Malcolm Sawyer Settlement balances 368 Edoardo Beretta Settlement system 369 Edoardo Beretta Shadow banking – extent of 371 Rudy Bouguelli Shadow banking – origins 373 Alicia Girón Social classes 374 John E. King Socialization of investment 376 Roderick O’Donnell Sraffian economics 377 Attilio Trezzini Stabilizing an Unstable Economy 379 Aleksandr V. Gevorkyan Stagflation 380 Nathaniel Cline Stagnation policy 382 Eckhard Hein State – entrepreneurial 384 Slim Thabet State – role of 385 David M. Fields Stock–flow consistent models 386 Antoine Godin Structural economic dynamics 388 Luigi L. Pasinetti and Nadia Garbellini Structuralism 389 Amitava Dutt Structuralism and post-Keynesianism 390 Esteban Pérez Caldentey Structuralism – Latin American 392 Fernando Rugitsky Subprime financial crisis 393 Eugenio Caverzasi Supermultiplier 395 Ricardo Summa Sustainable development 396 Jerry Courvisanos Target-return pricing 398 Jordan Melmiès and Florian Botte TARGET2 system 399 Sergio Rossi Technological change 400 Nicola De Liso Terms of trade 401 Fernando Rugitsky The Accumulation of Capital 403 William E. McColloch The Great Transformation 404 Gareth Dale The Path of Economic Growth 406 Joseph Halevi The Scourge of Monetarism 407 Peter Docherty The Structure of Post-Keynesian Economics 409 Joseph Halevi and Peter Kriesler The Theory of the Leisure Class 410 Christos Pierros Thirlwall’s law 412 Esteban Pérez Caldentey Tobin tax 413 Gonzalo Combita Mora Too-big-to-fail financial institutions 414 Carryl Oberson Trade and development 416 Amitava Dutt and Najib Khan Trade cycles 417 Esteban Cruz Hidalgo, Francisco M. Parejo Moruno and José Francisco Rangel Preciado Transformational growth 418 Enrique Delamónica Transmission mechanism of monetary policy – income distribution 420 Sylvio Antonio Kappes Traverse, path dependency, and economic dynamics 421 Ettore Gallo Traverse, path dependency, and economic equilibrium 423 Peter Kriesler Twin deficits 424 Vincent Duwicquet Uncertainty 426 Amitava Dutt Uncertainty – ontological and epistemological accounts 427 Roderick O’Donnell Unemployment 428 Flavia Dantas Universal basic income 431 Marshall Steinbaum Veblen effect 433 Guglielmo Forges Davanzati Verdoorn’s law 434 Alvaro Martín Moreno Rivas Wages 436 Enrico Sergio Levrero Washington Consensus 437 Mario Cedrini Wealth distribution 439 Fernando Rugitsky Wealth effect 440 Vera Dianova Zero interest rate policy 441 Paolo Paesani Index 444

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Book Synopsis'The thoroughgoing disaster inflicted on the global economy in 2008 by the gambling of the financial system should have resulted serious sanctions for financial actors and the jettisoning of any belief in the efficacy and fairness of the neoliberal regime. But the tepid action of policy makers has allowed the system to muddle through and undermined any remaining trust and faith among the polity. It is not hard to see the breakdown of political stability across the world in the last two to three years as resulting direct from the justified belief that the rules of the global economy favor the very few. In this book, a group of critical scholars painstakingly identify and illuminate key aspects of the global financial system that continue to reinforce global inequalities of power and that contribute to dangerous political and economic instability. Through a series of thorough case studies ranging from the macroeconomic instability engendered by untrammeled capital flows, to the way sovereign debt restructuring favors northern creditors, to the hierarchy of the monetary system that concentrates enormous power in the hands of a few central banks, these studies throw light on the ways global financial neoliberalism and political and social power work to undermine macroeconomic stability and social justice. It will be read by serious scholars of the political economy of finance with great interest.'- Arjun Jayadev, Azim Premji University, India and Institute for New Economic ThinkingThe essays in this book describe and analyze the current contours of the international financial system, covering both developed and developing countries, and focusing on the ways in which the current international financial system structures and is affected by profound inequalities in the international system. This keen analysis of key topics in international finance takes a heterodox perspective, with focus on the role of inequalities in power in shaping the structure and outcomes in the international sphere.The Political Economy of International Finance in an Age of Inequality begins with a discussion of capital flows and financial crisis, moves into an up-to-date discussion of the political economy of currency unions, and then focuses on analysis of capital flows and economic crises. New and established academics present a broad variety of special case studies within that general framework focusing on understudied yet important up to date cases from understudied regions and countries for a unique and important exploration of the field.This book will be of interest to students and specialists in international finance, who will benefit from the combination of the strong general framework and illustrative case studies. Its approach will appeal both to generalists and specialists.Contributors include: M. Arora, E. Braunstein, H. Comert, D. Dutt, N. Eichacker, G. Epstein, I. Grabel, S. Khalil, M. Majd, F. Perez, L.D. Rosero, Z. YbrayevTrade Review'This volume is a must read for everyone interested in the problems posed by the dollar-based international financial system for countries on the periphery of the world economy. The countries in question must first exchange their ''soft'' domestic currencies for ''hard'' currencies like the dollar before they can purchase goods, services, and assets in international markets. The authors of this volume offer a series of expert, well-researched, and critical analyses of the policies they can pursue to ensure greater equality and stability under these circumstances.' --Edwin Dickens, Saint Peter's University, US'This important book expands the discussion of developments in international finance to take into account the power relations between countries that issue hard or soft currencies. It makes clear that the destructive power of large financial institutions has not abated and the impact of their speculation on developing and emerging market countries has intensified. While the book notes some positive trends such as the growing acceptance of the need for capital controls, the ongoing problem remains: the global economic architecture created by US dollar hegemony perpetuates instability and pervasive inequality within these countries and in their relations with the rest of the world.' --Jane D'Arista, University of Massachusetts Amherst, US'A much needed volume on the developments in the international financial system in the post-2008 crisis era. Through a combination of theoretical analyses and case studies, it uncovers the underlying economic and power structures in international finance and puts the inequalities in the global economy into perspective by focusing on institutions and power relations. The thought-provoking contributions to this volume are essential reading for researchers, students and policymakers and an ideal starting point for further research.' --Ozgur Orhangazi, Kadir Has University, TurkeyTable of ContentsContents: 1. Introduction Gerald A. Epstein Part I Capital Flows and Financial Crises 2. Financial Crises Among Emerging and Developing Economies in the Modern Era: A Brief History and Some Stylized Themes Elissa Braunstein 3. Too Good to Be True: What the Icelandic Crisis Revealed About Global Finance Nina Eichacker 4. Reanalyzing the gender-specific effects of the Great Recession Sana Khalil Part II Managing International Capital Flows: Costs and Dilemmas 5. Capital Controls In a Time of Crisis Ilene Grabel 6. Easing the Trilemma through Reserve Accumulation? The Latin American Case Luis D. Rosero 7. The Costs of Foreign Exchange Intervention: Trends and Implications Devika Dutt 8. Monetary Policy under Financial Dollarization: The Case of Eurasian Economic Union Zhandos Ybrayev Part III Power Relations in the International Financial System: Global and Regional Dimensions 9. The Cost of a SWIFT Kick: Estimating the Cost of Financial Sanctions on Iran Mariam Majd 10. Changing Rules of the Game of Global Finance: Glimpses from the Argentina's Sovereign Debt Restructuring Mohit Arora 11. Solidarity vs. Similarity: The Political Economy of Currency Unions Francisco Perez 12. International Financial Flows and the Future of EU-Turkey Relations Hasan Cömert Index

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Book SynopsisOffering the first scholarly analysis of the economic nature of blockchains and the formation of the blockchain economy, this timely book explores the future of global capitalism. Applying the institutional economics of Ronald Coase and Oliver Williamson, the authors highlight how blockchains are poised to reshape the nature of firms, governments, markets and civil society. Chapters apply basic economic principles to explore blockchains and distributed ledger technologies through the framework of institutional economics. The book suggests ways in which cryptocurrencies such as Bitcoin may develop further in the future, bringing us back to a barter economy which removes the need for a third person in economic transactions. Outlining a ledger-centric view of the economy, the authors explore how blockchains and dehierarchalisation will reduce the demand for government regulation. Institutional economists and scholars will greatly appreciate the thorough analysis of the development of institutional cryptoeconomics and insight into the future of blockchains that this book offers. Computer and technology scientists will also find this book to be a valuable read, as well as those working specifically in the blockchain industry. Table of ContentsContents 1. Introduction 2. The institutional economics of blockchain 3. The Universal Turing Institution 4. The microfoundations of ledgers 5. Money, dequity, and the barter economy of the future 6. Supply chains and identity 7. The V-form organisation and the future of the firm 8. Public policy in a blockchain era 9. Capitalism after Satoshi 10. Conclusion References Index

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Book SynopsisThe past twenty years have seen two waves of research on currency unions, prompted by the early experience of the European Economic and Monetary Union and by the existential crisis experienced by the euro area as a strand of the global financial crisis. The authors explore crucial themes and topics such as optimal currency area theory, the central banks and new views on policy choices, providing a comprehensive and influential review of currency unions.Table of ContentsContents: Volume I Acknowledgements Introduction Fadi Hassan, Patrick Honohan and Davide Romelli PART I OPTIMAL CURRENCY AREAS [153pp] 1. Harris Dellas and George S. Tavlas (2009), ‘An Optimum-Currency-Area Odyssey’, Journal of International Money and Finance, 28 (7), November, 1117–37 [21] 2. Alberto Alesina, Robert J. Barro and Silvana Tenreyro (2002), ‘Optimal Currency Areas’, NBER Macroeconomics Annual 2002, 17, 301–345 [45] 3. Jeffrey A. Frankel and Andrew K. Rose (1998), ‘The Endogeneity of the Optimum Currency Area Criteria ’, Economic Journal, 108 (449), July, 1009–25 [17] 4. Mark Aguiar, Manuel Amador, Emmanuel Farhi and Gita Gopinath (2015), ‘Coordination and Crisis in Monetary Unions’, Quarterly Journal of Economics, 130 (4), November, 1727–79 [53] 5. Pierre-Richard Agénor and Joshua Aizenman (2011), ‘Capital Market Imperfections and the Theory of Optimum Currency Areas’, Journal of International Money and Finance, 30 (8), December, 1659–75 [17] PART II POLICY CHOICES FOR THE UNION AND ITS MEMBERS [275pp] 6. Pierpaolo Benigno (2004), ‘Optimal Monetary Policy in a Currency Union’, Journal of International Economics, 63 (2), July, 293–320 [28] 7. Saroj Bhattarai, Jae Won Lee and Woong Yong Park (2015), ‘Optimal Monetary Policy in a Currency Union with Interest Rate Speeds’, Journal of International Economics, 96 (2), July, 375–97 [23] 8. Emmanuel Farhi and Ivan Werning (2017), ‘Fiscal Unions’, American Economic Review, 107 (12), December, 3788–834 [47] 9. Michael P. Evers (2012), ‘Federal Fiscal Transfer Rules for a Currency Union’, European Economic Review, 56 (3), April, 507–25 [19] 10. Jordi Galí and Tommaso Monacelli (2008), ‘Optimal Monetary and Fiscal Policy in a Currency Union’, Journal of International Economics, 76 (1), September, 116–32 [17] 11. Andrea Ferrero (2009), ‘Fiscal and Monetary Rules for a Currency Union’, Journal of International Economics, 77 (1), February, 1–10 [10] 12. Carlos Garcia-de-Andoain, Florian Heider, Marie Hoerova and Simone Manganelli (2016), ‘Lending-of-Last-Resort Is As Lending-of-Last-Resort Does: Central Bank Liquidity Provision and Interbank Market Functioning in the Euro Area‘, Journal of Financial Intermediation, 28, October, 32–47 [16] 13. Itamar Drechsler, Thomas Drechsel, David Marques-Ibanez and Philipp Schnabl (2016), ‘Who Borrows from the Lender of Last Resort?’, Journal of Finance, 71 (5), October, 1933–74 [42] 14. Paul De Grauwe (2013), ‘The European Central Bank as Lender of Last resort in the Government Bond Markets’, CESifo Economic Studies, 59 (3), September, 520–35 [16] 15. Karl Whelan (2014), ‘TARGET2 and Central Bank Balance Sheets’, Economic Policy, 29 (1), January, 81–137 [57] PART III THE ECONOMIC IMPACT OF CURRENCY UNION MEMBERSHIP [241pp] 16. Philip R. Lane (2006), ‘The Real Effects of European Monetary Union’, Journal of Economic Perspectives, 20 (4), Fall, 47–66 [20] 17. Reuven Glick and Andrew K. Rose (2016), ‘Currency Unions and Trade: A Post-EMU Reassessment’, European Economic Review, 87, August, 78–91 [14] 18. Patrick Honohan and Phillip R. Lane (2003), ‘Divergent Inflation Rates in EMU’, Economic Policy, 18 (37), October, 359–94 [36] 19. Claude Lopez and David H. Papell (2012), ‘Convergence of Euro Area Inflation Rates’, Journal of International Money and Finance, 31 (6), October, 1440–58 [19] 20. John H. Rogers (2007), ‘Monetary Union, Price Level Convergence and Inflation: How Close is Europe to the USA?’, Journal of Monetary Economics, 54 (3), February, 785–96 [12] 21. Alberto Cavallo, Brent Neiman and Roberto Rigobon (2014), ‘Currency Unions, Product Introductions, and the Real Exchange Rate’, Quarterly Journal of Economics, 129 (2), May, 529–95 [67] 22. Söhnke M. Bartram and Yaw-Huei Wang (2015), ‘European Financial Market Dependence: An Industry Analysis’, Journal of Banking and Finance, 59, October, 146–63 [18] 23. Michael Ehrmann, Marcel Fratzscher, Refet S. Gürkaynak and Eric T. Swanson (2011), ‘Convergence and Anchoring of Yield Curves in the Euro Area’, Review of Economics and Statistics, 93 (1), February, 350–364 [15] 24. Fabio Canova, Matteo Ciccarelli and Eva Ortega (2007), ‘Similarities and Convergence in G-7 Cycles’, Journal of Monetary Economics, 54 (3), April, 850–78 [29] 25. Paul De Grauwe and Yuemei Ji (2015), ‘Has the Eurozone Become Less Fragile? Some Empirical Tests’, Journal of Policy Modeling, 37 (3), May-June, 404–14 [11] Volume II PART I THE EURO AREA CRISIS [319pp] 1. Philip R. Lane (2012), ‘The European Sovereign Debt Crisis’, Journal of Economic Perspectives, 26 (3), Summer, 49–67 [19] 2. Jay C. Shambaugh (2012), ‘The Euro’s Three Crises’, Brookings Papers on Economic Activity, Spring, 157–231 [75] 3. Marcel Fratzscher, Marco lo Duca and Roland Straub (2016), ‘ECB Unconventional Monetary Policy: Market Impact and International Spillovers’, IMF Economic Review, 64 (1), May, 36–74 [39] 4. Philippe Martin and Thomas Philippon (2017), ‘Inspecting the Mechanism: Leverage and the Great Recession in the Eurozone’, American Economic Review, 107 (7), July, 1904–37 [34] 5. Viral Acharya, Itamar Drechsler and Philipp Schnabl (2014), ‘A Pyrrhic Victory? Bank Bailouts and Sovereign Credit Risk’, Journal of Finance, 69 (6), December, 2689–739 [51] 6. Emmanuel Farhi and Jean Tirole (2018), ‘Deadly Embrace: Sovereign and Financial Balance Sheets Doom Loops’, Review of Economic Studies, 85 (3), July, 1781–823 [43] 7. Barry Eichengreen (2010), ‘The Breakup of the Euro Area’ in Alberto Alesina and Francesco Giavazzi (eds), Europe and the Euro, Chicago, IL, USA: University of Chicago Press, February, 11–51 [41] 8. Felix Roth, Lars Jonung and Felicitas Nowak-Lehmann D. (2016), ‘Crisis and Public Support for the Euro, 1990–2014’, Journal of Common Market Studies, 54 (4), July, 944–60 [17] PART II OTHER CURRENCY UNIONS [83pp] 9. Kevin H. O’Rourke and Alan M. Taylor (2013), ‘Cross of Euros’, Journal of Economic Perspectives, 27 (3), Summer, 167–92 [26] 10. Richard Pomfret (2016), ‘Currency Union and Disunion in Europe and the Former Soviet Union’, CESifo Forum, 17 (4), December, 43–7 [5] 11. Andrew K. Rose and Charles Engel (2002), ‘Currency Unions and International Integration’, Journal of Money, Credit and Banking, 34 (4), November, 1067–89 [23] 12. Cécile Couharde, Issiaka Coulibaly, David Guerreiro and Valérie Mignon (2013), ‘Revisiting the Theory of Optimum Currency Areas: Is the CFA Franc Zone Sustainable’, Journal of Macroeconomics, 38 (B), December, 428–41 [14] 13. Steven K. Buigut and Neven T. Valev (2005), ‘Is the Proposed East African Monetary Union an Optimal Currency Area? A Structural Vector Autoregression Analysis’, World Development, 33 (12), December, 2119–33 [15] PART III COMPLEMENTARY INSTITUTIONS AND POLITICAL ISSUES [183pp] 14. Enrico Spolaore (2013), ‘What is European Integration Really About? A Political Guide for Economists’, Journal of Economic Perspectives, 27 (3), Summer, 125–44 [20] 15. David Schäfer (2016), ‘A Banking Union of Ideas? The Impact of Ordoliberalism and the Vicious Circle on the EU Banking Union’, Journal of Common Market Studies, 54 (4), July, 961–80 [20] 16. Daniel Gros and Dirk Schoenmaker (2014), ‘European Deposit Insurance and Resolution in the Banking Union’, Journal of Common Market Studies, 52 (3), May, 529–46 [18] 17. Charles Goodhart and Dirk Schoenmaker (2009), ‘Fiscal Burden Sharing in Cross-Border Banking Crises’, International Journal of Central Banking, 5, March, 141–65 [25] 18. Carlo Favero and Alessandro Missale and Thorsten Beck (2012), ‘Sovereign Spreads in the Eurozone: Which Prospects for a Eurobond?’, Economic Policy, 27 (70), April, 233–73 [41] 19. Markus K. Brunnermeier, Sam Langfield, Marco Pagano, Ricardo Reis, Stijn Van Nieuwerburgh and Dimitri Vayanos (2017), ‘ESBies: Safety in the Tranches’, Economic Policy, 32 (90), April, 177–219 [43] 20. Varadarajan V. Chari and Patrick J. Kehoe (2007), ‘On the Need for Fiscal Constraints in a Monetary Union’, Journal of Monetary Economics, 54 (8), November, 2399–408 [10] 21. Ricardo Reis (2013), ‘The Mystique Surrounding the Central Bank’s Balance Sheet, Applied to the European Crisis’, American Economic Review, 103 (3), May, 135–40 [6]

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Book SynopsisAfter World War II, with the triumph of multilateralism, several international organizations were created, including two which would be of special importance for the external funding of the Portuguese economy in the second half of the twentieth century and in the early twenty-first. The European Union and the International Monetary Fund have been responsible for providing large amounts of funding, both in periods of economic development and during times of financial crisis. This contributory volume provides a thorough analysis on specific case studies: the Marshall Plan (1949-1952); the three IMF interventions (in the seventies, eighties and the 2011 bailout); the implementation of the first EU funds Portugal received prior to accession; and the debate on the new framework for European funds for the period 2021-2027. These case study analyses provide an overview of the legal, economic and financial implications that such external funding has on the country at different times and in different economic contexts. Of particular import at all times is the public finance legal framework, and this is especially the case for the new European funding structures, which has attracted some criticism. And for any future IMF financial assistance and its political implementation implications. Portuguese Economic Development and External Funding in the Modern Era provides important insights into economic development, crisis management, financial assistance and European investment funds. While the work is Portuguese-centred, the topics investigated and the means of analysis adopted are applicable to other countries. This is the first book to address economic development and external funding, and it will inevitably be used as a template for future research.

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Book SynopsisThe second edition of this important textbook introduces students to the fundamental ideas of heterodox economics. It is written in a clear way by top heterodox scholars. This introductory book offers not only a critique of the dominant approach to economics, but also presents a positive and constructive alternative. Students interested in an explanation of the real world will find the heterodox approach not only satisfying, but ultimately better able to explain a money-using economy prone to periods of instability and crises.Key features of this textbook include: A non-conventional understanding of economic analysis on a number of relevant topics A new analysis of the state of macroeconomics Deep and convincing criticism of orthodox thinking Discussion of the crucial importance of money, banking and finance today New discussions of the theories of consumption and investment Analysis of the roots of the 2008 global financial crisis A presentation of the features of sustainable development. Students of economics at all levels can use this textbook to deepen their understanding of the heterodox approach, the fundamental roots of the 2008 global financial crisis and the need to rethink economics afresh.Trade Review‘This book is a comprehensive textbook of macroeconomics that can be easily regarded as one of the top scholarly contributions made in recent years to introduce readers to the realm of political economy. Contributors include among the best Keynesian economists and historians of economic thought. This book pushes the frontier of knowledge and its reading seems to be a required step for the inquisitive reader.’ -- Andrea Carrera, Review of Political Economy'The challenges of ameliorating enduring inequalities and supporting an inclusive recovery from the Covid-19 crisis necessitate new understandings of macroeconomic dynamics and policy innovations. This invaluable volume brings together some of the world's leading macroeconomists to advance these critical aims at what may turn out to be a turning point in the profession.' -- Ilene Grabel, University of Denver, US, author of When Things Don’t Fall Apart: Global Financial Governance and Developmental Finance in an Age of Productive Incoherence'Now that this excellent heterodox book is into a second edition there are only two choices; read it, or continue to be ''deceived by economists''.' -- John Smithin, York University and Aurora Philosophy Institute/Institut philosophie Aurora, CanadaTable of ContentsContents: Introduction: the urgent need for a heterodox approach to economic analysis 1 Louis-Philippe Rochon and Sergio Rossi PART I ECONOMICS, ECONOMIC ANALYSIS AND ECONOMIC SYSTEMS 1 What is economics? 25 Louis-Philippe Rochon and Sergio Rossi 2 The state of macroeconomics 51 Louis-Philippe Rochon and Sergio Rossi 3 The history of economic theories 80 Heinrich Bortis 4 Monetary economies of production 122 Louis-Philippe Rochon PART II MONEY, BANKS AND FINANCIAL ACTIVITIES 5 Money and banking 151 Marc Lavoie and Mario Seccareccia 6 The financial system 176 Jan Toporowski 7 Central banking and monetary policy 200 Louis-Philippe Rochon and Sergio Rossi PART III THE MACROECONOMICS OF THE SHORT AND LONG RUN 8 Theories of consumption 233 Stavros A. Drakopoulos 9 Theories of investment 268 Thomas Dallery 10 Aggregate demand 307 Jesper Jespersen 11 Inflation and unemployment 331 Alvaro Cencini and Sergio Rossi 12 The role of fiscal policy 355 Malcolm Sawyer 13 Economic growth and development 376 Mark Setterfield 14 Wealth distribution 402 Omar Hamouda PART IV INTERNATIONAL ECONOMY 15 International trade and development 437 Robert A. Blecker 16 Balance-of-payments constrained growth 469 John McCombie and Nat Tharnpanich 17 European monetary union 494 Sergio Rossi PART V RECENT TRENDS 18 Financialization 517 Gerald A. Epstein 19 Imbalances and crises 540 Robert Guttmann 20 Sustainable development 566 Richard P.F. Holt 21 Conclusion: do we need microfoundations for macroeconomics? 593 John King Answers 618 Index 633

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