Since the end of the Cold War, religion has become an ever more explicit and systematic focus of US foreign policy across multiple domains. US foreign policymakers, for instance, have been increasingly tasked with monitoring religious freedom and promoting it globally, delivering humanitarian and development aid abroad by drawing on faith-based organizations, fighting global terrorism by seeking to reform Muslim societies and Islamic theologies, and advancing American interests and values more broadly worldwide by engaging with religious actors and dynamics. Simply put, religion has become a major subject and object of American foreign policy in ways that were unimaginable just a few decades ago. In Finding Faith in Foreign Policy, Gregorio Bettiza explains the causes and consequences of this shift by developing an original theoretical framework and drawing upon extensive empirical research and interviews. He argues that American foreign policy and religious forces have become ever more inextricably entangled in an age witnessing a global resurgence of religion and the emergence of a postsecular world society. He further shows how the boundaries between faith and state have been redefined through processes of desecularization in the context of American foreign policy, leading the most powerful state in the international system to intervene and reshape in increasingly sustained ways sacred and secular landscapes around the globe. Drawing from a rich evidentiary base spanning twenty-five years, Finding Faith in Foreign Policy details how a wave of religious enthusiasm has transformed not just American foreign policy, but the entire international system.

Based on VAR analyses across 26 countries, we show that, although foreign exchange intervention (FXI) is effective in stabilizing the nominal exchange rate in the short run, its impacts on the real exchange rate are less significant: Limitations on nominal exchange rate flexibility may induce adjustments to the real exchange rate through domestic prices. We find that countries that intervene more heavily in response to external shocks experience greater general and asset price volatility, which is not conducive to countering the impact of external shocks. We show that China’s macroeconomic responses to external shocks are broadly consistent with international experiences among intervening countries. The simple methodological framework adopted in this paper is meant to examine a broad set of macroeconomic variables and bears limitations; our findings serve to motivate more structural analysis on FXI’s macroeconomic impacts going forward.

States and banks have traditionally maintained close ties. At various points in time, states have used banks to manage their economies and soak up government debt, while banks enjoyed regulatory forbearance, restricted competition, and implicit or explicit guarantees from their home markets. The political foundations of banks have thus been powerful and enduring, with actors on both sides of the aisle reluctant to sever relations. The central argument of this book, however, is that in the world's largest integrated market, Europe, the traditional political ties between states and banks have been transformed. Specifically, through a combination of post-communist transition, monetary union, and economic crisis, states in Europe no longer wield preponderant influence over their banks. Banking on Markets explains why we have witnessed the radical denationalization of this politically vital sector, as well as the consequences for economic volatility and policy autonomy. The findings in Europe have implications for other world regions, which, to varying degrees, have also experienced intensified pressure on their traditional models of domestic political control over finance. Through an investigation of foreign bank behavior in economic crises, the developmental consequences of political control over banks and the emergence of European Banking Union in the Eurozone, the book advances three main findings. First is that foreign bank ownership need not necessarily lead to economic vulnerability of host states. Second is that marketized bank-state ties do, however, limit pathways to catching up in the global economy. And third is that European Banking Union has strengthened the euro's credibility while cutting down substantially on Eurozone member states' economic policy discretion. This book details the intense political struggles that have underpinned all three outcomes. Co-Winner of the 2018 Ed A Hewett Book Prize awarded by the Association for Slavic, East European, and Eurasian Studies.