Part 1 of this volume focusses on globalization. Gains from trade, international competitiveness, labour market issues in open economies, customs unions, dumping and intra-firm trade are the topics of this part. Part 2 puts a stronger emphasis on dynamic economics. Social income, intergenerational transfers, public pension systems, and bequest and gift motives in overlapping generation models are main topics. Economic policies are analyzed in Part 3, including the relation between wage rigidity and migration, several aspects of German financial and monetary policy, as well as tax competition. The volume concludes with institutional issues of globalization, a western view on eastern transition, social cost of rent seeking, and the evolution of social institutions.

The large aggregates in the economy - consumption, investment, production of the domestic and the international sectors, international capital flows, financial accumulation and indebtedness - are analysed in this book as problems in time-optimisation for enterprises and households. The effects of fiscal and monetary policies along with exchange-rate variation are examined, and their simultaneous use for stabilizing demand are found to be necessary. All household decisions on consumptions, savings, and financial disposition are conditioned by uncertainty, and similarly for firms, who make more complex simultaneous decisions on production, real investment, financing, and market strategy. The marginal efficiency-of-investment function derived from these decisions is fundamentally different from the marginal productivity of capital in the neoclassical sense. An economy which grows through the accumulation of capital, increase in labor supply, and technological progress is the framework in which all of these variables move. This codetermines the allocation of factors between domestic and international production, and the development of foreign trade. The growth both of the public debt and of international investment are treated in depth.

Compilation of essays on trade patterns, international financial policy and the international monetary system - comprises economic research papers on national level trade structures, industrialization, the balance of payments, technology and critical issues of international monetary reform, etc. References and statistical tables.

In the first chapter, I quantify the welfare effect of eliminating the U.S. capital income tax under international financial integration. I employ a two-country, heterogeneous-agent incomplete markets model calibrated to represent the U.S. and the rest of the world. Short-run and long-run factor price dynamics are key: after the tax reform, post-tax interest rate increases less under financial openness relative to autarky. Therefore the wealth-rich households gain less. Post-tax wages also fall less, so the wealth-poor are hurt less. Hence, the fraction in favor of the reform increases, although the majority still prefers the status quo. Aggregate welfare effect to the U.S. is a permanent 0.2 % consumption equivalent loss under financial openness which is 85.5 % smaller than the welfare loss under autarky. The second chapter aims to answer two questions: What helps forecast U.S. inflation? What causes the observed changes in the predictive ability of variables commonly used in forecasting US inflation? In macroeconomic analysis and inflation forecasting, the traditional Phillips curve has been widely used to exploit the empirical relationship between inflation and domestic economic activity. Atkeson and Ohanian (2001), among others, cast doubt on the performance of Phillips curve-based forecasts of U.S. inflation relative to naive forecasts. This indicates a difficulty for policy-making and private sectorâs long term nominal commitments which depend on inflation expectations. The literature suggests globalization may be one reason for this phenomenon. To test this, we evaluate the forecasting ability of global slack measures under an open economy Phillips curve. The results are very sensitive to measures of inflation, forecast horizons and estimation samples. We find however, terms of trade gap, measured as HP-filtered terms of trade, is a good and robust variable to forecast U.S. inflation. Moreover, our forecasts based on the simulated data from a workhorse new open economy macro (NOEM) model indicate that better monetary policy and good luck (i.e. a remarkably benign sample of economic shocks) can account for the empirical observations on forecasting accuracy, while globalization plays a secondary role.

The term OC economic globalizationOCO has been discussed extensively in the popular press, by business executives and by policy-makers all over the world. While academic economists have made some excellent contributions to specific, technical aspects of economic globalization, there appears to be a need for economists to discuss the broader aspects of the issue in a more accessible manner. Failing this, the general debate will be informed only by the writings of non-economists. That is the motivation for this book, which is a collection of essays on various aspects of economic globalization in general, but with specific reference to Asia. Contents: Economic Globalization: Finance, Trade and Taxation: Economic Globalization and Small and Open Economies: Finance, Trade and Taxation; International Monetary and Financial Issues in East Asia: International Capital Flows and Regional Contagion: Boom and Bust in East Asia in the 1990s; Liquidity-Enhancing Measures and Monetary Cooperation in East Asia: Rationale and Progress; Choosing the Right Exchange Rate Regime for Small and Open Economies in East Asia; International Trade Issues in Asia: The Nexus Between Trade Liberalization and Poverty in Asia; India''s Decade-Long Trade Reforms: How Does It Compare with Its East Asian Neighbours? (with Rahul Sen); Singapore''s Drive to Form Cross-Regional Trade Pacts: Rationale and Implications (with Rahul Sen); International Trade in Infrastructural Services in East Asia: Telecommunications and Finance; International Tax Issues in Asia: Economic Globalization and Taxation: With Particular Reference to Southeast Asia (with Mukul Asher). Readership: Policy-makers, businessmen, professionals and others with an interest in international economic affairs and international economic policy."

The papers in this book cover the wide range of Robert Triffin's expertise. For example, Jacques Larosire interprets the evolution of the international monetary system. Michel Aglietta critically appraises the international monetary system and suggests the present system is one that does not constrain domestic policy choices. The desirability, scope and means of policy co-ordination are analyzed in the contributions by James Tobin, Robert Solomon, John Williamson, Alexandre Lamfalussy and Wolfgang Rieke. Tommaso Padoa-Schioppa discusses the possible paths to European Monetary Union whilst Alfred Steinherr and Jacques Girard evaluate the past and future evolution of the ECU. Paul De Grauwe provides empirical answers to the highly debated question whether the EMS is a DM-zone.