Download or read book Political Economy Aspects of Trade and Financial Liberalization written by Ms.Rina Bhattacharya and published by International Monetary Fund. This book was released on 1999-11-01 with total page 25 pages. Available in PDF, EPUB and Kindle. Book excerpt: This paper integrates a two-period overlapping generations model with a standard two-sector Hecksher-Ohlin trade model and analyzes the impact of uncertainty on domestic investment in the exportable and importable sectors, the political economy linkages between trade and financial liberalization, and the implications for sequencing. Under certain assumptions financial liberalization leads to a movement of resources in the opposite direction to that implied by trade liberalization, thus defeating one of the objectives of tariff reform. When political economy linkages are taken into account, however, the indirect effects of financial liberalization may offset the direct effects and encourage a movement of resources in the desired direction.

Download or read book Trade Liberalization and the Politics of Financial Development written by Matias Braun and published by World Bank Publications. This book was released on 2005 with total page 47 pages. Available in PDF, EPUB and Kindle. Book excerpt: "A well developed financial system enhances competition in the industrial sector by allowing easier entry. The impact varies across industries, however. For some, small changes in financial development quickly induce entry and dissipate incumbents' rents, generating strong incentives to oppose improvement of the financial system. In other sectors incumbents may even benefit from increased availability of external funds. The relative strength of promoters and opponents determines the political equilibrium level of financial system development. This may be perturbed by the effect of trade liberalization in the strength of each group. Using a sample of 41 trade liberalizers Braun and Raddatz conduct an event study and show that the change in the strength of promoters vis--̉vis opponents is a very good predictor of subsequent financial development. The result is not driven by changes in demand for external funds, or by the success of the trade policy. The relationship is mediated by policy reforms, the kind that induces competition in the financial sector, in particular. Real effects follow not so much from capital deepening but mainly through improved allocation. The effect is stronger in countries with high levels of governance, suggesting that incumbents resort to this costly but more subtle way of restricting entry where it is difficult to obtain more blatant forms of anti-competitive measures from politicians. This paper--a product of the Investment and Growth Team, Development Research Group--is part of a larger effort in the group to understand the relation between finance and the macroeconomy"--World Bank web site.

Download or read book The Political Economy of Trade Reform in Emerging Markets written by Peter Draper and published by Edward Elgar Publishing. This book was released on 2009-01-01 with total page 299 pages. Available in PDF, EPUB and Kindle. Book excerpt: . . . few if any other recent volumes offer a historical perspective on evolving trade policy in several countries, this well-written, well-edited volume. . . is suitable for graduate and research libraries. M. Larudee, Choice This book is a refreshing reminder of the benefits of unilateral trade liberalisation in countries whose leaders dare. An important story told with clarity and authority. Ross Garnaut, The Australian National University, Australia That trade liberalization is good for emerging market economies, and not just for the rich ones, is now widely accepted by both economists and policy-makers. But the question remains: how can these reforms be implemented in practice? The answer to that important question lies in understanding the political economy of each reforming country. This book makes a splendid contribution to our understanding of this issue by examining the experience of several countries. It is therefore an important book to be read by, not just students and researchers, but also policy-makers worldwide. Jagdish Bhagwati, Columbia University, US This timely book brings fresh analysis to the important issue of trade policy reform in emerging markets. The subject matter and its significance are comprehensively introduced with a review of developing country liberalization since the 1980s providing an analytical framework for the seven country case studies that follow. The case studies (Australia, Brazil, Chile, India, Malaysia, New Zealand, and South Africa) cover a wide variety of political, historical and economic issues, but all make clear the important role that crisis, or the threat of it, plays in meaningful trade policy reform. This is of particular relevance in the current global financial crisis. These studies, together with the conclusions which are drawn from them, show how important the trade liberalization agenda remains in the 21st century. Written by a combination of both experts and practitioners, this highly topical book will make productive reading for policy makers concerned with trade policy in developed and developing countries, as well as scholars working in trade policy. Postgraduate students studying international business, international relations, economics, politics, and international law should not be without this book.

Download or read book Financial Liberalization written by P. Arestis and published by Springer. This book was released on 2005-09-08 with total page 179 pages. Available in PDF, EPUB and Kindle. Book excerpt: The financial liberalization thesis emerged in the 1970s and has been of considerable importance ever since, not merely in terms of its theoretical influence but, perhaps more importantly, in terms of its impact on policy makers and policy debates. Although it has encountered increasing scepticism over the years, it nevertheless had a relatively early impact on development policy, which still continues unabated, through the work of the IMF and the World Bank. The latter two institutions, perhaps in their traditional role as promoters of what were claimed to be free market conditions, were keen to encourage financial liberalization policies as part of more general reforms or stabilization programmes. This book explores what we have learned from the vast experience of the theoretical and policy aspects of the financial liberalization.

Download or read book Free Trade In The World Economy written by Herbert Giersch and published by Routledge. This book was released on 2019-03-04 with total page 633 pages. Available in PDF, EPUB and Kindle. Book excerpt: International trade policy is facing a cross-roads. This is creating uncertainty, impairing world economic growth. Unless a policy of more open markets is pursued, protectionism may well turn into a self-perpetuating and cumulative process. This is why the 1986 Kiel Conference was devoted to Free Trade in the World Economy: Towards an Opening of Markets. We felt that such a conference would help to stimulate policy discussion preceding the Uruguay Round under the auspices of the GATT and the moves within the European Community towards completing a common internal market by 1992.

Download or read book Trade and Growth written by Manuel Agosin and published by . This book was released on 1993 with total page 324 pages. Available in PDF, EPUB and Kindle. Book excerpt: A re-examination of the role of trade policy in development strategies through analyses and five country studies of semi-industrialized economies, this book shows that sustained growth performance is associated with policies geared to the creation of competitiveness in new sectors, rather than to the exploitation of current comparative advantages. This has required selectivity in trade policy and an activist exchange rate policy. The book also places the current trade policy debates in the context of the international policy environment that is emerging in an increasingly globalized world economy.

Download or read book Varieties of Globalization written by Yumi Park and published by . This book was released on 2023 with total page 0 pages. Available in PDF, EPUB and Kindle. Book excerpt: One conventional wisdom of the international political economy literature is that finance follows trade. There are substantial variations, however, among countries that are similarly integrated into the global economy that have chosen different levels of financial liberalization. Why do some countries develop larger, deeper, and more globalized financial markets than others? I examine this question with a new framework that takes into account structural changes in the global economic system and domestic lobbying. I find that governments are more likely to face pressures for financial liberalization from domestic banks when the country is heavily integrated into international trade but has not yet removed capital controls. On the other hand, domestic banks are more likely to pressure the government for financial liberalization when the private benefits of international capital inflows outweigh the benefits of private rents provided by the government domestically. Using my own dataset on global trade networks and government subsidies to the financial sector in 181 countries from 1980 to 2018, I find that countries that are integrated into the global economy with a domestic banking industry that depends on foreign credit will develop larger, deeper and more globalized financial markets. With this new framework that looks at the interaction between global and domestic factors, I provide an explanation for variation in the timing and degree of countries' financial liberalization. This study also contributes to the scholarship of IPE by distinguishing financial liberalization from economic liberalization and explaining the many cases of financial liberalization that are not crisis-induced.

Download or read book Liberalization Financial Instability and Economic Development written by Yılmaz Akyüz and published by Anthem Press. This book was released on 2014-05-01 with total page 338 pages. Available in PDF, EPUB and Kindle. Book excerpt: Weighing up the costs and benefits of economic interdependence in a finance-driven world, this book argues that globalization, understood and promoted as absolute freedom for all forms of capital, has been oversold to the Global South, and that the South should be as selective about globalization as the North. ‘Liberalization, Financial Instability and Economic Development’ challenges the orthodoxy on the link between financial deepening and economic growth, as well as that between the efficiency of financial markets and the benefits of liberalization. Ultimately, the author urges developing countries to control capital flows and asset bubbles, preventing financial fragility and crises, and recommends regional policy options for managing capital flows and exchange rates.

Download or read book Governing the World Economy written by Diane Coyle and published by Polity. This book was released on 2000-12-19 with total page 176 pages. Available in PDF, EPUB and Kindle. Book excerpt: The global financial crisis of 1997-8 revealed that emerging market nations as well as the developed economies are vulnerable to the forces of globalization. It highlighted the need for the governance of the world economy to catch up with the pace and degree of integration through trade and financial markets. This book argues passionately in favour of the benefits of free markets, despite the crisis. Coyle argues that the freedom to exchange and invest is valuable in itself, like other freedoms, and that it is also the only sure route to economic development. Further liberalization of trade and investment, appropriately regulated, is essential if developing countries are to attain higher living standards. Economic growth, in turn, will slow population growth and create a constituency for environmental action in the developing world. Coyle also makes the case for a reassessment of the role and capabilities of the international financial institutions. She argues that these need to reflect a more even balance of power, despite the dominance of the US in today's world economy, and that they need to live up to their own rhetoric of transparency and accountability. Chapters on trade and financial markets look in particular at the role of the WTO and IMF, the key villains on the world stage in the eyes of many progressive development campaigners. The book also addresses the shifting political economy of international governance, looking at the way information technology has led to the development of a global opposition to the inter-governmental organizations. This book will be read by students of economics and politics, and all those interested in debates about the nature and trajectory of the world economy.

Download or read book Trade Development and Political Economy written by D. Lal and published by Springer. This book was released on 2001-03-28 with total page 330 pages. Available in PDF, EPUB and Kindle. Book excerpt: Trade, Development and Political Economy takes fundamental issues in trade and development policy and subjects them to well-based economic analysis in a form that is easily accessible to the non-specialist. Distinguished contributors address some of the following questions: Are critics of outward-orientated development wrong? What caused the financial crisis of East Asia? Who supports trade and aid in the US? And, what are the conditions needed to promote growth? They also look forward to what trade policies and agreements will be needed in the future.

Download or read book Governing Financialization written by Jack Copley and published by Oxford University Press. This book was released on 2022 with total page 202 pages. Available in PDF, EPUB and Kindle. Book excerpt: Capitalism has become 'financialized'. Since the 1970s, the swelling of financial markets and asset price bubbles has occurred alongside weaker underlying economic growth. Yet financialization was not a spontaneous market development - it was deeply political. States fuelled this process through policies of financial liberalization, and the British state lies at the heart of the story. Britain's radical financial liberalizations in the 1970s and 1980s were instrumental in creating a financialized global economic order in which the City of London emerged as a central hub. But why did the British state propel financialization? The conventional wisdom points to the lobbying power of financial elites and the strength of neoliberal ideology. However, Governing Financialization offers an alternative explanation through an in-depth exploration of declassified state archives. By examining key financial liberalizations in the 1970s and 1980s - including the notorious 'Big Bang' - this book argues that these policies were not part of an intentional scheme to create a new finance-led economic model. Instead, they were designed to address immediate governing dilemmas related to the grinding 'stagflation' crisis and its aftershocks. In this era, British governments found themselves trapped between global competitive pressures to enforce painful domestic adjustment and national political pressures to maintain existing living standards. Financial liberalization was pursued in a trial-and-error manner to navigate this dilemma. By unleashing financial markets, the state hoped to either postpone the worst effects of the crisis, or enact tough economic restructuring in an arm's-length fashion. Financialization was an accidental outcome, not an intentional result.

Download or read book The Political Economy of International Financial Crisis written by Shale Asher Horowitz and published by Rowman & Littlefield. This book was released on 2001 with total page 318 pages. Available in PDF, EPUB and Kindle. Book excerpt: The world financial crisis of 1997-99 was the most important international economic event since the oil shocks of the 1970s and the associated debt crisis of the 1980s. What were its political causes and consequences? In particular, how did interest group coalitions and political institutions affect pre-crisis economic policies and post-crisis responses? This book focuses on how policymaking coalitions are formed and how political institutions mediate the pressure of rival coalitions. This approach is applied to 13 countries drawn from the main crisis-affected regions of the world economy East Asia, Southeast Asia, Latin America and Eastern Europe."

Download or read book The Handbook of the Political Economy of Financial Crises written by Martin H. Wolfson and published by Oxford University Press. This book was released on 2013-01-07 with total page 785 pages. Available in PDF, EPUB and Kindle. Book excerpt: The Great Financial Crisis that began in 2007-2008 reminds us with devastating force that financial instability and crises are endemic to capitalist economies that lack powerful and dynamically changing financial regulations that can keep the powerful forces of leverage and credit within sustainable bounds. Economists from Marx to Keynes, and Minsky to Kindleberger have well understood this profoundly important fact, yet the dominant mainstream economics of "rational expectations", "efficient markets" and "laissez-faire" that rationalized widespread financial liberalization and still dominates the economics profession has gotten it, literally, "dead wrong". The Handbook of The Political Economy of Financial Crises describes the theoretical, institutional, and historical factors that can help us understand the forces that create financial crises - with an emphasis on the crisis of 2007- 2008 - and the strengths and weaknesses of varying theoretical perspectives and policy approaches that have tried to comprehend and limit these financial tsunamis.

Download or read book Japan and China in the World Political Economy written by Saadia Pekkanen and published by Routledge. This book was released on 2006-06-01 with total page 270 pages. Available in PDF, EPUB and Kindle. Book excerpt: Two powers in East Asia today stand to define the region's economic and commercial future: Japan, which rose in a spectacular industrial burst to become at present the world's second largest economy; and China, which is rapidly advancing towards a market economy under the watchful eye of the world. While much has been made of Japan and China’s particular economic institutions and developmental paths, few works analyze them in a comparative framework. Including contributions from leading academics, the text focuses on the period from the 1980s to the onset of the 2000s, reviewing the experiences of Japan and China across the areas of development, trade, investment, finance and technology. Drawing on a combination of official documents, economic statistics, case studies and original fieldwork, this book will give political scientists, political economists, business concerns, and policy analysts a firmer grasp of the role Japan and China stand to play in the world political economy.

Download or read book Trade and Domestic Financial Market Reform Under Political Uncertainty written by Ms.Rina Bhattacharya and published by INTERNATIONAL MONETARY FUND. This book was released on 2000-10-01 with total page 34 pages. Available in PDF, EPUB and Kindle. Book excerpt: This paper presents a model that incorporates uncertainty about trade reform and analyzes the effects of trade and financial liberalization on domestic investment and savings, the current account balance and the real exchange rate, both when the capital account is open and when it is closed. Under certain assumptions financial liberalization leads to a movement of resources in the opposite direction to that implied by trade liberalization and to real exchange rate appreciation, thus defeating one of the objectives of tariff reform, when the capital account is open. When political economy linkages are taken into account, however, the indirect effects of financial liberalization may offset the direct effects, encouraging a movement of resources in the desired direction. With a closed capital account these results should still hold unless there are strong negative income effects from trade reform.

Download or read book International Political Economy And Globalization written by Javed Maswood and published by World Scientific Publishing Company. This book was released on 2000-09-05 with total page 324 pages. Available in PDF, EPUB and Kindle. Book excerpt: This book provides a comprehensive introduction to international political economy and to the different trade and financial issues in the contemporary international system. The modern international political economy is characterized by globalization of production and finance. This book explains the growth and consequences of globalization from a historical and evolutionary perspective. It explores not only the long-standing issues of trade protectionism and financial stability, but also the newer issues of international labor standards, liberalization of investment regulations, and environmental protection. One of the greatest challenges of financial globalization is the potential for destabilizing national economies through a rapid outflow of capital, as seen recently in East Asia. In this book, the East Asian currency and debt crises are examined in relation to earlier crises in Latin America in the early 1980s and in Mexico in the mid-1990s. It will help readers to understand how politics and economics interact to produce the rules and structures of international political economy, and also to better appreciate the contemporary issues, crises, and challenges in international political economy.

Download or read book International Political Economy and Globalization written by Javed Maswood and published by World Scientific Publishing Company Incorporated. This book was released on 2000 with total page 314 pages. Available in PDF, EPUB and Kindle. Book excerpt: "This book provides a comprehensive introduction to international political economy and to the different trade and financial issues in the contemporary international system. The modern international political economy is characterized by globalization of production and finance. This book explains the growth and consequences of globalization from a historical and evolutionary perspective. It explores not only the long-standing issues of trade protectionism and financial stability, but also the newer issues of international labor standards, liberalization of investment regulations, and environmental protection. It will help readers to understand how politics and economics interact to produce the rules and structures of international political economy, and also to better appreciate the contemporary issues, crises, and challenges in international political economy."--BOOK JACKET.