FONAD - JJT - Global Imbalances and Developing Countries: Remedies for a Failing International Financial System

Forum on Debt and Development (FONDAD)
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range of North-South problems, with particular emphasis on international
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Director: Jan Joost Teunissen
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Global Imbalances and Developing Countries Remedies for a Failing International Financial System

Edited by
Jan Joost Teunissen and
Age Akkerman


Acknowledgements ix
Notes on the Contributors x
Abbreviations xv

I/ Introduction 1
Jan Joost Teunissen

II/ Global Imbalances and the Implications for Africa 8
Louis Kasekende

1 Why Worry About the Global Imbalances? 9

2 Global Adjustment Scenarios 11

3 Where is Africa in All These? 12

4 Conclusion 17

III/ East Asia’s Role in Resolving the New Global Imbalances 19
Masaru Yoshitomi, Li-Gang Liu and Willem Thorbecke

1 The Nature of the New Global Imbalances 20

2 The Sustainability of the New Global Imbalances 23

3 Necessary Adjustment Policies in the US 25

4 East Asia’s Role in Resolving the Current Global Imbalances 27

5 Conclusion 32

IV/ An African Perspective: Comments on Yoshitomi, Liu and
Thorbecke 37
Brian Kahn

1 The Investment-Savings Balance and Exchange Rate Policies 37

2 Systemic Crises and Concerted Action 39

3 Accumulation of Foreign Reserves 40

4 Concluding Remarks 41

V/ Rebalancing Savings-Investment Gaps in East Asia 42
Yonghyup Oh and Seeun Jeong

1 Should East Asian Capital Be Relocated Within the Region? 44

2 Barriers to Capital Market Integration in East Asia 49

3 Concluding Remarks 52

VI/ The Need for a Longer Policy Horizon: A Less Orthodox Approach 57
William R. White

1 Secular Trends 59

2 Current Exposures: Do They Warrant a Policy Response? 71

3 Towards a Domestic Macrofinancial Stabilisation Framework? 77

4 Towards an International Macrofinancial Stabilisation Framework 86

5 Conclusion 88

VII/ Global Imbalances and the Role of the IMF 93
Ariel Buira and Martín Abeles

1 The Risk Posed by Global Macroeconomic Imbalances 95

2 The Fund’s Potential Role in Dealing With Global Imbalances 109

3 A G-20 Accord and the Need for a Counter-Cyclical Facility 114
4 Conclusion 119

VIII/ Global Imbalances and the Role of the IMF: A Comment on
Ariel Buira and Martín Abeles 124
Mark Allen

IX/ The Future of the International Monetary System 128
John Williamson

X/ A More Balanced International Monetary System 133
Jane D’Arista

1 Creating a Public International Investment Fund for Emerging Economies 135

2 Reforming the International Payments System 137

XI/ Reforming the International Monetary System: Comments on
Jane D’Arista and John Williamson 141
Henk Brouwer

XII/ A Response to the Comments of Henk Brouwer 145
Jane D’Arista


 Contents of the Previous Volume


Global Imbalances and the US Debt Problem: Should Developing
Countries Support the US Dollar?

I/ Should Developing Countries Support the US Dollar?
By Way of Introduction
Jan Joost Teunissen

II/ Global Imbalances and Emerging Markets
Barry Eichengreen and Yung Chul Park

III/ Global Imbalances and Latin America: A Comment on
Eichengreen and Park
Barbara Stallings

IV/ The Dilemmas and Dangers of the Build-Up of US Debt:
Proposals for Policy Responses
Jane D’Arista and Stephany Griffith-Jones

V/ Currency Asymmetry, Global Imbalances, and Rethinking of the
International Currency System
FAN Gang

VI/ China’s Macroeconomic Imbalances: The Liquidity Tango Mechanism
Wing Thye Woo

VII/ How Effective Is Monetary Policy in China? A Comment on
Woo’s “Inflationary Tango”
Zdenĕk Drábek

VIII/ Asian Monetary Coordination and Global Imbalances
Yonghyup Oh

IX/ Understanding Imbalances in a Globalised International
Economic System
Jan A. Kregel

X/ Policy Recommendations for the US, Europe and Asia:
By Way of Epilogue
Jan Joost Teunissen


Source: http://www.fondad.org/publications/global-imbalances-remedies