BiblioVault - Books about Economic stabilization

After Neoliberalism

What Next for Latin America?

Lance Taylor, Editor

University of Michigan Press, 1999

In the past twenty years, economic policy in Latin America has veered toward neoliberalism, or market friendliness. State interventions in the economy were cut back in many areas, in the form of reductions in fiscal deficits; privatization of public enterprises; reductions of import quotas and tariffs and export subsidies; removal of barriers to foreign capital flow; and increased faith in the private sector and market processes.
This book offers an intellectual and historical background for these policy choices, specifically in Argentina, Brazil, Chile, Colombia, Mexico, and Peru. The contributors detail the structural reform and economic policies in Latin America and discuss the various and often contradictory effects neoliberalism, such as fluctuating growth rates and saving-investment balances, worsened corruption, growth of exports, falling wages, and rising unemployment. In addition, each case study forecasts the effects of neoliberal policies on future growth and income distribution in the respective countries. Finally, it offers policy alternatives to neoliberalism.
The essays in this volume are: an introduction by Lance Taylor; "The Argentine Experience with Stabilization and Structural Reform," by José María Fanelli and Roberto Frenkel; "Opening, Stabilization, and Macroeconomic Sustainability in Brazil," by Edward Amadeo, "An Ongoing Structural Transformation: The Colombian Economy, 1986-96," by José Antonio Ocampo; "Economic Reforms, Stabilization Policies, and the 'Mexican Disease,'" by Nora Claudia Lustig and Jaime Ros; and "Structural Reforms and Macroeconomic Policy in Peru: 1990-96," by Oscar Dancourt.
Lance Taylor is the Arnhold Professor of International Cooperation and Development, New School for Social Research.

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Applied General Equilibrium and Economic Development

Present Achievements and Future Trends

Jean Mercenier and T. N. Srinivasan, Editors

University of Michigan Press, 1994

Presents sophisticated applied analyses of issues in development economics

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Economic Adjustment and Exchange Rates in Developing Countries

Edited by Sebastian Edwards and Liaquat Ahamed

University of Chicago Press, 1986

In spite of the attention paid exchange rates in recent economic debates on developing countries, relatively few studies have systematically analyzed in detail the various ramifications of exchange rate policy in these countries. In this new volume from the National Bureau of Economic Research, leading economists use rigorous models to tackle various exchange rate issues, while also illuminating policy implications that emerge from their analyses.

The volume, divided into four main sections, addresses: the role of exchange rates in stabilization programs and the adjustment process; the importance of exchange rate policy during liberalization reform in developing countries; exchange rate problems relevant and unique to developing countries, illustrated by case studies; and the problems defining, measuring, and identifying determinants of real exchange rates. Authors of individual papers examine the relation between commercial policies and exchange rates, the role of exchange rate policy in stabilization programs, the effectiveness of devaluations as a policy tool, and the interaction between exchange rate terms of trade an capital flow. This research will not only prove crucial to our understanding of the role of exchange rates in developing countries, but will clearly set the standard for future work in the field.

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Economic and Financial Crises in Emerging Market Economies

Edited by Martin Feldstein

University of Chicago Press, 2003

In the late 1990s, economic and financial crises raged through East Asia, devastating economies that had previously been considered among the strongest in the developing world. The crises eventually spread to Russia, Turkey, and Latin America, and impacted the economies of many industrialized nations as well. In today's increasingly interdependent world, finding ways to reduce the risk of future crises—and to improve the management of crises when they occur—has become an international policy challenge of paramount importance.

This book rises to that challenge, presenting accessible papers and commentaries on the topic not only from leading academic economists, but also from high-ranking government officials (in both industrial and developing nations), senior policymakers at international institutions, and major financial investors. Six non-technical papers, each written by a specialist in the topic, provide essential economic background, introducing sections on exchange rate regimes, financial policies, industrial country policies, IMF stabilization policies, IMF structural programs, and creditor relations. Next, personal statements from the major players give firsthand accounts of what really went on behind the scenes during the crises, giving us a rare glimpse into how international economic policy decisions are actually made. Finally, wide-ranging discussions and debates sparked by these papers and statements are summarized at the end of each section.

The result is an indispensable overview of the key issues at work in these crises, written by the people who move markets and reshape economies, and accessible to not just economists and policymakers, but also to educated general readers.

Contributors:
Montek S. Ahluwalia, Domingo F. Cavallo, William R. Cline, Andrew Crockett, Michael P. Dooley, Sebastian Edwards, Stanley Fischer, Arminio Fraga, Jeffrey Frankel, Jacob Frenkel, Timothy F. Geithner, Morris Goldstein, Paul Keating, Mervyn King, Anne O. Krueger, Roberto Mendoza, Frederic S. Mishkin, Guillermo Ortiz, Yung Chul Park, Nouriel Roubini, Robert Rubin, Jeffrey Sachs, Ammar Siamwalla, George Soros

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Economic Policymaking in a Conflict Society

The Argentine Case

Richard D. Mallon and Juan V. Sourrouille

Harvard University Press, 1975

Argentina is a fascinating and baffling case to scholars of economic development. It has rich agricultural resources, a fully monetized economy, a domestic manufacturing sector that occupies a large share of the active labor force, a relatively high level of literacy, and other attributes that resemble a European nation more than a developing country. At the same time, Argentina has found it difficult to develop the institutions of a modern nation-state and to sustain a satisfactory rate of economic growth. This book is a new and vigorous attempt to explain the Argentinian paradoxes.

The authors' central hypothesis is that the conventional framework of economic analysis is ill-suited for policymaking in a pluralistic society; in such a society, successful macroeconomic policy management depends on support from viable political coalitions. In the absence of a repressive dictatorship, decision makers in Argentina, the authors maintain, have consistently attempted to adopt policy positions seemingly designed to tear society apart. Does this mean that no mediative policy alternatives exist which are more congenial to political pluralism? The authors present some answers to this important question by examining the Argentine balance of payments and stabilization policies. Their conclusions about macroeconomic policymaking are not only significant for Argentinian policymaking, but are also relevant for other semi-industrial societies.

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Governing under Stress

The Implementation of Obama's Economic Stimulus Program

Timothy J. Conlan, Paul L. Posner, and Priscilla M. Regan, Editors

Georgetown University Press, 2017

The underappreciated but surprisingly successful implementation of the American Recovery and Reinvestment Act (ARRA) helped rescue the economy during the Great Recession and represented one of the most important achievements of the Obama presidency. It tested all levels of government with urgent time frames and extensive accountability requirements. While ARRA passed most tests with comparatively little mismanagement or fraud, negative public and media perceptions of the initiative deprived the president of political credit.

Drawing on more than two hundred interviews and nationwide field research, Governing under Stress examines a range of ARRA stimulus programs to analyze the fraught politics, complex implementation, and impact of the legislation. Essays from public administration scholars use ARRA to study how to implement large federal programs in our modern era of indirect, networked governance. Throughout, the contributors present potent insights into the most pressing challenges facing public policy and management, and they uncover important lessons about policy instruments and networks, the effects of transparency and accountability, and the successes and failures of different types of government intervention.

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The Left's Dirty Job

The Politics of Industrial Restructuring in France and Spain

W. Rand Smith

University of Pittsburgh Press, 1998

The Left’s Dirty Job compares the experiences of recent socialist governments in France and Spain, examining how the governments of François Mitterrand (1981–1995) and Felipe González (1982–1996) provide a key test of whether a leftist approach to industrial restructuring is possible. This study argues that, in fact, both governments’ policies generally resembled those of other European governments in their emphasis on market-adapting measures that eliminated thousands of jobs while providing income support for displaced workers. Featuring extensive field work and interviews with over one hundred political, labor, and business leaders, this study is the first systematic comparison of these important socialist governments.

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Monetarism and Liberalization

The Chilean Experiment

Sebastian Edwards and Alejandra Cox Edwards

University of Chicago Press, 1991

The successes and failures of free market policy in Chile, implemented in 1973 under the guidance of economists trained at the University of Chicago, are clearly explained in this well-written study. The authors argue that it was a combination of misjudgments, including important policy errors, that led to the collapse of the Chilean economy.

"The Edwards's book is an indispensable guide to the policy reforms and mistakes that have taken the [Chilean] economy to its present state."—Philip L. Brock, Money, Credit, and Banking

"This book is a 'must' for anybody interested in development economies and the problems of liberalization."—Hansjorg Blochliger, Journal of International Economics

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Peru and the International Monetary Fund

Thomas Scheetz

University of Pittsburgh Press, 1986

Thomas Scheetz shows that the Internationaly Monetary Fund’s approach in 1980s Peru did not addresses the roots of debt and financial crisis, but instead has instituted inadequate stopgap policies, which have caused great inequities because of incorrect or biased assumptions. He argues that policies to eliminate “excess demand” in fact harm the poor, and the support the rich.

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The Power of Productivity

Wealth, Poverty, and the Threat to Global Stability

William W. Lewis

University of Chicago Press, 2004

The disparity between rich and poor countries is the most serious, intractable problem facing the world today. The chronic poverty of many nations affects more than the citizens and economies of those nations; it threatens global stability as the pressures of immigration become unsustainable and rogue nations seek power and influence through extreme political and terrorist acts. To address this tenacious poverty, a vast array of international institutions has pumped billions of dollars into these nations in recent decades, yet despite this infusion of capital and attention, roughly five billion of the world's six billion people continue to live in poor countries. What isn't working? And how can we fix it?

The Power of Productivity provides powerful and controversial answers to these questions. William W. Lewis, the director emeritus of the McKinsey Global Institute, here draws on extensive microeconomic studies of thirteen nations over twelve years—conducted by the Institute itself—to counter virtually all prevailing wisdom about how best to ameliorate economic disparity. Lewis's research, which included studying everything from state-of-the-art auto makers to black-market street vendors and mom-and-pop stores, conclusively demonstrates that, contrary to popular belief, providing more capital to poor nations is not the best way to help them. Nor is improving levels of education, exchange-rate flexibility, or government solvency enough. Rather, the key to improving economic conditions in poor countries, argues Lewis, is increasing productivity through intense, fair competition and protecting consumer rights.

As The Power of Productivity explains, this sweeping solution affects the economies of poor nations at all levels—from the viability of major industries to how the average consumer thinks about his or her purchases. Policies must be enacted in developing nations that reflect a consumer rather than a producer mindset and an attendant sense of consumer rights. Only one force, Lewis claims, can stand up to producer special privileges—consumer interests.

The Institute's unprecedented research method and Lewis's years of experience with economic policy combine to make The Power of Productivity the most authoritative and compelling view of the global economy today, one that will inform political and economic debate throughout the world for years to come.

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Prosperity without Greed

How to Save Ourselves from Capitalism

Sahra Wagenknecht

Campus Verlag, 2016

It is time to leave capitalism behind. In Prosperity without Greed, Sahra Wagenknecht shows that we live in a system of economic feudalism that has nothing to do with a free market economy, where the innovations we require to solve myriad important societal problems are not forthcoming. How can it be, Wagenknecht asks, that technological developments financed by the taxpayer end up enriching private companies even if those companies’ activities violate public interests? Through clear analysis and concrete proposals, Wagenknecht suggestss new forms of ownership and sketches the outlines of an innovative and just economy that instead promotes and rewards talent, real performance, and start-ups with groundbreaking ideas.

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Reform, Recovery, and Growth

Latin America and the Middle East

Edited by Rudiger Dornbusch and Sebastian Edwards

University of Chicago Press, 1994

The debt crisis of 1982 caused serious economic disruptions in most developing countries. Reform, Recovery, and Growth explains why some of these countries have recovered from the debt crisis, while more than a decade later others continue to stagnate.

Among the questions addressed are: What are the requirements for a stabilization policy that reduces inflation in a reasonable amount of time at an acceptable cost? What are the effects of structural reforms, especially trade liberalization, deregulation, and privatization, on growth in the short and long runs? How do macroeconomic instability and adjustment policies affect income distribution and poverty? How does the specific design of structural adjustment efforts affect results?

In this companion to Macroeconomics of Populism in Latin America, the authors confirm that macroeconomic stability has a positive effect on income distribution. The volume presents case studies that describe in detail the stabilization experiences in Brazil, Israel, Argentina, and Bolivia, and also includes discussion of Chile, Mexico, Peru, and Turkey.

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The Risk of Economic Crisis

Edited by Martin Feldstein

University of Chicago Press, 1991

The stunning collapse of the thrift industry, the major stock slump of 1987, rising corporate debt, wild fluctuations of currency exchange rates, and a rash of defaults on developing country debts have revived fading memories of the Great Depression and fueled fears of an impending economic crisis. Under what conditions are financial markets vulnerable to disruption and what economic consequences ensue when these markets break down?

In this accessible and thought-provoking volume, Benjamin M. Friedman investigates the origins of financial crisis in domestic capital markets, Paul Krugman examines the international origins and transmission of financial and economic crises, and Lawrence H. Summers explores the transition from financial crisis to economic collapse. In the introductory essay, Martin Feldstein reviews the major financial problems of the 1980s and discusses lessons to be learned from this experience. The book also contains provocative observations by senior academics and others who have played leading roles in business and government.

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The Transition in Eastern Europe, Volume 1

Edited by Olivier Jean Blanchard, Kenneth A. Froot, and Jeffrey D. Sachs

University of Chicago Press, 1994

When communism fell in 1989, the question for most Eastern European countries was not whether to go to a market economy, but how to get there. Several years later, the difficult process of privatization and restructuring continues to concern the countries of the region. The Transition in Eastern Europe, Volumes 1 and 2 is an analysis of the experiences of various countries making the transition to market economies and examines the most important challenges still in store.

Volume 1, Country Studies, gives an in-depth, country-by-country analysis of various reform experiences, including historical backgrounds and discussions of policies and results to date. The countries analyzed are Poland, Czechoslovakia, Hungary, eastern Germany, Slovenia, and Russia. Written by leading economists, some of whom helped shape local and national reforms, this volume identifies common progress, common difficulties, and tentative solutions to the problems of economic transition.

Volume 2, Restructuring, focuses on specific issues of transition, including how to design labor market institutions, privatization, new fiscal structures, and bankruptcy laws; how to reorganize foreign trade; and how to promote foreign direct investment. The articles, written by experts in the field, will be of direct help to those involved in the transition process.

These volumes provide a standard reference on economic transition in the region for policymakers in Eastern Europe and in western countries, for international agencies concerned with the transition process, and for anyone interested in learning about the dramatic changes that have recently occurred in Eastern Europe.

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The Transition in Eastern Europe, Volume 2

Restructuring

Edited by Olivier Jean Blanchard, Kenneth A. Froot, and Jeffrey D. Sachs

University of Chicago Press, 1994

When communism fell in 1989, the question for most Eastern European countries was not whether to go to a market economy, but how to get there. Several years later, the difficult process of privatization and restructuring continues to concern the countries of the region. The Transition in Eastern Europe, Volumes 1 and 2 is an analysis of the experiences of various countries making the transition to market economies and examines the most important challenges still in store.

Volume 1, Country Studies, gives an in-depth, country-by-country analysis of various reform experiences, including historical backgrounds and discussions of policies and results to date. The countries analyzed are Poland, Czechoslovakia, Hungary, eastern Germany, Slovenia, and Russia. Written by leading economists, some of whom helped shape local and national reforms, this volume identifies common progress, common difficulties, and tentative solutions to the problems of economic transition.

Volume 2, Restructuring, focuses on specific issues of transition, including how to design labor market institutions, privatization, new fiscal structures, and bankruptcy laws; how to reorganize foreign trade; and how to promote foreign direct investment. The articles, written by experts in the field, will be of direct help to those involved in the transition process.

These volumes provide a standard reference on economic transition in the region for policymakers in Eastern Europe and in western countries, for international agencies concerned with the transition process, and for anyone interested in learning about the dramatic changes that have recently occurred in Eastern Europe.

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