International economic policy coordination : with 94 tables

This book studies the international coordination of monetary and fiscal policies in the world economy. It carefully discusses the process of policy competition and the structure of policy cooperation. As to policy competition, the focus is on monetary and fiscal competition between Europe and America. Similarly, as to policy cooperation, the focus is on monetary and fiscal cooperation between Europe and America. The spillover effects of monetary policy are negative while the spillover effects of fiscal policy are positive. The policy targets are price stability and full employment. The policy makers follow either cold-turkey or gradualist strategies. Policy expectations are adaptive or rational. The world economy consists of two, three or more regions. TOC:Part One. The World of Two Monetary Regions: Basic Models.- Part Two. The World of Two Monetary Regions: Intermediate Models.- Part Three. The World of Two Monetary Regions: Advanced Models.- Part Four. The World of Three Monetary Regions.- Part Five. The World of N Monetary Regions.- Part Six. Rational Policy Expectations