Disagreement on appropriate policies to reduce the American balance of payments deficit has been a major source of friction between the US, on the one hand, and the Federal Republic of Germany and Japan, on the other. Against this background Professor Bronfenbrenner Presents a theoretical...

Recently, the calls for closer monetary co-operation between the Asian NICs and Japan have been becoming louder. The following article discusses the pros and cons of pegging to the yen and compares them with those of a basket peg.

The IMF's Interim Committee recently for the first time discussed the creation of a “Substitution Account” to convert certain amounts of excess reserve currencies into SDRs. This issue is likely to be on the agenda of the next annual meeting of the IMF in the fall of this year. Prof....

Among the various limitations put by the IMF on the free use of Special Drawing Rights (SDRs) is the reconstitution requirement which binds participants in the Special Drawing Account to maintain a stipulated average level of allocated SDRs. Using the example of Zambia which is representative...