This book explores what happened in the transition economies of China, Vietnam and Myanmar from both macro and micro perspectives, and questions whether the governments of these countries are capable of implementing effective reform and transformation

In this paper I analyze the nature of external adjustments in current account surplus countries. I ask whether a realignment of world growth rates -- with Japan and Europe growing faster, and the U.S. growing more slowly -- is likely to solve the current situation of global imbalances. The main...

This paper presents a dynamic stochastic general-equilibrium model with a single friction in all markets: sticky information. In this economy, agents are inattentive because of costs of acquiring, absorbing and processing information, so that the actions of consumers, workers and firms are slow...

This paper looks at the short history of the Eurozone through the lens of an evolutionary approach to forming new institutions. The euro has operated as a currency without a state, under the dominance of Germany. This has so far allowed the euro to achieve a number of design objectives, and this...

Existing models of contagious currency crises are summarized and surveyed, and it is argued that more weight should be put on political factors. Towards this end, the concept of political contagion introduced, whereby contagion in speculative attacks across currencies arises solely because of...

This paper analyzes two-way interactions between structural reform and macro policy. If structural reforms increase the flexibility of labor markets, they are likely to improve the short-run inflation-unemployment tradeoff, providing an incentive for policymakers to expand aggregate demand....

The Report on the State of the European Union examines the progress of European integration and focuses on economic aspects of the process. This third volume in the series explores the EU in light of the current crisis

Sixten Korkman gives an overview of the economic policies and the economic policy regime of the EU, including EMU and the internal market. He provides analysis of policy issues in the light of economic theory and examines critically the rationale for policy intervention at the EU level. The book...

Seven of the leading economists in Europe and the United States give their provocative views on key issues facing the future of Europe. The topics covered range from why Europe's growth rate is lower than America's and the experience of the Eurozone to the impact of education on the economy and...

The transformation from a closed and inward-looking economy to an active integration into the European Union is one which a number of countries are facing. This book examines the experience of southern European countries where such transformation has occurred within a short space of time and has...