This paper analyzes current stresses in the two key areas that concerned the architects of the original Bretton Woods system: international liquidity and exchange rate management. Despite radical changes since World War II in the market context for liquidity and exchange rate concerns, they...

This is the 2007 Edition of the only book in print in the world about the Single Global Currency, and is the only book in the world priced in 143 currencies (down from 147 in the 2006 edition.).This number is significant, as it's the number of currencies required among the 192 U.N. members to...

This paper presents a two-country model of investment and external financing that incorporates heterogeneous firms into general equilibrium. The model is solved in closed form and shows that financial integration leads to: (i) a change in the portfolio allocation of the investors yielding better...

We construct a time varying financial openness index by estimating a small open economy model of interest rate determination and examine the implications of evolution of capital account liberalisation on economic performance over the period April 1993 - March 2004. The behaviour of openness...

This paper presents a stylized model of international trade and asset price bubbles. Its central insight is that bubbles tend to appear and expand in countries where productivity is low relative to the rest of the world. These bubbles absorb local savings, eliminating inefficient investments and...

We extend our work (Chinn and Ito, 2002) focusing on the links between capital account liberalization, legal and institutional development, and financial development, especially that in equity markets. In a panel data analysis encompassing 108 countries and twenty years ranging from 1980 to...

I use firm-specific measures of openness to foreign investors to study the impact of stock market liberalization on firm-level operating performance. In a sample of over 1,100 firms from 28 countries, firms with stocks that are open to foreign investors experience higher growth, greater...

It is widely accepted by both practitioners and academics that in modern economies entrepreneurship in general and innovation based entrepreneurship in particular are maybe the most important drivers of economic growth and that economic success is highly correlated with the existence of an...