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This paper asks how Asia should prepare for the disorderly correction of global imbalances. It recommends tightening monetary policy and allowing Asian currencies to appreciate as a way of achieving a better balance between internal and external demand. Leaving the overall level of demand...
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Deflation has emerged as a new concern for Asian policy makers. The traditional view is that deflation can lead to a vicious cycle of falling demand and prices, and is thus a dangerous condition. However, another school of thought emphasizes the role of positive supply shocks and takes a more...
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Japan's dramatic transformation from economic success to economic stagnation offers important policy lessons to … trends experienced by Japan? This judicious volume investigates in depth the causes of Japan's 'lost decades' versus the real … differences between the Korean and Japanese economies, and examine policy measures taken by Japan during the lost decades. From …
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The imbalanced, yet mutually beneficial, trading relationship between the United States and Asia has long been one of international finance’s most perplexing mysteries. Although the United States continues to post a substantial trade deficit—and China reaps the benefits of a surplus—the...
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