Introduction: Managing Complexity -- The Path to European Monetary Union -- The Evolution of the Debt Crisis -- Economic Impact of the Euro: Who Benefits? -- Re-assessing the Criteria for an Optimum Currency Area in Europe -- What Went Wrong with Public and Macroeconomic Stabilization? -- Policy...

We develop a model to study the macroeconomic effects of public investment surges in low-income countries, making explicit: (i) the investment-growth linkages; (ii) public external and domestic debt accumulation; (iii) the fiscal policy reactions necessary to ensure debt-sustainability; and (iv)...