Net international capital movements entail equivalent net resource transfers. Arbitrage in perfectly integrated finan-cial markets instantaneously eliminates yield differentials through valuation adjustments. But the stock adjustments that constitute the essence of net capital movements may also...

The establishment of the Euro could present a challenge to the hegemony of the US Dollar as the predominant international currency. The fact that the unipolar US Dollar dominated international monetary system can be unstable in the presence of large shocks presents an opportunity for the Euro to...

One possible consequence of the establishment of the Euro is a challenge to the hegemony of the US dollar as the predominant international currency. No other currency has been able to rival the international role of the greenback since World War II. The fact that the unipolar international...