Progress Towards External Adjustment In The Euro Area Periphery And The Baltics

Author: Joong Shik Kang
Publisher: International Monetary Fund
ISBN: 1498339026
Size: 80.26 MB
Format: PDF, ePub
View: 926
Download Read Online

Progress Towards External Adjustment In The Euro Area Periphery And The Baltics from the Author: Joong Shik Kang. The euro area periphery countries and the Baltic countries, which had large current account deficits in the run-up to the crisis, needed adjustment of relative prices to achieve both internal and external balances. Thus far, tangible progress has been made through lower wages and/or higher productivity relative to trading partners (“internal devaluation”), which contributed to narrowing current account deficits and shifting output towards the tradables sector. While some early adjusters cut wages more rapidly followed by productivity improvement, others have only slowly improved productivity largely through labor shedding. This adjustment for most countries has come along with a substantial recession as the unit labor cost improvement has largely come from falling employment and much of the current account improvement from import compression. Going forward, these countries still need to generate growing tradables sector employment and to continue adjustment to prevent imbalances from returning as output gaps close.

Ireland Ex Post Evaluation Of Exceptional Access Under The 2010 Extended Arrangement

Author: International Monetary Fund. Finance Dept.
Publisher: International Monetary Fund
ISBN: 149830401X
Size: 69.11 MB
Format: PDF, Docs
View: 4172
Download Read Online

Ireland Ex Post Evaluation Of Exceptional Access Under The 2010 Extended Arrangement from the Author: International Monetary Fund. Finance Dept.. This paper presents an Ex Post Evaluation of the 2010 Extended Fund Facility (EFF) arrangement with Ireland. The Fund approved in December 2010 an exceptional access EFF arrangement for SDR 19.466 billion (2,321.8 percent of quota) in support of Ireland’s home-grown program and as part of a broader financing package of Ireland and its European partners. The program focused on addressing the Irish banking crisis to break the adverse feedback loop between banks, the sovereign, and the real sector. It aimed to restore the banking system to health, including by establishing a smaller banking sector with high capital buffers and more stable funding sources; and to secure fiscal sustainability while limiting the near-term demand drag from fiscal consolidation. Large external financing was a key element of the crisis response. Program implementation was very strong. The program succeeded in stabilizing the banking sector and reducing its size, and fiscal developments were also broadly as anticipated. Domestic demand was, however, weaker than programmed and unemployment remained high, amid a very challenging external environment. Program success, including regaining market access at low interest rates, benefitted also from actions at the wider euro area level. The Ex Post Evaluation draws several lessons from Ireland’s experience under the EFF: ? The main lessons emerge from what worked well: Strong country ownership, setting (and meeting) realistic and tailored targets were key for success, combined with effective communication and pro-active engagement. Addressing a banking crisis requires strong and credible actions upfront. ? Some areas offer lessons for future program design: While the main pillars of the financial sector program were sound, more proactive and stronger supervisory interventions and other supportive steps could have strengthened banks’ balance sheets and bank profitability and helped resolve problem loans; bank recapitalization should be limited to those with viable medium-term business strategies; unsecured and non-guaranteed creditors of failed banks should be bailed in, provided a strategy to ring fence potential systemic risks can be put in place; macro-financial linkages require careful attention and timely steps to limit sovereignbanking sector feedback loops; fiscal policy has to be mindful of debt sustainability but also of domestic demand conditions, and it needs a clear anchor. ? There are also lessons related to Fund policies: Ireland’s EFF underscores the importance of addressing shortcomings of the systemic exemption clause in Criterion 2 of the exceptional access criteria; and it suggests the need to explore ways to secure stronger upfront commitments from monetary union authorities, when those are critical for program success.

How To Fix The Euro

Author: Stephen Pickford
Publisher: Chatham House
ISBN: 9781784130138
Size: 80.47 MB
Format: PDF, Docs
View: 2549
Download Read Online

How To Fix The Euro from the Author: Stephen Pickford. The global economic and financial crisis that started in 2007 exposed serious flaws in the euro's original design. This report examines why Europe's economic and monetary union was so badly affected by the crisis, and assesses whether further changes need to be made to the structure of economic governance that underpins it. A Chatham House, Elcano and AREL Report

In Search Of A New Equilibrium

Author: Paolo Canofari
Publisher: Edizioni Nuova Cultura
ISBN: 8868124556
Size: 22.15 MB
Format: PDF
View: 4781
Download Read Online

In Search Of A New Equilibrium from the Author: Paolo Canofari. The book shows that the overcoming of the negative imbalances in the current accounts of the large majority of peripheral Member States in the euro area is mainly due to a recession-driven decrease in import, a monetary wage compression, and below average rates of inflation. This re-equilibrating process thus leads to short-term adjustments, in the sense that it is unable to structurally fill the competitive gaps accumulated inside the euro area during the first decade of its life (1999-2007), owing to the inefficient allocation of the financial flows coming from the European central countries and invested in the European peripheral countries. Contrary to the predictions of the standard macroeconomic models based on the “catching up” mechanism, these financial flows did not adequately foster the productivity of lagged Member States in the euro area. Our proposal is to replace the “invisible hand” of the market with the “visible hand” of a European policy project. We argue that an effective policy initiative would have to combine a programme of European public and private investments with “contractual arrangements” aimed at implementing crucial national reforms. This strategy might provide a short term positive demand shock as well as the long term strengthening of the structural competitiveness of the peripheral Member States without involving direct financial transfers but allowing an intergovernmental co-operation and a trust-building process under the control of the European institutions. Marcello Messori is Professor of Economics at the Department of Political Science, LUISS Guido Carli (Rome) and Director of the LUISS School of European Political Economy (SEP).

A Triumph Of Failed Ideas European Models Of Capitalism In The Crisis

Author: Steffen Lehndorff
Publisher: ETUI
ISBN: 2874522465
Size: 77.44 MB
Format: PDF, ePub
View: 648
Download Read Online

A Triumph Of Failed Ideas European Models Of Capitalism In The Crisis from the Author: Steffen Lehndorff. The current crisis in Europe is being labelled, in mainstream media and politics, as a ‘public debt crisis’. The present book draws a markedly different picture. What is happening now is rooted, in a variety of different ways, in the destabilisation of national models of capitalism due to the predominance of neoliberalism since the demise of the post-war ‘golden age’. Ten country analyses provide insights into national ways of coping – or failing to cope – with the ongoing crisis. They reveal the extent to which the respective socio-economic development models are unsustainable, either for the country in question, or for other countries. The bottom-line of the book is twofold. First, there will be no European reform agenda at all unless each country does its own homework. Second, and equally urgent, is a new European reform agenda without which alternative approaches in individual countries will inevitably be suffocated. This message, delivered by the country chapters, is underscored by more general chapters on the prospects of trade union policy in Europe and on current austerity policies and how they interact with the new approaches to economic governance at the EU level. These insights are aimed at providing a better understanding across borders at a time when European rhetoric is being used as a smokescreen for national egoism.

Return To Diversity

Author: Joseph Rothschild
Publisher: Oxford University Press, USA
ISBN: 9780195334753
Size: 24.29 MB
Format: PDF, ePub, Docs
View: 1828
Download Read Online

Return To Diversity from the Author: Joseph Rothschild. An engaging and straightforward political narrative, the book is organised chronologically, in a country-by-country format that makes information easily accessible to students. Each section features comments summarising and examining the most important themes of Eastern Europe during the rise and fall of Communism.

Changing Welfare States

Author: Anton Hemerijck
Publisher: Oxford University Press
ISBN: 0199607605
Size: 79.88 MB
Format: PDF, ePub, Mobi
View: 5130
Download Read Online

Changing Welfare States from the Author: Anton Hemerijck. Changing Welfare States is is a major new examination of the wave of social reform that has swept across Europe over the past two decades. In a comparative fashion, it analyses reform trajectories and political destinations in an era of rapid socioeconomic restructuring, including the critical impact of the global financial crisis on welfare state futures. The book argues that the overall scope of social reform across the member states of the European Union varies widely. In some cases welfare state change has been accompanied by deep social conflicts, while in other instances unpopular social reforms received broad consent from opposition parties, trade unions and employer organizations. The analysis reveals trajectories of welfare reform in many countries that are more proactive and reconstructive than is often argued in academic research and the media. Alongside retrenchments, there have been deliberate attempts - often given impetus by intensified European (economic) integration - to rebuild social programs and institutions and thereby accommodate welfare policy repertoires to the new economic and social realities of the 21st century. Welfare state change is work in progress, leading to patchwork mixes of old and new policies and institutions, on the lookout, perhaps, for greater coherence. Unsurprisingly, that search process remains incomplete, resulting from the institutionally bounded and contingent adaptation to the challenges of economic globalization, fiscal austerity, family and gender change, adverse demography, and changing political cleavages.

Marx At The Margins

Author: Kevin B. Anderson
Publisher: University of Chicago Press
ISBN: 0226019845
Size: 73.44 MB
Format: PDF, Kindle
View: 3118
Download Read Online

Marx At The Margins from the Author: Kevin B. Anderson. In Marx at the Margins, Kevin Anderson uncovers a variety of extensive but neglected texts by the well-known political economist which cast what we thought we knew about his work in a startlingly different light. Analyzing a variety of Marx’s writings, including journalistic work written for the New York Tribune, Anderson presents us with a Marx quite at odds with our conventional interpretations. Rather than providing us with an account of Marx as an exclusively class-based thinker, Anderson here offers a portrait of Marx for the twenty-first century: a global theorist whose social critique was sensitive to the varieties of human social and historical development, including not just class, but nationalism, race, and ethnicity, as well. Marx at the Margins ultimately argues that alongside his overarching critique of capital, Marx created a theory of history that was multi-layered and not easily reduced to a single model of development or revolution. Through highly-informed readings on work ranging from Marx’s unpublished 1879–82 notebooks to his passionate writings about the antislavery cause in the United States, this volume delivers a groundbreaking and canon-changing vision of Karl Marx that is sure to provoke lively debate in Marxist scholarship and beyond.

Monetary Economics In Globalised Financial Markets

Author: Ansgar Belke
Publisher: Springer Science & Business Media
ISBN: 3540710027
Size: 22.38 MB
Format: PDF, Kindle
View: 6238
Download Read Online

Monetary Economics In Globalised Financial Markets from the Author: Ansgar Belke. This book integrates the fundamentals of monetary theory, monetary policy theory and financial market theory, providing an accessible introduction to the workings and interactions of globalised financial markets. Includes examples and extensive data analyses.

The Rise Of The West

Author: William H. McNeill
Publisher: University of Chicago Press
ISBN: 9780226561615
Size: 72.38 MB
Format: PDF, Mobi
View: 6749
Download Read Online

The Rise Of The West from the Author: William H. McNeill. The Rise of the West, winner of the National Book Award for history in 1964, is famous for its ambitious scope and intellectual rigor. In it, McNeill challenges the Spengler-Toynbee view that a number of separate civilizations pursued essentially independent careers, and argues instead that human cultures interacted at every stage of their history. The author suggests that from the Neolithic beginnings of grain agriculture to the present major social changes in all parts of the world were triggered by new or newly important foreign stimuli, and he presents a persuasive narrative of world history to support this claim. In a retrospective essay titled "The Rise of the West after Twenty-five Years," McNeill shows how his book was shaped by the time and place in which it was written (1954-63). He discusses how historiography subsequently developed and suggests how his portrait of the world's past in The Rise of the West should be revised to reflect these changes. "This is not only the most learned and the most intelligent, it is also the most stimulating and fascinating book that has ever set out to recount and explain the whole history of mankind. . . . To read it is a great experience. It leaves echoes to reverberate, and seeds to germinate in the mind."—H. R. Trevor-Roper, New York Times Book Review