Ian Clark
- Published in print:
- 2007
- Published Online:
- May 2007
- ISBN:
- 9780199297009
- eISBN:
- 9780191711428
- Item type:
- chapter
- Publisher:
- Oxford University Press
- DOI:
- 10.1093/acprof:oso/9780199297009.003.0009
- Subject:
- Political Science, International Relations and Politics
This chapter locates the discussion in the context of the theoretical literature on international norms, particularly that by Martha Finnemore and Katherine Sikkink. Much of this literature is ...
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This chapter locates the discussion in the context of the theoretical literature on international norms, particularly that by Martha Finnemore and Katherine Sikkink. Much of this literature is interested in norm cycles, and the means by which norms come to be disseminated internationally. Building on this work, the chapter argues that the idea of dissemination does not quite capture what in fact have been a series of strategic negotiations between international and world society, often coming during the major peace settlements at the end of wars. Historically, this has often also arisen out of a coalition of interest between powerful state actors, and civil society groups. It is suggested that the framework of negotiation between international and world society allows us to understand this process in a particular way. It also demonstrates how the absorption of norms from world society into international society has complicated the latter's practices of consensus. It opens up major new issues about how consensus is to be developed within world society about changing principles of international legitimacy. These issues are explored in the context of the WTO and G7/8, and illustrated by the Ottawa Convention on Landmines and the formation of the International Criminal Court.Less
This chapter locates the discussion in the context of the theoretical literature on international norms, particularly that by Martha Finnemore and Katherine Sikkink. Much of this literature is interested in norm cycles, and the means by which norms come to be disseminated internationally. Building on this work, the chapter argues that the idea of dissemination does not quite capture what in fact have been a series of strategic negotiations between international and world society, often coming during the major peace settlements at the end of wars. Historically, this has often also arisen out of a coalition of interest between powerful state actors, and civil society groups. It is suggested that the framework of negotiation between international and world society allows us to understand this process in a particular way. It also demonstrates how the absorption of norms from world society into international society has complicated the latter's practices of consensus. It opens up major new issues about how consensus is to be developed within world society about changing principles of international legitimacy. These issues are explored in the context of the WTO and G7/8, and illustrated by the Ottawa Convention on Landmines and the formation of the International Criminal Court.
Maurice Wright
- Published in print:
- 2002
- Published Online:
- October 2011
- ISBN:
- 9780199250530
- eISBN:
- 9780191697937
- Item type:
- book
- Publisher:
- Oxford University Press
- DOI:
- 10.1093/acprof:oso/9780199250530.001.0001
- Subject:
- Political Science, Political Economy
This book traces the origins and development of Japan's recent fiscal crisis. In a detailed analysis of the institutions, structures, and processes of central government, the book explains how ...
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This book traces the origins and development of Japan's recent fiscal crisis. In a detailed analysis of the institutions, structures, and processes of central government, the book explains how decisions were made about how much to spend and on what in the central budget and the Fiscal and Investment Loan Programme—the so-called ‘second budget’. This book shows who and what won and lost and why, explains the informal policy and behavioural rules-of-the-game by which the conduct of the main players was regulated, and compares Japan's fiscal performance with the UK and other G7 countries. It challenges the orthodoxy that a dominant and dominating Ministry of Finance (MOF) implemented tough policies of retrenchment in the 1980s. The appearance of fiscal discipline was not matched by the reality of too much spending, too few revenues, and heavy borrowing. The MOF not only failed to restore a balanced budget, it was unable to achieve most of its short and long-term fiscal objectives during the last quarter of the 20th century. Unravelling the complexity and opacity of the budgetary system, the book shows how MOF officials exploited it to foster an illusion of control. Through adroit manipulation of off-budget sources, and by fiscal sleight-of-hand, the MOF was able to deliver an expanding supply of budget benefits to the ruling Liberal Democratic party, and the means to finance the growth and maintenance of a ‘Public Works State’.Less
This book traces the origins and development of Japan's recent fiscal crisis. In a detailed analysis of the institutions, structures, and processes of central government, the book explains how decisions were made about how much to spend and on what in the central budget and the Fiscal and Investment Loan Programme—the so-called ‘second budget’. This book shows who and what won and lost and why, explains the informal policy and behavioural rules-of-the-game by which the conduct of the main players was regulated, and compares Japan's fiscal performance with the UK and other G7 countries. It challenges the orthodoxy that a dominant and dominating Ministry of Finance (MOF) implemented tough policies of retrenchment in the 1980s. The appearance of fiscal discipline was not matched by the reality of too much spending, too few revenues, and heavy borrowing. The MOF not only failed to restore a balanced budget, it was unable to achieve most of its short and long-term fiscal objectives during the last quarter of the 20th century. Unravelling the complexity and opacity of the budgetary system, the book shows how MOF officials exploited it to foster an illusion of control. Through adroit manipulation of off-budget sources, and by fiscal sleight-of-hand, the MOF was able to deliver an expanding supply of budget benefits to the ruling Liberal Democratic party, and the means to finance the growth and maintenance of a ‘Public Works State’.
Richard Higgott
- Published in print:
- 2012
- Published Online:
- September 2012
- ISBN:
- 9780199641987
- eISBN:
- 9780191741586
- Item type:
- chapter
- Publisher:
- Oxford University Press
- DOI:
- 10.1093/acprof:oso/9780199641987.003.0002
- Subject:
- Business and Management, Political Economy, Finance, Accounting, and Banking
The Global Financial Crisis (GFC) and its aftermath have caused some observers to question whether the international economic institutions developed in the Bretton Woods era are any longer suitable ...
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The Global Financial Crisis (GFC) and its aftermath have caused some observers to question whether the international economic institutions developed in the Bretton Woods era are any longer suitable for the challenges they face in the contemporary age: if they are unable to prevent (increasingly recurring) crises or facilitate a more general process of long-term economic collective action problem solving what are they for? This kind of analysis misses the point. For all their apparent failings the need for such institutions is unlikely to disappear in an era characterized by higher levels of economic interdependence. Global economic governance may still be imperfect and, in contrast to the global economy, underdeveloped. But if global governance is to evolve, multilateral economic institutions of one kind or another must be at least one of the key elements of the process. The emergence of the G20 is discussed and its limitations reviewed. The generic challenge is to adapt multilateralism to the dynamics of a world battling to come to terms with changing power balances and emerging policy agendas that do not lend themselves easily to the approaches to collective action problem solving that prevailed in the second half of the twentieth century.Less
The Global Financial Crisis (GFC) and its aftermath have caused some observers to question whether the international economic institutions developed in the Bretton Woods era are any longer suitable for the challenges they face in the contemporary age: if they are unable to prevent (increasingly recurring) crises or facilitate a more general process of long-term economic collective action problem solving what are they for? This kind of analysis misses the point. For all their apparent failings the need for such institutions is unlikely to disappear in an era characterized by higher levels of economic interdependence. Global economic governance may still be imperfect and, in contrast to the global economy, underdeveloped. But if global governance is to evolve, multilateral economic institutions of one kind or another must be at least one of the key elements of the process. The emergence of the G20 is discussed and its limitations reviewed. The generic challenge is to adapt multilateralism to the dynamics of a world battling to come to terms with changing power balances and emerging policy agendas that do not lend themselves easily to the approaches to collective action problem solving that prevailed in the second half of the twentieth century.
Maurice Wright
- Published in print:
- 2002
- Published Online:
- October 2011
- ISBN:
- 9780199250530
- eISBN:
- 9780191697937
- Item type:
- chapter
- Publisher:
- Oxford University Press
- DOI:
- 10.1093/acprof:oso/9780199250530.003.0027
- Subject:
- Political Science, Political Economy
This chapter examines public sector spending in Japan in the broader context of those of other G7 countries, and assesses the effectiveness of the Ministry of Finance's policies to reconstruct the ...
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This chapter examines public sector spending in Japan in the broader context of those of other G7 countries, and assesses the effectiveness of the Ministry of Finance's policies to reconstruct the finances of central government compared with the performance of other central and federal governments. It is worth nothing that, despite all the economic and fiscal vicissitudes of the 1990s, Japan's economy remained the second largest in the world, and cumulative growth in real terms compared very favourably with that of the other G7 countries from 1989 to 1996; only Germany out-performed it. However, the slowdown in the Japanese economy after 1991 allowed first the United States and then all but Italy to catch up, and by 1998 to overtake it. General government expenditure, deficits, and debts in G7 countries are discussed, along with Japan's fiscal performance relative to that of G7 countries and the failure of fiscal reconstruction in G7 countries in the 1980s.Less
This chapter examines public sector spending in Japan in the broader context of those of other G7 countries, and assesses the effectiveness of the Ministry of Finance's policies to reconstruct the finances of central government compared with the performance of other central and federal governments. It is worth nothing that, despite all the economic and fiscal vicissitudes of the 1990s, Japan's economy remained the second largest in the world, and cumulative growth in real terms compared very favourably with that of the other G7 countries from 1989 to 1996; only Germany out-performed it. However, the slowdown in the Japanese economy after 1991 allowed first the United States and then all but Italy to catch up, and by 1998 to overtake it. General government expenditure, deficits, and debts in G7 countries are discussed, along with Japan's fiscal performance relative to that of G7 countries and the failure of fiscal reconstruction in G7 countries in the 1980s.
Maurice Wright
- Published in print:
- 2002
- Published Online:
- October 2011
- ISBN:
- 9780199250530
- eISBN:
- 9780191697937
- Item type:
- chapter
- Publisher:
- Oxford University Press
- DOI:
- 10.1093/acprof:oso/9780199250530.003.0030
- Subject:
- Political Science, Political Economy
According to ‘fiscal institutionalists’, budget institutions at the governmental (as opposed to parliamentary) level, which lead participants in the budget process to internalize the costs of budget ...
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According to ‘fiscal institutionalists’, budget institutions at the governmental (as opposed to parliamentary) level, which lead participants in the budget process to internalize the costs of budget deficits, result in smaller deficits. Internalization is more likely where budget institutions are centralized, hierarchical, and transparent. Conversely, the more fragmented, the less transparent, and the more collegial those institutions, the more likely are the occurrence and persistence of fiscal deficits and debts. This chapter examines each of these elements and looks at the United Kingdom's experience with a fiscal code. It then considers the extent to which proposals for the reform of the central executive, the Fiscal Investment Loan Programme, and the formal rules of the central budgetary system might contribute to a reconfiguration of budget institutions and processes more conducive to low or declining deficits in the 21st century. The experience of Japan is compared with some other G7 countries that have been more successful in controlling their public spending, eliminating deficits, and reducing the level of central/federal debt.Less
According to ‘fiscal institutionalists’, budget institutions at the governmental (as opposed to parliamentary) level, which lead participants in the budget process to internalize the costs of budget deficits, result in smaller deficits. Internalization is more likely where budget institutions are centralized, hierarchical, and transparent. Conversely, the more fragmented, the less transparent, and the more collegial those institutions, the more likely are the occurrence and persistence of fiscal deficits and debts. This chapter examines each of these elements and looks at the United Kingdom's experience with a fiscal code. It then considers the extent to which proposals for the reform of the central executive, the Fiscal Investment Loan Programme, and the formal rules of the central budgetary system might contribute to a reconfiguration of budget institutions and processes more conducive to low or declining deficits in the 21st century. The experience of Japan is compared with some other G7 countries that have been more successful in controlling their public spending, eliminating deficits, and reducing the level of central/federal debt.
Anna Gelpern and Mitu Gulati
- Published in print:
- 2010
- Published Online:
- May 2010
- ISBN:
- 9780199578788
- eISBN:
- 9780191723049
- Item type:
- chapter
- Publisher:
- Oxford University Press
- DOI:
- 10.1093/acprof:oso/9780199578788.003.0013
- Subject:
- Economics and Finance, Macro- and Monetary Economics, Development, Growth, and Environmental
The authors found this intriguing, as it is doubtful that senior political figures in the major economic powers knew what legal boilerplate was, let alone would advocate for particular clauses. There ...
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The authors found this intriguing, as it is doubtful that senior political figures in the major economic powers knew what legal boilerplate was, let alone would advocate for particular clauses. There was policy content in the advocacy, however, over whether ‘market‐based’ (i.e. contractual) changes would suffice to provide for orderly restructuring of sovereign bonds of developing countries in financial crisis. In fact, the CACs in question have yet to face a major test under fire. The authors found little indication of belief among the more than 100 intimately involved people in the CAC debate that they interviewed that the clauses would be important determinants of restructuring outcomes.Less
The authors found this intriguing, as it is doubtful that senior political figures in the major economic powers knew what legal boilerplate was, let alone would advocate for particular clauses. There was policy content in the advocacy, however, over whether ‘market‐based’ (i.e. contractual) changes would suffice to provide for orderly restructuring of sovereign bonds of developing countries in financial crisis. In fact, the CACs in question have yet to face a major test under fire. The authors found little indication of belief among the more than 100 intimately involved people in the CAC debate that they interviewed that the clauses would be important determinants of restructuring outcomes.
Avi-Yonah Reuven, Nicola Sartori, and Omri Marian
- Published in print:
- 2011
- Published Online:
- May 2011
- ISBN:
- 9780195321357
- eISBN:
- 9780199893690
- Item type:
- chapter
- Publisher:
- Oxford University Press
- DOI:
- 10.1093/acprof:oso/9780195321357.003.0008
- Subject:
- Law, Company and Commercial Law, Public International Law
This chapter examines the evolution of corporate taxation primarily (but not only) in the G7 countries with respect to the definition of a corporate taxpayer, corporate residency, corporate tax ...
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This chapter examines the evolution of corporate taxation primarily (but not only) in the G7 countries with respect to the definition of a corporate taxpayer, corporate residency, corporate tax rates, corporate tax base, corporate/shareholder integration, and a few other categories. It questions whether this trend of convergence is still prevailing today.Less
This chapter examines the evolution of corporate taxation primarily (but not only) in the G7 countries with respect to the definition of a corporate taxpayer, corporate residency, corporate tax rates, corporate tax base, corporate/shareholder integration, and a few other categories. It questions whether this trend of convergence is still prevailing today.
John H. Barton
- Published in print:
- 2014
- Published Online:
- September 2014
- ISBN:
- 9780804776691
- eISBN:
- 9780804791083
- Item type:
- chapter
- Publisher:
- Stanford University Press
- DOI:
- 10.11126/stanford/9780804776691.003.0006
- Subject:
- Law, Public International Law
This chapter explores the institutions and institutional changes needed to meet human rights demands, focusing on international executive power. It first discusses the functions of the domestic ...
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This chapter explores the institutions and institutional changes needed to meet human rights demands, focusing on international executive power. It first discusses the functions of the domestic executive, and how the power of that executive is both facilitated and controlled by the governmental structure within which the executive operates. The chapter then turns to the differences between the international executive and the domestic executive, and to the appropriate methods to facilitate and control the international executive. Next, it considers the implications of this analysis in the context of functional organization, of the United Nations, of the international financial institutions (IFIs), and of the G-7/G-8. The chapter concludes with integrated recommendations.Less
This chapter explores the institutions and institutional changes needed to meet human rights demands, focusing on international executive power. It first discusses the functions of the domestic executive, and how the power of that executive is both facilitated and controlled by the governmental structure within which the executive operates. The chapter then turns to the differences between the international executive and the domestic executive, and to the appropriate methods to facilitate and control the international executive. Next, it considers the implications of this analysis in the context of functional organization, of the United Nations, of the international financial institutions (IFIs), and of the G-7/G-8. The chapter concludes with integrated recommendations.
Kenneth Dyson
- Published in print:
- 2014
- Published Online:
- August 2014
- ISBN:
- 9780198714071
- eISBN:
- 9780191782558
- Item type:
- chapter
- Publisher:
- Oxford University Press
- DOI:
- 10.1093/acprof:oso/9780198714071.003.0013
- Subject:
- Political Science, European Union
This chapter examines the private governance of public debt and the nature of the world of creditor-debtor state relations. This world comprises a thin political superstructure, in which there is ...
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This chapter examines the private governance of public debt and the nature of the world of creditor-debtor state relations. This world comprises a thin political superstructure, in which there is differentiated membership for states, and a thick technical infrastructure. Analysis of the political superstructure at the global level focuses on G7 and G20; at the EU level on the European Council, ECOFIN, and the Euro Group. At the global level the technical infrastructure includes the BIS, FSB, IMF, Paris Club, OECD, IOSC, and IASB; at the EU, the European Commission, Eurostat, the Economic and Financial Committee, ECB, EBA, ESMA, ESM, and SSM. The chapter also looks at the clearing houses, the privileged role of credit rating agencies, the financial-market lobbies, and financial-market journalism and PR. It shows how states seek to insure against markets through their debt management offices/Primary Dealers and central banks. It finishes by looking at the weak link: democratic engagement.Less
This chapter examines the private governance of public debt and the nature of the world of creditor-debtor state relations. This world comprises a thin political superstructure, in which there is differentiated membership for states, and a thick technical infrastructure. Analysis of the political superstructure at the global level focuses on G7 and G20; at the EU level on the European Council, ECOFIN, and the Euro Group. At the global level the technical infrastructure includes the BIS, FSB, IMF, Paris Club, OECD, IOSC, and IASB; at the EU, the European Commission, Eurostat, the Economic and Financial Committee, ECB, EBA, ESMA, ESM, and SSM. The chapter also looks at the clearing houses, the privileged role of credit rating agencies, the financial-market lobbies, and financial-market journalism and PR. It shows how states seek to insure against markets through their debt management offices/Primary Dealers and central banks. It finishes by looking at the weak link: democratic engagement.
Noël Bonhomme and Emmanuel Mourlon-Druol
- Published in print:
- 2016
- Published Online:
- May 2017
- ISBN:
- 9780804798099
- eISBN:
- 9781503600133
- Item type:
- chapter
- Publisher:
- Stanford University Press
- DOI:
- 10.11126/stanford/9780804798099.003.0010
- Subject:
- History, Political History
This chapter describes how the maintenance and fostering of trust was a crucial element in founding both the G7 summits and the European Council in the mid-1970s. Deeply anchored in the strong ...
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This chapter describes how the maintenance and fostering of trust was a crucial element in founding both the G7 summits and the European Council in the mid-1970s. Deeply anchored in the strong friendship between West German chancellor Helmut Schmidt and French president Valéry Giscard d'Estaing, both initiatives sought to deepen interpersonal relations as well as recover systemic trust in the Western (economic) systems in an informal, multilateral setting. The institutionalization and frequency of these meetings not only allowed for the development of a framework of informal coordination even in the absence of trust; it also provided a platform for the socialization of new leaders and a ritualistic display of Western unity, thus addressing potential international and domestic deficits of trust by “formalizing informality.”Less
This chapter describes how the maintenance and fostering of trust was a crucial element in founding both the G7 summits and the European Council in the mid-1970s. Deeply anchored in the strong friendship between West German chancellor Helmut Schmidt and French president Valéry Giscard d'Estaing, both initiatives sought to deepen interpersonal relations as well as recover systemic trust in the Western (economic) systems in an informal, multilateral setting. The institutionalization and frequency of these meetings not only allowed for the development of a framework of informal coordination even in the absence of trust; it also provided a platform for the socialization of new leaders and a ritualistic display of Western unity, thus addressing potential international and domestic deficits of trust by “formalizing informality.”
Richard H. Clarida (ed.)
- Published in print:
- 2007
- Published Online:
- February 2013
- ISBN:
- 9780226107264
- eISBN:
- 9780226107288
- Item type:
- book
- Publisher:
- University of Chicago Press
- DOI:
- 10.7208/chicago/9780226107288.001.0001
- Subject:
- Economics and Finance, Financial Economics
The current account deficit of the United States is more than six percent of its gross domestic product—an all-time high. And the rest of the world, including other G7 countries such as Japan and ...
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The current account deficit of the United States is more than six percent of its gross domestic product—an all-time high. And the rest of the world, including other G7 countries such as Japan and Germany, must collectively run current account surpluses to finance this deficit. How long can such unevenness between imports and exports be sustained, and what form might their eventual reconciliation take? Putting forth scenarios ranging from a gradual correction to a crash landing for the dollar, this book brings together economists from around the globe to consider the origins, status, and future of those disparities. Its collaborators here examine the role of the bursting of the dot-com bubble, the history of previous episodes of current account adjustments, and the possibility of the Euro surpassing the dollar as the leading international reserve currency. Although there are areas of broad agreement—that the imbalances will ultimately decline and that currency revaluations will be part of the solution—many areas of contention remain regarding both the dangers of imbalances and the possible forms of adjustment.Less
The current account deficit of the United States is more than six percent of its gross domestic product—an all-time high. And the rest of the world, including other G7 countries such as Japan and Germany, must collectively run current account surpluses to finance this deficit. How long can such unevenness between imports and exports be sustained, and what form might their eventual reconciliation take? Putting forth scenarios ranging from a gradual correction to a crash landing for the dollar, this book brings together economists from around the globe to consider the origins, status, and future of those disparities. Its collaborators here examine the role of the bursting of the dot-com bubble, the history of previous episodes of current account adjustments, and the possibility of the Euro surpassing the dollar as the leading international reserve currency. Although there are areas of broad agreement—that the imbalances will ultimately decline and that currency revaluations will be part of the solution—many areas of contention remain regarding both the dangers of imbalances and the possible forms of adjustment.
John McHale
- Published in print:
- 2000
- Published Online:
- February 2013
- ISBN:
- 9780226092553
- eISBN:
- 9780226092560
- Item type:
- chapter
- Publisher:
- University of Chicago Press
- DOI:
- 10.7208/chicago/9780226092560.003.0008
- Subject:
- Economics and Finance, Economic Systems
Issues of risk are receiving a lot of attention in the debate over the relative merits of investment-based and pay-as-you-go social security systems. An important source of risk associated with these ...
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Issues of risk are receiving a lot of attention in the debate over the relative merits of investment-based and pay-as-you-go social security systems. An important source of risk associated with these systems is political risk — the risk that benefit rules will be changed through the political process before or during one's retirement, thereby changing the value of retirement benefits. This chapter assesses political risk by undertaking a systematic empirical study of benefit reforms in the G7 countries from the mid-1980s through the mid-1990s. It shows that projections of rising costs under current law frequently provoke reforms that substantially reduce the benefits promised to middle-aged and younger workers. However, the benefits of citizens who are already retired or are near retirement are typically protected. This contrasts with the previous finding that efficient risk sharing requires adjustments of current benefits in response to demographic information. The chapter conjectures that there is a large political cost to changing retirement benefits that had already been promised and are currently payable.Less
Issues of risk are receiving a lot of attention in the debate over the relative merits of investment-based and pay-as-you-go social security systems. An important source of risk associated with these systems is political risk — the risk that benefit rules will be changed through the political process before or during one's retirement, thereby changing the value of retirement benefits. This chapter assesses political risk by undertaking a systematic empirical study of benefit reforms in the G7 countries from the mid-1980s through the mid-1990s. It shows that projections of rising costs under current law frequently provoke reforms that substantially reduce the benefits promised to middle-aged and younger workers. However, the benefits of citizens who are already retired or are near retirement are typically protected. This contrasts with the previous finding that efficient risk sharing requires adjustments of current benefits in response to demographic information. The chapter conjectures that there is a large political cost to changing retirement benefits that had already been promised and are currently payable.
Dale W. Jorgenson and Eric Yip (eds)
- Published in print:
- 2001
- Published Online:
- February 2013
- ISBN:
- 9780226360621
- eISBN:
- 9780226360645
- Item type:
- chapter
- Publisher:
- University of Chicago Press
- DOI:
- 10.7208/chicago/9780226360645.003.0012
- Subject:
- Economics and Finance, Econometrics
This chapter presents international comparisons of patterns of economic growth among the G7 countries over the period 1960–95. The chapter is organized as follows. Section 12.2 describes the ...
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This chapter presents international comparisons of patterns of economic growth among the G7 countries over the period 1960–95. The chapter is organized as follows. Section 12.2 describes the methodology for allocating the sources of economic growth between investment and productivity. Section 12.3 analyzes the role of investment and productivity as sources of growth in the G7 countries over the period 1960–95. Section 12.4 tests the implication of the neoclassical theory of growth that relative levels of output and input per capita must converge over time. Section 12.5 summarizes the conclusions of the study and outlines alternative approaches to endogenous growth through broadening the concept of investment.Less
This chapter presents international comparisons of patterns of economic growth among the G7 countries over the period 1960–95. The chapter is organized as follows. Section 12.2 describes the methodology for allocating the sources of economic growth between investment and productivity. Section 12.3 analyzes the role of investment and productivity as sources of growth in the G7 countries over the period 1960–95. Section 12.4 tests the implication of the neoclassical theory of growth that relative levels of output and input per capita must converge over time. Section 12.5 summarizes the conclusions of the study and outlines alternative approaches to endogenous growth through broadening the concept of investment.
Chung-Shu Wu and Jin-Lung Lin (eds)
- Published in print:
- 2008
- Published Online:
- February 2013
- ISBN:
- 9780226386829
- eISBN:
- 9780226387086
- Item type:
- chapter
- Publisher:
- University of Chicago Press
- DOI:
- 10.7208/chicago/9780226387086.003.0005
- Subject:
- Economics and Finance, South and East Asia
Investigating a sample of 114 countries, Romer (1993) found a significant negative relationship between openness and inflation. This chapter investigates newly industrialized economies (NIEs) and the ...
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Investigating a sample of 114 countries, Romer (1993) found a significant negative relationship between openness and inflation. This chapter investigates newly industrialized economies (NIEs) and the G7 to verify the robustness of Romer's findings. The empirical results show that openness and inflation do not have a regular relationship as stated by Romer (1993). The chapter is organized as follows. Section 4.2 describes the historical patterns of openness and inflation of NIEs and the G7. Section 4.3 investigates the relationship between openness and inflation using annual panel data. Section 4.4 presents the empirical results of a time series approach to the relationship for each individual country. Section 4.5 adopts a VAR analysis to examine the impacts of money supply on output in order to check the corollary of Romer's model (1993), and Section 4.6 concludes.Less
Investigating a sample of 114 countries, Romer (1993) found a significant negative relationship between openness and inflation. This chapter investigates newly industrialized economies (NIEs) and the G7 to verify the robustness of Romer's findings. The empirical results show that openness and inflation do not have a regular relationship as stated by Romer (1993). The chapter is organized as follows. Section 4.2 describes the historical patterns of openness and inflation of NIEs and the G7. Section 4.3 investigates the relationship between openness and inflation using annual panel data. Section 4.4 presents the empirical results of a time series approach to the relationship for each individual country. Section 4.5 adopts a VAR analysis to examine the impacts of money supply on output in order to check the corollary of Romer's model (1993), and Section 4.6 concludes.
Richard H. Clarida
- Published in print:
- 2007
- Published Online:
- February 2013
- ISBN:
- 9780226107264
- eISBN:
- 9780226107288
- Item type:
- chapter
- Publisher:
- University of Chicago Press
- DOI:
- 10.7208/chicago/9780226107288.003.0001
- Subject:
- Economics and Finance, Financial Economics
This book addresses the current account imbalances of the world's seven major industrialized countries. It is divided into three sections: origins of G7 current account imbalances; empirical studies ...
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This book addresses the current account imbalances of the world's seven major industrialized countries. It is divided into three sections: origins of G7 current account imbalances; empirical studies of G7 current account and exchange rate adjustment; and theoretical perspectives on current account sustainability and adjustment. Part I provides a sophisticated and novel application of the venerable capital account theory of the current account. Part II concentrates on the possible empirical connection between the size of a current account imbalance and the way in which and the channels through which adjustment in that imbalance takes place. Finally, Part III uses economic theory and presents valuable and novel insights into the issues of current account sustainability and adjustment. An overview of the chapters included in this book is given.Less
This book addresses the current account imbalances of the world's seven major industrialized countries. It is divided into three sections: origins of G7 current account imbalances; empirical studies of G7 current account and exchange rate adjustment; and theoretical perspectives on current account sustainability and adjustment. Part I provides a sophisticated and novel application of the venerable capital account theory of the current account. Part II concentrates on the possible empirical connection between the size of a current account imbalance and the way in which and the channels through which adjustment in that imbalance takes place. Finally, Part III uses economic theory and presents valuable and novel insights into the issues of current account sustainability and adjustment. An overview of the chapters included in this book is given.
Richard H. Clarida, Manuela Goretti, and Mark P. Taylor
- Published in print:
- 2007
- Published Online:
- February 2013
- ISBN:
- 9780226107264
- eISBN:
- 9780226107288
- Item type:
- chapter
- Publisher:
- University of Chicago Press
- DOI:
- 10.7208/chicago/9780226107288.003.0006
- Subject:
- Economics and Finance, Financial Economics
This chapter addresses the nonlinear models of current account adjustment for the G7 countries. For most of the G7 countries, significant evidence of threshold effects in current account adjustment ...
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This chapter addresses the nonlinear models of current account adjustment for the G7 countries. For most of the G7 countries, significant evidence of threshold effects in current account adjustment is observed. Statistically significant increases in exchange rate volatility during current account deficit adjustment regimes for the United States, Japan, and Germany are found. Additionally, it shows that compared to other G7 countries, the United States over the sample exhibited relatively wide thresholds within which current account adjustment is absent and relatively slow speeds of adjustment once these thresholds, especially the deficit threshold, are crossed. The U.S. current account deficit is in part an endogenous, general equilibrium outcome of global financial and macroeconomic integration. Moreover, it identifies a tendency toward G7 exchange rate depreciation during current account deficit regimes and exchange rate appreciation during current account surplus regimes.Less
This chapter addresses the nonlinear models of current account adjustment for the G7 countries. For most of the G7 countries, significant evidence of threshold effects in current account adjustment is observed. Statistically significant increases in exchange rate volatility during current account deficit adjustment regimes for the United States, Japan, and Germany are found. Additionally, it shows that compared to other G7 countries, the United States over the sample exhibited relatively wide thresholds within which current account adjustment is absent and relatively slow speeds of adjustment once these thresholds, especially the deficit threshold, are crossed. The U.S. current account deficit is in part an endogenous, general equilibrium outcome of global financial and macroeconomic integration. Moreover, it identifies a tendency toward G7 exchange rate depreciation during current account deficit regimes and exchange rate appreciation during current account surplus regimes.
Jeffrey A. Frankel, Nouriel Roubini, Mervyn King, Robert Rubin, and George Soros
- Published in print:
- 2003
- Published Online:
- February 2013
- ISBN:
- 9780226241098
- eISBN:
- 9780226241104
- Item type:
- chapter
- Publisher:
- University of Chicago Press
- DOI:
- 10.7208/chicago/9780226241104.003.0004
- Subject:
- Economics and Finance, International
This chapter examines the impact of the financial policies of industrial countries on the financial crises in emerging market economies. It analyzes the macroeconomic policies of the Group of Seven ...
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This chapter examines the impact of the financial policies of industrial countries on the financial crises in emerging market economies. It analyzes the macroeconomic policies of the Group of Seven (G7) countries and the role of the G7 and the International Monetary Fund (IMF) in the management of international crises. This chapter identifies macroeconomic variables in industrialized countries that have major short-term impact on developing countries including growth rates, real interest rates and exchange rates.Less
This chapter examines the impact of the financial policies of industrial countries on the financial crises in emerging market economies. It analyzes the macroeconomic policies of the Group of Seven (G7) countries and the role of the G7 and the International Monetary Fund (IMF) in the management of international crises. This chapter identifies macroeconomic variables in industrialized countries that have major short-term impact on developing countries including growth rates, real interest rates and exchange rates.
John Eatwell and Murray Milgate
- Published in print:
- 2011
- Published Online:
- April 2015
- ISBN:
- 9780199777693
- eISBN:
- 9780190261344
- Item type:
- chapter
- Publisher:
- Oxford University Press
- DOI:
- 10.1093/acprof:osobl/9780199777693.003.0006
- Subject:
- Economics and Finance, Macro- and Monetary Economics
This chapter talks about international unemployment. The common sources of increased unemployment include the pace of labor-saving technological change, structural changes in world trading ...
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This chapter talks about international unemployment. The common sources of increased unemployment include the pace of labor-saving technological change, structural changes in world trading relationships, changes in the international financial environment, and consequential changes in the macroeconomic polities of the G7 countries. The problem of international unemployment is rooted in the developments in the international trading and financial system since 1973. The pressure to liberalize goods and financial markets has created a deflationary climate that infected the worldwide economy.Less
This chapter talks about international unemployment. The common sources of increased unemployment include the pace of labor-saving technological change, structural changes in world trading relationships, changes in the international financial environment, and consequential changes in the macroeconomic polities of the G7 countries. The problem of international unemployment is rooted in the developments in the international trading and financial system since 1973. The pressure to liberalize goods and financial markets has created a deflationary climate that infected the worldwide economy.
Myles A. Wickstead
- Published in print:
- 2015
- Published Online:
- August 2015
- ISBN:
- 9780198744924
- eISBN:
- 9780191806025
- Item type:
- chapter
- Publisher:
- Oxford University Press
- DOI:
- 10.1093/acprof:oso/9780198744924.003.0009
- Subject:
- Economics and Finance, Development, Growth, and Environmental
An A to Z Compendium of eighteen key words and development concepts mentioned in Part One. The key terms provide further background on some of the key international organisations and institutions ...
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An A to Z Compendium of eighteen key words and development concepts mentioned in Part One. The key terms provide further background on some of the key international organisations and institutions with a role in aid and development. They run from A—Aid Effectiveness, through to U—United Nations Development System, and they allow the reader to dip into more detailed ideas and concepts.Less
An A to Z Compendium of eighteen key words and development concepts mentioned in Part One. The key terms provide further background on some of the key international organisations and institutions with a role in aid and development. They run from A—Aid Effectiveness, through to U—United Nations Development System, and they allow the reader to dip into more detailed ideas and concepts.
Roberts Cynthia, Leslie Armijo, and Saori Katada
- Published in print:
- 2017
- Published Online:
- October 2017
- ISBN:
- 9780190697518
- eISBN:
- 9780190697556
- Item type:
- chapter
- Publisher:
- Oxford University Press
- DOI:
- 10.1093/oso/9780190697518.003.0002
- Subject:
- Political Science, Political Economy, International Relations and Politics
This chapter evaluates multiple dimensions of the global power shift from the incumbent G5/G7 powers to the rising powers, especially the members of the BRICS (Brazil, Russia, India, China, and South ...
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This chapter evaluates multiple dimensions of the global power shift from the incumbent G5/G7 powers to the rising powers, especially the members of the BRICS (Brazil, Russia, India, China, and South Africa). Taking note of alternative conceptualizations of interstate “power,” the text maps the redistribution of economic capabilities from the G7 to the BRICS, most particularly the relative rise of China and decline of Japan, and especially Europe. Given these clear trends in measurable material capabilities, the BRICS have obtained considerable autonomy from outside pressures. Although the BRICS’ economic, financial, and monetary capabilities remain uneven, their relative positions have improved steadily. Via extensive data analysis, the chapter finds that whether one examines China alone or the BRICS as a group, BRICS members have achieved the necessary capabilities to challenge the global economic and financial leadership of the currently dominant powers, perhaps even the United States one day.Less
This chapter evaluates multiple dimensions of the global power shift from the incumbent G5/G7 powers to the rising powers, especially the members of the BRICS (Brazil, Russia, India, China, and South Africa). Taking note of alternative conceptualizations of interstate “power,” the text maps the redistribution of economic capabilities from the G7 to the BRICS, most particularly the relative rise of China and decline of Japan, and especially Europe. Given these clear trends in measurable material capabilities, the BRICS have obtained considerable autonomy from outside pressures. Although the BRICS’ economic, financial, and monetary capabilities remain uneven, their relative positions have improved steadily. Via extensive data analysis, the chapter finds that whether one examines China alone or the BRICS as a group, BRICS members have achieved the necessary capabilities to challenge the global economic and financial leadership of the currently dominant powers, perhaps even the United States one day.