A Drama in Nine Acts

Author: Ashoka Mody

Publisher: Oxford University Press

ISBN: 0199351392

Category: Business & Economics

Page: 288

View: 405

May 1950: five years after the second of two catastrophic wars, European nations began building a magnificent structure of institutional cooperation and open trade borders to secure peace and prosperity. Then, in 1969, they took an astonishingly ill-advised leap toward a single currency--requiring a single monetary policy for vastly divergent economies. This was economic folly, critics untiringly warned. Worse, it carried the seeds of political division. Europe's leaders went forward unheeding. January 1999: the tragedy of the euro began. Blending economic analysis with political drama, EuroTragedy: A Drama in Nine Acts is a groundbreaking account of the euro's history and tragic consequences. In this vivid and compelling chronicle, Ashoka Mody describes how the euro improbably emerged through a narrow historical window as a flawed compromise wrapped in a false pro-European rhetoric of peace and unity. Drawing on his frontline experience, Mody situates the tragedy in a fast-paced global context and guides the reader through forced--and unforced--errors eurozone authorities committed during their long financial crisis. The euro unfolded as both economic and political tragedy. It weakened the growth potential of member states, which made financially vulnerable Europeans more anxious. It deepened the sense of unfairness and widened the division between nations. Now, the burden falls on younger Europeans, a generation with a discouragingly bleak future. A compassionate view of European possibilities, EuroTragedy makes clear that the euro's structural flaws will continue to haunt the continent--especially along cracks in the Italian economy. Instead of centralizing authority to prop up an ossified pro-Europeanist model, it is time to loosen ties that bind too tightly so that a liberal order can once more flourish.
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A Drama in Nine Acts

Author: Ashoka Mody

Publisher: Oxford University Press

ISBN: 0199351384

Category: Business & Economics

Page: 672

View: 5417

The promise of the European pursuit of ever closer union created tremendous optimism that conflict was the past and harmony would be the future. The enthusiasm for economic integration and monetary union, through the Euro, enhanced the confidence that differences among countries could beovercome. In this dynamic and incisive overview of the European project from its beginnings, Ashoka Mody convincingly demonstrates that the tensions and flaws of the European project were both baked-in and foreseen from the beginning. He focuses on personalities whose ambitious and relentless push forintegration led them to choose facts and analysis consistent with their visions and to dismiss warnings of turbulence. They thus laid the seeds for disappointment. Mody examines key moments when contradictions were papered-over, compromising the integrity of integration. He shows how political andeconomic leaders believed the stories they told themselves about the inevitability of a united Europe as a foundation of peace, prosperity, and democratic ideals, even in the face of warnings from the earliest stages that while the political pillars seemed strong, the economic foundations were weak.Mody compellingly shows how monetary union impaired European integration rather than enhanced it. European countries have always had vastly different economic conditions, and the common currency increased divergences rather than smoothing them, as many analysts warned at the time. The economic,financial, and political pathologies of the euro were there from the beginning, even if the global economic boom hid them. With political and economic elites benefitting, they could ignore the growing discontent of those who suffered and the antipathy to the European project in national heartlands.When crisis inevitably hit, leaders denied, delayed, and took half-measures that only further alienated people. If once the inability to deliver on the economic promise caused the political handicaps to worsen, now the political splintering is making it harder to mount an effective response.
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A Drama in Nine Acts

Author: Ashoka Mody

Publisher: Oxford University Press

ISBN: 0199351406

Category: Business & Economics

Page: 288

View: 6997

May 1950: five years after the second of two catastrophic wars, European nations began building a magnificent structure of institutional cooperation and open trade borders to secure peace and prosperity. Then, in 1969, they took an astonishingly ill-advised leap toward a single currency--requiring a single monetary policy for vastly divergent economies. This was economic folly, critics untiringly warned. Worse, it carried the seeds of political division. Europe's leaders went forward unheeding. January 1999: the tragedy of the euro began. Blending economic analysis with political drama, EuroTragedy: A Drama in Nine Acts is a groundbreaking account of the euro's history and tragic consequences. In this vivid and compelling chronicle, Ashoka Mody describes how the euro improbably emerged through a narrow historical window as a flawed compromise wrapped in a false pro-European rhetoric of peace and unity. Drawing on his frontline experience, Mody situates the tragedy in a fast-paced global context and guides the reader through forced--and unforced--errors eurozone authorities committed during their long financial crisis. The euro unfolded as both economic and political tragedy. It weakened the growth potential of member states, which made financially vulnerable Europeans more anxious. It deepened the sense of unfairness and widened the division between nations. Now, the burden falls on younger Europeans, a generation with a discouragingly bleak future. A compassionate view of European possibilities, EuroTragedy makes clear that the euro's structural flaws will continue to haunt the continent--especially along cracks in the Italian economy. Instead of centralizing authority to prop up an ossified pro-Europeanist model, it is time to loosen ties that bind too tightly so that a liberal order can once more flourish.
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Author: Philip Hans Franses

Publisher: Cambridge University Press

ISBN: 1107164613

Category: Business & Economics

Page: 296

View: 3502

Applies econometric methods to a variety of unusual and engaging research questions.
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The Quest for Legitimacy in Central Banking and the Regulatory State

Author: Paul Tucker

Publisher: Princeton University Press

ISBN: 1400889510

Category: Business & Economics

Page: 656

View: 1356

Guiding principles for ensuring that central bankers and other unelected policymakers remain stewards of the common good Central bankers have emerged from the financial crisis as the third great pillar of unelected power alongside the judiciary and the military. They pull the regulatory and financial levers of our economic well-being, yet unlike democratically elected leaders, their power does not come directly from the people. Unelected Power lays out the principles needed to ensure that central bankers, technocrats, regulators, and other agents of the administrative state remain stewards of the common good and do not become overmighty citizens. Paul Tucker draws on a wealth of personal experience from his many years in domestic and international policymaking to tackle the big issues raised by unelected power, and enriches his discussion with examples from the United States, Britain, France, Germany, and the European Union. Blending economics, political theory, and public law, Tucker explores the necessary conditions for delegated but politically insulated power to be legitimate in the eyes of constitutional democracy and the rule of law. He explains why the solution must fit with how real-world government is structured, and why technocrats and their political overseers need incentives to make the system work as intended. Tucker explains how the regulatory state need not be a fourth branch of government free to steer by its own lights, and how central bankers can emulate the best of judicial self-restraint and become models of dispersed power. Like it or not, unelected power has become a hallmark of modern government. This critically important book shows how to harness it to the people's purposes.
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Between Economic Euphoria and Despair

Author: Marcel Fratzscher

Publisher: Oxford University Press

ISBN: 0190676590

Category: Business & Economics

Page: 224

View: 8840

Europe is in a period of transition and there is great uncertainty about its direction. No country plays a greater role in influencing Europe's future path than Germany, which is either seen as overbearing or indecisive in its imposition of policies-and sometimes is seen as both at once. In The Germany Illusion, Marcel Fratzscher provides a distinctive corrective to common misunderstandings of Germany's domestic political economy and how it affects its European and global roles. Fratzscher's trenchant analysis sheds light on the true state of Germany's economy, which is neither as rosy as optimists believe nor as hidebound as pessimists fear. He covers the breadth of the German economy, from its deceptive employment miracle, the sources and underlying problems of its export strengths, its large investment gap, and not least the differences between east and west that continue since reunification. Understanding the domestic scene in Germany is crucial to understanding its relationships with other European countries, the European Union, and the United States. Fratzscher traces the sources and implications of the differences and conflict between Germany and its neighbors on European policymaking generally and in particular during the European economic and financial crisis, the Brexit debate, the refugee crisis, the rising populism and protectionism in the United States and in Europe, and over fundamental reforms of European institutions. The Germany Illusion is a balanced and nuanced examination of pressing and complex issues that enhances our understanding of German policies-the strengths and weaknesses, the possibilities and the limits. It also proposes a realistic path for Germany to re-engage with its European neighbors and with the United States, and to help re-build Europe's future.
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Disintegration or Revival?

Author: George Soros

Publisher: Public Affairs

ISBN: 1610394216

Category: Business & Economics

Page: 208

View: 3049

The European Union could soon be a thing of the past. Xenophobia is rampant and commonly reflected in elections across the continent. Great Britain may hold a referendum on whether to abandon the union altogether. Spurred by anti-EU sentiments due to the euro crisis, national interests conflict with a shared vision for the future of Europe. Is it too late to preserve the union that generated unprecedented peace for more than half a century? This is no mere academic question with limited importance for America and the rest of the world. In the past decade, the EU has declined from a unified global power to a fractious confederation of states with staggering unemployment resentfully seeking relief from a reluctant Germany. If the EU collapses and the former member states are transformed again from partners into rivals, the US and the world will confront the serious economic and political consequences that follow. In a series of revealing interviews conducted by Dr. Gregor Peter Schmitz, George Soros—a man of vast European experience whose personal past informs his present concerns—offers trenchant commentary and concise, prescriptive advice: The euro crisis was not an inevitable consequence of integration, but a result of avoidable mistakes in politics, economics, and finance; and excessive faith in the self-regulating financial markets that Soros calls market fundamentalism inspired flawed institutional structures that call out for reform. Despite the considerable perils of this period, George Soros maintains his faith in the European Union as a model of open society. This book is a testament to his vision for a peaceful and productive Europe.
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And Its Threat to the Future of Europe

Author: Joseph Stiglitz

Publisher: Penguin Press

ISBN: 9780141983240

Category:

Page: 304

View: 9391

"Designed to bring Europe closer together, the euro has actually done the opposite- after nearly a decade without growth, unity has been replaced with dissent and enlargements with prospective exits. Joseph Stiglitz argues that Europe's stagnation and bleak outlook are a direct result of the fundamental flaws inherent in the euro project - economic integration outpacing political integration with a structure that actively promotes divergence rather than convergence. Money relentlessly leaves the weaker member states and goes to the strong, with debt accumulating in a few ill-favoured countries. The question now is- can the euro be saved? Laying bare the European Central Bank's misguided inflation-only mandate and explaining why austerity has condemned Europe to unending stagnation, Stiglitz outlines three possible ways forward- fundamental reforms in the structure of the Eurozone and the policies imposed on the member countries suffering the most; a well-managed end to the euro; or a bold, new system he dubs the 'flexible euro;. This important book, by one of the world's leading economists, addresses the euro-crisis on a bigger intellectual scale than any predecessor."
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Author: Elhanan Helpman

Publisher: Harvard University Press

ISBN: 0674988930

Category: Business & Economics

Page: 232

View: 1774

Globalization is not the primary cause of rising inequality. That is the conclusion of this penetrating study by Elhanan Helpman, a leading expert on international trade. If we wish to curb inequality while protecting what is best about globalization, he shows, we must start with a clear view of how globalization does, and does not, shape our world.
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The Untold Story of FDR, the Supreme Court, and the Battle over Gold

Author: Sebastian Edwards

Publisher: Princeton University Press

ISBN: 1400890381

Category: Business & Economics

Page: 288

View: 8523

The untold story of how FDR did the unthinkable to save the American economy The American economy is strong in large part because nobody believes that America would ever default on its debt. Yet in 1933, Franklin D. Roosevelt did just that, when in a bid to pull the country out of depression, he depreciated the U.S. dollar in relation to gold, effectively annulling all debt contracts. American Default is the story of this forgotten chapter in America's history. Sebastian Edwards provides a compelling account of the economic and legal drama that embroiled a nation already reeling from global financial collapse. It began on April 5, 1933, when FDR ordered Americans to sell all their gold holdings to the government. This was followed by the abandonment of the gold standard, the unilateral and retroactive rewriting of contracts, and the devaluation of the dollar. Anyone who held public and private debt suddenly saw its value reduced by nearly half, and debtors--including the U.S. government—suddenly owed their creditors far less. Revaluing the dollar imposed a hefty loss on investors and savers, many of them middle-class American families. The banks fought back, and a bitter battle for gold ensued. In early 1935, the case went to the Supreme Court. Edwards describes FDR's rancorous clashes with conservative Chief Justice Charles Evans Hughes, a confrontation that threatened to finish the New Deal for good—and that led to FDR's attempt to pack the court in 1937. At a time when several major economies never approached the brink of default or devaluing or recalling currencies, American Default is a timely account of a little-known yet drastic experiment with these policies, the inevitable backlash, and the ultimate result.
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Investor Psychology and Financial Fragility

Author: Nicola Gennaioli,Andrei Shleifer

Publisher: Princeton University Press

ISBN: 0691184925

Category: Business & Economics

Page: 265

View: 9230

How investor expectations move markets and the economy The collapse of Lehman Brothers in September 2008 caught markets and regulators by surprise. Although the government rushed to rescue other financial institutions from a similar fate after Lehman, it could not prevent the deepest recession in postwar history. A Crisis of Beliefs makes us rethink the financial crisis and the nature of economic risk. In this authoritative and comprehensive book, two of today’s most insightful economists reveal how our beliefs shape financial markets, lead to expansions of credit and leverage, and expose the economy to major risks. Nicola Gennaioli and Andrei Shleifer carefully walk readers through the unraveling of Lehman Brothers and the ensuing meltdown of the US financial system, and then present new evidence to illustrate the destabilizing role played by the beliefs of home buyers, investors, and regulators. Using the latest research in psychology and behavioral economics, they present a new theory of belief formation that explains why the financial crisis came as such a shock to so many people—and how financial and economic instability persist. A must-read for anyone seeking insights into financial markets, A Crisis of Beliefs shows how even the smartest market participants and regulators did not fully appreciate the extent of economic risk, and offers a new framework for understanding today’s unpredictable financial waters.
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The Führer's Hidden Passion

Author: Bill Niven

Publisher: Yale University Press

ISBN: 0300200366

Category: Biography & Autobiography

Page: 312

View: 7983

An exposé of Hitler's relationship with film and his influence on the film industry A presence in Third Reich cinema, Adolf Hitler also personally financed, ordered, and censored films and newsreels and engaged in complex relationships with their stars and directors. Here, Bill Niven offers a powerful argument for reconsidering Hitler's fascination with film as a means to further the Nazi agenda. In this first English-language work to fully explore Hitler's influence on and relationship with film in Nazi Germany, the author calls on a broad array of archival sources. Arguing that Hitler was as central to the Nazi film industry as Goebbels, Niven also explores Hitler's representation in Third Reich cinema, personally and through films focusing on historical figures with whom he was associated, and how Hitler's vision for the medium went far beyond "straight propaganda." He aimed to raise documentary film to a powerful art form rivaling architecture in its ability to reach the masses.
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The Unexplored Causes of the Financial Crisis and the Lessons Yet to Be Learned

Author: Tamim Bayoumi

Publisher: Yale University Press

ISBN: 0300225636

Category: Business & Economics

Page: 286

View: 1234

A penetrating critique tracing how under-regulated trading between European and U.S. banks led to the 2008 financial crisis--with a prescription for preventing another meltdown There have been numerous books examining the 2008 financial crisis from either a U.S. or European perspective. Tamim Bayoumi is the first to explain how the Euro crisis and U.S. housing crash were, in fact, parasitically intertwined. Starting in the 1980s, Bayoumi outlines the cumulative policy errors that undermined the stability of both the European and U.S. financial sectors, highlighting the catalytic role played by European mega banks that exploited lax regulation to expand into the U.S. market and financed unsustainable bubbles on both continents. U.S. banks increasingly sold sub-par loans to under-regulated European and U.S. shadow banks and, when the bubbles burst, the losses whipsawed back to the core of the European banking system. A much-needed, fresh look at the origins of the crisis, Bayoumi's analysis concludes that policy makers are ignorant of what still needs to be done both to complete the cleanup and to prevent future crises.
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The Making of America by England's Merchant Adventurers

Author: John Butman,Simon Targett

Publisher: Little, Brown

ISBN: 0316307874

Category: History

Page: 432

View: 5138

*Named a Best History Book of the Month by Barnes and Noble* Three generations of English merchant adventurers-not the Pilgrims, as we have so long believed-were the earliest founders of America. Profit-not piety-was their primary motive. Some seventy years before the Mayflower sailed, a small group of English merchants formed "The Mysterie, Company, and Fellowship of Merchant Adventurers for the Discovery of Regions, Dominions, Islands, and Places Unknown," the world's first joint-stock company. Back then, in the mid-sixteenth century, England was a small and relatively insignificant kingdom on the periphery of Europe, and it had begun to face a daunting array of social, commercial, and political problems. Struggling with a single export-woolen cloth-the merchants were forced to seek new markets and trading partners, especially as political discord followed the straitened circumstances in which so many English people found themselves. At first they headed east, and dreamed of Cathay-China, with its silks and exotic luxuries. Eventually, they turned west, and so began a new chapter in world history. The work of reaching the New World required the very latest in navigational science as well as an extraordinary appetite for risk. As this absorbing account shows, innovation and risk-taking were at the heart of the settlement of America, as was the profit motive. Trade and business drove English interest in America, and determined what happened once their ships reached the New World. The result of extensive archival work and a bold interpretation of the historical record, New World, Inc. draws a portrait of life in London, on the Atlantic, and across the New World that offers a fresh analysis of the founding of American history. In the tradition of the best works of history that make us reconsider the past and better understand the present, Butman and Targett examine the enterprising spirit that inspired European settlement of America and established a national culture of entrepreneurship and innovation that continues to this day.
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Lessons for Bank Recovery and Resolution

Author: Panicos Demetriades

Publisher: Springer

ISBN: 3319622234

Category: Business & Economics

Page: 215

View: 5766

This book tells the story of the euro crisis in Cyprus from the inside. Written by the former Governor of the Central Bank of Cyprus, Panicos Demetriades, who was in office during this turbulent period, this book shows how the crisis unravelled through a series of key events that occurred during his tenure. Written in chronological order, and broadly based on the author’s personal diary, starting from his first day in office, this volume brings together economics, banking, regulation, governance, history, politics and international relations. Presenting personal witness statements, including records of noteworthy telephone conversations, informal meetings and other milestones, it examines crucial questions like: How did Cyprus become so systemically important to the rest of the euro area? Why was Cyprus treated so differently in comparison to other peripheral countries in Europe? Why were bank depositors targeted? What role did Cyprus’ links with Russia play in the design of the programme? What has been the toxic fallout from the bail-in? Are there any longer-term implications for the euro? What are the lessons for regulators around the world? The book will appeal to readers interested in financial crises, the euro’s architecture, the evolution of the European Monetary Union, and those with an interest in how Europe and the IMF dealt with crises in peripheral European countries.
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Author: Bernard Connolly

Publisher: Faber & Faber

ISBN: 0571301754

Category: Business & Economics

Page: 480

View: 2303

'The Brussels Commission has just suspended its senior economist, Bernard Connolly, for writing a book savaging the prospects for a common currency. There are many who now believe he should be lauded as a prophet.' Observer, Editorial, 1 October 1995 'Mr. Connolly's longstanding proposition that the foisting of a common currency upon so many disparate nations would end in ruin is getting a much wider hearing...' New York Times, 17 November 2011 When first published in 1995, The Rotten Heart of Europe caused outrage and delight - here was a Brussels insider, a senior EU economist, daring to talk openly about the likely pitfalls of European monetary union. Bernard Connolly lost his job at the Commission, but his book was greeted as a profound and persuasive expose of the would-be 'monetary masters of the world.' His brave act of defiance became headline news - and his book a major international bestseller. In a substantial new introduction, Connolly returns to his prophetic account of the double-talk surrounding the efforts of politicians, bankers and bureaucrats to force Europe into a crippling monetary straitjacket. Hidden agendas are laid bare, skulduggery exposed and economic fallacies are skewered, producing a horrifying conclusion. No one who wants to understand the workings of the EU, past, present and future can afford to miss this enthralling and deeply disturbing book.
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Author: Barry Eichengreen

Publisher: Oxford University Press

ISBN: 0190866284

Category: POLITICAL SCIENCE

Page: 260

View: 6697

"Populism, a political movement with anti-elite, authoritarian and nativist tendencies, typically spearheaded by a charismatic leader, is an old phenomenon but also a very new and disturbing one at that. The Populist Temptation is an effort to understand the wellsprings of populist movements and why the threat they pose to mainstream political parties and pluralistic democracy has been more successfully contained in some cases than others"--
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Developing Countries and Global Finance

Author: David Lubin

Publisher: Brookings Institution Press

ISBN: 0815736754

Category: Business & Economics

Page: 154

View: 4845

In Dance of the Trillions, David Lubin tells the story of what makes money flow from high-income countries to lower-income ones; what makes it flow out again; and how developing countries have sought protection against the volatility of international capital flows. The book traces an arc from the 1970s, when developing countries first gained access to international financial markets, to the present day. Underlying this story is a discussion of how the relationship between developing countries and global finance appears to be moving from one governed by the “Washington Consensus” to one more likely to be shaped by Beijing.
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