TAILIEUCHUNG - Lecture International economics: Chapter 14 - Hendrik Van den Berg

Chapter 14 - The evolution of the international financial system. After completing this chapter, students will be able to: Present the history of the international financial system that existed before today’s mixture of floating, fixed, and manipulated exchange rates; use the historical examples to illustrate how the trilemma was dealt with and how well each system promoted human welfare;. | The Evolution of the International Financial System Experience is the name we give to past mistakes, reform that which we give to future ones. (Henry Wallach, 1972) The Goals of This Chapter Present the history of the international financial system that existed before today’s mixture of floating, fixed, and manipulated exchange rates. Use the historical examples to illustrate how the trilemma was dealt with and how well each system promoted human welfare. Show why financial orders tend to change when changing economic, social, and political conditions cause policy makers to address the trilemma differently. Enable students to better judge the pro’s and con’s of the different financial orders. Time Line of International Financial Orders The Rules of the Game The set of rules and other formal and informal incentives under which a financial system operates is called an order. An international monetary order is sometimes referred to in the international finance literature as “the rules of the game,” a term reportedly coined by John Maynard Keynes. A monetary order is to a monetary system somewhat like a constitution is to a political system. Judging Past International Financial Systems 1. How fast did economies grow and raise standards of living? 2. How fast did international trade and investment expand? 3. How compatible was the order with sound monetary policies and price stability? 4. How well were outside economic shocks dissipated and negative consequences to employment and inflation avoided? 5. How much flexibility did individual countries have in setting policies aimed at specific national economic objectives? 6. How were the benefits and costs of operating under the order spread across the different countries that adhered to the system? 7. Was the system was largely self-regulating or did it require costly institutional guidance and frequent policy adjustments by individual countries? Report Card The textbook evaluates each international financial order .

• Kinh tế học
• International economics
• Lecture International economics
• The global economy
• International financial system
• International financial orders
• The gold standard
• International economics theory
• International economics policy
• International economics theory and policy
• International trade theory
• International trade policy
• Political economy of trade policy
• International investment
• Economics of international investment
• Intertemporal equilibrium
• Exchange rates
• Open economy macroeconomics
• National income accounting
• International trade
• Economic model
• Economics policy
• Open economy
• Exchange rate
• Multi National Enterprises
• Portfolio investment
• International migration
• Supply side effects
• Immigration’s economic
• Controversial aspects of globalization
• International inequality
• Opportunities of globalization
• The open economy
• Current account
• Partial equilibrium model
• Exchange rate changes
• Economic growth
• The power of compounding
• Bài giảng Kinh tế quốc tế
• The international economy
• The international globalization
• Waves of globalization
• International banking
• International reserves
• Automatic adjustment mechanisms
• Borrowed reserves
• Lecture Economics
• Environmental economics
• International finance
• Countries trade
• Comparative advantage
• International monetary economics
• World monetary arrangements
• Macroeconomic policy
• Principles of economics
• Lecture Principles of economics
• Capital flows
• International economy
• International EconomicsInternational economics
• Partial equilibrium models
• General equilibrium models
• Welfare effects
• General equilibrium effects
• Free trade
• General equilibrium effects of Trade
• Trade policy
• Trade expansion
• Trade creation
• Trade diversion
• Regional economic integration
• Foreign exchange market
• Foreign exchange
• Balance of payments
• Immigration policy
• Illegal immigration
• Immigration authorities
• General equilibrium model
• The gains from trade
• Opportunity costs
• Issues in economics today
• Lecture Issues in economics today
• Macroeconomic issues
• International issues
• Price control issues