If the transition in Egypt succeeds and the country overcomes a number of economic obstacles and acquires a democratic, accountable, and efficient form of government, it is likely to become a stabilizing force in a turbulent region. […]
Encouraging developing economies to import capital simply because they are poor not only ignores the economic realities surrounding international financial flows but can also be highly destabilizing and dangerous. […]
As emerging markets come to dominate the global economy, no challenge will be more difficult—and few will be more important—than managing the global commons. […]
The international monetary system helped countries liberalize trade and limited protectionism during the Great Recession. But countries with pegged exchange rates remain a threat to trade, especially if the peg is undervalued. […]
The assumption that capital should flow from rich to poor countries is not only overly simplistic, but it also encourages developing economies to attract dangerous capital flows that they do not need and cannot absorb. […]
Despite politicians lamenting the decline of U.S. competitiveness, America remains one of the most competitive and productive nations in the world. Policy makers should instead focus on the real problem: spending. […]
China is promoting the use of its currency for trade and investment, but this will eventually require China to open its capital account and make its exchange rate more flexible—moves that political considerations may block for years to come. […]
The forces that kept protectionism at bay during the financial crisis—chief among them, national laws, regional agreements, and structural economic shifts—should be the focus of future trade negotiations. […]
Although World Trade Organization policies helped limit the increase in protectionist measures during the recent financial crisis, a mutually reinforcing set of legal and structural changes in the world economy played a larger role in keeping global markets open. […]
The dramatic increase in official foreign exchange reserves in developing countries has prompted accusations of protectionism, but developed countries are equally to blame for the recent increase. […]
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