Currency Wars
Given the real danger of a currency war, countries should refocus on the impediments to sustainably increasing their domestic demand and give the recovery more time to take hold. […]
Economic Instability
Europe Needs a California Dream
When rethinking the institutional arrangements that underpin their monetary union, Europeans should take note of the California’s experience during the Great Recession. […]
Can the G20 Grow Faster?
Faster growth in the G20 must come through increased demand in advanced nations—beginning with the United States and Germany—rather than agreements about currency appreciations or current account targets. […]
How to Avoid a Currency War
Threats of a currency war hang in the air, but few countries have actually seen their exchange rate appreciate significantly. Major world economies should refocus on domestic policies before the rhetoric turns into reality. […]
Europe’s Long-Term Growth Prospects
European policy makers need to respond to the Great Recession and subsequent debt crisis with far-reaching structural reforms in order to ensure that today’s downturn does not devolve into long-term slow growth and deflationary trends. […]
Is the African Renaissance For Real?
Economic growth in Africa over the last ten years has been at its strongest in decades, but continued reform efforts—especially those affecting governance and the business climate—are needed to ensure that this renaissance continues. […]
The Global Rebalancing Mirage
Deficit countries are neglecting the needed—and more difficult—reforms at home and fueling protectionist sentiment abroad with their focus on external trade imbalances and their calls for major surplus economies to increase demand. […]
Will Developing Economies Help Sustain the Global Recovery?
Growth in emerging economies has slowed from torrid post-crisis rates, but remains high and will likely mitigate—but not fully compensate for—a sharp slowdown in advanced countries. […]
It Is Too Early to Withdraw Fiscal Stimulus?
Private demand is not yet strong enough in advanced countries to compensate for the drag to come from fiscal stimulus withdrawal. Large countries that can afford to delay the withdrawal should do so. […]
The Global Outlook and Prospects for Capital Flows
Following the financial crisis, advanced countries are weak and recovering unsteadily, implying that capital flows to emerging markets are likely to be volatile in the years ahead. […]