International Financial Issues in the Pacific Rim: Global Imbalances, Financial Liberalization, and Exchange Rate Policy
International Financial Issues in the Pacific Rim: Global Imbalances, Financial Liberalization, and Exchange Rate Policy
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Abstract
The imbalanced, yet mutually beneficial, trading relationship between the United States and Asia has long been one of international finance's most perplexing mysteries. Although the United States continues to post a substantial trade deficit—and China reaps the benefits of a surplus—the dollar has yet to sink in the face of ever-increasing account disparities. This book explains why the United States enjoys a seemingly symbiotic relationship with its trading partners despite stark inequities in the trade balance, especially with Asia. This study also debunks the assumed link between economic openness and low inflation in the region, identifies the serious gap between academic and private-sector researchers' understanding of exchange rate volatility, and analyzes the liberalization of Asian capital accounts. It will have broad implications for global trade and economic policy issues in Asia and beyond.
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Front Matter
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Introduction
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I Global Imbalances
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II Monetary Policy and Exchange Rates
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III Liberalization, Market Access, and the Cost of Capital
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Growth and Returns in Emerging Markets
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Bond Markets as Conduits for Capital Flows: How Does Asia Compare?
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Financial Liberalization under the WTO and Its Relationship with the Macro Economy
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Cross-Border Acquisitions and Target Firms' Performance: Evidence from Japanese Firm-Level Data
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Stock Market Opening and the Cost of Capital: The Case of Korea
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8
Growth and Returns in Emerging Markets
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End Matter
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