International money and finance
By: C. Paul Hallwood, Ronald MacDonald.
Contributors: MacDonald, Ronald.
Edition: 3rd ed.
Publisher: Blackwell
Published: 2000
Place of publication: Malden, Mass
Language: eng
Number of pages: 547
Subjects: International finance.
Description: CONTENTS
______________________________________________________________

1 Introduction
     The chapters

2  Some Basic Concepts in International Finance
     2.1 The exchange rate
     2.2 The balance of payments accounts
     2.3 Purchasing power parity
     2.4 Floating exchange rates: prospect and retrospect
     2.5 Exchange rate volatility

3  Spot and Forward Exchange Rates: Some more Basic Ideas
     3.1 The elasticities view of the exchange rate
     3.2 The forward exchange rate, arbitrage and pure
         speculation
     3.3 Covered interest parity - empirical evidence
     3.4 Uncovered interest parity - empirical evidence
     3.5 Real interest rate parity - empirical evidence

4  Income and the Balance of Payments
     4.1 The foreign trade multiplier
     4.2 The equilibrium real exchange rate
     4.3 An early view of economic management
     4.4 The assignment problem
     4.5 The absorption approach
     4.6 Intertemporal utility maximization and the current
         account
     4.7 Twin deficits
     4.8 Foreign repercussions with no capital mobility
      
5 Macroeconomics in an Open Economy: The Mundell-Fleming Model 
  and Some Extensions
     Introduction
     5.1 The 'base-line' Mundell-Fleming model
     5.2 The large country case
     5.3 Insulation and the MF model  
     5.4 Imperfect capital mobility and the MF model
     5.5 Regressive expectations and monetary-fiscal policy
     5.6 The J curve and regressive expectations
     5.7 Wealth effects
     5.8 Aggregate supply, the real balance effect and the
         exchange rate in the MF model
     5.9 Summary and conclusions

6 International Policy Co-ordination
     6.1 The two country Mundell-Fleming model and macroeconomic
         interdependence
     6.2 The potential gains from policy co-ordination
     6.3 Dynamic games, and the sustainability and reputation
         credibility of international co-operation
     6.4 Some evidence on the potential benefits of co-ordination
     6.5 Potential impediments to policy co-ordination and the
         appropriate form of such co-ordination

7 Purchasing Power Parity: Theory and Evidence
     7.1 The absolute and relative purchasing power parity
         concepts
     7.2 The efficient markets view of purchasing power parity
     7.3 Further interpretation of purchasing power parity
     7.4 Some further criticisms of purchasing power parity
     7.5 The empirical validity of purchasing power parity
     7.6 Concluding comments

8 The Monetary Approach to the Balance of Payments
     8.1 What is so different about the monetary approach?
     8.2 The global monetarist model
    *8.3 Sterilization and the reserve offset coefficient
    *8.4 The international transmission of inflation: some
         evidence

9 The Monetary View of Exchange Rate Determination
     Introduction
     9.1 The asset approach to the exchange rate
     9.2 The flex-price monetary approach to the exchange rate
     9.3 Introducing expectations
     9.4 Rational speculative bubbles
     9.5 The sticky-price monetary approach
     9.6 Currency substitution
    *9.5 Empirical evidence on the monetary model
    *9.8 More empirical evidence
    *9.9 Empirical tests for the existence of speculative bubbles       9.10 Concluding comments

10 The Monetary Model: Further Applications - real shocks 
   and exchange regime volatility
     10.1 Introduction
     10.2 The general equilibrium monetary model
     10.3 The monetary model and exchange regime volatility
     10.4 Empirical evidence on the general equilibrium approach 
     10.5 Concluding comments

11 The Portfolio Balance Approach to the Determination of the
   Exchange Rate
     11.1 The portfolio balance model
     11.2 Open market purchase of bonds: monetary policy
     11.3 An increase in the supply of domestic bonds: fiscal
          policy
     11.4 Asset preference shift
    *11.5 Econometric evidence on the portfolio balance approach
     11.6 Summary and concluding comments

12 Spot and Forward Exchange Rates and the Efficient Markets
   Hypothesis
     12.1 Spot and forward exchange rates
     12.2 The efficient markets hypothesis and the forward market
          for foreign exchange
    *12.3 Econometric estimation of the efficient market
          hypothesis
    *12.4 A risk premium story to explain why β may not by unity
    *12.5 Empirically implementing equation 11.20
    *12.6 Concluding comments

13 Expectational Explanations for the Rejection of the Efficient
   Markets Hypothesis and the "News" 
      13.1 Peso effects, rational speculative bubbles and
           econometric inference
      13.2 Technical analysis and chartism
     *13.3 Survey data, expectations and risk
      13.4 Market microstructure
     *13.5 The news approach to exchange rate modeling
     *13.6 Empirical studies of the news approach
      13.7 The noise-trader paradigm

14 Currency Crises and Speculative Attack
      14.1 Recent international financial crises
      14.2 First generation speculative attack models
      14.3 Second generation models
      14.4 Econometric estimates of speculative attack models
      14.5 Microeconomic indicators
      14.6 Contagion
      14.7 Interest rate, foreign exchange and credit risk
      14.8 Possible policy responses

15 Exchange Rate Target Zones and 'Dirty Floating"
      15.1 Target zones
      15.2 Dirty floating

16 The International Gold Standard: Theory and Experience
      16.1 Credibility and exchange rate regimes
      16.2 The gold standard during the inter-war period

17 The Dollar Standard Today and During the Bretton Woods Era
      17.1 The Bretton Woods system to 1971
      17.2 The dollar standard
      17.3 Reserve creation and the US and world price levels
      17.4 The East Asian dollar standard

18 Monetary Unions
      18.1 Benefits and costs of a monetary area: seminal ideas
      18.2 Melitz and the covariance of equilibrium real exchange
           rates approach
      18.3 Bayoumi's general equilibrium model of the optimum
           currency area
      18.4 Ad hoc benefits of a pegged exchange rate or common
           currency
      18.5 Estimating shocks
      18.6 Fiscal federalism

19 International Capital Flows
      19.1 International money and capital flows
      19.2 Eurobanking
      19.3 Regulation: the Basle capital accord
      19.4 Measuring international capital mobility
      19.5 International bond markets

20  Developing Countries, Balance of Payments Adjustment and
    the IMF
     20.1 Developing Country exchange rate arrangements: to peg
          or not to peg?
     20.2 Liberalization, the equilibrium real exchange rate and
          economic policy
     20.3 The IMF: its role
     20.4 The IMF's monetary approach to the balance of payments
     20.5 New structuralist arguments against IMF adjustment
          policies

21 The Order of Liberalization in Developing Countries 
     21.1 Distortions and economic performance
     21.2 Unhappy experience with financial liberalization
     21.3 The order of liberalization

22 Exchange Rates and Transition Economies
     22.1 Economic reforms
     22.2 Microeconomic-macroeconomic equilibrium
     22.3 Shocks to the equilibrium real exchange rate
     22.4 The real exchange rate in asset market equilibrium
     22.5 On knowing the correct real exchange rate
     22.6 Choice of an exchange rate regime by a TE
     
23 International Debt
     23.1 The debt problem
     23.2 Growth of international debt
     23.3 Debt and economic growth
     23.4 Capital flight
     23.5 Governmental and national foreign indebtedness
     23.6 The lenders' trap
     23.7 Some debt-reform proposals
     23.8 An international debt facility

24 International Monetary Reform
     24.1 Financing or adjustment?
     24.2 Designing an international monetary system
     24.3 Yen and DM currency blocs
     24.4 Costs and benefits of flexible exchange rates
     24.5 Alternative plans for the reform of the international
          monetary system
Notes: Includes bibliographical references (p. [490]-529) and indexes.