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The Economics of Sustainable Food details the true cost of food for people and the planet. It illustrates how to transform our broken system, alleviating its severe financial and human burden. The key is smart macroeconomic policy that moves us toward methods that protect the environment like regenerative land and sea farming, low-impact urban farming, and alternative protein farming, and toward healthy diets. The book's multidisciplinary team of authors lay out detailed fiscal and trade policies, as well as structural reforms, to achieve those goals. Chapters discuss strategies to make food production sustainable, nutritious, and fair, ranging from taxes and spending to education, labor mar...
United States monetary policy has traditionally been modeled under the assumption that the domestic economy is immune to international factors and exogenous shocks. Such an assumption is increasingly unrealistic in the age of integrated capital markets, tightened links between national economies, and reduced trading costs. International Dimensions of Monetary Policy brings together fresh research to address the repercussions of the continuing evolution toward globalization for the conduct of monetary policy. In this comprehensive book, the authors examine the real and potential effects of increased openness and exposure to international economic dynamics from a variety of perspectives. Their findings reveal that central banks continue to influence decisively domestic economic outcomes—even inflation—suggesting that international factors may have a limited role in national performance. International Dimensions of Monetary Policy will lead the way in analyzing monetary policy measures in complex economies.
This timely volume presents the latest thinking on the monetary policy rules and seeks to determine just what types of rules and policy guidelines function best. A unique cooperative research effort that allowed contributors to evaluate different policy rules using their own specific approaches, this collection presents their striking findings on the potential response of interest rates to an array of variables, including alterations in the rates of inflation, unemployment, and exchange. Monetary Policy Rules illustrates that simple policy rules are more robust and more efficient than complex rules with multiple variables. A state-of-the-art appraisal of the fundamental issues facing the Federal Reserve Board and other central banks, Monetary Policy Rules is essential reading for economic analysts and policymakers alike.
Public support mechanisms for agriculture in many cases hinder the transformation towards healthier, more sustainable, equitable, and efficient food systems, thus actively steering us away from meeting the Sustainable Development Goals and targets of the Paris Agreement. This report sets out the compelling case for repurposing harmful agricultural producer support to reverse this situation, by optimizing the use of scarce public resources, strengthening economic recovery from the COVID-19 pandemic, and ultimately driving a food systems transformation that can support global sustainable development commitments. The report provides policymakers with an updated estimate of past and current agri...
Macroeconomic Analysis in the Classical Tradition explains how the influence of Keynes’s macroeconomics, including his changed definitions of some key macroeconomic concepts, has impeded many analysts’ ability to readily resolve disputes in modern macroeconomics. Expanding on his earlier work—Macroeconomics without the Errors of Keynes (2019)—the author delves into more aspects of macroeconomic theory and argues for a revision of Keynes’s contribution to the field. Attention is given to theories and concepts such as Say’s Law, the quantity theory of money, the liquidity trap, the permanent income hypothesis, 100% money, and the Phillips curve analysis. The chapters work to build a careful critique of Keynes’s economics and make the case that the classical macroeconomics of Smith, Say, Ricardo, Mill, and others could help resolve present-day policy disagreements and redefine macroeconomic priorities. This book provides essential reading for advanced students and scholars with an interest in the foundations of Keynes’s theories and current debates within macroeconomic policy.
Finance and Development, March 2022
The Evolution of Monetary Policy Strategies in Europe provides a comprehensive review of the advances in European monetary policy-making over the past decades. This book examines the considerations that determine a central bank's monetary strategy and explains how these considerations have featured in recent European monetary history. In so doing, it establishes what European monetary policy-makers have learned (or should have learned) and how they learned it. At the same time, Aerdt Houben maps out the rich monetary traditions that now flow together in the new-born Eurosystem and provides important insight into a prime influence on the system's decision-making, that is, the participating co...
Amid a multispeed economic recovery—including within countries and across sectors, age groups, genders, and skill levels—this issue explores several cross-cutting themes for emerging markets.
This issue of Finance & Development presents success and works of IMF in the past 75 years since its formation. The IMF’s financial firepower must be increased substantially, particularly in a world of relatively free capital flows. If the world of cooperative globalization is to survive and the IMF is to maintain its role within it, a great deal must change. Some of these changes are within the IMF’s control. The most important challenges for the IMF of tomorrow are, however, those created by the changing world. Global cooperation is needed to reap the benefits and avoid the pitfalls of cross-border capital flows. Cross-border capital flows are neither an unmitigated blessing nor an undoubted curse. Used judiciously, they can be beneficial to recipient countries, making up deficiencies in the availability of long-term risk capital and reducing gaps in local corporate governance. Many emerging market economies have understood that they should build foreign exchange reserves. The IMF model suggests that fluctuations in the exchange rate are the main reason for fluctuations in corporate liquidity in receiving countries.
Only a few empirical studies have analyzed the relationship between fiscal multipliers and the underlying state of the economy. This paper investigates this link on a country-by-country basis for the G7 economies (excluding Italy). Our results show that fiscal multipliers differ across countries, calling for a tailored use of fiscal policy. Moreover, the position in the business cycle affects the impact of fiscal policy on output: on average, government spending, and revenue multipliers tend to be larger in downturns than in expansions. This asymmetry has implications for the choice between an upfront fiscal adjustment versus a more gradual approach.