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This article provides an overview of the macroeconomic challenges facing the 10 countries in the Association of Southeast Asian Nations (ASEAN). It discusses various macroeconomic indicators and the importance of achieving high levels of economic growth. The article also explores ASEAN's participation in Regional Value Chains (RVCs) and Global Value Chains (GVCs), particularly in the automotive and electronics industries. It examines the adoption of inflation targeting frameworks by ASEAN countries and evaluates their macroeconomic performance. The text further analyzes the fiscal sustainability of Indonesia, Malaysia, and Thailand, providing policy recommendations to enhance revenue collection and reduce subsidies. It also discusses the challenges faced by Vietnam's economy and suggests policy measures to overcome them. The article touches on economic issues in Cambodia and Laos, including technology spillovers, Central Bank Digital Currency (CBDC) implementation, and financial system reform. The perspectives presented offer insights into these countries' economic situations and potential policy measures. [Extracted from the article]

This paper examines the macroeconomic and development policies to spur economic integration and growth in the Association of Southeast Asian Nations (ASEAN). It reviews how economic transformation and integration have fueled growth and job creation in the region. ASEAN's increased participation in global and regional value chains, with the People's Republic of China (PRC) as a regional hub, laid the solid foundation of regional production networks. However, with the changing role of the PRC in global value chains, the region needs to renew policy initiatives to address the development challenges and seize new growth opportunities with its single market goals. The analysis suggests the region requires strategic plans for infrastructure development, digitalization, and greater integration reinforced by the removal of trade barriers, increased labor mobility, and foreign direct investment mobilization. The region's successful future also depends on cooperative policy efforts around developing e‐government and digital value chains, strengthening micro‐, small‐ and medium‐sized enterprises and startups, and building smart cities. [ABSTRACT FROM AUTHOR]

This article provides an accessible overview of the current state of ASEAN, focusing on trade integration and the role of regional and global value chains, with particular attention to China. The ASEAN economies have generally performed well and have benefited from technological and policy advances, as well as their proximity to China. The article discusses the deepening of regional integration, particularly in sectors such as electronics and automotive. It also highlights the policy challenges that ASEAN faces, including the need for enforcing commitments and addressing collective action problems. The article raises questions about the adequacy of ASEAN's model and the role of regional commitments, while acknowledging the potential impact of national-level reforms and exposure to other countries' experiences. [Extracted from the article]

The article discusses the economic integration and growth within the Association of Southeast Asian Nations (ASEAN) and the challenges and opportunities it faces. It highlights the role of China in ASEAN's trade and the progress of global and regional value chains in the region. The article also emphasizes the importance of foreign direct investment (FDI) in driving economic growth in ASEAN, particularly from East Asian economies. It suggests policy recommendations for sustaining growth and integration, including infrastructure development, digitalization, and liberalization of services trade. The article concludes by mentioning the potential impacts of the US-China trade and technology disputes on ASEAN and the need for further research on growth drivers and convergence among ASEAN member states. [Extracted from the article]

This paper investigates the effects on and responses of five middle‐income Southeast Asian economies to the current global environment of authoritarian populism, the retreat from economic liberalism, and the appeal of anti‐globalization movements. While the political histories and institutional capabilities of the five – Indonesia, Malaysia, Philippines, Thailand and Vietnam – vary greatly, these economies have a history of at least moderately fast economic growth for extended periods, and of increasing regional and global economic integration. We argue that most of the factors behind the discontent with globalization in the rich economies are not present to the same degree in these countries, and that there has therefore been no major retreat from the economic policy settings that have underpinned their past economic success. However, there are no grounds for complacency. Economic growth is slowing in some of the countries, economic insecurity remains widespread, and the development of durable independent institutions has lagged economic growth. [ABSTRACT FROM AUTHOR]

This article identifies divergent views on the nature of the changing order and argues that collaborative rather than hegemonic leadership is necessary to sustain global peace, prosperity and justice. This collaborative leadership would increase the number of actors with effective voice. It calls the evolving order "multiplex" because of the overlapping yet divergent interests of the actors involved and "G‐Plus" signaling the importance of the increasing number and diversity of actors. It does so in the context of two of the many challenges facing this multiplex G‐Plus world: sustaining economic prosperity and coordinating global trade. [ABSTRACT FROM AUTHOR]

This article discusses the prospects for an ordoliberal reform of the European Union in order to tackle its multiple crises. It shows what an ordoliberal European Union would have to look like and examines the constraints its implementation faces. Three reasons are identified that make an ordoliberal reform of the EU at present unlikely. First, in the EU's most powerful member state, Germany, where ordoliberalism has its origins, economic policy adheres increasingly less to this strain of economic thinking. Second, given the primacy of European integration in domestic politics, Germany values European unity higher than economic principles. Third, once Brexit is complete Germany will lack influential allies for an ordoliberal reshaping of the EU. [ABSTRACT FROM AUTHOR]

Abstract: The paper provides an overview of changes in the US policy stance toward China that have resulted in the currently unstable economic and trade relationship between the two countries. It reviews the trade and economic relationship between China and the US during the first year of the Trump Administration, summarizes the systematic changes in trade and external economic policies adopted by the Trump Administration in general, and particularly toward China, and observes the implementation of a hawkish trade policy that ignited dispute between the US and China. The main factors shaping the current situation are examined, including structural difficulties in the US economy, the characteristics of the Chinese institutional setting and policies that have become increasingly unacceptable to the US, the specific personal beliefs and positions of President Trump and his main aides in the economic and trade team, and short‐term factors in the US internal political arena. [ABSTRACT FROM AUTHOR]

Abstract: Neither the Chinese nor US economic systems will fundamentally change as a result of overt trade conflict. The challenge for policy‐relevant economics is to design a regime for China–US commerce that accepts the co‐existence but also addresses underlying disputes. Many important China–US disputes, notably those over intellectual property protection and state subsidies, cannot be resolved by the World Trade Organization, thus new institutions must be built. Economics‐based regime principles should entail recognition that: the China–US bilateral trade imbalance is unique mainly because of macroeconomic and financial factors, not trade; agreements should restrict commercial and government behaviors, not target economic outcomes; Chinese companies must compete and be allowed to succeed in any sector, including high‐technology; China is not entitled to US‐owned technology, thus intellectual property rights must be enforced; and the US Government should support an increased role for China in global economic governance. [ABSTRACT FROM AUTHOR]

In the present paper, we discuss three unintended consequences of European Integration; the division between the pro‐ and anti‐integrationists, doubts on the benefits of the free movements and the burden of the welfare state. Since 2017, Europe has regained confidence and optimism has returned due to sustained economic recovery and election victories of prointegration politicians, most notably in France. The European Union is embarking on co‐operation in defense and security, providing a new reason to support integration. Uncertainty over Brexit and immigration remain among the causes for grave concern. But Europe and Japan have taken a joint stance against protectionism, while Asia is yet to decide whether to do so as an integrated entity. [ABSTRACT FROM AUTHOR]

The Belt and Road Initiative (BRI) aims to improve cross-border infrastructure to reduce transportation costs across a massive geographical area between China and Europe. We estimate how much trade might be created among Belt and Road (B&R) countries as a consequence of the reduction in transportation costs (both railway and maritime) and find that European Union countries, especially landlocked countries, will benefit considerably. This is also true for Eastern Europe and Central Asia and, to a lesser extent, South-East Asia. In contrast, if China were to seek to establish a free trade area within the B&R region, EU member states would benefit less, while Asia would benefit more. Xi Jinping's current vision for the B&R, centered on improving transport infrastructure, is advantageous for Europe as far as trade creation is concerned. [ABSTRACT FROM AUTHOR]

Until recently, it has been argued in economic theory that regional integration and trade agreements among developing countries may achieve negative growth effects. This study tests empirically the effects of such South-South agreements on growth and convergence. All three world regions in question are considered: South America, Southeast Asia, and Sub-Saharan Africa. A comprehensive panel data analysis is conducted that distinguishes between the problems of testing for stronger growth and accelerated convergence, respectively. The data indicate that the considered South-South agreements promote both. [ABSTRACT FROM AUTHOR]

China's Belt and Road Initiative (BRI) is, above all, a connectivity project. As connectivity requires financial support, in the past few years China has undertaken several institution-building activities at the national and international level, mainly in the financial and economic sector, showing a new propensity to influence global economic governance. In particular, the establishment of the Asian Infrastructure Investment Bank (AIIB) has drawn attention worldwide. How does this institution-building process connect with BRI? Are these institutions just a vehicle for exporting China's capital and overcapacity, or do they signal a potential wider challenge to the post-World War II liberal international order? By analyzing the first loans approved by the bank, the present paper argues that far from representing a China-led challenge to the Western-led liberal order, the AIIB, while promoting Chinese commercial and geopolitical interests, shows the resilience of the global financial regime created by the West. [ABSTRACT FROM AUTHOR]

The article aims to highlight Russian approaches to Chinese One Belt-One Road initiative. It examines possible opportunities and challenges for co-development of the Eurasian Economic Union and the Belt project. Both projects and their co-development may reduce the uncertainty in Eurasia, caused by significant structural changes in international relations and the world economy, the emergence of new trade regimes and the erosion of leadership in international affairs. Russian interests in this regard are determined by the need for modernization and long-term development, which could also help to address acute security issues. These particular factors encouraged Russia to come up with an ambitious plan of the Extensive Eurasian Partnership, although the prospects of its implementation currently are uncertain. The present article argues that the success of Russia-China collaboration in Eurasia will depend crucially on the future dynamics of the Eurasian integration, as well as on the agreement to co-develop the Eurasian Economic Union and the Belt Initiative with concrete and mutually beneficial projects. [ABSTRACT FROM AUTHOR]

We examine the real and financial connectedness of selected African economies with the global economy using a network approach. We find that the connectedness of African economies with the global economy is quite sizable, with the global financial crisis increasing the connectedness measures above their pre-crisis levels. The results show that U.S., EU and Canada dominate Africa's equity markets, while China, India and Japan dominate Africa's real activities. Our results suggest that African economies are predominantly small open economies, deeply interconnected but systemically unimportant and vulnerable to headwinds emanating from the dominant economies in the overall global economy. [ABSTRACT FROM AUTHOR]

Pivotal informal organizations, above all the G20, the G7 and the BRICS, have accumulated growing power in recent years. At a basic level, informal organizations differ from the formal institutions such as the UN and the IMF in a number of key ways: membership structure; foundational or legitimizational character and level of bureaucracy. What are the implications of this phenomenon for global governance? What does this shift from a hub club to a focal point network imply for innovation in modes of cooperation? The author has participated in numerous such summits, in his capacity as Prime Minister of Italy and President of the European Commission, and shares his first‐hand thoughts. [ABSTRACT FROM AUTHOR]

ABSTRACT This paper explores the effects that varying degrees of international openness have on macroeconomic volatility. The analysis is conducted for a two-symmetric-country world under three levels of international integration: that of a closed economy, a financial autarky, and full financial integration. Different degrees of trade openness are considered in the form of home biases, while the economy is left vulnerable to total factor productivity and innovation shocks. Full financial integration is found to reduce firm-size volatility and volatility in the mass of operative firms following a productivity shock and to increase them after an innovation shock. Moreover, the interaction between international sharing of profits and terms of trade transmissions determines the non-linear behaviour of consumption-to-output ratio volatility found in empirical studies. [ABSTRACT FROM AUTHOR]

In the context of the Eurozone crisis this paper re-examines the Hard ECU using the concepts of the macroeconomic trilemma and the political trilemma. We find that the Hard ECU would have been less economically and politically damaging than the euro. We conclude that it was a superior approach to monetary union. [ABSTRACT FROM AUTHOR]

Most studies of renminbi internationalization focus on the supply side, by examining China's own economic and political conditions. In contrast, this study addresses the demand side of renminbi internationalization, by providing an in‐depth analysis of renminbi use in ordinary foreign economies from both economic and political perspectives, with a particular focus on South Korea, China's next‐door neighbor. The study finds that sustainable indigenous market forces facilitating renminbi use in South Korea remain weak, despite the country's close economic ties with China. This research also shows, however, that the Korean Government has itself recently been able, through its policy measures, to generate new domestic support for greater use of the renminbi. These findings ultimately highlight the significant impact on the internationalization of a currency of the politics in the foreign countries using it. [ABSTRACT FROM AUTHOR]

In 2009 the European Union (EU) adopted a new migration policy instrument - the Blue Cards (BC) - for attracting highly skilled workers to the EU. The present paper examines the potential impacts, which BC may cause on the less developed sending countries (LDC). According to the adopted framework of innovative capital, the BC will reduce human capital in LDC. In addition, BC will also have a negative impact on knowledge capital. These findings suggest that the BC is not coherent with the EU's development policy. Without appropriate policy responses, BC fade the developing country growth prospects away. In order to address the skill drain issues, we propose and examine alternative migration policy options for the LDC. [ABSTRACT FROM AUTHOR]

This paper applies a structural vector autoregression analysis to quantify the impact of the global financial crisis on China. It is found that the impact is indeed sizeable: a 1-percent decline in economic growth in the USA, the EU and Japan is likely to lead to a 0.73-percent decline in growth in China. The article discusses whether the current measures of fiscal stimulus are adequate to offset the sharp decline in external demand. Although there is little doubt that the massive fiscal stimulus will largely offset the significant shortfalls in external demand, the current growth pattern in China will be increasingly unsustainable in the long term. China's reform cycles suggest that external shocks are often opportunities for structural reforms. Therefore, the crisis could also be a catalyst for rebalancing China's economic structure so as to return the economy to a sustainable path. [ABSTRACT FROM AUTHOR]

The USA and Asia have an enormous stake in each others' continuing prosperity. This outcome is linked to the preservation of the open international economic order, which in turn faces challenges at both the interstate diplomatic level and at the domestic political level. The global financial crisis is probably the worst since the Great Depression and the domestic politics makes it increasingly difficult to formulate a constructive trade policy. In the absence of adequate reform at the global level, the alternative could be further fragmentation into competing regional blocs. Asia holds the key, combining both dissatisfaction with existing global arrangements with the resources to reconstitute, at least at the regional level, an alternative set of institutions and practices. How Asia responds, acting to strengthen reformed global institutions or undermine them in favor of regional alternatives, will partly depend on the policies of the dominant global power, the USA. [ABSTRACT FROM AUTHOR]

This paper compares US and Asian views of the international economic architecture including Asia's evolving regional institutions. Lessons from the global financial crisis are used to assess reforms of the financial institutions better to prevent and manage future crises. While G-20 leaders have increased the resources of the International Monetary Fund, much work remains to restore its legitimacy and independence and to define clearly the Financial Stability Board's mandate to strengthen financial oversight and regulation. The paper critiques proposals for a global super-regulator and concludes that while the global architecture is important, the tests of its success will be fewer government actions to self-insure and the willingness to heed warnings of future problems and take timely corrective actions. [ABSTRACT FROM AUTHOR]

The authors reflect on the institutional framework of the economy of the U.S. and East Asia. They argue that in the setting of domestic political infighting over the reform for health care, the economic policy of U.S. President Barack Obama's administration could reflect tactical and not strategic conditions. A summary of the papers presented at the Eighth Asian Economic Policy Review Conference is also provided.

Currency internationalization is examined from the vantage point of Friedrich Hayek's contributions in the 1970s. Compared with received commentaries in which only an idealized case for private money is attributed to Hayek, this paper underscores other dimensions of Hayek's work on money and currency. Hayek's case for “choice in currency” draws on his theory of competition, anticipates competition between government suppliers of fiat money, accommodates many aspects of international monetary integration, and embodies a distinctive approach to monetary independence, choice of exchange rate regime, and the transnationalization of currency. Hayekian predictions are outlined for future developments in currency competition. [ABSTRACT FROM AUTHOR]

The present paper focuses on the transformation of China's foreign affairs. The transformation is closely associated with and mutually reinforced by the developmental changes that have taken place in China. China's strong economic focus has had a profound effect on its foreign relations and international strategies. With sustained growth over the past three decades (1978–2008), China has become an important member of the world community. In particular, its influence has been growing in the Asia-Pacific area. China's unique developmental model and path are recognized and scrutinized worldwide. The present paper discusses special aspects of foreign aid and also explores the changes in principles of and approaches taken in the application of foreign aid policies. Under dual external and internal pressure, China has to constantly adjust, renew and improve its approach to diplomatic and international relations. [ABSTRACT FROM AUTHOR]

We examine the role of noneconomic partnerships in promoting international economic exchange. Since far-sighted countries are more willing to join costly international partnerships such as environmental treaties, environmental engagement tends to encourage international lending. Countries with such noneconomic partnerships also find it easier to engage in economic exchanges since they face the possibility that debt default might also spill over to hinder their noneconomic relationships. We present a theoretical model of these ideas and then verify their empirical importance using a bilateral cross-section of data on international cross-holdings of assets and environmental treaties. Our results support the notion that international environmental cooperation facilitates economic exchange. [ABSTRACT FROM AUTHOR]

Copyright of Canadian Journal of Economics is the property of Wiley-Blackwell and its content may not be copied or emailed to multiple sites or posted to a listserv without the copyright holder's express written permission. However, users may print, download, or email articles for individual use. This abstract may be abridged. No warranty is given about the accuracy of the copy. Users should refer to the original published version of the material for the full abstract. (Copyright applies to all Abstracts.)

We develop a general equilibrium model of an emerging market economy where productivity growth differentials between tradable and non-tradable sectors result in an equilibrium appreciation of the real exchange rate—the so-called Balassa-Samuelson effect. The paper explores the dynamic properties of this economy and the welfare implications of alternative policy rules. We show that the real exchange rate appreciation limits the range of policy rules that, with a given probability, keep inflation and exchange rate within predetermined numerical targets. We also find that the B–S effect raises by an order of magnitude the welfare loss associated with policy rules that prescribe active exchange rate management. [ABSTRACT FROM AUTHOR]

The paper presents a framework to explore the trade-off between pro-authority and pro-efficiency foreign trade policy. The former is exemplified by the tributary foreign trade system in Imperial China, while the latter by the government-supervised private foreign trade. In the Song Dynasty (960–1276), a strong external enemy compelled the monarchy to choose a pro-efficiency trade policy to finance the army, whereas during the early Ming Dynasty (1368–1644) when China was strong a pro-authority trade policy was favoured. During the late Ming, as the dynasty weakened, accompanied by external threats and internal mismanagement, the imperial government once again chose a pro-efficiency trade policy. [ABSTRACT FROM AUTHOR]

This lecture examines whether financial globalization is beneficial to developing countries by first examining the evidence on financial development and economic growth and concludes that financial development is indeed a key element in promoting economic growth. It then asks why if financial development is so beneficial, it often does not occur. It then goes on to examine whether globalization, particularly of the financial kind, can help encourage financial and economic development and argues that it can. However, financial globalization does not always work to encourage economic development because it often leads to devastating financial crises. The issue is thus not whether financial globalization is inherently good or bad, but whether it can be done right. [ABSTRACT FROM AUTHOR]

Copyright of Canadian Journal of Economics is the property of Wiley-Blackwell and its content may not be copied or emailed to multiple sites or posted to a listserv without the copyright holder's express written permission. However, users may print, download, or email articles for individual use. This abstract may be abridged. No warranty is given about the accuracy of the copy. Users should refer to the original published version of the material for the full abstract. (Copyright applies to all Abstracts.)

Keywords: F02; F60; H12; Z18 EN F02 F60 H12 Z18 210 211 2 07/03/20 20200701 NES 200701 Basri and Hill ([1]) ask the question whether the recent global trend of authoritarian populism has influenced Southeast Asian countries. If the authoritarian populism in the advanced countries is triggered by stagnant growth, unemployment, and social discontent with globalization, then an easy explanation is that the Southeast Asian countries do not have those socio-economic conditions. In Basri and Hill ([1]), authoritarian and populism are mentioned in one breath. [Extracted from the article]

Keywords: F02; F60; H12; Z18 EN F02 F60 H12 Z18 212 213 2 07/03/20 20200701 NES 200701 In recent years, one can see the emergence of a radically different economic policy paradigm, whose key characteristics include a rise of illiberalism, anti-globalization movements, populism, economic nationalism and the emergence of democratically elected authoritarian leaders, particularly President Donald Trump. It was the first time ever in Thailand that a political party had come close to winning an absolute majority in a national election, and with support from a number of other parties, Thaksin formed a government with a two thirds majority. Using his business marketing experience, Thaksin's populist policy platform was clearly spelt out, and the electorate knew exactly what they were going to get: 30 Baht per visit health care for all, a three-year debt moratorium for farmers, and one million baht per village revolving fund, among others. [Extracted from the article]

Keywords: F02; F60; H12; Z18 EN F02 F60 H12 Z18 235 236 2 07/03/20 20200701 NES 200701 Basri and Hill ([1]) summarize Indonesia's trajectory over two decades, from the Soeharto era to the democratic era, regarding economic policy-making. Although the current account deficit has become a tough challenge, a stable and manageable inflation rate and declining unemployment and poverty rates provide stability in Indonesia's economy. [Extracted from the article]

Without intending to do so, China has in recent years played a major role in East Asia's economic integration. It has done so mainly through the production and supply chain networks it has spun across the region. This paper argues that given the developmental trends in the Chinese economy, the Chinese government should pursue a more active strategy towards a broader and more balanced economic integration with the region. The emergence of a multi-track production structure, increased importance of domestic consumption and the services sector, together with faster integration of the domestic economy, will fundamentally change China's trade and investment relationships with the rest of East Asia and necessitate a review of China's economic integration strategy. The paper also argues that ASEAN can play a useful role in facilitating the region-wide integration process. (Edited by Xiaoming Feng) [ABSTRACT FROM AUTHOR]

The welfare effects of trade integration with endogenous production technology are examined in a monopolistic competition framework. In addition to explaining industry location, trade patterns and accompanying effects on local welfare, the analysis highlights the endogenous change in the costs of supervising fragmented production when economies open up to trade. By regarding fragmentation as a skill-intensive activity, factor proportions (rather than size) strongly affect the international distribution of gains from trade. Nevertheless, albeit not generally, for a wide range of parameter values, even a skill-poor country can participate in the gains—despite loss of industry. [ABSTRACT FROM AUTHOR]

Copyright of Canadian Journal of Economics is the property of Wiley-Blackwell and its content may not be copied or emailed to multiple sites or posted to a listserv without the copyright holder's express written permission. However, users may print, download, or email articles for individual use. This abstract may be abridged. No warranty is given about the accuracy of the copy. Users should refer to the original published version of the material for the full abstract. (Copyright applies to all Abstracts.)

A growing body of evidence suggests that China's emergence is having differential effects on Asia's advanced and developing countries. The region's advanced countries are benefiting from the existence of a large and rapidly growing Chinese market for their capital goods, components and technology, whereas its developing countries compete head to head with China in third markets. These facts create additional challenges for late-industrializing Asian countries seeking to catch up with the region's industrial leaders. In turn, the emergence of an Asian core and periphery will not encourage the development of a cohesive Asian economic and political bloc. Asian regionalism will be open regionalism in order to prevent regional initiatives from giving rise to costly trade diversion. Efforts to promote Asian financial development and integration are unlikely to come at the expense of the region's financial links with the rest of the world. An early move toward a common exchange rate regime with the associated common monetary stance will be problematic. And, in the absence of these common policies, pressure for the development of powerful regional institutions to formulate the common monetary stance will be at best modest. [ABSTRACT FROM AUTHOR]

China's gradual integration with the global market is responsible for exceptional rates of economic growth and for the substantial sociopolitical stability enjoyed by the country over the past decades. Nevertheless, the choice to increasingly adhere to the competitive dynamic of the market has thrown up a battery of problems for China's leadership, as increasing affluence has favored the pluralization and diversification of social interests. In a country where the existence of divergent and competing social claims has traditionally been regarded as a grave threat to stability, marketization, whereas on the one hand acting as a source of political legitimacy, has, on the other, paved the way for a potentially more strained relationship between relevant corporative interests and the central government. By studying China's recent development from the complementary perspectives of the “horizontal” and “vertical” forms of decentralization and devolution, this paper aims to highlight the tensions with which China has had to contend since its adoption of reform and opening-up policies in the late 1970s. It aims also to suggest how the Chinese leadership's instinct for continued social control has cut against market reform just enough to effect a process of controlled macroeconomic integration that has been more successful than wholesale resistance or immediate unquestioning acceptance would have been. [ABSTRACT FROM AUTHOR]

This paper discusses macroeconomic and monetary policy making at the European Commission in the 1960s. The Commission, in its analysis, focused strongly on economic imbalances in the Community, as they could threaten the common market project. In order to strengthen the system of economic governance of the Community, the Commission advocated an improved monetary cooperation, in line with the internal logic of the integration process. This contrasted with the view of the central bankers, who took the international monetary system as the framework for their analysis. This paper shows the ascent of the Commission as an actor in the monetary area, notwithstanding the relatively limited provisions of the European Economic Community Treaty. [ABSTRACT FROM AUTHOR]

The governments of four ex-Soviet countries recently discussed forming a currency union. To examine the economic feasibility of this proposition, we use conventional techniques and show that the arrangement is likely to find it difficult to handle the lack of structural symmetry, the asymmetric pattern of shocks, and the lack of market flexibility among the potential participants. Moreover, the union would be a unilateral one. It would require an unusual degree of political commitment to survive. Nonetheless, there are some subtleties in the timing and pattern of mutual dependence between Russia and Kazakhstan, and to a lesser extent in Belarus, which may reduce the strain from a currency union in those countries. Otherwise, the black market will have to provide the necessary market flexibility. [ABSTRACT FROM AUTHOR]

Phasing out distortionary government subsidies and barriers to international trade will yield extraordinarily high benefits relative to any adjustment costs, notwithstanding the considerable reforms that have already taken place over the past two decades. The present paper surveys recent estimates, using global economy-wide simulation models, of the benefits of reducing remaining distortions by means of unilateral reform, multilateral trade negotiations and preferential trading arrangements. Distortionary trade policies harm most the economies imposing them, but the worst of them (in agriculture and clothing) are particularly harmful to the world's poorest people. Opportunities to reduce remaining distortions, including by means of the WTO's Doha Development Agenda as compared with subglobal preferential reform, are examined, before drawing out the implications of liberalisation for poverty and the environment. [ABSTRACT FROM AUTHOR]

The article offers comments on a paper "Instability in Europe and Its Impact on Asia" by Kaji. It mentions about dilemmas driven by European integration on such as growing anti-integration sentiments and BREXIT, skepticism about the benefits of the free markets, and protection of incumbents vis-a-vis nonregular workers in the process of promoting the welfare state. It also mentions about maintenance of international economic integration.

The article offers comments on a paper "Instability in Europe and Its Impact on Asia" by Kaji. It mentions about impact of European integration on growing anti-integrationist movements and Brexit; skepticism about the benefits of the free movements, and burden of the welfare state impacting social exclusion and populism movements of unemployed workers. It also mentions about maintenance of international economic integration.

The article reviews the article "Window of Opportunity Opens: Asian and American Views of the International Economic Architecture," by Wendy Dobson, which appeared in the "Asian Economic Policy Review," Volume 4, Number 2, in December 2009.

The article reviews the article "American Economic Relations with Asia," by Marcus Noland, which appeared in the "Asian Economic Policy Review," Volume 4 Number 2, in December 2009.

The article reviews the article "American Economic Relations with Asia," by Marcus Noland, which appeared in the "Asian Economic Policy Review," Volume 4 Number 2, in December 2009.

The article reviews the article "Window of Opportunity Opens: Asian and American Views of the International Economic Architecture," by Wendy Dobson, which appeared in the "Asian Economic Policy Review," Volume 4, Number 2, in December 2009.