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This paper addresses the following problem: how debt chains sewed through government bonds are operated under either full commitment or limited commitment of the valuation of the debt by bond issuing countries. This paper takes the debt relationship of the US, China and Russia as an example to study the problem. This paper finds that even under the full commitment situation, the debt chain is hard to maintain in some circumstances. In the limited-commitment situation, even if safe asset issuance is a reflection of a country's financial power, because China's safe asset issued to Russia is denoted by USD, whether or not China encounters Triffin dilemma is ultimately determined by the US. [ABSTRACT FROM AUTHOR]

It is widely assumed that the renminbi (RMB) cannot acquire a meaningful place in central bank reserve portfolios without full liberalization of China's capital account. We argue that the RMB can in fact develop into an international reserve currency in the absence of capital‐account convertibility. Trade and investment links can drive use despite limited access to Chinese financial markets. But this route to currency internationalization requires policy support. China must provide access to RMB through loans and the People's Bank of China (PBoC) currency swaps. It must ensure the convertibility of RMB into US dollars in offshore markets. It must provide RMB services at a stable and predictable price. Currency internationalization without full capital‐account liberalization thus requires the RMB to be backed by dollar reserves, which the PBoC consequently will continue to hold and use. Hence, we do not foresee RMB internationalization as supplanting dollar dominance. [ABSTRACT FROM AUTHOR]

This article presents a fresh perspective on the Triffin Paradox, a concept introduced by economist Robert Triffin in the mid-20th century that continues to have a significant impact on global financial systems and policies. Despite the passage of time and the evolution of the economy, the fundamental principles of the Triffin Paradox remain relevant in today's financial discussions. The paper provides a thorough analysis of the ongoing relevance of the Triffin Paradox in the modern global economy. It draws upon historical context, theoretical frameworks, and empirical evidence to shed light on how the paradox continues to manifest itself in the current financial landscape. Specifically, it explores how the dominance of the U.S. dollar as the world's primary reserve currency perpetuates structural imbalances and systemic vulnerabilities, echoing the concerns raised by Triffin. Moreover, the paper delves into the implications of the Triffin Paradox for various stakeholders, including policymakers and central banks. It examines the challenges posed by the pursuit of domestic monetary policy objectives in an interconnected world, where the stability of the global financial system relies heavily on the stability of the reserve currency issuer. Additionally, the paper explores potential strategies for mitigating the risks associated with the Triffin Paradox and fostering a more sustainable international monetary order. By integrating insights from economics, finance, and international relations, this paper contributes to a deeper understanding of the Triffin Paradox and its enduring significance in shaping contemporary financial dynamics. It emphasizes the need for policymakers and stakeholders to address the inherent structural tensions in the global monetary system, with the goal of promoting financial stability, economic resilience, and inclusive prosperity worldwide.

Money: It is a means of exchanging and accumulating goods and services and determining their value. From past to present, commodities such as wheat, dates, hides, spears, and axes; metals such as iron, copper, gold and silver, negotiable instruments such as suftece, papers such as banknotes, and digital assets have been used as money. While these money kinds used throughout history are generally classified as commodity money, metallic money, receipt money and fiat money in the economic literature, they are classified as hilqaten/created money and ıstılahî/terminologically money in fiqh literature. Hilqaten money are currency that have a dual nature as both goods and money, as they derive their value from their own intrinsic value. Those minted from gold were used in circulation as dinars, those minted from silver as dirhams, and those with a low contribution of other metals in these coins were used in circulation as magşuş (mağlûbu'l-gış) money. Istılahî money is money that has become a measure of value when people say, "This is money" and derives its real value from an external value, not from its own intrinsic value. Those minted from metals other than gold and silver were used in circulation under the names of fülûs and those with a more contribution of other metals in these coins were used in circulation as magşuş (ğâlibu'l-gış) and settûka. Paper money, which became widespread in the 19th century, was built within a system by the economically and politically powerful states of the period, and the way in which paper money would be put into circulation was determined by international principles. In this context, from the beginning, the world paper money system generally went through four phases and took its current form. These are respectively; pre-1875 bimetallism gold and silver standard; monometallism only gold standard from 1875-1944; between 1944 and 1973 it was the gold exchange standard and after 1973 it was only the paper money standard. Before 1875, paper money in bimetallism standard system, that is, banknotes, was put into circulation as representative money in exchange for gold and silver. In the monometallism standard between 1875 and 1944, banknotes were put into circulation as representative money only in exchange for gold. In the gold exchange standard between 1944 and 1973, known as the Bretton Woods system, paper money was put into circulation in exchange for the dollar, which derived its value from gold. Thus, banknotes were traded in the markets as representative money, taking their value directly from dollars and indirectly from gold. In the current paper money standard, which is called the flexible exchange rate system after 1973, paper money is used in circulation as fiat money, deriving its value from its purchasing power only to the extent of the power of the authority that puts it into circulation. In this context quality of being measure of value, structure and kind of banknotes which emerged and spread more recently than others are explicit at many points in the economic literature, they are controversial in Islamic law. In this article, it is examined whether banknotes qualify as money according to Islamic law and, if so, what type and structure of money they are. In this context, the history, theory, and types of money have been analyzed in the economics and Fiqh literature and banknotes was substantiated in Islamic law with consideration the international monetary system. As a result, banknotes are ıstılahî a measure of value, should be subject to ijtihad according to the way it is put into circulation and it has been determined that it is a separate money as paper money, unlike dinar, dirham, fulūs etc. In this respect, paper money, which was put into circulation as receipt money directly or indirectly in exchange for gold, silver or both before 1973, should be evaluated as ıstılahî money in terms of value measure but is hilqaten money in terms of provision; after 1973, namely today, paper money that is put into circulation as fiat money in a way that derives its value from the power of the authority that puts it into circulation should be evaluated as ıstılahî money in terms of both value measure and provision. [ABSTRACT FROM AUTHOR]

Stablecoins are second generation cryptocurrencies, aimed at maintaining their value stable with respect to official currencies. The most famous example is perhaps represented by libra, the cryptocurrency announced by Facebook in 2019 and yet to be issued; the most widespread is tether, with a market capitalization of almost 10 billion dollars and a daily transaction volume of almost 50 billion dollars, which makes it the most used cryptocurrency. The diffusion of stablecoins is hardly surprising. By minimizing volatility – the main flaw of first generation cryptocurrencies, including bitcoin –, stablecoins are expected to play an even more important role on a global scale within a few years. Our contribution deals not with the economic, but specifically with the geopolitical factors that could foster the use of stablecoins for strategic and military purposes. In particular, we focus on how such payment instruments, together with other alternative electronic payment systems, could be used as a means to circumvent economic sanctions and ultimately as a challenge to the hegemony of the US dollar in the international monetary system. [ABSTRACT FROM AUTHOR]

Initiating its operations in 2016, the New Development Bank (NDB) disbursed close to US$ 14.6 billion by the conclusion of 2021. However, Brazil received only US$ 1.86 billion (12.8%) of this sum, marking it as the recipient of the least funding from the Bank thus far. As the NDB approaches its seventh year of operation, it becomes imperative to assess its lending trajectory to Brazil, scrutinizing both the disincentives and the potential for augmenting loans to the country. With this objective in mind, this article endeavors to delve into the obstacles and opportunities for enhancing the NDB’s utilization in Brazil. Our hypothesis suggests that despite the recent surge in operations, there remains room for advancement, particularly in light of the political developments unfolding in Brazil in 2023.Methodologically, the study hinges on analyzing NDB financial data, conducting interviews with pertinent stakeholders in Brazil, and scrutinizing and contrasting the financing institutional frameworks of the NDB and the Brazilian Development Bank (BNDES). Our findings indicate that: i) access to the BNDES partially offsets the necessity for Brazilian firms to seek loans from the NDB; ii) a rigid institutional framework within the NDB and the Brazilian government impedes project approval and proposition; iii) all loans to Brazil thus far have been denominated in US dollars, diminishing their attractiveness; iv) there has been a lack of encouragement from the Brazilian national government, attributed to the reorientation of Brazilian foreign policy following the 2016 impeachment. Consequently, achieving a more prominent role and usage of the NDB necessitates not only an institutional reassessment of certain approval processes within the Brazilian government but also a more active, assertive, and collaborative stance from the Bank itself.

Global public goods and the contrast to global public bads require a dramatic change in the international monetary system, enforcement capacity, democratic legitimation, the return to regionalism and multilateralism. Pending the emergence of a more equitable global reserve and payments system, an increased use of the Special Drawing Rights, channeled through Multilateral Development Banks, may help managing the transition towards the provision of such global public goods. This would also provide a guidance for the reduction of Central Banks’ balance sheets, the financialization of the economy and an increase of real investment, thus anchoring the whole international economy to a less vulnerable and volatile monetary structure.

ABSTRACT The frontal clash in the pages of Economica between Friedrich A. Hayek and John Maynard Keynes in 1931 was unique in scale and influence. Although this event had intense repercussions on the profession as a whole, in 1943 occurred a less discussed episode involving both men. Hayek and Keynes entered into controversy regarding the re-foundations of the international monetary order post-Second World War and the commodity reserve currency proposal. This round was somewhat neglected but is historiographically relevant since it was the only public debate with the active engagement of both sides in a professional journal after 1931. Moreover, it epitomized the personal and intellectual mature relationship of Hayek and Keynes, marked by convergence, dialogue, and friendship. This collaboration was particularly developed when the London School of Economics (LSE) evacuated to Cambridge during the Second World War and Keynes found rooms for Hayek in King’s College, Cambridge.

La Grande Crisi Finanziaria (GCF) del 2007-2009 ha mostrato la fragilità del sistema finanziario internazionale dollaro-centrico. In risposta a tale crisi, nel 2009 nasceva il gruppo dei paesi BRICS (Brasile, Russia, India, Cina e Sudafrica), un consesso alternativo al G7 finalizzato a riformare la governance finanziaria globale. Oggi il dollaro è ancora saldamente la moneta egemone. Ciononostante, l’utilizzo di accordi bilaterali stipulati in monete locali tende a rafforzare l’importanza delle monete dei paesi appartenenti alla comunità BRICS. Il presente contributo approfondisce inoltre la funzione che l’oro potrebbe avere all’interno di un sistema monetario internazionale in cui l’utilizzo di sanzioni finanziarie da parte degli Stati Uniti e dei suoi alleati sia sempre più frequente.

The international monetary system currently suffers from three structural flaws that disproportionately affect developing nations: an asymmetric balance of payments adjustment mechanism, the Triffin Paradox, and an inequity bias against developing nations. Thus, as currently constituted, this global monetary framework is biased against the development prospects of developing nations and is antagonistic to their development efforts. However, the author's contention is that developing countries can use a Job Guarantee (JG) to address these shortcomings because it offers five significant international macroeconomic benefits that involve presenting developing nations with an enhanced degree of domestic policy options, altering how global liquidity is provisioned and the need for acquiring it, and inciting a direct challenge to the neoliberal conventional wisdom of global political economy. As a result, developing nations can use a JG as a cornerstone in any development strategy that seeks to sustainably mobilize underemployed labor resources and increase productive capacity and utilization rates while remaining free of the structural constraints imposed by the international monetary system. JEL Classification: B52, O11, F40 [ABSTRACT FROM AUTHOR]

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Two sources of geopolitical tension – G7 sanctions on Russia and conflict between the United States and China – have the potential to reshape the global monetary system. This short paper argues that only the second is likely to have far-reaching, and heavily negative, consequences if allowed to develop further. [ABSTRACT FROM AUTHOR]

Copyright of International Economics / Economia Internazionale is the property of Camera di Commercio di Genova 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.)

This special issue of PSL Quarterly Review discusses the economic consequences of the Russian-Ukranian one year and a half after its outbreak. Firstly, Joseph Halevi re-assesses the conclusions drawn in the special issue published by Moneta e Credito in June 2022. Secondly, Araujo et al. point out that the EU is particularly vulnerable to external shocks since it adopts an Inflation Targeting Regime (ITR). Both Storm and Cucignatto, Fora-Alcalde and Garbellini deal with the distributive conflict triggered by inflation, while Lampa and Oro focus on the worsening of Eurozone’s external position and internal imbalances in distribution and finance. Finally, Giangrande explores the evolution of the material conditions of the working class.

International currency relations are considered through the prism of international economic relations. It is emphasized that the latter arise between subjects from different countries, between tax residents of different tax jurisdictions regarding the production, distribution, exchange and consumption of goods, provision and receipt of services, capital circulation. It is argued that international economic relations are manifested at different levels of the economy (micro-, meta-, macro-levels). Where the macro level is the level of state and interstate international processes; metalevel these are international ties of industry and regional importance; micro level is the level of connections between firms of different countries. International economic contacts, international economic interaction, international economic cooperation, international economic integration are considered in detail. It is proved that the existence of international economic relations gave impetus to the formation of international economic and international currency (monetary) law. So, in the context of international economic law, international currency law and the corresponding legal relations arose as early as the 19th century, and they received the greatest development in the second half of the 20th century. In the XIX-XX centuries currency and financial systems are actively developing both domestically and internationally. It also gave impetus to the formation and development of economic and financial science. The stages of the evolutionary development of the world monetary and financial system are considered. The main principles of the organization of currency relations in different periods are analyzed. Alternative options to the existing currency system proposed by various authors are critically considered. It is proven that the formation and development of international trade relations, the world economy, and the world currency system contributed to the formation of a certain system of legal norms regulating relations in the currency sphere. At the same time, such norms are considered within the framework of different legislation, studied in different academic disciplines. [ABSTRACT FROM AUTHOR]

The US dollar is the world's reserve currency, and it is also the currency most often used for trade and other international transactions. Due to the current geopolitical, economic and monetary developments, it is evident that a large number of countries are looking for ways to move away from the dominance of the dollar, as the leading world currency. The risk of de-dollarization has increased recently, partly due to the current Russian-Ukrainian crisis, as well as American economic sanctions against certain countries, and partly due to the growing role of the BRICS countries in the world economy. This paper argues and proves the hypothesis that the dollar as the world's reserve currency and the international monetary system are two sides of the same coin, that a complete loss of confidence in the dollar leads to the collapse of the global monetary system and vice versa, as well as that the destruction of the monetary system would lead to the disappearance of the dollar. The paper elaborates on dollar as a reserve world currency, theories of money, the dollar as a debt, deficits and monetary equivalents, the dollar and free markets, the IMF as a world bank and the SDR as a world money, the demand for gold as an indicator of distrust in the dollar, new global players and the world reserve currency, BRICS expansion and de-dollarization, and it is finalised with concluding remarks.

The war in Ukraine draws renewed attention to the question of whether the international monetary and financial system is moving towards a more 'multipolar' character. The euro has been the second most important global currency since its creation, and well-placed to help diversify the global financial architecture. This article reviews the evolution of the euro's international role along with the evolution of the institutional architecture to support it. Previous and ongoing reforms in the European Economic and Monetary Union (EMU) can support the common currency on the international stage. [ABSTRACT FROM AUTHOR]

New and evolving financial technologies, including the advent of cryptocurrencies and central bank digital currencies (CBDCs), will make cross-border payments cheaper and quicker. However, reduced frictions in global capital flows could also result in more capital flow and exchange rate volatility, which is of particular concern for emerging market economies. There will be greater competition among fiat currencies and certain private currencies such as stablecoins in their roles as mediums of exchange for payment and settlement of domestic as well as cross-border transactions. However, neither the advent of CBDCs nor the lowering of barriers to international financial flows will do much on their own to reorder the international monetary system or the balance of power among major currencies. Currencies such as the US dollar that are dominant stores of value will remain so because that dominance rests not just on the issuing country's economic size and financial market depth, but also on a strong institutional foundation that is essential for maintaining investors' trust in a currency. [ABSTRACT FROM AUTHOR]

The neoliberal model of globalization promoted the outstripping growth of financial assets over the development of the real sector. The functioning of the international monetary system (IMS), based on one key national currency — the US dollar, has led to the financialization of the world economy and the formation of global imbalances. The purpose of the article is to substantiate the need to replace US-centric financial institutions with new institutions at the regional level and to transform the IMS in the direction of monetary polycentrism and regionalization. The paper discusses the mutual responsibility of the core and periphery countries for the formation of global imbalances. The financial and economic indicators of sovereign states, transnational companies and transnational banks are compared according to the “scale” of globalization. The study shows chronic disproportions between the dynamics of global capital growth and economic growth rates, leading to the state’s loss of control over the reproduction process. It is substantiated that the current transformation of the IMS in the direction of monetary polycentrism and regionalization is a natural reaction to these imbalances. The article reveals a negative relationship between the implementation of procyclical and anti-crisis monetary policies by the central banks of developed countries and the competitive positions of developing countries in international financial and commodity markets. The factors of using the oligopoly of the Big Three credit rating agencies as a “soft power” to maintain the US global hegemony and the status of the US dollar as a key reserve currency are systematized. The author concludes that in order for developing countries to form their own international liquidity, it is necessary to stimulate the internationalization of their currencies by developing pan-Asian financial institutions and encouraging competition between them and the existing institutions of the IMS.

Since the global financial recession of 2008 and the subsequent sovereign debt crisis, the US economic supremacy has experienced setbacks. China has steadily grown into a dependable economic force across the globe, particularly in Asia. Is the renminbi on the verge of becoming a global currency given the financial domination setbacks of the US economy? In this critical review analysis, I contend that the dollar’s hegemonic position is at risk, but the political and economic climate does not appear to be ripe for renminbi globalization. The Chinese hawks see the economic sanctions levied against Russia following the Ukraine invasion as a chance to challenge the dominance of the US dollar. Furthermore, China has benefited from the first-mover advantage through the launching of the Central Bank Digital Currency. However, China must gain the trust of foreign users in the robustness of its financial system, economy, and digital yuan’s functionality for the globalization of the digital yuan to be effective. Moreover, to promote renminbi internalization, China must ease capital regulations, increase renminbi convertibility, and restructure its financial system. [ABSTRACT FROM AUTHOR]

Despite major structural shifts in the international monetary system over the past six decades, the US dollar remains the dominant international reserve currency. Using a newly compiled database of individual economies' reserve holdings by currency, this paper finds that financial links have been an increasingly important driver of reserve currency configurations since the global financial crisis, particularly for emerging market and developing economies. The paper also finds a rise in inertial effects, implying that the US dollar dominance is likely to endure. But historical precedents of sudden changes suggest that new developments, such as the emergence of digital currencies and new payments ecosystems, could accelerate the transition to a new landscape of reserve currencies. [ABSTRACT FROM AUTHOR]

After the outbreak of the conflict between Russia and Ukraine, the United States and Europe have taken financial sanctions against Russia, which have had an important impact. The frequent use of financial sanctions has exacerbated the distrust of the dollar system in emerging markets and developing countries, and shaken the logic of the dollar and the Society for Worldwide Interbank Financial Telecommunications (SWIFT) system as public goods of the international monetary system. However, the position of the US dollar and SWIFT is still hard to change. This does not mean that the international monetary system will remain the same forever. As the willingness to hold foreign exchange reserves declines, emerging markets and developing countries will either increase their tolerance of exchange rate volatility or implement more capital account regulation. Therefore, in the trend of de-globalization in the future, the international monetary system will turn out to be more volatile. [ABSTRACT FROM AUTHOR]

Since the collapse of the Bretton Woods system in 1973, evolution has been the defining feature of changes in the IMS. The IMS has always been dominated by the US dollar. With it comes four structural issues: imbalance, lack of coordination, inade quacy, and weaponization of financial infrastructure. The Russia–Ukraine conflict will further accelerate the diversification and fragmentation of the IMS. But it might also lead to revolutionary changes such as balkanization of the IMS and even the end of financial globalization. Diversification of reserve currency could alleviate the imbalance and inadequacy problems of the IMS, restraining the dollar weaponization to some extent, but could not solve the problem of incoordination. Without a fair and inclusive IMS, ever larger financial spillovers will come from center countries to peripheral ones, and the global economy and financial system will face greater challenges in both efficiency and stability. [ABSTRACT FROM AUTHOR]

The digital transformation of money has raised concerns about how it affects sovereignty. The rise of cryptocurrencies and the possibility of global payment systems based on stablecoins and digital currencies issued by central banks require a re-evaluation of the effects of these changes on the concept of money as a public good and legal tender. The analysis will start focusing on this experience and its implications to shift to the case where a cryptocurrency is used as a central bank currency. Then an attempt will be made to frame the distinctive features of a digital currency issued by a central bank. [ABSTRACT FROM AUTHOR]

• Countries that issue internationally acceptable currencies tend to have lower interest rates and higher price levels than those whose currencies are not internationally acceptable. • Differences in interest rates and price levels are likely to cause asymmetric transfers of biophysical resources from low-income to high-income countries. • Currency hierarchy can be empirically operationalized as a categorical variable based on the liquidity of currencies and the degree of monetary sovereignty of their issuers. • Ecologically unequal exchange is driven not only by diverging monetary compensation for exported resources, but also by the impact of currency hierarchy on countries' trade balances. • Alternative explanations for the empirical correlations between currency hierarchy, interest rates, price levels, and ecologically unequal exchange have theoretically and empirically limited. Asymmetric transfers of biophysical resources from the Global South to the North are a key obstacle to sustainable development. The underlying causal drivers of this 'ecologically unequal exchange' are not well understood. This paper accounts for the causal role of hierarchy between currencies as one driver of ecologically unequal exchange. Drawing on dependency theory, I propose testable hypotheses that explain why countries that issue internationally acceptable currencies create net inflows of embodied labour, land, energy, raw materials, and carbon from countries whose currencies lack international acceptability: Countries with lower-ranking currencies face higher interest rates, which constrain their policy space, drive income outflows, and necessitate resource exports. Such countries also tend to have lower price levels (measured as the ratio between exchange rates and purchasing power parity rates) because their currencies are not demanded internationally, resulting in reduced dollar income per exported resource. To test these hypotheses, I use a novel categorical operationalization of currency hierarchy. I compare different observable correlations to the theoretical correlations implied by the proposed hypotheses, and test multiple regression models against cross-country data. Overall, the results are consistent with the hypotheses. Considering alternative explanations, the conclusion seems justified that currency hierarchy is a significant driver of ecologically unequal exchange, and that this mechanism operates specifically through cross-country divergences in interest rates and exchange rates. In short, the monetary cost of a dollar impacts the biophysical cost of a dollar. [ABSTRACT FROM AUTHOR]

Addressing the issue of continuity and change in the international monetary system, this article makes two points. First, the dollar standard — as defined by Keynes — did not have to wait until the end of Bretton Woods to be born. It finds its roots in the 1920s and is still with us after a century. While most commentators content themselves with the statement that the dollar officially became fiat money in 1971–3, I make the less obvious point that, in substance, the transition occurred much earlier, and document the multiple monetary and intervention techniques used to maintain the dollar standard in existence. Second, as widely recognized, the main element differentiating Bretton Woods from its successor is the demise of capital controls. I argue that stability requires that some form of control is reintroduced, particularly if the international monetary system evolves in a multipolar direction. [ABSTRACT FROM AUTHOR]

China has been both active and cautious in developing a central bank digital currency (CBDC). China CBDC has been in research and development since 2014. The process speeded up in 2019. It is currently at the stage of expanding real field experiments. Residents in 11 areas can open e‐wallets linked to nine major banks. It is centralized digital cash designed to gradually replace traditional paper cash and coins (M0). It will be supported by the traditional double‐layer banking system. It is not blockchain based at issuance but is technology neutral in distribution. Internet and technology companies may join commercial banks in distributing the China CBDC. In the short run, the China CBDC will help improve domestic financial monitoring and policy implementation. In the long run, it may play a role in the RMB's internationalization or even the international monetary system's evolution. [ABSTRACT FROM AUTHOR]

The official launch of the Libra project in 2019, and the subsequent troubles experienced by the project, stimulated a vigorous debate, from different perspectives, on the pros and cons of a private currency with global ambitions. This paper describes the main characteristics of Libra and of its heir, Diem, locating both in a partial taxonomy of the increasingly crowded field of so-called 'digital currencies'. In the light of the distinguishing features and risks of such an ambitious project, the paper also aims to assess the potential impact on a crucial issue of the present international monetary system: the power to create money. [ABSTRACT FROM AUTHOR]

Since the use of swap lines during the global financial crisis, the Federal Reserve is widely seen as international lender of last resort. Yet the focus on emergency liquidity assistance tends to obscure the broader significance of swap lines for US monetary governance. As this article shows, swap lines have historically played a crucial and evolving role in structuring and facilitating specific practices of offshore Eurodollar liquidity production in the interest of US monetary policy. A key contemporary example can be found in the uptake of swap lines during the Covid-19 market turmoil in early 2020: swap lines alleviated offshore dollar funding conditions to such an extent that they also triggered reverse inflows of dollar liquidity back into the US. More than simply providing a backstop to the global system, these swap interventions effectively restructured cross-border financial flows in a way that afforded the Fed greater control over domestic markets. Yet as the capacity to influence global liquidity conditions appears increasingly crucial to the Federal Reserve's control over domestic monetary conditions, these interventions pose broader questions about its role in managing instable and evolving cross-border credit relations that link domestic and global markets. [ABSTRACT FROM AUTHOR]

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Copyright of Moneta e Credito is the property of Associazione Economia Civile 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.)

Copyright of Moneta e Credito is the property of Associazione Economia Civile 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.)

Copyright of Journal of Financial Politic & Economic Reviews / Finans Politik & Ekonomik Yorumlar is the property of Journal of Financial Politic & Economic Reviews / Finans Politik & Ekomomik Yorumlar 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.)

The sound and sustainable development of the international monetary system is the cornerstone of the sound and stable development of the global economy. This paper takes digital currency in China as its research object and utilizes a regime-switching transition auto-regression (STAR) model and nonlinear time-varying parameter–stochastic volatility–vector auto regression (TVP-SV-VAR) model to empirically analyze the relationship between digital RMB, RMB internationalization, and the development of the international monetary system. The results show that the relationship between DC/EP and the internationalization of the RMB is time-varying, with the above relationship being significantly different in various economic situations. DC/EP can boost the internationalization of the RMB, and thereby contribute to the diversification of the international monetary system. The results have important policy implications for the sound and sustainable development of economic and financial markets. [ABSTRACT FROM AUTHOR]

We explore how China's geographically targeted policies impact RMB overseas use individually or in combination. The policies include swap agreements, clearing banks, investment quotas, and direct trading between Chinese renminbi (RMB) and non‐USD currencies. Adopting a fuzzy‐set qualitative comparative analysis and using Bank of International Settlements cross‐country data on foreign exchange markets, we find that institution building has lowered the barriers to international adoption of the RMB. Specifically, for countries economically close to China, high RMB trading is explained by either (i) having a clearing bank in the host market and direct quotations between the RMB and the local currency, or (ii) being a financial center and having access to the Chinese capital market. This combination of policies is explained by the creation of (i) "trading posts" that provide RMB liquidity abroad, and (ii) channels that allow actors to "recycle" offshore RMB funds. We triangulate our results with interviews conducted with senior People's Bank of China officials. [ABSTRACT FROM AUTHOR]

Questo numero speciale di Moneta e Credito è dedicato alla disamina delle conseguenze economiche del conflitto russo-ucraino. Ci proponiamo di evidenziare alcune tendenze che si sono manifestate con forza sin da questa fase preliminare del conflitto. In primo luogo, le conseguenze sulle economie dei paesi belligeranti, con un’enfasi particolare sulle sanzioni economiche ai danni della Russia e le loro conseguenze, sia economiche che politiche (Denis Melnik). In secondo luogo, analizzeremo le conseguenze sulle economie regionali (Joseph Halevi) e in particolare sull’economia italiana, mostrando i principali rischi a cui il conflitto e le sanzioni ci espongono (Giangrande, Cucignatto e Garbellini). Infine, discuteremo i cambiamenti sul sistema internazionale dei pagamenti, su quello monetario e sulle catene globali di approvvigionamento a cui il conflitto ha impresso una drammatica accelerazione (Lampa, Esposito e Tori, Fantacci et al.).

From the perspective of Marx's theory of the functioning of the international monetary system, there are inherent disadvantages in a sovereign currency acting as the world currency. First, the existing model of the single world currency is unfair, with the country whose sovereign currency functions as the world currency able to obtain huge international seigniorage and international inflation tax. Second, this single world currency model is unstable. The premise behind the functioning of an international monetary means of payment is the strong credit of currency-issuing countries, but the Triffin problem means that the sovereign currency issuers face a dilemma. Third, the duality of the monetary measure of value determines that there can be only one currency performing the function of a world currency in the international market, and a multipolar world currency pattern will lead to frictions among currency-issuing countries. Recognizing the disadvantages of using a sovereign currency as the world currency has important reference value and educative significance for achieving a correct view of digital currency, eSDRs, and RMB internationalization. [ABSTRACT FROM AUTHOR]

The main aim of this study is to verify whether the current international monetary system shows a transposition into a multipolar monetary arrangement. The study is aimed at analysing the prospects of three key currencies (the American dollar, the Euro, the Chinese renminbi) in the context of their transposition to a multipolar monetary system. For these currencies, the values of monetary concentration and those of the potential of monetary internationalization were analysed. We used a new approach for assessing the measurement potential of currency internationalization: the fuzzy-logic model. This approach includes economic and political factors. The prospects of the selected currencies are examined in this study in the context of the great economic lockdown. The conclusions confirm the existence of a trend of transposition into a multipolar monetary arrangement.