Global Financial Integration Thirty Years On: From Reform to Crisis

by Geoffrey R. D. Underhill (Editor), Jasper Blom (Editor), Daniel Mügge (Editor)

Overview

Early in the new millennium it appeared that a long period of financial crisis had come to an end, but the world now faces renewed and greater turmoil. This volume analyses the past three decades of global financial integration and governance and the recent collapse into crisis, offering a coherent and policy-relevant overview. State-of-the-art research from an interdisciplinary group of scholars illuminates the economic, political and social issues at the heart of devising an effective and legitimate financial system for the future. The chapters offer debate around a series of core themes which probe the ties between public and private actors and the consequences for outcomes for both developed markets and developing countries alike. The contributors argue that developing effective, legitimate financial governance requires enhancing public versus private authority through broader stakeholder representation, ensuring more acceptable policy outcomes.

Product Details

ISBN-13:	9780521198691
Publisher:	Cambridge University Press
Publication date:	09/02/2010
Pages:	376
Product dimensions:	6.10(w) x 9.00(h) x 1.00(d)

About the Author

Geoffrey R. D. Underhill is Chair in International Governance in the Department of Political Science at the University of Amsterdam.

Jasper Blom is a Ph.D. candidate in the Department of Political Science at the University of Amsterdam.

Daniel Mügge is Assistant Professor of International Political Economy in the Department of Political Science at the University of Amsterdam.

Table of Contents

List of figures viii

List of tables x

Notes on contributors xi

Preface xiii

Acknowledgements xv

List of abbreviations xvii

Introduction: the challenges and prospects of global financial integration Geoffrey R. D. Underhill Jasper Blom Daniel Mügge 1

Part I History and context: input, output and the current architecture (whence it came) 23

1 Financial governance in historical perspective: lessons from the 1920s Randall Germain 25

2 Between the storms: patterns in global financial governance, 2001-2007 Eric Helleiner Stefano Pagliari 42

3 Deliberative international financial governance and apex policy forums: where we are and where we should be headed Andrew Baker 58

4 Finance, globalisation and economic development: the role of institutions Danny Cassimon Panicos Demetriades Björn Van Campenhout 74

Part II Assessing the current financial architecture (how well does it work?) 93

5 Adopting international financial standards in Asia: convergence or divergence in the global political economy? Andrew Walter 95

6 The political economy of Basel II in the international financial architecture Stijn Claessens Geoffrey R. D. Underhill 113

7 The catalytic approach to debt workout in practice: coordination failure between the IMF, the Paris Club and official creditors Eelke De Jong Koen Van Der Veer 134

8 Empirical evidence on the new international aid architecture Stijn Claessens Danny Cassimon Björn Van Campenhout 150

9 Who governs and why? The making of a global anti-money laundering regime Eleni Tsingou 172

10 Brazil and Argentina in the global financial system: contrasting approaches to development and foreign debt Victor Klagsbrunn 187

11 Global markets, national alliances and financial transformations in East Asia Xiaoke Zhang 204

Part III Does the future hold? Reactions to the current regime and prospects for progress (where is it going?) 221

12 Changing transatlantic financial regulatory relations at the turn of the millennium Elliot Posner 223

13 Monetary and financial cooperation in Asia: improving legitimacy and effectiveness? Heribert Dieter 241

14 From microcredit to microfinance to inclusive finance: a response to global financial openness Brigitte Young 256

15 Combating pro-cyclicality in the international financial architecture: towards development-friendly financial governance José Ocampo Stephany Griffith-Jones 270

16 Public interest, national diversity and global financial governance Geoffrey R. D. Underhill Xiaoke Zhang 287

Conclusion: whither global financial governance after the crisis? Daniel Mügge Jasper Blom Geoffrey R. D. Underhill 304

References 316

Index 347

Editorial Reviews

“Amidst the flurry of commentary provoked by the global financial crisis, this impressive collection of essays stands out for both the breadth of its coverage and the depth of its analysis. The editors have brought together an outstanding group of scholars to address the challenge of financial governance today, with the linked issues of effectiveness and legitimacy taking center stage. The book is a must read.”
Benjamin J. Cohen, Louis G. Lancaster Professor of International Political Economy, University of California, Santa Barbara

“Written in the midst of an emergency that nearly brought down the global economy, the chapters in this timely and cohesive book range widely over a vital arena where the legitimacy and effectiveness of key policies are now highly debatable. The editors gathered many of the world’s best analysts to set out and critically examine the post-crisis reform agenda. The result will reward the careful attention of scholars, students, and practitioners alike.”
Louis W. Pauly, Canada Research Chair in Globalization and Governance and Director of the Centre for International Studies, University of Toronto; Editor, International Organization

“The global financial crisis has demonstrated the weaknesses of international financial governance. The emergence of the G20 is one response, but just a promising beginning. This book offers a wide range of timely lessons from history, political economy and finance to guide us in exploring new paths to a safer international financial system. It is a fine example of how research can inform policy.”
Richard Portes, Professor of Economics, London Business School

From the Publisher