Home > Publications > Books > Reforming the International Financial System for Development

Reforming the International Financial System for Development

Jomo Kwame Sundaram (editor)

The 1944 Bretton Woods conference created new institutions for international economic governance. Though flawed, the system led to a golden age in postwar reconstruction, sustained economic growth, job creation, and postcolonial development. Yet financial liberalization since the 1970s has involved deregulation and globalization, which have exacerbated instability, rather than sustained growth. In addition, the failure of Bretton Woods to provide a reserve currency enabled the dollar to fill the void, which has contributed to periodic, massive U.S. trade deficits.

Purchase Book

Hardcover
ISBN-10: 0231157649
ISBN-13: 978-0231157643
Available at Amazon

The 1944 Bretton Woods conference created new institutions for international economic governance. Though flawed, the system led to a golden age in postwar reconstruction, sustained economic growth, job creation, and postcolonial development. Yet financial liberalization since the 1970s has involved deregulation and globalization, which have exacerbated instability, rather than sustained growth. In addition, the failure of Bretton Woods to provide a reserve currency enabled the dollar to fill the void, which has contributed to periodic, massive U.S. trade deficits.

Our latest global financial crisis, in which all these weaknesses played a part, underscores how urgently we must reform the international financial system. Prepared for the G24 research program, a consortium of developing countries focused on financial issues, this volume argues that such reforms must be developmental. Chapters review historical trends in global liquidity, financial flows to emerging markets, and the food crisis, identifying the systemic flaws that contributed to the recent downturn. They challenge the effectiveness of recent policy and suggest criteria for regulatory reform, keeping in mind the different circumstances, capacities, and capabilities of various economies. Essays follow ongoing revisions in international banking standards, the improved management of international capital flows, the critical role of the World Trade Organization in liberalizing and globalizing financial services, and the need for international tax cooperation. They also propose new global banking and reserve currency arrangements.

About the Editor

Jomo Kwame Sundaram
Assistant Secretary General for Economic Development
United Nations

Jomo Kwame Sundaram has been Assistant Director General and Coordinator for Economic and Social Development (ADG-ES), Food and Agriculture Organization of the United Nations since 2012. He was Assistant Secretary General for Economic Development in the UN Department of Economic and Social Affairs (DESA) from 2005 until 2012, and Research Coordinator for the G24 Intergovernmental Group on International Monetary Affairs and Development from 2006 until 2012. He has received several honours and awards for his work including the 2007 Wassily Leontief Prize for Advancing the Frontiers of Economic Thought.

Publication Information

Type Books
Program Financial Markets Reform
Download 411kb pdf
Posted 01/01/11
Publisher Columbia University Press
Year 2011
# Pages 392pp