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Do the International Monetary and Financial Systems Need More than Short-Term Cosmetics Reforms?

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Abstract

The storm that has rocked our world has opened an interesting debate among economists and policy makers concerning with the need of a new international monetary and financial architecture. The monetary and financial regime that has been in force since the collapse of Bretton Woods (B-W), encourages indeed the persistence of unsustainable dynamics which spawn increasingly serious crises and it is unable of imparting an acceptable macro-economic discipline device to the world's economy. It became apparent that the global role of a key currency along with the deregulation of financial markets (neo-liberal paradigm) have acted as underlying conditions for the US financial crisis up to present situation and the following contagion to Europe. In this paper I point out the inadequacy of the institutional arrangements underlying the international monetary and financial regimes and I outline the relevance to the current debate of Keynes original plan, suggested rightly 70 years ago, that never born.

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  • Sau, Lino, 2014. "Do the International Monetary and Financial Systems Need More than Short-Term Cosmetics Reforms?," CESMEP Working Papers 201403, University of Turin.
    • Handle: RePEc:uto:cesmep:201403
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