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Capital Flows

Elephants and Macro-Financial Linkages

Otaviano Canuto | Posted 01.23.2014 | World
Otaviano Canuto

Global financial integration and the linkages between the financial and the real sides of economies are sources of huge policy challenges. A newly released book sheds new light on those multiple challenges.

Rethinking Macroeconomic Policy

Olivier Blanchard | Posted 06.29.2013 | Business
Olivier Blanchard

Rethinking and reforms are both taking place. But we still do not know the final destination, be it for the redefinition of monetary policy, or the contours of financial regulation, or the role of macroprudential tools.

Risks to Financial Stability Increase, Bold Action Needed

José Viñals | Posted 09.16.2012 | Business
José Viñals

Emerging economies are facing a twin challenge: dealing with the impact from advanced economies' troubles, while confronting increasing home-grown vulnerabilities.

2011 In Review: Four Hard Truths

Olivier Blanchard | Posted 02.20.2012 | Business
Olivier Blanchard

As the year draws to a close, the recovery in many advanced economies is at a standstill, with some investors even exploring the implications of a potential breakup of the euro zone, and the real possibility that conditions may be worse than we saw in 2008.

Interest Rates and Investor Decisions: The Long and Short of It

Erik Oppers | Posted 11.13.2011 | Business
Erik Oppers

What drives the investment decisions of investors with a longer time horizon? Our research found these investors generally do not look at differences in interest rates among countries when deciding where to invest.

Tough Political Decisions Needed to Fix the Financial System

José Viñals | Posted 08.20.2011 | Business
José Viñals

We are now in a new phase of the crisis -- the political phase -- and tough political decisions need to be made. Time is of the essence.

What I Learnt in Rio: Discussing Ways to Manage Capital Flows

Olivier Blanchard | Posted 08.03.2011 | Business
Olivier Blanchard

Governments have five tools to adjust to capital flows: monetary policy, fiscal policy, foreign exchange intervention, prudential tools, and capital controls. The challenge is to find, for each case, the right combination.

Gold May Glitter But Can It Deliver?

Gemma Godfrey | Posted 07.13.2011 | Business
Gemma Godfrey

The classic safe-haven investment has seen a strong uptrend in value since the autumn of 2008. Various factors have been credited as drivers of this move, but what is the risk gold could lose its luster?

More, Not Less, Financial Integration Needed in Europe

Antonio Borges | Posted 07.12.2011 | Business
Antonio Borges

Banks -- and the loans they provided in the run-up to the crisis -- are at the heart of Europe's problems today. Policies to promote deeper integration of Europe's banks should be part of the solution.

Asian Countries Join Forces To Fight Inflation Risk

Posted 07.03.2011 | Business

HANOI - Finance ministers of China, Japan and South Korea are mindful of the challenges from inflation, rising commodity prices and the increasing...

Nanjing and the New International Monetary System

Dominique Strauss-Kahn | Posted 05.31.2011 | Business
Dominique Strauss-Kahn

The current international monetary system has certainly delivered a lot. But it also has flaws that need to be fixed, especially if the next phase of globalization is to succeed in bringing a strong and broad-based rise in living standards.

Rewriting the Macroeconomists' Playbook in the Wake of the Crisis

Olivier Blanchard | Posted 05.25.2011 | Business
Olivier Blanchard

Before the global economic crisis, mainstream macroeconomists had largely converged on a framework for the conduct of macroeconomic policy. It is now time to converge again.

Bernanke: Regulators Can Handle 'Too Big To Fail' Banks

The Huffington Post | Yepoka Yeebo | Posted 05.25.2011 | Business

Fed chairman Ben Bernanke said on Thursday that regulators could now handle the collapse of a "too big to fail" bank. The next day, presenting a new r...

A Stronger Financial Architecture for Tomorrow's World

Dominique Strauss-Kahn | Posted 05.25.2011 | Business
Dominique Strauss-Kahn

Reform of the international monetary system is wide-ranging and complex. Global debate is only just starting. But we must all recognize that this is not something academic or abstract. We need concrete ideas.

Time Waits for No Man: How to Secure Financial Stability in 2011

José Viñals | Posted 05.25.2011 | Business
José Viñals

In emerging markets, policymakers must act now to avoid future crises. It is important to maintain the appropriate mix of macroeconomic and prudential financial policies to deal with the challenges posed by capital inflows.

Two-Speed Global Recovery Continues

Olivier Blanchard | Posted 05.25.2011 | Business
Olivier Blanchard

The world economic recovery continues. But it remains a two-speed recovery: slow in advanced countries, and much faster in emerging and developing economies.

Exploring Economic Policy Frontiers After the Crisis: 2010 IMF Research Conference

Olivier Blanchard | Posted 05.25.2011 | Business
Olivier Blanchard

The crisis has forced economists and policy makers to go back to their drawing boards. Where did they go wrong, and what implications does the crisis have for both macroeconomic theory and macroeconomic policy making?

Listening to and Learning From Asia

Dominique Strauss-Kahn | Posted 05.25.2011 | Business
Dominique Strauss-Kahn

There was consensus in Daejeon this week that Asia has emerged from the crisis as an economic powerhouse. While initially hit hard, Asia has been able to bounce back quickly and return to a strong growth path.

Global Economy: Continuing Recovery But Clouds on the Horizon

Olivier Blanchard | Posted 05.25.2011 | Business
Olivier Blanchard

How Europe deals with fiscal and financial problems, how advanced countries proceed with fiscal consolidation, and how emerging countries rebalance their economies going forward will determine if we see recovery or stagnation.

Asia: Leading the Global Recovery

Anoop Singh | Posted 05.25.2011 | Home
Anoop Singh

I am in China this week to present our new Asia-Pacific Regional Economic Outlook in Shanghai. I remain as impressed as ever by China's energy and vib...

IMF Sees Financial Risks Still Elevated

José Viñals | Posted 05.25.2011 | Business
José Viñals

If the legacy of the present crisis and emerging sovereign risks are not addressed, we run the very real risk of undermining the recovery and extending the financial crisis into a new phase.