10/30/2008 05:12 am ET Updated May 25, 2011

Yale Professor Argues For Global Monetary Authority

Jeffrey E. Garten, a professor at the Yale School of Management, had a piece in The Financial Times last week arguing for the need for a Global Monetary Authority because financial markets "have become borderless."

In a vacuum, I imagine United States officials would push back against such an idea, as it would give the United States much less authority. But given the international dimension to the current crisis -- and the hopes from the rest of the world that the United States will also rescue some foreign banks operating in America -- this proposal may soon have a chance. Any such international body created to supplant policies once determined primarily by the United States would still likely face lots of turf wars, though.

Read more on Economix