In his latest, author and economics journalist Wolf (Why Globalization Works) pronounces the current, "nearly inevitable" global economic crisis the product of a "perfect storm" of global macroeconomic imbalances: the scale of net borrowing by the U.S. and the lack of corporate demand for outside funding, exacerbated by aggressive monetary easing, consequent financial excess, and the housing bubble. Wolf's writing is hardly popular economics, requiring some work to understand and absorb, but it bridges a gap in economic understanding not yet addressed by Congressional subcommittees or the media, whose only suspects thus far have been Republican free market policy and Wall Street greed. The primary problem, argues Wolf, is global reliance on the United States as the borrower of last resort. Whether Wolf is correct is another question-determining that would require putting his suggested policies into action. Domestic financial housecleaning aside, Wolf's plan includes countries like China finding domestic uses for their enormous account surpluses and emerging countries creating first-world financial systems that complement but don't depend upon global financial markets, goals requiring significant international cooperation. Heavy but rewarding, Wolf's analysis fills in a lot of blanks for those seeking to understand the new U.S. recession in a global context.
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Heavy but rewarding, Wolf's analysis fills in a lot of blanks for those seeking to understand the new U.S. recession in a global context.
This is an ambitious book by one of the most respected financial journalists of our time... He does a terrific job, taking us through the plethora of theories that were put out to explain the imbalances, debunking the more popular but flaky ones with gusto.
Wolf is adamant: global trade and global finance ride in harness, and global finance requires controls —controls that cover all nations. Agree or not, get the book and expand your understanding of precisely what has brought the United States to its current flirtation with disaster.
(Arthur Jones The Desk
In the diligent Fixing Global Finance, the Financial Times editor and columnist takes on the imbalances that have made the world economy lopsided.
(Andrew Bast Newsweek
An extremely helpful guide to the origins of today's problems and to possible solutions... Written before the crisis, it is unhindered by minutiae about the crescendo of ad hoc measures that several governments took throughout the fall.
(Harold James Foreign Affairs
If Mr. Wolf were to rewrite his book... he would no doubt shift his emphasis. But his first run at the subject... holds up remarkably well despite all that has happened.
The only inkling of hope is that policy makers everywhere have been so shaken by events that they will heed what Wolf advises. This book is a great and important contribution to everyone's welfare on the globe. It can be paid no higher accolade.
(Will Hutton Guardian
The coverage of history alone is worth the price of the book... also a worthwhile read because of the story Wolf weaves to explain the development of the imbalances in world markets that resulted in the current financial and economic crisis.
(John M. Mason Seeking Alpha
Give the world's current economic crisis, Wolf's book is timely.
Fixing Global Finance marks a turning point in his worldview... offers important pointers to the way ahead.
(Robert Skidelsky New York Review of Books
College-level libraries strong in global business need this [book].
(Midwest Book Review
[Martin Wolf] the must-read Financial Times columnist.
(Wayne E. Yang Asian Review of Books
Martin Wolf’s book Fixing Global Finance provides an excellent description of international financial relations in the recent period... an excellent read
(Kirsten Wandschneider H-Net Reviews
Martin Wolf is the world's preeminent financial journalist. This book should be read by anyone who cares about the future of the international system, which, given recent events, is anyone who cares about the global economy or their economic future.
(Lawrence H. Summers, former U.S. Secretary of the Treasury)
An extraordinarily cogent and thoughtful look at the contemporary United States borrowing binge, which stands as the leading macroeconomic and financial puzzle of our time. Wolf rigorously critiques the cutting-edge academic debate with depth, thoroughness, and readability that one will not find anywhere else.
(Kenneth Rogoff, Harvard University)
The global financial imbalances of the twenty-first century will have a profound impact on international politics and American foreign policy. In this brilliant, compelling and readable book, Martin Wolf explains what has happened to the global financial order and what can be done to avoid the shocks of international finance.
(Michael Mandelbaum, author of Democracy's Good Name: The Rise and Risks of the World's Most Popular Form of Government
No one understands and explains international economics and exchange rates better than Martin Wolf. This short book comes at a time when everyone can benefit from a deeper understanding of these issues.
(Martin Feldstein, Harvard University)