Global Capital Markets: Integration, Crisis, and
Growth | Maurice Obstfeld, Alan M.
Taylor
Cambridge University Press | December 2003 | Hardback
| 384 pages | ISBN: 0521633176
The rise, fall and rise again
of financial globalization between the nineteenth century and the 1990s is a
topic of burning interest to economists and economic historians alike. This
invaluable volume is the culmination of nearly a decade of path-breaking
research by Maurice Obstfeld and Alan M. Taylor into international capital
mobility and its macroeconomic significance over the long run. No one who
wishes to have a historically informed understanding of global financial
markets — and the crises which afflict them — can afford to ignore it.
Niall Ferguson, New York University
In Global Capital Markets, Maurice Obstfeld and
Alan Taylor present a comprehensive and pragmatic approach to studying the
costs and benefits of integration into the global financial system. They start
by drawing on the relevant theory and then examine an enormous range of
evidence, starting from the gold standard system, through the most recent
econometric studies. And they reach thoroughly sensible, nuanced conclusions,
namely — well, you should really read the book to find out.
Stanley Fischer, Vice Chairman,
Citigroup; former Deputy Managing Director, International Monetary Fund
The costs and benefits of international capital
flows have been the focus of much of the controversy over globalization.
Obstfeld and Taylor provide a compelling and comprehensive study of the
economics and history of capital market integration, that makes very clear the
great benefits of integration as well as explaining clearly the circumstances
in which the costs arise. They give us new data and new insights, and above all
a new analytical framework. Their careful and convincing analysis should put an
end to a great deal of fruitless polemic.
Harold James, Princeton University
This is the place to send your students to find
out about international capital flows. Obstfeld and Taylor use economic theory
to understand history and, more importantly, history to comprehend and
calibrate theory.
Peter Temin, Massachusetts Institute
of Technology