The sharp realities of financial globalization become clear during crises, when winners and losers emerge. Crises usher in short- and long-term changes to the status quo, and everyone agrees that learning from crises is a top priority. The Evidence and Impact of Financial Globalization devotes separate articles to specific crises, the conditions that cause them, and the longstanding arrangements devised to address them. While other books and journal articles treat these subjects in isolation, this volume presents a wide-ranging, consistent, yet varied specificity. Substantial, authoritative, and useful, these articles provide material unavailable elsewhere.

Table of Contents

• Preface
• Contributors
• Financial Globalization and Crises: Overview
• I: Evidence on Financial Globalization
• Measurements of Capital and Financial Current Account Openness
• Measurement and Impact of Equity Market Liberalization
• Bilateral Financial Links
• Global Imbalances
• Aid Flows
• II: Forces Behind Globalization
• Composition of International Capital Flows A Survey
• Migrant Remittances and Development
• International Mutual Funds, Capital Flow Volatility, and Contagion – A Survey
• Capital Raisings
• International Cross-listings
• Disclosure of Ownership and Public Companies
• Role of Trade Finance
• Foreign Bank Participation in Developing Countries
• Opportunistic Foreign Currency Debt Issuance
• International Government Debt
• Carry Trade
• III: Effects of Financial Globalization
• Capital Market Integration
• Collateral Benefits of Financial Globalization
• Foreign Direct Investment and Growth
• International Technology Transfer and Foreign Direct Investment
• Role of Multinational Corporations in Financial Globalization
• India's Reintegration into the World Economy in the 1990s
• Reforms of China's Banking System
• Policy Issues of China's Financial Globalization
• Financial Integration in Europe
• IV: Monetary and Exchange Rate Policy Under Financial Globalization
• The Impossible Trinity (aka The Policy Trilemma)
• Financial Globalization and Monetary Policy
• Interest Rate Parity
• Exchange Rate Regimes
• Currency Unions
• Financial Dollarization
• V: Crises
• Models of Currency Crises
• Predictive Indicators of Financial Crises
• A Perspective on Predicting Currency Crises
• Empirical Literature on Financial Crises: Fundamentals vs. Panic
• Sudden Stops in Capital Flows
• Definitions and Types of Financial Contagion
• Cross-Border Banking: Regulation, Supervision, and Crisis Resolution
• Market-Based Approach to Financial Architecture
• Housing Is the Business Cycle
• US Stock Market Crisis of 1987
• Mexican Financial Crisis of 1994–1995
• East-Asian Crisis of 1997
• Financial Globalization and the Russian Crisis of 1998
• Argentina's Default of 2001
• Assessment of Solutions to US Financial Crisis of 2008–09
• A Cross-Country Perspective on the Causes of the Global Financial Crisis
• Lessons and Policy Implications from the Global Financial Crisis