Description
Keynote address and ensuing panel discussion on Trade Wars, Currency Manipulation and global financial Stability. Reflecting recent scholarship I discussedthe Intermingling of Trade, Monetary, and Fiscal Policy: Panelists discussed how it is no longer feasible to separate trade, monetary and fiscal policy, as they are now basically integrated in the global economic system. Because of this overlap, global markets are more and more vulnerable to regional banking crises.
In a multipolar global economy it is necessary to stabilize the international economic system while further integrating trade, monetary, and fiscal policy. Arguing that the world would not be willing to return to a Bretton Woods system where the United States makes the most important decisions, the panelists said that creating a multipolar economic system should be a priority. They also mentioned that, since the United States and China are in the midst of a trade war, it is increasingly unlikely that great powers will work together to solve economic problems, making a multipolar system a fairer, better option for the global community.
The Global Unit of Account: I also discussed the need for a Global Unit of Account (GUOA) that would standardize and measure the rate of global GDP growth or decline, the volatility of global commodity and energy prices, and the volatility of the key global stock market indices. I thus argued that the GUOA would curb speculation and currency manipulation. Furthermore, the GUOA would be impossible to manipulate, would incorporate flexibility and allow for some uncertainty in currency valuation, and would not be pegged to vague concepts like purchasing power. The GUOA could be included in revisions of IMF articles, WTO treaties, or as a binding element in regional trade agreements.
| Period | 3 Sept 2018 |
|---|---|
| Event type | Workshop |
| Location | Beijing, ChinaShow on map |
| Degree of Recognition | International |