From the Editor
Author | Ian S. McDonald |
Position | Editor-in-Chief |
The end of a millennium is an occasion to review and take stock of past achievements. More important, it is also an opportunity to look forward and gauge the potential for future progress. This issue of Finance & Development seeks to do just that.
The stage for this review is set by John Kenneth Galbraith, the distinguished economist, who discusses some of the major challenges that face humankind as it enters the twenty-first century. He makes a plea for a closer international association as the key to improving life in the poorest countries and to fostering greater stability in the more developed countries.
The prospects for the global economy are analyzed by the IMF's area department heads. They assess the progress that has been made and the distinct challenges that must be overcome in each region to promote sustainable growth and, in the developing countries, to overcome the burden of poverty.
Several authors address the issues of globalization, development, and trade liberalization. Harold James takes a look at the danger posed by those who might react to, and seek to turn against, the workings of the open market economy. Shahid Yusuf analyzes the tensions between two seemingly opposed forces: while globalization has forced countries to focus on supranational issues, at the same time localization represents the growing demand for autonomy and political participation at the local level. William Dillinger and Marianne Fay review the benefits of decentralization and caution that certain preconditions must be met for it to succeed.
Two articles deal with the opportunities created by an open trading system. Simon Evenett sees all countries-developing as well as industrial-as benefiting from opening up their markets. While African countries can only gain by advocating open markets for their exports, Robert Sharer sees opportunities for them to make further progress by liberalizing their own trade regimes.
Other articles in this issue deal...
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