The Bridge to a Global Middle Class compiles a unique series of papers originally commissioned by the Council on Foreign Relations in the wake of the financial crises of 1997-1998. This thought-provoking retrospective culls the views of economists, international financial institutions, Wall Street, organized labor and varying public-interest organizations on the issue of how to fortify our global financial infrastructure. Their effort is the culmination of an 18-month study - The Project on Development, Trade, and International Finance - that seeks to encourage the evolution of middle-class oriented economic development in emerging market countries. In addressing the world economic problems that led to the crises and examining methods to improve the workings of the world's financial markets, they offer ideas, policy recommendations, and suggest the concrete forms these might take, in the drive to transition the world economy toward strategies that offer the developing world an improved standard of living. These papers make a convincing case for middle-class-oriented economic development as the key to global prosperity and stability. U.S. and international policy-makers will find these insightful discussions valuable in forming new policy and providing the appropriate stimulus for economic development in emerging economies.
Note from the Editors. Contributors. Acknowledgements. 1. Financial Architecture for Middle-Class-Oriented Development; W.R. Mead, S.Schwenninger.2. Private Capital Flows, Emerging Economies and International Financial Architecture; G. Yago.3. Building the Financial Infrastrucure for Middle Class Emerging Economies; J.D'Arista.4. Capital Flows and the International Financial Architecture; J. Eatwell, L. Taylor.5. Solving the Currency Conundrum; B. Eichengreen.6. The Diminishing Returns to Export-Led Growth; R.A. Blecker.7. The American Stock Market as a Financial Risk: A Discussion of Historic and Demographic Risks; R.H. Dugger,R.C. McNally, R. Medley.8. Reforming and Deepening Mexico's Financial Markets; F. Lopes-de-Silanes.9. Economic Crisis and Corporate Reform in East Asia; M. Woo-Cumings.10. Cultural Contradictions of Post-Communism: Why Liberal Reforms Did Not Succeeed in Russia; N.L.Khruscheva.11. Korea's Comeback: The Government's Predicament; H.L.Root.12. Sustainable Development and the Open-Door Policy in China; J.K. Galbraith, Jiaging Lu.13. The Paradox of Free-Market Democracy: Indonesia and the Problems Facing Neoliberal Reform; A.L. Chua.