Cover -- Half-title -- Title -- Copyright -- Contents -- Figures -- Tables -- Contributors -- Acknowledgements -- Introduction: global market integration, financial crises and policy imperatives -- Central conceptual and policy issues -- The organisation of the volume -- Notes -- Part I Financial globalisation and policy responses: concepts and arguments -- 1 Reform of the international financial architecture: what has been written? -- Differing perspectives on the globalisation debate -- Causes, critiques, suggestions -- What has not been written -- Notes -- 2 Costs and benefits of financial globalisation: concepts, evidence and implications -- Benefits and costs of financial globalisation -- Capital mobility and economic growth: an evaluation -- Coping with financial globalisation: national policy responses -- The role of international institutions -- Conclusion -- Notes -- 3 Capital controls: the neglected option -- The new geography of money -- The case for controls -- Pros and cons -- Back to the future? -- The role of the United States -- Domestic politics -- Conclusion -- Notes -- 4 Global structures and political imperatives: in search of normative underpinnings for international financial order -- Capital mobility, state policy capacity and political legitimacy -- Financial integration, private power and democratic accountability -- Global market structures versus domestic political imperatives -- Conclusion -- Notes -- Part II Globalisation, financial crises and national experiences -- 5 Crisis consequences: lessons from Thailand -- The Thai crisis -- Controlling capital flight -- Avoiding financial seizure -- The importance of region -- The defence of national policy -- Conclusion -- Notes -- 6 The politics of financial reform: recapitalising Indonesia's banks -- The roots of the problem -- The state banks -- The private banks.

The crisis and the banks -- The struggle to recapitalise banks and restructure debt -- The politics of reform: tackling the state apparatus -- The broader struggle -- Global financial architecture again -- Notes -- 7 South Korea and the Asian crisis: the impact of the democratic deficit and OECD accession -- South Korean hybridity: a stylised review of its economics and politics -- South Korea and the OECD -- Financial sector reform: the substantive problem acknowledged -- Conclusions: policy lessons and recommendations -- Notes -- 8 Currency crises in Russia and other transition economies -- Prevailing explanations of the Russian crisis -- Russia's 1998 financial collapse -- Macroeconomic stabilisation of 1995-8 -- The weak foundations of macroeconomic stabilisation -- (Mis)managing the August 1998 crisis -- After the crisis -- Exchange rate policy for transition and developing economies -- Political economy of exchange rate overvaluation -- Concluding remarks -- Preventing the appreciation of the real exchange rate -- Exchange-rate-based versus money-based stabilisation -- Fixed versus flexible exchange rates -- Capital account opening and the strength of the banking system -- Notes -- 9 Capital account convertibility and the national interest: has India got it right? -- India's payments regime: managed floating and capital controls -- Foreign direct investment -- Foreign portfolio investment -- External commercial borrowing -- Bank deposits of non-resident Indians (NRI deposits) -- Credit operations of resident commercial banks -- Capital outflows -- Management of India's balance of payments in the 1990s -- The payments crisis of 1991 -- The surge in capital inflows, 1993-5 -- Volatility, 1995-9 -- Mid-1995-early 1996 -- Mid-1997-early 1998 -- Mid-1998-early 1999 -- Why did India escape crisis and contagion? -- Political economy.

Technical issues -- Ideological principle -- Evidence and experience -- Domestic politics -- International politics -- Should India move to CAC in the near future? -- CAC and India's financial sector -- Concluding remarks -- Notes -- 10 Learning to live without the Plan: financial reform in China -- Dismantling the Plan and replacing the Plan -- Redressing the balance in centre-local relations -- 1994 fiscal reforms and centre-local relations -- Local control of financial institutions -- Safety net socialism and financial reform -- Government debt and the subsidy cycle in the 1980s -- Non-performing loans and institutional debt -- Bad debts revisited: the politics of employment in the PRC -- Opening to the global economy: external pressures for reform -- Conclusions -- Notes -- 11 The Asian financial crisis and Japanese policy reactions -- Initial rescue attempts under the IMF -- Japan's failure in domestic economic management -- From reform to stabilisation -- A new start for regionalism in Asia? -- Obstacles to regional monetary co-operation in Asia -- Conclusion -- Notes -- Part III Private interests, private-public interactions and financial policy -- 12 Private capture, policy failures and financial crisis: evidence and lessons from South Korea and Thailand -- The argument -- Thailand -- South Korea -- Conclusion -- Notes -- 13 Governance, markets and power: the political economy of accounting reform in Indonesia -- Understanding the dynamics of accounting reform in developing countries -- Argument -- The Indonesian case -- The contending interests -- Accounting policy making in Indonesia: 1965-mid-1980s -- Accounting policy making in Indonesia since the mid-1980s -- The 1997-8 economic crisis and further reform -- Resistance to reform -- Conclusion -- Notes -- 14 The private sector, international standards and the architecture of global finance.

Informational failure, confidence collapse and capital crisis -- Proposals to reform the global financial system -- IFIs and global financial standards -- The private sector and standard formulation and enforcement -- Conclusion -- Notes -- Part IV Building the new financial architecture: norms, institutions and governance -- 15 The legitimacy of international organisations and the future of global governance -- The legitimacy of IOs: history and crisis -- The legitimacy crisis in IFIs -- Consequences of the legitimacy crisis -- International organisations and international socialisation -- IFIs' contribution to international socialisation -- International rules, values and norms: what has been left over? -- Scenarios for the future of global governance -- Universal constitutionalism -- Regionalism, particularism, technocratism and cynicism -- Notes -- 16 The G-7 and architecture debates: norms, authority and global financial governance -- The shared belief system of the G-7 -- Macroeconomic policy -- Exchange rates and the international financial system -- The belief system and the G-7 process -- The belief system in practice: three-dimensional diplomacy -- The G-7 process and the architecture of global finance -- Conclusions -- Notes -- 17 Bail-outs, bail-ins and bankruptcy: evolution of the new architecture -- LOLR, liquidity provision and creditor co-ordination -- The debate about CACs: theory and evidence -- Recent bond exchanges: was it a 'standstill honeymoon'? -- The strategic case for improving legal procedures -- Summary and Conclusion -- Postscript -- Notes -- Conclusion: towards the good governance of the international financial system -- Empirical findings and policy implications -- Limits of the new financial architecture -- Political constraints on national policy changes -- Harmonising pressures versus national diversity.

Regional co-operation: the neglected option -- Failure to forge micro-macro linkages -- Inadequate attention to normative dimensions -- Notes -- Index.