International Macroeconomic Stabilization Policy
International macroeconomics has been an area of research activity during the last two decades and Turnovsky has made a central contribution to the area in both theory and policy. This volume, which presents a selection of his most significant work, is intended to develop analytical approaches and modelling strategies applicable to a variety of issues in international macroeconomics. The first part of the book reviews the development of analytical models, beginning with the Mundell-Fleming and Dornbusch sticky-price models. Turnovsky goes on to consider more recent stochastic rational expections models and those directed at deriving macroeconomic equilibrium relationships from optimizing behaviour. The second part of the book deals with policy, specifically exchange market intervention, strategic policy making and policy coordination.