Bill Mitchell — External economy considerations – Part 4

I am now using Friday’s blog space to provide draft versions of the Modern Monetary Theory textbook that I am writing with my colleague and friend Randy Wray. We expect to publish the text sometime in 2013. Our (very incomplete) textbook home page – Modern Monetary Theory and Practice – has draft chapters and contents etc in varying states of completion. Comments are always welcome. 

Note also that the text I post here is not intended to be a blog-style narrative but constitutes the drafting work I am doing – that is, the material posted will not represent the complete text. Further it will change as the drafting process evolves.



 Chapter 21 Policy in an Open Economy: Exchange Rates, Balance of Payments, and Competitiveness

This material updates the work already done on Chapter 21 that appeared in the following blogs:

▪ External economy considerations – Part 1
▪ External economy considerations – Part 2
▪ External economy considerations – Part 3

The material was previously in Chapter 15 but some re-arrangement of the sequence of the pedagogy has resulted in this discussion now becoming Chapter 21.
The earlier draft had some gaps and some sections to complete which is what I am doing today. The sections I am working on today are not in any particular sequential order.

21.2 The Balance of Payments

Bill Mitchell – billy blog
External economy considerations – Part 4
William F. (Bill) Mitchell |Professor of Economics at Charles Darwin University, Professor of Economics at the University of Newcastle, and inaugural director of CofFEE