Comment Paper to Chapter “Regional Monetary Cooperation in Asia”
Barry Eichengreen concluded in his volume of 1994 that a floating exchange rate system was more appropriate for Asia than a monetary union because insufficient preparation had been undertaken for economic integration (Eichengreen 1994). More than 10 years have passed since then, and in light of the enlargement of intra-Asian trade and the monetary crisis, the idea of monetary union or single currency in Asia appears a realistic choice for Asia. While the recent euro crisis has posed difficult questions as to the management of the regional monetary union, a crisis prevention measure via the establishment of a regional monetary union has not lost its impetus. Ogawa’s plan for an AMU is one where common currency indicators are introduced into Asia, and this will finally lead to regional integration. Although this idea is interesting and of value in the current unstable international economic situation, I wish to further explain some points that were not fully discussed.
KeywordsMonetary Policy Regional Integration Monetary Union Financial Integration European Monetary System
- Boussaut G (1997) L’Europe des Français. ParisGoogle Scholar
- Eichengreen B (1994) International monetary arrangements for the 21st century. The Brookings Institution, Washington, DC [Translation by Fujii Y (1997) Iwanami-shoten, p 157]Google Scholar
- Küsters HJ (1994) West Germany’s foreign policy in Western Europe, 1949–58: the art of the possible. In: Wurm C (ed) Western Europe and Germany: the beginning of European integration 1945–1960. Berg Publishers, Oxford, p 55Google Scholar
- Milward AS (1992) The European rescue of the nation-state. Routledge, LondonGoogle Scholar
- Polanyi K (1944) The great transformation. Rinehart, New YorkGoogle Scholar