Abstract
Efficiency concerns the effectiveness with which the world’s resources are used to increase global economic welfare. In conventional economic theory, the concept of efficiency is normally regarded as having two broad, multivariate dimensions: a macroeconomic dimension, involving the overall level of employment of resources and the attainment of price stability; and a microeconomic dimension, involving the allocation of scarce resources among alternative ends in production and consumption. The structure of any international monetary order necessarily affects both of these dimensions. The purpose of this chapter is to examine the relationship between the monetary order and global economic efficiency.
Keywords
Exchange Rate Foreign Exchange Official Reserve Confidence Problem Efficiency ObjectivePreview
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Notes
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