Abstract
In many respects, Europe has been an innovator in the design of international institutions. In trade, Britain led with nineteenth-century unilateral trade liberalization, followed by the Cobden-Chevallier network of bilateral treaties, a customs union in central Europe, and then inward-looking arrangements with colonies.’ In the post-Second World War period, Europe has been moving toward regional political and economic integration since the 1950s. The European Community (EC) has also been a leader in the move toward transregional arrangements linking developing countries (Lomé Agreement) and Eastern European countries to the EC as well as inter-regionalism that brings it together with the Association of South East Asian Nations (ASEAN), Mercosur, and other regional blocs.2 In finance, Europeans were the primary architects of the gold standard in the nineteenth century, and adapted this system at the turn of the twentieth century. European states played crucial roles in the failed effort to revive the global economy through the innovation of monetary arrangements and the more successful efforts in creating the Bretton Woods system. In the post-Second World War period, following a bewildering array of monetary arrangements, most EC countries have relinquished their national currencies, leading to an unprecedented form of monetary union based on a single currency.
Keywords
- World Trade Organization
- Trade Liberalization
- Bilateral Agreement
- European Monetary System
- Much Favoured Nation
These keywords were added by machine and not by the authors. This process is experimental and the keywords may be updated as the learning algorithm improves.
For comments and suggestions we are particularly indebted to Charles Wyplosz and Ed Fogarty. Part of this chapter draws on joint work between Cédric Dupont and Carsten Hefeker under the financial assistance of the Swiss National Science Foundation (grant 12–52815.97).
Access this chapter
Tax calculation will be finalised at checkout
Purchases are for personal use only
Preview
Unable to display preview. Download preview PDF.
References
Aggarwal, V. K. (1985). Liberal Protectionism. Berkeley: University of California Press.
Aggarwal, V. K. (2001). ‘Economics: International Trade’, in P. J. Simmons and C. de Jonge Oudraat (eds), Managing a Globalizing World: Lessons Learned Across Sectors. Washington, DC: The Carnegie Endowment for International Peace.
Aggarwal, V. K. and E. A. Fogarty (2001). ‘Between Regionalism and Globalism: European Union Transregional Trade Strategies’. Paper presented at the conference, ‘Between regionalism and globalism: European Union transregional trade strategies’, Institute of European Studies and Berkeley APEC Study Center (BASC), University of California, Berkeley, 28 September.
Aggarwal, V. K. and J. Ravenhill (2001). ‘How Open Sectoral Agreements Undermine the WTO’. Asia-Pacific Issues 50 (February).
Bairoch, P. (1989). ‘European Trade Policy, 1815–1914’, in P. Mathias and S. Pollard (eds), The Cambridge Economic History of Europe (vol. 3). Cambridge: Cambridge University Press.
Bordo, M. D. and B. Eichengreen (1998). ‘The Rise and Fall of a Barbarous Relic: The Role of Gold in the International Monetary System’. NBER Working Paper no. 6436.
Bordo, M. and H. Rockoff (1996). ‘The Gold Standard as a Good Housekeeping Seal of Approval’. Journal of Economic History 56(2): 389–428.
Bordo, M. and A. Schwartz (eds) (1984). A Retrospective on the Classical Gold Standard. Chicago: Chicago University Press.
Cohen, B. J. (1998). The Geography of Money. Ithaca: Cornell University Press.
Cooper, R. N. (1975). ‘Prolegomena to the Choice of an International Monetary System’. International Organization 29(1): 63–97.
Costigliola, F. C. (1977). ‘Anglo-American Financial Rivalry in the 1920s’. The Journal of Economic History 37(4): 911–34.
Dupont, C. and C. Hefeker (2001). ‘Integration Linkages: Between Trade-Offs and Spillovers’. Paper presented at the Fourth Pan-European IR conference, Canterbury, UK, 8–10 Sept.
Dupont, C. and D. Wolf (1998). ‘Germany and EMU: A New Institution to Preserve an Old Good’. Center for Gennan and European Studies Working Paper, no. 1.53.
Eichengreen, B. (1985). ‘Editor’s Introduction’, in B. Eichengreen (ed.), The Gold Standard in Theory and History. New York: Methuen.
Eichengreen, B. (1987). ‘Conducting the International Orchestra: Bank of England Leadership under the Classical Gold Standard, 1880–1913’. Journal of Intemational Money and Finance 6: 5–29.
Eichengreen, B. (1992). Golden Fetters. Oxford: Oxford University Press.
Eichengreen, B. (1996). Globalizing Capital: A Short History of the International Monetary System. Princeton: Princeton University Press.
Estevadeordal, A., B. Frantz, and A. M. Taylor (2001). ‘The Rise and Fall of World Trade, 1870–1939’. IADB, USAID and UC Davis, ms.
Flandreau, M., J. Le Cacheux, and F. Zumer (1998). ‘Stability without a Pact? Lessons from the European Gold Standard, 1880–1914’. Economic Policy (April): 117–62.
Friedman, M. (1990). ‘The Crime of 1873’. Journal of Political Economy 98(6): 1159–94.
Glickman, D. L. (1947). ‘The British Imperial Preference System’. The Quarterly Journal of Economics 61(3): 439–70.
Gourevitch, P. (1986). Politics in Hard Times. Ithaca: Cornell University Press.
Gros, D. and N. Thygesen (1992). European Monetary Integration: From the European Monetary System to European Monetary Union. London: Longmans.
Heller, H. R. (1978). ‘Determinants of Exchange Rate Practices’. Journal of Money, Credit and Banking 10(3): 308–21.
Henderson, W. O. (1958). The Zollverein. Chicago: Quadrangle Books.
Hirschman, A. (1945). National Power and the Structure of Foreign Trade. Berkeley: University of California Press.
Irwin, D. (1993). ‘Multilateral and Bilateral Trade Policies’, in J. D. Melo and A. Panagariya (eds), New Dimensions in Regional Integration. Cambridge: Cambridge University Press.
James, H. (1995). International Monetary Cooperation since Bretton Woods. New York: Oxford University Press.
Kenen, P. B. (1995). Economic and Monetary Union in Europe: Moving Beyond Maastricht. Cambridge: Cambridge University Press.
Kruse, D. C. (1980). Monetary Integration in Western Europe: EMU, EMS and Beyond. London: Butterworths.
Lazer, D. (1999). ‘The Free Trade Epidemic of the 1860s and Other Outbreaks of Economic Discrimination’. World Politics 51(4): 447–83.
Ludlow, P. (1982). The Making of the European Monetary System: A Case Study of the Politics of the European Community. London: Butterworth.
Mattli, W. (1999). The Logic of Regional Integration: Europe and Beyond. Cambridge: Cambridge University Press.
McKinnon, R. I. (1993). ‘The Rules of the Game: International Money in International Perspective’. Journal of Economic Literature 31(1): 1–44.
Momtchiloff, N. I. (1954). ‘Schachtian Mercantilism’. Journal of Industrial Economics 2(3): 165–73.
Nurkse, R. (1944). International Currency Experience. Geneva: League of Nations.
O’Rourke, K. H. and J. G. Williamson (1999). Globalization and History: The Evolution of a Nineteenth Century Atlantic Economy. Cambridge: MIT Press.
Ravenhill, J. (2001). ‘Back to the Nest? Europe’s Relations with the African, Caribbean and Pacific Group of Countries’. Paper presented at the conference, ‘Between regionalism and globalism: European Union transregional trade strategies’, Institute of European Studies and Berkeley APEC Study Center (BASC), University of California, Berkeley, 28 September.
Schonhardt-Bailey, C. (ed.) (1996). Free Trade: The Repeal of the Corn Laws. Bristol: Thoemmes Press.
Simmons, B. A. (1994). Who Adjusts? Domestic Sources of Foreign Economic Policy during the Interwar Years. Princeton: Princeton University Press.
Snyder, R. C. (1940). ‘The Most Favored Nation Clause and Recent Trade Practices’. Political Science Quarterly 55(1): 77–97.
Tsoukalis, L. (1993). The New European Economy. Oxford: Oxford University Press.
Verdier, D. (1994). Democracy and International Trade: Britain, France and the United States, 1860–1990. Princeton: Princeton University Press.
Wyplosz, C. (2001a). ‘A Monetary Union in Asia? Some European Lessons’. Graduate Institute of International Studies, ms.
Wyplosz, C. (2001b). ‘Regional Exchange Rate Arrangements: Some Lessons From Europe’. Graduate Institute of International Studies, ms.
Yarbrough, B. V. and R. M. Yarbrough (1987). ‘Cooperation in the Liberalization of International Trade: After Hegemony, What?’ International Organization 41(1): 1–26.
Editor information
Editors and Affiliations
Copyright information
© 2002 Palgrave Macmillan, a division of Macmillan Publishers Limited
About this chapter
Cite this chapter
Aggarwal, V.K., Dupont, C. (2002). A Leader in Institutional Design? Europe and the Governance of Trade and Monetary Relations. In: Kierzkowski, H. (eds) Europe and Globalization. Palgrave Macmillan, London. https://doi.org/10.1057/9781403937674_7
Download citation
DOI: https://doi.org/10.1057/9781403937674_7
Publisher Name: Palgrave Macmillan, London
Print ISBN: 978-1-349-43297-4
Online ISBN: 978-1-4039-3767-4
eBook Packages: Palgrave Economics & Finance CollectionEconomics and Finance (R0)