South-Western College Publishing - Economics  
EconDebates Online

EconDebates Online keeps you informed on today's most crucial economics policy debates. Each EconDebate, created by John Kane (SUNY-Oswego), provides a primer on the issues and links to background information and current, in-depth commentaries from experts around the world. Review the brief introductions and, for EconDebates of interest, select the full debate.

Money and the Financial System



Does dollarization benefit developing countries?

Full Debate 

Technological advances allow society to produce more output from the existing mix of resources. These advances may take the form of less costly methods of producing existing output or may result in the production of new (or substantially improved) commodities (such as DVD players, HDTV, anti-lock braking systems, and similar innovations). Society clearly gains from the production of either more output or more highly valued output. But, how do these technological advances affect employment?

Should U.S. financial markets be deregulated?

Full Debate 

The Glass-Steagall Act has been the subject of controversy between advocates of laissez-faire and those who prefer more government regulation. Critics of the Act contend that the separation of commercial banking from investment banking is unnecessary and harmful to the competitiveness of the U.S. financial services industry in the global marketplace. Conversely, the advocates of regulation fear a new financial crisis that could replicate the Great Depression. Such critics of deregulation often cite the S & L crisis of the 1980s as evidence of the need for this separation.

Will the European Monetary Union succeed?

Full Debate

Most of the countries in Europe are participating in a bold economic experiment in which national currencies will be replaced by a common currency (called the Euro) by the year 2002. In May 1998, decisions were made on which countries were eligible for participation in the European Monetary Union. A European Central Bank was created in 1998 that is charged with coordinating monetary policy for the EU. Since January 1, 1999, the Euro has been used for all foreign exchange operations in the participating countries. Euro banknotes and coins will begin to circulate on January 1, 2002 and will completely replace national currencies by July 1, 2002 (existing national currencies will cease to be legal tender in the participating countries on or before this date).

Return to EconDebates Topic Index

Return to Economics Resource Center

©1998-2001  South-Western College Publishing.  All Rights Reserved   webmaster