Recent research has documented a positive relationship between real exchange rate (RER) levels and economic growth. The literature has interpreted this correlation as causality running from RER levels to growth rates; i.e., higher, undervalued, more competitive RERs tend to favor growth. Little effort has been made, however, on the analysis of the policy instruments required to implement a succ...

Innovative but incomplete ideas require feedback and elaboration by other agents with complementary skills, yet when shared they may be stolen. The paper compares how di¤erent contractual environments support invention and implementation. Markets, as open exchange systems, are good for idea circulation and thus elaboration, but may fail to reward idea generation. Firms, as controlled idea excha...

Even though kidney exchange became an important source of kidney transplants over the last decade with the introduction of market design techniques to organ transplantation, the shortage of kidneys for transplantation is greater than ever. Due to biological disadvantages, patient populations of blood types B/O are disproportionately hurt by this increasing shortage. The disadvantaged blood type...

employment agencies have gained an increasing significance in matching employment and vacancies in the economy. solo searches by workers, and shorterperiods of employment, have necessarilyadded to the need for third party agents for the matching process in labour markets. thus the existence of these agents and sole agent searches has created a multiplicity of wages across labour . markets. we d...

We construct a model where capital competes with fiat money as a medium of exchange, and we establish conditions on fundamentals under which fiat money can be both valued and socially beneficial. When the socially efficient stock of capital is too low to provide the liquidity agents need, they overaccumulate productive assets to use as media of exchange. When this is the case, there exists a mo...

This paper contributes to the literature on determining real exchange rates by developing a model that is based key propositions of classical political economy within which competition governs domestic and international trade, labor theory value underneath prices and, under these conditions, principle absolute cost advantage shapes trade. The econometric analysis shows relative unit regulator l...

© Institute for International Economics. All rights reserved. John Williamson, senior fellow since 1981, was on leave as chief economist for South Asia at the World Bank during 1996-99. He was a professor of economics at Pontifícia Universidade Católica do Rio de Janeiro (1978-81), University of Warwick (1970-77), Massachusetts Institute of Technology (1967, 1980), University of York (1963-68),...