Table of Contents

Contents
v
List of Illustrations vii
Preface xi
Introduction 1
Vincent R. Reinhart
Part I: Markets React
1. An Alliance of Convenience 45
Christopher Whalen
2. Paradigm Lost: A Discussion of “No Way Out” 53
Angel Ubide
3. Contagion, Culture, and Shadow Banks:
Why Some Countries Had Crises and Others Did Not 59
Greg Ip
Part II: Financial Experts Respond
4. The Federal Reserve after the Crisis 69
Frederic S. Mishkin
5. Determinants of the Size of Fiscal Multipliers
in Open Economies 81
Ethan Ilzetzki, Enrique G. Mendoza, and Carlos A. Végh
6. Exit Strategies and the Federal Reserve 98
Ricardo Reis
7. Exits from Recessions: The US Experience, 1920-2007 117
Michael D. Bordo and John Landon-Lane
8. Global Imbalances: The Crisis That Did Not Occur . . . Yet 163
Francis E. Warnock
About the Authors 181

About the Author

Vincent R. Reinhart is a managing director and chief US economist at Morgan Stanley and former director of the Federal Reserve Board's Division of Monetary Affairs.