Global economy is at crossroads. There is no single or simple answer to current economic problems. Transparency in the conduct of monetary and fiscal policies is needed to provide an anchor for expectations. Developments that seem unusual, even unbalanced, need to necessarily be judged unsustainable. For example, the potential gains offered by new technology, particularly in the production of goods and financial services, may provide the sound rationale for a number of trends that currently seem hard to explain. Yet a starting point characterized by significant macroeconomic imbalances and major financial restructuring does not present a comforting environment for policy makers; given very low interest rates and virtual price stability in many countries, the scope for lowering real policy rates is now limited. This environment also implies a continuing need to focus on measures to strengthen the global financial system which looks to be the most vulnerable part of market-based economies.
International Business: Environment and Management
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ABOUT THE AUTHOR S. Shiva Ramu
Dr. S. Shiva Ramu is a professor of the Indian Institute of Management, Bangalore. He holds Ph.D. in Business Management from Uppsala University, Sweden. He has also taught at the Faculty of Management Studies, Delhi University and at the Indian Institute of Foreign Trade, New Delhi. He has worked at Engineers India Ltd. A Prolific writer, he has been contributing articles to various national and international journals.
ABOUT THE AUTHOR V.K. Bhalla
Dr. V.K. Bhalla is Professor of Finance at Faculty of Management Studies, University of Delhi. He has presented several research papers at national and international conferences, and has published articles on international finance, security analysis and portfolio management, and corporate finance. Currently he is the Convenor of the Management Panel of the University Grants Commission, and has worked on a number of UGC committees. He has been associated with the work ofFederation of Indian Chamber of Commerce and industry. Being a nominee director of a number of public limited companies, he has the vast experience of the corporate world.
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International Business: Environment and Management
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7th Revised & E
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