Knowledge that Transforms

Sebastian Galiani of Washington University in St. Louis reviews “Beyond Survival: Protecting Households from Health Shocks in Latin America” by Cristian C. Baeza, Truman G. Packard,. The EconLit Abstract of the reviewed work begins “Reviews existing and new evidence on the mechanisms and magnitude of the impoverishing effects of health events and the importance of public policy to prevent such impoverishment. Discusses health care systems in Latin America and the Caribbean--functions and organization; health shocks, household welfare, and the risk of poverty; public policy's role in household perception, preparation, and protection against health shocks; the role of alternative risk-pooling arrangements; risk pooling for everyone--the challenges posed by a growing informal economy; and the quest for efficiency and universal coverage--health sector reform in Latin America and the Caribbean. Baeza is Lead Health Policy Specialist, and Packard is Senior Economist, in the Latin America and the Caribbean Region at the World Bank. Index.”

Richard N. Cooper of Harvard University reviews “Monetary Theory and Bretton Woods: The Construction of an International Monetary Order” by Filippo Cesarano,. The EconLit Abstract of the reviewed work begins “Explores the Bretton Woods architecture from the perspective of the history of economics. Discusses international monetary equilibrium and the properties of the gold standard; the international monetary system between the World Wars; the monetary system in economic analysis--the critique of the gold standard; the Great Depression--overturning the state of the art; providing for a new monetary order; the Bretton Woods Agreements; and Bretton Woods and after. Cesarano is Head of the Historical Research Office of the Bank of Italy. Name and subject indexes.”

Randall Morck of University of Alberta reviews “The Fable of the Keiretsu: Urban Legends of the Japanese Economy” by Yoshiro Miwa, J. Mark Ramseyer,. The EconLit Abstract of the reviewed work begins “Explores and explains the truth about several urban legends concerning the Japanese economy, including the existence of the keiretsu. Discusses the fable of the keiretsu and of the zaibatsu; the myth of the main bank and outside directors; legends of government guidance; and the economic malaise in 1990s Japan. Miwa is Professor of Economics at the University of Tokyo. Ramseyer is Mitsubishi Professor of Japanese Legal Studies at Harvard Law School. Index.”

Bruno S. Frey of University of Zurich, ETH-Zurich, and CREMA reviews “Economics for Humans” by Julie A. Nelson,. The EconLit Abstract of the reviewed work begins “Explores the relationship between people's ethical choices and economic systems. Discusses tending the body--the history of economics; tending the soul--the defense of “noneconomic values”; bringing body and soul together; love and money--the question of individual motivation; business and ethics--the question of organizational behavior; and keeping body and soul together. Nelson is Senior Research Associate at the Global Development and Environment Institute at Tufts University. Index.”

Robert Merges of U of CA, Berkeley reviews “The Democratization of Invention: Patents and Copyrights in American Economic Development, 1790-1920” by B. Zorina Khan,. The EconLit Abstract of the reviewed work begins “Examines the evolution and impact of the intellectual property rights system in the United States during the “long nineteenth century.” Discusses the patent system in Europe and America; patent laws and litigation; democratization and patented inventions; women inventors in America; patentees and married women's property rights; great inventors and democratic invention; copyright in Europe and America; American copyright piracy; and intellectual property and economic development. Khan is Associate Professor of Economics at Bowdoin College. Index.”

Irene Brambilla of Yale University reviews “The Political Economy of Protection: Theory and the Chilean Experience” by Daniel Lederman,. The EconLit Abstract of the reviewed work begins “Analyzes the history of trade protection and liberalization in Chile. Provides a historical overview of Chilean trade policy and trade openness since 1810, measured in terms of trade-to-GDP ratios, and divides Chilean history into five periods: the rise of the open economy (1810-1910), the delegitimization of free trade ideas (1911-27), the institutionalization of protectionism (1927-56), the delegitimization of protectionism (1956&ndash73), and unilateral trade liberalization from 1974 to the present. Analyzes trade-to-GDP ratios from 1810 to 1995 to empirically determine the years in which Chile experienced a “structural break” in these ratios--to identify the point at which the country turned from a historic pattern of increasing openness toward a progressive reduction in exposure to international trade. Provides an econometric analysis of the determinants of Chilean trade policy changes from 1830 to 1995. Analyzes the political and economic circumstances surrounding Chile's unilateral trade liberalization over the period 1974-2000. Considers the future of Chilean trade policy. Lederman is Senior Economist in the Office of the Chief Economist for Latin America and the Caribbean at the World Bank. Bibliography; index.”

Stanley Engerman of U of Rochester reviews “Among Empires: American Ascendancy and Its Predecessors” by Charles S. Maier,. The EconLit Abstract of the reviewed work begins “Explores the history, structure, and impact of empires since antiquity and asks whether the United States shares their traits and behavior. Discusses the basics of what an empire is. Studies borders as decisive sites of imperial politics. Examines the problem of violence and war with respect to empire. Investigates frontiers and forces in the Cold War. Describes the relationship between empire, economics, and production. Explores the way America manages its overlapping supranational economic structures of information and consumption and the way this has carried American power into the twenty-first century. Maier is Leverett Saltonstall Professor of History at Harvard University. Index.”

Andrew Zimbalist of Smith College reviews “Rumors of Baseball's Demise: How the Balance of Competition Swung and the Critics Missed” by Robert Cull,. The EconLit Abstract of the reviewed work begins “Describes the factors that have led to increased competitive balance in baseball and explains why so few fans and writers are aware of this change. Examines the “large-market-small-market” debate in detail. Provides evidence on competitive balance and tries to explain when and why it occurred, and why large markets do not enjoy that great an advantage. Considers player development and the evolution of the draft. Discusses why it is important that the draft has become a source of pitching talent, especially for small-market teams. Presents evidence on the variability of pitching performance relative to hitting performance. Studies the effect of the wild-card play-off format on competitive balance. Cull is Senior Economist in the Development Research Group of the World Bank. Bibliography; index.”

Kent Smetters of U of PA reviews “Individual Accounts for Social Security Reform: International Perspectives on the U.S. Debate” by John Turner,. The EconLit Abstract of the reviewed work begins “Examines how individual accounts would work if they were adopted in the United States as part of Social Security reform. Introduces individual accounts, the framework used to analyze them, and the key issue of risk. Surveys the main issues in the social security reform debate and examines social security reform involving individual accounts. Addresses the financial management of individual accounts. Examines labor market issues. Discusses the forms in which individual accounts pay benefits and the taxation of individual accounts. Turner is Senior Policy Advisor at the AARP Public Policy Institute. Index.”

Richard Lipsey of Simon Fraser University reviews “Is War Necessary for Economic Growth? Military Procurement and Technology Development” by Vernon W. Ruttan,. The EconLit Abstract of the reviewed work begins “Examines the impact of military and space-related procurement on the commercial development of six general-purpose technologies. Discusses war and economic growth; interchangeable parts and mass production; military and commercial aircraft; nuclear energy and electric power; the computer industry; inventing the Internet; the space industries; and whether war is necessary. Ruttan is Regents Professor Emeritus in the Department of Applied Economics at the University of Minnesota. Author and subject indexes.”