Publisher's Synopsis
Frenkel and Razin's text was first published in 1987. Although the authors' original objective remains the same in this new edition - to provide a comprehensive treatment of the intertemporal approach to international macroeconomics - they incorporate important theoretical developments that have occurred around the recent globalization of national economies, culminating in the single European market of 1992.;New material includes the effects of international taxation on such key policy issues as international tax competition and tax harmonization and on the location and destination of production, investment, and savings; calibration and dynamic simulation methods that are being used to assess the relevance of both traditional and intertemporal approaches to tax and budget issues; and stochastic elements in the international transmission mechanism that have proved critical for a more rigorous interpretation of international time series data. Problems and exercises now conclude each analytical chapter.
