Contemporary Developments in Monetary Politics

Session Submission Type: Full Paper Panel

Session Description

This panel explores how political considerations influence currency policy and how currency markets shape politics. Each of the papers tackles an important new issue related to currency politics. Patrick Egan examines how increases in industry concentration influence firms’ preferences and lobbying over currency policy. Ryan Weldzius shows that another recent development in the global economy — the emergence of global value chains – has impacted central bankers’ discussions monetary and exchange rate policy. Nils Redeker and Stefanie Walter show that Germans’ desire to hold together their currency union affected the country’s response to the Eurozone crisis. David Steinberg’s paper focuses on a different type of currency crisis – the crash of the Turkish lira in 2018 – and shows how this hurt the government’s popularity with voters. While the papers focus on different aspects of currency policy, each advances our understanding of how economic interests shape currency politics.

Sub Unit

• DIVISION 16: International Political Economy

Individual Presentations

• Hedging all Bets: Firm Size, Industry Concentration, and Exchange Rate Politics - Patrick Egan, Tulane University

• Central Banks in Chains? Global Value Chains and Monetary Policy Transmission - Ryan Weldzius, Princeton University

• We’d Rather Pay than Change: Politics of German Non-adjustment in the Eurocrisis - Nils Redeker, University of Zurich; Stefanie Walter, University of Zurich

• Mass Political Reactions to Currency Crises: Evidence from Turkey - David A. Steinberg, Johns Hopkins University

Chair

• David Leblang University of Virginia

Discussants

• Layna Mosley University of North Carolina, Chapel Hill

• David Leblang University of Virginia