Balance of Payment and Exchange Rate Theories

"In this book important welfare and policy implications are carefully examined. Miller develops a new theory of the balance of payments associated with commodity market disequilibrium, a loanable funds theory of exchange rate and a modern foreign exchange market theory of the exchange rate that incorporates capital flow." "The book also details fifteen puzzling facts associated with open economies and the FX market. After reviewing existing explanations to these puzzles, Miller shows how each of the above new theories provides new, often unified solutions to them." "International finance practitioners, students and scholars of economics and finance, and MBA students will all find this book fresh and enlightening."--Jacket.