This book should be carefully studied by the policymakers of both Japan and the US in order to avoid the recurrence of 'the syndrome of ever-higher yen', that is distinctly suboptimal for both of them.
Makoto Kuroda, ex-MITI Vice-Minister for International Affairs, Japan
What is most striking as well as encouraging to me, a practitioner, is that the authors, as distinct from mainstream academics, highlighted 'mercantile pressure' associated with US-Japan trade disputes as a major driving force for the Dollar-Yen exchange rate performance (ever-higher Yen syndrome) over the past 25 years. By doing so, the authors brought an important ingredient of political economy into the conventional domain of exchange rate theory.
Koei Narusawa, former Managing Director and Senior Advisor, The Bank of Tokyo-Mitsubishi, Japan
I find this an important and provocative volume. It is a worthwhile contribution to the literature.
Robert Dekle, Economist, Asia Pacific Department, International Monetary Fund
This book boldly challenges some of the basic assumptions and presumptions of international economics, such as the trade balance-exchange rate relationship, and the endogeneity of exchange rate with respect to other macro variables. These views should generate some serious debates about our basic theories and policy frameworks. The topics will be of great interest to policy makers and academic economists alike.
Shang-Jin Wei, Associate Professor of Public Policy, Kennedy School of Government, Harvard University
