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Areas of Expertise:
  • Capital Markets
  • Emerging Markets
  • Consumer Price Index
  • Currency Crises
  • Federal Reserve
  • Inequality
  • Inflation
  • Latin America
  • Mexico
  • NAFTA
  • Poverty
About
 
 

Biography

Sebastian Edwards is the Henry Ford II Chair in International Management at the UCLA Anderson School of Management.

From 1993 until April 1996, he was the chief economist for the Latin America and Caribbean region of the World Bank. He is a research associate of the National Bureau of Economic Research (NBER), a member of the advisory board of Transnational Research Corporation and co-chairman of the Inter-American Seminar on Economics (IASE).

Edwards is the past president of the Latin American and Caribbean Economic Association (LACEA), an international professional association of economists with academic interests in Latin America and the Caribbean region. He is a member of the Scientific Advisory Council of the Kiel Institute of World Economics, Kiel, Germany.

In September 2004, Edwards was appointed to California Governor Arnold Schwarzenegger's Council of Economic Advisors.

Edwards has been a columnist for the Wall Street Journal and is the author of more that 200 scientific articles on international economics, macroeconomics and economic development. His articles have appeared in The American Economic ReviewThe Journal of Monetary EconomicsThe Economic JournalOxford Economic PapersThe Journal of Development EconomicsThe Quarterly Journal of Economics, the Journal of Economic Perspectives and other professional journals. His work and views are frequently quoted in the media, including the New York Times, Financial Times, the Los Angeles Times, Wall Street Journal and the Economist.

Edwards is an associate editor of The World Economy, the Journal of International Trade and Economic Development, the Journal of International Financial MarketsInstitutions and Money and Analisis Economico. For almost 10 years he was the co-editor of the Journal of Development Economics.

Edwards has been a consultant to a number of multilateral institutions, including the Inter-American Development Bank, the World Bank, the IMF and the OECD. He has also been a consultant to the United States Agency for International Development, and to a number of national and international corporations. He has worked in Argentina, Brazil, Bolivia, Chile, Colombia, Costa Rica, Egypt, Guatemala, Honduras, Indonesia, Korea, Mexico, Morocco, New Zealand, Nicaragua, Tanzania and Venezuela. He has also consulted for a number of international financial institutions and multinational firms.

Edwards was born in Santiago, Chile. He was educated at the Catholic University of Chile, and received an M.A. and Ph.D. in economics from the University of Chicago.

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Sebastian Edwards Website

 

Education

Ph.D. Economics, 1981, University of Chicago

M.A. Economics, 1978, University of Chicago

Licenciado Economics, 1975, Universidad Católica, Chile

Publications

Books

American Default: The Untold Story of FDR, the Supreme Court, and the Battle over Gold, Edwards, Sebastian (Author), Princeton University Press, May 2018.

African Successes, Volume IV: Sustainable Growth, Edwards, Sebastian (Editor), Johnson, Simon (Editor), Weil, David N. (Editor), University of Chicago Press, September 2016.

African Successes, Volume III: Modernization and Development, Edwards, Sebastian (Editor), Johnson, Simon (Editor), Weil, David N. (Editor), University of Chicago Press, September 2016.

African Successes, Volume II: Human Capital , Edwards, Sebastian (Editor), Johnson, Simon (Editor), Weil, David N. (Editor), University of Chicago Press, September 2016.

African Successes, Volume I: Government and Institutions, Edwards, Sebastian (Editor), Johnson, Simon (Editor), Weil, David N. (Editor), University of Chicago Press, September 2016

Conversacion Interrumpida. Memorias, Edwards, Sebastian (Author), Ediciones Universidad Diego Portales, August 2016.

Left Behind: Latin America and the False Promise of Populism, Edwards, Sebastian (Author), University of Chicago Press, June 2010.

The Economics of Crime: Lessons for and from Latin America, With Di Tella, Rafael and Schargrodsky, Ernesto. University of Chicago Press, 2010.

Financial Markets Volatility and Performance in Emerging Markets, with Marcio García, University of Chicago Press, 2008.

Current Account and External Financing, with Cowan, Kevin and Valdes, Rodrigo O. Santiago: Central Bank of Chile, 2008, pp. 582

El misterio de las Tanias, Edwards, Sebastian (Author), Alfaguara, May 2007.

La Revolución Incompleta: Las Reformas de Gaviria, (In Spanish. Title translated as: “An Unfinished Revolution: Gaviria’s Reforms.”) With Roberto Steiner, Grupo Editorial Norma, 2008.

Growth, Institutions and Crises: Latin America from a Historic Perspective (Editor), University of Chicago Press, 2007.

Preventing Currency Crises in Emerging Markets, Edwards, Sebastian and Jeffrey A. Frankel (Eds.), NBER Conference Report series. Chicago and London: University of Chicago Press, 2002; xi, 770.

The Economics and Political Transition to an Open Market Economy: Colombia, OECD, 2001.  French version, OECD, Paris, 2001

Capital Flows and the Emerging Economies: Theory, Evidence and Controversies, S. Edwards (Ed.), Chicago: University of Chicago Press, 2000.

Papers

2018

Edwards S. Keynes on the Sequencing of Economic Policy: Recovery and Reform in 1933, History of Economics Review, pp. 1-18, March 2018

Finding equilibrium: on the relation between exchange rates and monetary policy, Bank for International Settlements papers, 96, pp. 1-27, 2018

2017

Keynes and the dollar in 1933: the gold-buying program and exchange rate gyrations, Financial History Review, 24(3), pp. 209-238, December 2017

The London Monetary and Economic Conference of 1933 and the End of the Great Depression, Open Economies Review, 28(3), pp. 431-459, July 2017

Gold, the Brains Trust, and Roosevelt, History of Political Economy, 49(1), pp. 1-30, March 2017

2016

Monetary Policy Independance under Flexible Exchange Rates: The Federal Reserve and Monetary Policy in Latin America -- Is There Policy Spillover? , in ed. Bordo, Michael D. and Taylor, John B. Rules for International Monetary Stability: Past Present, and Future, Hoover Institution Press, Stanford, pp. 1-54, 2017

2015

Is Tanzania a Success Story? A Long Term Analysis, book chapter in African Successes: Government and Institutions, by Edwards, Johnson, and Weil, September 2015

Sovereign Default, Debt Restructuring, and Recovery Rates: Was the Argentinean “Haircut” Excessive?, Open Economies Review, pp. 1-29, September 2015

Monetary Policy Independence under Flexible Exchange Rates: An Illusion?, The World Economy, 38(5), pp. 773-787, May 2015

2014

Economic Development and the Effectiveness of Foreign Aid: A Historical Perspective, NBER Working Paper №20685, November 2014, published in Kyklos, 2015

Constitutional Rights and Education: An International Comparative Study (with Alvaro Garcia Marin), NBER Working Paper №20964, September 2014, published in Journal of Comparative Economics, 2015

2012

Adjustment Patterns to Commodity Terms of Trade Shocks (With J. Aizenman and D Riera-Crichton), Journal of International Money and Finance, December 2012

The Federal Reserve, Emerging Markets and Capital Controls, Journal of Money, Credit and Banking, December 2012

2011

Exchange-Rate Policies in Emerging Countries: Eleven Empirical Regularities from Latin America and East Asia, Open Economies Review, vol. 22, no. 4, September 2011, pp. 533-63.

2010

The Economics of Crime: Lessons for and from Latin America: An Introduction, in The Economics of Crime: Lessons For and From Latin America, Di Tella, Rafael; Edwards, Sebastian; Schargrodsky, Ernesto, eds. University of Chicago Press, 2010.

The International Transmission of Interest Rate Shocks: The Federal Reserve and Emerging Markets in Latin America and Asia, Journal of International Money and Finance, vol. 29, no. 4, June 2010, pp. 685-703.

2009

Sequencing of Reforms, Financial Globalization, and Macroeconomic Vulnerability, Journal of the Japanese and International Economies, vol. 23, no. 2, June 2009, pp. 131-48.

Protectionism and Latin America's Historical Economic Decline, Journal of Policy Modeling, vol. 31, no. 4, July-August 2009, pp. 573-84.

Capital Controls on Inflows, Exchange Rate Volatility and External Vulnerability, (with Roberto Rigobón), Journal of International Economics, vol. 78, no. 2, July 2009, pp. 256-67.

2008

Globalisation, Growth and Crises: The View from Latin America ,Australian Economic Review, vol. 41, no. 2, June 2008, pp. 123-40

Al Sur de la Crisis, (South of the Crisis), Letras Libres, December, 2008

Hard Currency Pegs and Economic Performance, With Igal Magendzo, in Money, Crises, and Transition: Essays in Honor of Guillermo A. Calvo. The MIT Press, 2008, pp. 121-56

Financial Markets Volatility and Performance in Emerging Markets: An Introduction, in Financial Markets Volatility and Performance in Emerging Markets, Edited by Sebastian Edwards and Marcio García, University of Chicago Press, 2008.

Financial Openness, Currency Crises and Output Losses, in Financial Markets Volatility and Performance in Emerging Markets, Edited by Sebastian Edwards and Marcio García, University of Chicago Press, 2008.

Current Account and External Financing: An Introduction, in Current Account and External Financing, Cowan, Kevin, Edwards, Sebastian and Valdes, Rodrigo O. Santiago: Central Bank of Chile, 2008, pp. 582

Openness, Trade Liberalization, and Growth in Developing Countries, in Globalization and Productivity.  David Greenaway (Ed). Edward Elgar. 2008, pp. 27-62 (reprint of my 1993 Journal of Economic Literature paper)

On Current Account Surpluses and the Correction of Global Imbalances, in Current Account and External Financing, Cowan, Kevin; Edwards, Sebastian and Valdes, Rodrigo O. Santiago: Central Bank of Chile, 2008, pp. 582

2007

Crises and Growth: A Latin America Perspective, Journal of Iberian and Latin American Economic History, Forthcoming.

On Current Account Surpluses and the Correction of Global Imbalances, Tenth Annual Conference of the Central Bank of Chile: Current Account and External Financing.

Capital Controls, Capital Flow Contractions, and Macroeconomic Vulnerability, Journal of International Money and Finance, Forthcoming.

2006

External Imbalances in an Advanced, Commodity-Exporting Country: The Case of New Zealand, Bulletin, 69(4), Reserve Bank of New Zealand.

Monetary Unions, External Shocks and Economic Performance: A Latin American Perspective, International Economics and Economic Policy, 3:225-247.

The Relationship Between Exchange Rates and Inflation Targeting Revisited, Ninth Annual Conference of the Central Bank of Chile: Monetary Policy Under Inflation Targetting.

The U.S. Current Account Deficit: Gradual Correction or Abrupt Adjustment?, Journal of Policy Modelling, 28: 629-643.

Strict Dollarization and Economic Performance: An Empirical Investigation, Journal of Money Credit and Banking, February 2006, 38(1): 269-282, with I. Igal Magendzo.

2005

Flexible Exchange Rates as Shock Absorbers, European Economic Review, November 2005, 49(8): 2079-2105, with Eduardo Levy Yeyati.

The End of Large Current Account Deficits, 1970-2002: Are There Lessons for the United States?, NBER Working Papers: 11669, published in The Greenspan Era: Lessons for the Future, The Federal Reserve Bank of Kansas City; 205-268.

Is the U.S. Current Account Deficit Sustainable? And If Not, How Costly is Adjustment Likely to Be? NBER Working Papers: 11541, published in Brookings Papers on Economic-Activity, 2005, 0(1): 211-71

Capital Controls, Exchange Rate Volatility and External Vulnerability NBER Working Papers: 11434, with Roberto Rigobon

Establishing Credibility: The Role of Foreign Advisors, NBER Working Papers: 11429, in Growth, Institutions and Crises, Sebastian Edwards (Editor), University of Chicago Press, Forthcoming, 2007

Capital Controls, Sudden Stops and Current Account Reversals NBER Working Papers: 11170, in International Capital Flows, Sebastian Edwards (Editor), University of Chicago Press, Forthcoming 2007.

2004

Labor Reform and Employment in Latin America, Comparative, Labor Law and Policy Journal. Winter 2004, 25(2): 349-363.

The Economics of Latin American Art: Creativity Patterns and Rates of Return, NBER Working Papers: 10302, published in Economia: Journal of the Latin American and Caribbean Economic Association. Spring 2004; 4(2): 1-35

Financial Openness, Sudden Stops and Current Account Reversals, NBER Working Papers: 10277, published in American Economic Review. May 2004; 94(2): 59-64

Thirty Years of Current Account Imbalances, Current Account Reversals and Sudden Stops, NBER Working Papers: 10276 2004, published in IMF Staff Papers. Special Issue 2004; 51(0): 1-49

2003

Flexible Exchange Rates as Shock Absorbers, NBER Working Papers: 9867, with Eduardo Levy Yeyati

Financial Instability in Latin America, Journal of International Money and Finance, December 2003; 22(7): 1095-1106

Stock Market Cycles, Financial Liberalization and Volatility, NBER Working Papers: 9817, published in Journal of International Money and Finance, December 2003, 22(7): 925-55, with Javier Gomez Biscarri and Fernando Perez de Gracia

Strict Dollarization and Economic Performance: An Empirical Investigation, NBER Working Papers: 9820, with I. Igal Magendzo

A Currency of One's Own?  An Empirical Analysis of Dollarization and Currency Unions, NBER Working Papers: 9514, with I. Igal Magendzo

Latin American and U.S. Universities: A Forty Years Analysis, Cuadernos de Economia, December 2003; 40(121): 399-412

Dollarization and Economic Performance: What Do We Really Know?, International Journal of Finance and Economics, October 2003; 8(4): 351-63, with I. Igal Magendzo.

Debt Relief and the Current Account: An Analysis of the HIPC Initiative, World Economy, April 2003; 26(4): 513-31

Debt Relief and Fiscal Sustainability, Review of World Economics / Weltwirtschaftliches Archiv. 2003; 139(1): 38-65

Interest-Rate Volatility in Emerging Markets, Review of Economics and Statistics. May 2003; 85(2): 328-48, with Raul Susmel

Exchange Rate Regimes, Capital Flows and Crisis Prevention in Feldstein, Martin (Ed.): Economic and Financial Crises in Emerging Market Economies, NBER Conference Report series. Chicago and London: University of Chicago Press, 2003; 31-78.

Dollarization:  Myths and Realities, in Salvatore, Dominick; Dean, James W. and Thomas D. Willett (Eds.): The Dollarization Debate. Oxford and New York: Oxford University Press, 2003; 111-28

2002

Does the Current Account Matter? In Edwards, Sebastian and Jeffrey A. Frankel (Eds.): Preventing Currency Crises in Emerging Markets. NBER Conference Report Series. Chicago and London: University of Chicago Press, 2002; 21-69.

Review of Stiglitz "Globalization and its Discontent", Journal of Development Economics, February 2003, 70 (1): 252-257.

Social Security Reform and Labor Markets  Economic Development and Cultural Change, April 2000, 50 (3): 465–489, with Alejandra Cox Edwards .

The Great Exchange Rate Debate After Argentina The North American Journal of Economics and Finance, December 2002, 13(3) 237-252.

Debt Relief and Fiscal Sustainability  NBER Working Papers: 8939.

Twenty Five Years of Stabilization Programs in Latin America, presented at the Conference Celebrating Banco de Mexico's Anniversary, Mexico City, November 14-15, 2000.

The Argentine Debt Crisis of 2001-2002:  A Chronology and Some Key Policy Issues, presented at NBER Conference on Argentina, July 2002, Cambridge, MA.

2001

Dollarization, Inflation and Growth, NBER Working Papers: 8671, with I. Igal Magendzo.  

Dollarization:  Myths and Realities, Journal of Policy-Modeling. April 2001; 23(3): 249-65. Also in Salvatore, Dominick; Dean, James W. and Thomas D. Willett (Eds.): The Dollarization Debate. Oxford and New York: Oxford University Press, 2003; 111-28

Exchange Rate Regimes, Capital Flows and Crisis Prevention NBER Working Papers: 8529, published in Feldstein, Martin (Ed.): Economic and Financial Crises in Emerging Market Economies, NBER Conference Report series. Chicago and London: University of Chicago Press, 2003; 31-78.

Does the Current Account Matter? NBER Working Papers: 8275

Information Technology and Economic Growth in the Emerging Economies , May, 2001(Presented at a BBVA-CEPAL Conference, published Challenge Magazine).  

Volatility Dependence, and Contagion in Emerging Equity Markets, NBER Working Papers: 8506, Published in Journal of Development Economics, December 2001; 66(2): 505-32  

2000

On the Crisis Hypothesis of Economic Reform, Cuadernos de Economia (Pontifical-Catholic-University-of-Chile). December 2000; 37(112): 445-93

Capital Mobility and Economic Performance:  Are Emerging Countries Different?  NBER Working Papers: 8076, Also in Siebert, Horst (Ed.): The World's New Financial Landscape: Challenges for Economic Policy. Kiel Institute of World Economics Symposia and Conference Proceedings. Heidelberg and New York: Springer, 2001; 219-44

Contagion, World Economy. July 2000; 23(7): 873-900, Presented at the University of Nottingham as the 1999 WORLD ECONOMY LECTURE

Exchange Rate Systems in Emerging Economies,  April, 2000 (Prepared for the Meltzer Commission on the New Financial Architecture)

Interest Rate Volatility and Contagion in Emerging Markets, NBER Working Papers: 7813, Presented at the NBER-IASE Conference in Buenos Aires and at the AEA Meetings in Boston)

Controls on Capital Inflows:  Do they Work?, NBER Working Papers: 7645, published in Journal of Development Economics, October 2000; 63(1): 59-83, with Jose De Gregorio and Rodrigo O. Valdes

Economic Reforms and Labor Markets:  Policy Issues and Lessons from Chile, NBER Working Papers: 7646, published in Economic Policy, April 2000, 30: 181-203.

1999

How Effective are Capital Controls?  September 1999 (A slightly revised version of this paper was published in the Journal of Economic Perspectives, Fall 1999).

Latin America at the End of the Century:  More of the Same? September 1999  (Presented at seminars in Chile and Peru).

Social Security Reform and Labor Markets: The Case of Chile, August 1999.

How effective are Controls on Capital Inflows? An Evaluation of Chile's Experience, June 1999.

On Crisis Prevention: Lessons from Mexico and East Asia, June 1999. (Presented at the Brookings-World Bank Conference on "Financial Markets and Development: Preventing Crises in Emerging Markets, March 1999).

Remarks on Dollarization, April 1999. (Remarks made at Deutsche Bank's Seminar on Latin America, Paris. March,1999. In Deutsche Bank, Global Emerging Markets, Vol.2, 2).

The Mirage of Capital Controls, May 1999. (This is an earlier version of a paper published in Foreign Affairs, May/June 1999).

Exchange Rates in Emerging Economies: What do We Know? What do We Need to Know? (Joint with Miguel Savastano, IMF), May, 1999 (Published in volume edited by Anne Krueger).

1998

Capital Flows, Real Exchange Rates, and Capital Controls: Some Latin American Experiences, Nov, 1998 (Published in S.Edwards ed. Capital Flows to Emerging Markets, U. of Chicago Press).

Interest Rate Volatility, Capital Controls, and Contagion, Oct, 1998 (Earlier version of paper published in Journal of Applied Economics, 1998).

The Morning After: The Mexican Peso in the Aftermath of the 1994 Currency Crisis, (Joint with Miguel A. Savastano, IMF), Apr, 1998 (Presented at Paul Krugman's NBER Conference on Currency Crises).

The Political Economy of Unilateral Trade Liberalization: The Case of Chile (Joint with Daniel Lederman), Apr, 1998 (Published in volume edited by Jagdish Bhagwati).

Capital Inflows into Latin America: A Stop-Go Story?, Mar, 1998 (Revised version published by University of Chicago press in volume edited by Marty Feldstein).

1997

The Mexican Peso Crisis? How Much Did We Know? When Did We Know It?, Dec, 1997 (A revised version was published in The World Economy, 1998).

Banks and Macroeconomics Disturbances under Predetermined Exchange Rates, (Joint with Carlos A. Vegh, UCLA), Mar, 1997 (A revised version was published in the Journal of Monetary Economics, 1997).

Openness, Productivity and Growth: What Do We Really Know?, Mar, 1997 (A revised version was published in The Economic Journal, March 1998).

1996

The Chilean Pension Reform: A Pioneering Program, Nov, 1996 (A revised version was published in M. Feldstein (Ed) Privatizing Social Security, U. of Chicago press, 1998).

A Tale of Two Crises: Chile and Mexico, Oct, 1996 (A revised and expanded version was published in The Economic Journal, May 1998).

The Determinants of the Choice between Fixed and Flexible Exchange-Rate Regimes, Sep, 1996 (A revised and shorter version was published in NBER volume edited by Taka Ito and Anne Krueger, 1999).

Public Sector Deficits and Macroeconomic Stability in Developing Countries, Jan, 1996 (A revised and expanded version was published in the 1995 Proceedings from the Kansas City Fed Jackson Hole Conference).

 

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Latin America’s Future Depends on Its Economic Policies, Institutions and Education

Sebastian Edwards