Africa: Pro-growth alternatives for monetary and financial policies

The authors of the newest Brief, Robert Pollin, Gerald Epstein and James Heintz of the Political Economy Research Institute, seek to provide viable alternatives to neoliberalism in three major areas: 1) inflation and monetary policy, 2) capital flows, speculation and the exchange rate, and 3) banking systems and access to credit. Their heterodox recommendations include pursuing direct measures against supply-shock inflation, targeting the short-term interest rate instead of the money supply, using capital-management policies to help stabilize the exchange rate, instituting loan-guarantee programmes for small-scale enterprises, and scaling up public development banks.