Treibende Kräfte und Synthesen in der Währungspolitik

Abstract

Driving Forces and Syntheses in Monetary Policy

This contribution interpretes former and potential world monetary systems of the future evolving in response to the driving forces in monetary policy: These forces include economic theories, past experience as well as market influences. The monetary system existing at a given moment represents a synthesis of various forces which – when drifting apart – are also responsible for destructing the respective system. All thinkable monetary systems have in common that their functionability depends either on compliance with firm "rules" or application of "discretion".

Furthermore, the general validity of all monetary systems must be assessed by whether they meet certain requirements; they are thus comparable: balance-of-payments equilibrium, free convertibility of currencies, stability of exchange rates and adequate overall economic policy autonomy of participating countries are undisputed objectives. A discussion of the four most important reform ideas published since the mid-1980s (worldwide money supply management, commodity price standard, indicators, target zones) shows that none of them is able to meet all requirements. In the authors' view, the socalled target zone proposal is the best by comparison. However, as contributions by economic theories to the "driving forces" all four of the above proposals have basically lived up to the monetary policy challenges of the late-1980s insofar as they have both responded to and laid the basis for economic policy-makers' firmer will for cooperation.