Macroeconomics for Development: Prognosis and Prospects

Providing a broad overview of the impact of COVID-19 on economic development, this timely book closely examines the macroeconomic aspects of economic development and the design of monetary policies including under extreme crises. Raghbendra Jha expertly introduces the subject, highlighting the links between economic growth and macroeconomic stability and illustrates a snapshot of economic development. Thoughtful discussions on measurements and limitations of the Human Development Index as well as the role of institutions and the design for monetary policy are also thoroughly reviewed. Furthermore, the book considers the open economy aspects of economic development and the challenges experienced following the global COVID-19 pandemic and beyond. The insightful overview of this evolving subject will be crucial reading for scholars interested in economic development, undergraduate and graduate students of economics, as well as economics scholars more broadly. Policymakers, both nationally and internationally, will find the discussions surrounding the design of monetary policies informative and illuminating.

Table of Contents:
Contents: Preface 1. Introduction: less developed countries and macroeconomics 2. Development indicators at the global level 3. Finance, institutions and economic development 4. The design of monetary policy for development 5. Fiscal policy 6. Facets of macroeconomic policymaking in open economies 7. Microeconomic foundations for stochastic general equilibrium macro models 8. Economic consequences of the COVID-19 pandemic for the developing world 9. Macroeconomic policies in the current global context Index

About the Author :
The late Raghbendra Jha, formerly Emeritus Professor of Economics, Arndt-Corden Department of Economics, Australian National University, Australia

Review :
‘Jha has written the ultimate book for the student, teacher or researcher working on the theory and practice of macroeconomics in developing countries. While it is a comprehensive book, covering almost every important topic in macro decision-making one can think of, it is written in an easily-accessible manner for both students not fully familiar with the subject and researchers actively working in this area. The range of topics covered is very wide – fiscal policy, financial inclusion and financial institutions, the unique aspects of monetary theory as applied to low and middle-income countries, as well as the foundations of stochastic general equilibrium macro models. There’s even a chapter on the economic effects of the COVID-19 pandemic on the economies of developing countries! In his usual style, Jha covers all the important points one needs to know in a particular topic – the theory underlying the topic, the historical context and the evolution of the literature in that area, any empirical debates or controversies, and the implications for public policies. Jha’s book is a tour de force in the field of macro-development – a must-read book that should be on any graduate development economic course syllabus!’ ‘Professor Raghbendra Jha is an eminent macroeconomist. In my opinion, this is perhaps the only book which blends a complete mastery over macroeconomic theory with a profound understanding of policies in the context of developing economies. The author’s own outstanding contributions to a wide range of topics are combined with a deep understanding of how macroeconomic theory must be adapted to enhance human well-being. The book sets high standards of analytical rigour with admirably lucid exposition of complex topics and concepts. Graduate students, researchers and policymakers will benefit immensely from a careful reading of this outstanding book.’ ‘Clear, concise, and comprehensive in coverage! Macroeconomics for Development explains in accessible language the use of the tools of macroeconomics in stabilising output at full employment. The emphasis is on developing countries but the issues raised are relevant to all nations.’