A History of the Federal Reserve, Vol. 1: 1913-1951

Allan H. Meltzer's monumental history of the Federal Reserve System tells the story of one of America's most influential but least understood public institutions. This first volume covers the period from the Federal Reserve's founding in 1913 through the Treasury-Federal Reserve Accord of 1951, which marked the beginning of a larger and greatly changed institution.

To understand why the Federal Reserve acted as it did at key points in its history, Meltzer draws on meeting minutes, correspondence, and other internal documents (many made public only during the 1970s) to trace the reasoning behind its policy decisions. He explains, for instance, why the Federal Reserve remained passive throughout most of the economic decline that led to the Great Depression, and how the Board's actions helped to produce the deep recession of 1937 and 1938. He also highlights the impact on the institution of individuals such as Benjamin Strong, governor of the Federal Reserve Bank of New York in the 1920s, who played a key role in the adoption of a more active monetary policy by the Federal Reserve. Meltzer also examines the influence the Federal Reserve has had on international affairs, from attempts to build a new international financial system in the 1920s to the Bretton Woods Agreement of 1944 that established the International Monetary Fund and the World Bank, and the failure of the London Economic Conference of 1933.

Written by one of the world's leading economists, this magisterial biography of the Federal Reserve and the people who helped shape it will interest economists, central bankers, historians, political scientists, policymakers, and anyone seeking a deep understanding of the institution that controls America's purse strings.

"It was 'an unprecedented orgy of extravagance, a mania for speculation, overextended business in nearly all lines and in every section of the country.' An Alan Greenspan rumination about the irrational exuberance of the late 1990s? Try the 1920 annual report of the board of governors of the Federal Reserve. . . . To understand why the Fed acted as it did—at these critical moments and many others—would require years of study, poring over letters, the minutes of meetings and internal Fed documents. Such a task would naturally deter most scholars of economic history but not, thank goodness, Allan Meltzer."—Wall Street Journal

"A seminal work that anyone interested in the inner workings of the U. S. central bank should read. A work that scholars will mine for years to come."—John M. Berry, Washington Post

"An exceptionally clear story about why, as the ideas that actually informed policy evolved, things sometimes went well and sometimes went badly. . . . One can only hope that we do not have to wait too long for the second installment."—David Laidler, Journal of Economic Literature

"A thorough narrative history of a high order. Meltzer's analysis is persuasive and acute. His work will stand for a generation as the benchmark history of the world's most powerful economic institution. It is an impressive, even awe-inspiring achievement."—Sir Howard Davies, Times Higher Education Supplement

The weaknesses of Meltzer's book stem from his massive archive of information and the strength of his predecessors. The sheer volume of information he is trying to convey prompts the narrative to drift and the reader sometimes loses the point. And, as a good academic historian, he is engaged in a dialogue with other historians of the Fed and monetary policy that can push the layman to the sidelines. Meltzer's history assumes the reader has a rather advanced knowledge of economics and finance such as an understanding of the real bills doctrine and the operation of an international gold standard. Also, the charts and tables are often not very helpful in understanding the text or at least could have been presented in a better manner.

An international policy issue awash in myths, moral inconsistencies, social prejudices, and political rhetoric, it's no wonder students find the international drug trade an alluring topic to study and discuss. With his brief and engaging new book, David Mares explores the reasons why there is so much disagreement among nations about which policies are most appropriate to address drug production, distribution, and trade. From the more tolerant "coffee house" style policies of the Netherlands which focus on public health concerns, to the United States' just-say-no "drug war" approach, nations frame and seek to resolve these issues in very different ways and with different levels of success. This variation creates a host of global cooperation and policy coordination problems, making Drug Wars and Coffee Houses an ideal supplement for giving students an opportunity to apply the larger themes of any political economy course to a substantive policy area.

A compelling framework--focusing on political economic ideas and analysis--shows students how leaders and policymakers need to understand the drug trade as a full-blown commodity system if they are to impact its different segments. As he discusses drug production, consumption, distribution, and money laundering, Mares carefully shows what insights micro political economic, realist, constructivist, and social deviant perspectives each bring to bear on the problem. And, through the book's use of extended case studies, this text offers students an inside look at a complex and fascinating policy area, from Sweden's attempts to enforce drug-war style policies, to the UK's movement towards decriminalization, to the responses of such international organizations as the United Nations and the European Union.

A comprehensive bibliography of websites, articles, and book length studies point to further research on the topic, while class-tested research and study questions for each chapter will jumpstart class discussions and projects.

Violent Entrepreneurs is remarkable for its research. Volkov conducted numerous interviews with members of criminal groups, heads of protection companies, law enforcement employees, and businesspeople. He bases his findings on journalistic and anecdotal evidence as well as on his own personal observation.

Volkov investigates the making of violence-prone groups in sports clubs (particularly martial arts clubs), associations for veterans of the Soviet- Afghan war, ethnic gangs, and regionally based social groups, and he traces the changes in their activities across the decade. Some groups wore state uniforms and others did not, but all of their members spoke and acted essentially the same and were engaged in the same activities: intimidation, protection, information gathering, dispute management, contract enforcement, and taxation. Each group controlled the same resource-organized violence.

Well researched, a lot of information, but not something that can be casually read. Written in a very dry style...

In a timely analysis of international events, including the 9/11 terrorist attacks and the "war against terrorism," Fidel Castro discusses issues of globalization and the growing phenomenon of global apartheid.

He defends Cuba's exceptional achievements in the fields of health and education, pointing out that in Cuba life expectancy is remarkably high. He upholds Cuba's democracy as more full and just than the parliamentary democracy that we increasingly reject.

He notes that more Cuban doctors and health workers are providing free medical services in Third World countries than at any previous time. They are training 5000 Latin American medical students to become doctors in Latin America. Cuban doctors have set up medical schools in Gambia and Equatorial Guinea to educate doctors to live and work in Africa, not to poach them, as the Blair government does. Cuban doctors are working to assist African countries to cope with the devastations of AIDS.

War, terrorism and economic crisis are all born of an unsuccessful and unsustainable political and economic order. Fidel deplores the fact that the US government holds the sole veto power in the IMF and the World Bank, which prevents these bodies from being changed from tools of destruction. Fidel asserts that theft of resources and of capital from Third World countries equals genocide, and looking at the huge numbers of unnecessary child deaths in those countries, one can only agree.

He warns against recourse to war as a solution to problems. Instead, he proposes that the UN Security Council, an executive body, should be subordinated to the democratic legislature of the General Assembly.

But the good thing is that Hechter does lay a foundation for further study of this important topic. Hechter quite correctly elevates the issue of solidarity to a central place in sociology. The use of a tempered rational choice approach is nicely reasoned and given just due. All in all, this is a must read for those wishing to begin studying the problem of solidarity, but it is just that--a beginning point.