Global Financial Centers, Economic Power, and (In)Efficiency (eBook)

Preface 6
Contents 10
List of Figures 13
List of Tables 14
1 Introduction: Global Financial Flows, Stocks, Economic Power, and Financial Sustainability Under the Current Structure of Global Finance 17
References 23
2 Cross-Country Analysis of Financial Assets and Liabilities: 2005–2017 24
2.1 Theoretical Background on Financial Flows, Stocks, Savings, and Investment 25
2.2 Global Financial Flows and Accumulated Financial Assets and Liabilities for 2005–2017 28
2.3 Cross-Country Analysis of Financial Assets and Liabilities in 2005 28
2.4 Cross-Country Analysis of Financial Assets and Liabilities in 2010 33
2.5 Cross-Country Analysis of Financial Assets and Liabilities in 201728 36
2.6 Changes in Accumulated Assets and Liabilities: The US, the UK, and the Most Advanced EU Economies 40
2.7 The US and the UK as the Two Most Important Financial Centres in the World 42
2.8 Japan and China as Two of the Three Biggest Net Capital Exporters in the World 45
2.9 The Special Role of Small Countries as Financial Hubs for Global Financial Flows: Luxembourg, the Republic of Ireland, Hong Kong, SAR, and Switzerland 47
2.10 Summing Up—Concentrating and Distributing Global Financial Resources in the First Seventeen Years of the Twenty-First Century: Something Has Changed 51
References 58
3 Changes in Economic Power: Global Economic Growth from 2000 to 2017 62
3.1 Economic Growth and Shifting Economic Power in the First 17 Years of the Twenty-First Century 63
3.2 A Quick Look at Changes in Economic Power in 2000–2017 66
3.3 Analysis of Changes in the World Economy Between 2000 and 2010 70
3.4 Analysis of Changes in the World Economy from 2010 to 2017 77
3.5 Credit Activity and Its Importance for Economic Growth in 2010–2017 80
3.6 Economic Growth and Changes in Credit Activity in 2005–2017 83
References 86
4 Economic Growth, Financial (In)efficiency, and Sustainability 88
4.1 Challenges to Global Economic Stability and Sustainability: A Brief Review of the Literature on Global Financial Centres and Their Importance 89
4.2 The Economic Performance of the BIS Reporting Countries, Weighted by Change in the Availability of Financial Resources—A Methodological Base 91
4.2.1 Calculating the Cal and the Cge 93
4.2.2 Calculating the Ccp and the Cgc 95
4.3 The Economic and Financial Performance of the Leading World Financial Centres: the US, the UK, Germany, Japan, and France 97
4.4 China and the Other BRIC Countries’ Economic Performance Based on Their Rgw for 2005–2017 111
4.5 The US and China as the Two Largest and Most Important Economies: Coming Challenges and Likely Threats 114
References 118
5 Concluding Remarks on Global Financial Centres, Economic Growth, Financial Efficiency, and (In)stability 121
References 126
Appendix 128
Index 174