Front Matter Page
Finance & Development is published quarterly in English, Arabic, Chinese, French, Russian, and Spanish. English edition ISSN 0015-1947
EDITOR-IN-CHIEF
Jeffrey Hayden
MANAGING EDITOR
Marina Primorac
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Hyun-Sung Khang
Natalie Ramírez-Djumena
James L. Rowe, Jr.
Simon Willson
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Glenn Gottselig
ASSISTANT EDITORS
Khaled Abdel-Kader
Maureen Burke
Jacqueline Deslauriers
Lika Gueye
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Lijun Li
SOCIAL MEDIA MANAGER
Sara Haddad
SENIOR EDITORIAL ASSISTANT
Niccole Braynen-Kimani
CREATIVE DIRECTOR
Luisa Menjivar
GRAPHIC ARTISTS
Seemeen Hashem
Kenneth Nakagawa
Michelle Martin
ADVISORS TO THE EDITOR
Bas Bakker
Nicoletta Batini
Helge Berger
Tim Callen
Paul Cashin
Adrienne Cheasty
Alfredo Cuevas
Marcello Estevão
Domenico Fanizza
James Gordon
Thomas Helbling
Laura Kodres
Paolo Mauro
Gian Maria Milesi-Ferretti
Paul Mills
Martin Muhleisen
Laura Papi
Uma Ramakrishnan
Abdelhak Senhadji
© 2013 by the International Monetary Fund. All rights reserved. For permission to reproduce any F&D content, submit a request via online form (www.imf.org/external/terms.htm) or by e-mail to copyright@imf.org. Permission for commercial purposes also available from the Copyright Clearance Center (www.copyright.com) for a nominal fee.
Opinions expressed in articles and other materials are those of the authors; they do not necessarily reflect IMF policy.
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Features
MIDDLE EAST: LOOKING AHEAD
Toward Prosperity for All
Arab countries in transition need a guiding vision for the future
Masood Ahmed
Freedom and Bread Go Together
Economic reforms in the Arab world must be implemented in parallel with political change
Marwan Muasher
Only Fair
Social justice must be at the foundation of Arab economic reforms
Nada al-Nashif and Zafiris Tzannatos
As a Matter of Finance
To help boost economic growth, Arab countries need a stable supply of funds and better access to credit
Adolfo Barajas and Ralph Chami
Point of View: Business, Not as Usual
Private enterprise, driven by a nascent middle class, is the key to successful democratic transition in the Middle East
Vali Nasr
Straight Talk: Defining Moment
Only by opening up will the Arab countries in transition achieve the broad-based growth their societies so desperately need
David Lipton
Picture This: Trade, Growth, and Jobs
Closer trade integration would reward countries in the Middle East with increased growth and jobs
Amine Mati
ALSO IN THIS ISSUE
On the Rise
High prices and new technology have triggered a sudden surge in oil and gas production in the United States that could shake up global energy markets
Thomas Helbling
Held Back by Uncertainty
Recoveries are slowed when businesses and consumers are unsure of the future
Nicholas Bloom, M. Ayhan Kose, and Marco E. Terrones
Degrees of Development
New data suggest that the higher the educational attainment of civil servants the better a country’s economic outcomes
Rabah Arezki and Marc Quintyn
The Comeback
Mexico’s newfound competitiveness helps it regain a share of the U.S. import market it had lost to China
Herman Kamil and Jeremy Zook
Departments
IN BRIEF
People in Economics
The $787 Billion Question
Maureen Burke profiles Christina Romer, former chair of the U.S. Council of Economic Advisers
Back to Basics
What Are Structural Policies?
Monetary and fiscal policies deal with short-term economic fluctuations, but an economy’s problems often go deeper
Khaled Abdel-Kader
Book Reviews
The Battle of Bretton Woods: John Maynard Keynes, Harry Dexter White, and the Making of a New World Order, Benn Steil
The Bankers’ New Clothes: What’s Wrong with Banking and What to Do about It, Anat Admati and Martin Hellwig
The Great Indian Phone Book, Robin Jeffrey and Assa Doron
Data Spotlight
Inclusive Africa
The number of Africans with access to banking and other financial services is growing Luca Errico, Goran Amidzic, and Alexander Massara
Illustration: pp. 42–43, Seemeen Hashem/IMF.
Photography: Cover, Maya Alleruzo/AP/Corbis; p. 2, Salem Krieger/Corbis, Michael S. Yamashita/National Geographic Society/Corbis, Philippe Lissac/Corbis; p. 3, Imaginechina/Corbis, Michael S. Lewis/National Geographic Society/Corbis; p. 4, Noah Berger Photography; p. 8, Luis Otero/Hemis/Zumapress.com; pp. 8–9, iStockphoto.com/Lorna Piche; p. 10, Mohammed Vifo/UPI/Newscom; p. 12, Chokri Mahjour/Zumapress.com; p. 14, Adham Khorshed/Demotix/Corbis; p. 18, Ali Arkady/Metrography/Corbis; p. 22, Bilal Hussein/Associated Press; pp. 26–27, Dirk Panier/arabianEye/Corbis; p. 30, Michael Spilotro/IMF; p. 32, Kadari Mohamed/Xinhua/Zumapress.com; p. 33, Phil Weymouth/Bloomberg via Getty Images; p. 34, Orlin Wagner/Associated Press; p. 38, iStockphoto; p. 48, Keith Dannemiller/Corbis.