Currency Crises is a collection of papers by leading thinkers on the subject, all presented at a 1998 NBER conference. Paul Krugman edits the volume and asks aloud what the reader can only silently wonder: Why is yet another conference on such a well-established research field necessary? The answer, according to Krugman, is that “despite two decades of research on the causes and consequences of such crises, important issues are either unresolved or require a fresh look in the face of new experience” (p. 2). This is made immediately clear in the pages that follow. The volume contains applications of new models to old crises, as well as new ways of thinking about recent episodes. It also treats different types of currency crises, including not only those that can and do occur in industrial countries (usually because of policy inconsistencies), but also the breed of animal that rears its head in emerging markets.

This is an ambitious, stimulating, and well-written book. Haim Ofek is concerned with the origin of the human propensity “to truck, barter, and exchange,” as Adam Smith put it. The author notes that while many animals engage in forms of nepotistic exchange (behavior that can be accounted for by the Hamilton kin-selection mechanism), humans are the only species to engage systematically in exchange with nonkin conspecifics. Rather than viewing these behaviors as cultural artifacts reflective of generations of development after the onset of the Neolithic revolution, Ofek seeks to situate their origin much earlier, in the two-million-year Pleistocene era; indeed, he views exchange, in conjunction with climactic stabilization, as a sufficient condition for—the cause, rather than a consequence of—the Neolithic revolution.

The central problem of the thesis is the retardation of regional growth. The economy of New Brunswick has provided a case in point for over a hundred years. That is to say, real per capita income within the province has tended to lag behind that achieved in competing regions. This competition has been viewed primarily as a scramble for factors of production. The winners were those areas which attracted factors from lagging sectors whenever income differentials became significant. The losers, in turn, could find in such an exodus a major reason why retardation developed cumulative tendencies.

In accordance with the proper procedures of economic history and nicely within the limitations of my own knowledge, my comments upon the three papers presented take the form of recollections of some of the business conditions met with in my forty-four years of service with a single manufacturing and selling company.

Economics, as it is frequently taught nowadays, consists largely of supply and demand curves. Within their graceful lines are contained the wisdom of the ages—the key to the past and the barometer of the future. If superimposed on one another, these curves have all the esthetic quality of dynamistic drawings. So completely have they dominated economic thinking that when a group of economists considered the possibility of founding an Economic History Association, their first impulse was to establish a demand curve. This was done, as Professor Heaton has intimated, by Miss Anne Bezanson, who canvassed the field. She discovered that four hundred people could be counted upon immediately to support a Journal of Economic History.

The steamboat was the first great American contribution to modern technology. First developed to the point of practical commercial success in this country, the steamboat was quickly incorporated into the economic structure of the nation and within a few years became the principal vehicle of transportation on the main channels of inland commerce. Eventually the influence of the American steamboat was felt all over the globe, and there were few great river systems that in time did not feel the beat of the paddlewheels by which it was propelled.

This paper applies a feminist analysis to the measurement of living standards during the 1970s. It suggests that widely made assumptions of homogeneous pooling and redistribution of income, labor, and expenditures within families mask inequalities and uneven changes in the living standards of wage-working husbands and wives. Two waves of the Panel Study of Income dynamics are used to create two rough indicators, that is, reproduction pay and surplus, to test for inequalities and uneven changes in 1968 and again in 1979. In general, the findings show differential living standards between husbands and wives when assumptions of homogeneous pooling and redistribution are not made. The paper concludes that the suggested rough indicators are useful for the measurement of living standards.

Joseph Schumpeter had more influence on professional economic thinking than any other economist of his generation with the one exception of Keynes. His influence was exerted through numerous articles and books written and published in many languages; it was exerted even more through his teaching; his world-wide fame attracted students from everywhere and through them his influence spread to all the corners of the world in which economics is taken seriously.

Geographers and city planners, endeavoring to explain or foretell changes in urban population, sometimes use an approach called basic-nonbasic. A basic factor is one which brings in money from outside of the city and which usually sells its products beyond the city limits. The nonbasic factor furnishes services and supplies to the city. Thus a factory would normally be a basic factor, while grocery stores, barber shops, and similar institutions, together with most professional groups, would be nonbasic. A factory employing a thousand workmen would add to the city not merely the workmen's families but about an equal group of nonbasic families, perhaps a total of six or seven thousand persons. This concept is a very useful one in modern society and is worth testing for its possibilities for medieval settlements.