Against the Consensus

'A large literature asks what China can learn from the advanced countries as it continues to develop. Here Justin Yifu Lin turns the tables and asks what the advanced countries can learn from China, including on questions like the need for infrastructure spending in recovery from the crisis. Who better?' Barry Eichengreen, George C. Pardee and Helen N. Pardee Professor of Economics and Political Science, University of California, Berkeley

'No theory explains development if it can't explain China. Lin is the best economist to challenge received wisdom through authoritative exploration of the Chinese experience. [His] book provides a challenging reassessment of development policy and important prescriptions for global stability.' Ross Garnaut, Vice-Chancellor's Fellow and Professorial Fellow of Economics, University of Melbourne

'Justin Yifu Lin and I have travelled on the same intellectual journey. When we were young, we assumed that the West had all the intellectual answers. As we grew older, we realized that the West did not. This is perfectly normal. No one civilization has a monopoly on wisdom. As we move into a multi-civilizational world, we need to listen to alternative views. Justin explains brilliantly why China's economy has been so successful. And, yes, the West can learn a lesson or two from China. Hence, this book is an essential read.' Kishore Mahbubani, Dean, Lee Kuan Yew School of Public Policy, National University of Singapore, and author of The Great Convergence: Asia, the West, and the Logic of One World

'... Yifu Lin has written a superb appraisal which allows us a bird's eye view of the world economy as it stands - or rather, flutters, today. Against the Consensus' two concluding sentences say it all: "The time is right for reforming the international monetary system. WE should seize it now, before another crisis deals the system a lethal blow." ' Cambridge Business

Justin Yifu Lin is Professor and Honorary Dean of the National School of Development at Peking University. He was former Chief Economist and Senior Vice President of the World Bank between 2008 and 2012, and was the first economist from the developing world to hold this position. Prior to joining the Bank, Professor Lin served for 15 years as Founding Director and Professor of the China Centre for Economic Research (CCER) at Peking University. He is corresponding fellow of the British Academy, fellow of the World Academy of Sciences for the Developing World and the author of 23 books, including The Quest for Prosperity: How Developing Countries Can Take Off (2012), New Structural Economics: A Framework for Rethinking Development and Policy (2012), Benti and Changwu: Dialogues on Methodology in Economics (2011), Economic Development and Transition: Thought, Strategy, and Viability (2009) and Demystifying the Chinese Economy (Cambridge University Press, 2011).

Preface; Overview; Part I. What Caused the 2008-9 Global Crisis?: 1. The world economy and the 2008-9 crisis; 2. The real causes of the crisis; 3. Financial deregulation and the housing bubble; 4. What's wrong with the Eurozone; 5. Why China's reserves rose so much; Part II. A Win-Win Path to Recovery: 6. Infrastructure investments - beyond Keynesianism; 7. A massive global infrastructure initiative; Part III. How Poor Countries Can Catch up: Flying Geese and Leading Dragons: 8. The mystery of the great divergence; 9. The mechanics and benefits of structural change; 10. Lessons from the failures and successes of structural transformation; 11. Unique opportunities for poor countries; Part IV. Toward a Brave New World Monetary System: 12. The evolution of the international monetary system; 13. Emerging pressures and policy challenges; 14. (In)stability of the emerging multiple reserve currency system; 15. The thinking behind the main reform proposals; 16. Costs and benefits of major reform proposals; 17. A proposal for a new global reserve currency - paper gold ('p-gold'); 18. Why it still matters; References; Index.