This book highlights the basic principles of monetary economics and their application to developing countries. Fully illustrated, the new edition includes four entirely new chapters, with material on financial crises, the debates surrounding inflation targeting, and an examination of the role and future of financial institutions.

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SUBRATA GHATAK is Emeritus Professor of Applied Economics at Kingston University, London, UK. He has written eight books and published numerous articles in national and international journals and books. He has also acted as a Consultant to the World Bank and the United Nations.

JOS� R. S�NCHEZ-FUNG is Senior Lecturer in Economics at Kingston University, London, UK. He has held positions as Visiting Scholar at Columbia University in New York, Senior Associate Member of St Antony's College, University of Oxford, and Director of Economic Research at the Central Bank of the Dominican Republic.

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