Strengthening International Economic Cooperation: The Role of Indicators in Multilateral Surveillance

Abstract

This study considers the role of policy coordination in strengthening economic performance, and the part that economic indicators can play in this process. It begins by reviewing the objectives of economic cooperation (exploiting positive externalities and avoiding negative ones), and some of the political and economic obstacles to making cooperation effective. The relationship between coordination procedures and international monetary arrangements is assessed, and an analysis is provided of how indicators can be used in a systematic way to judge the sustainability of economic trends.