Enormous advances in transportation, communications, and information technology have led to widespread gains in productivity and massive changes in the structure of the world economy. While this has been going on, new economic powerhouses have emerged. In response to these developments, the rules of the game have evolved somewhat, as have the institutions supporting the global financial and trade order.
But to be blunt, neither the rules nor the institutions have fully kept up with the times. To illustrate my point, I'm going to say a few words about the IMF in particular. The Fund was critical in establishing some of the rules for monetary policy and exchange rates in the years immediately following the Second World War.