Curriculum

Specially appointed program faculty

Masahiro Kawai Masahiro Kawai
Project Professor,
Graduate School of Public Policy
Masahiro Kawai

1) Courses

  • International Financial Institutions
  • Asian Economic Development and Integration
  • Asian Financial Markets

2) Education & Employment

Education:

Prof. Kawai obtained a PhD in economics from Stanford University in 1978. He also obtained an MS in statistics from Stanford University in 1976.
He graduated from the University of Tokyo with a BA degree and an MA degree in economics in 1971 and 1973, respectively.

Academic, Research and Other Professional Experiences:

Prof. Kawai began his professional career as a Research Fellow at the Brookings Institution (1977-78). He then served as an Associate Professor in the Department of Political Economy of The Johns Hopkins University (1978-86), and as a Professor of Economics at the Institute of Social Science of the University of Tokyo (1986-2008). He also served as Chief Economist for the World Bank's East Asia and the Pacific Region (1998-2001), as Deputy Vice Minister of Finance for International Affairs of Japan's Ministry of Finance (2001-03), and as President of the Policy Research Institute of Japan's Finance Ministry (2003). Afterwards he was Special Advisor to the Asian Development Bank President in charge of regional economic cooperation and integration (2005-2007), and Dean and CEO of the Asian Development Bank Institute (2007 to 2014). Prof. Kawai assumed his current position in April 2014.

In addition, Prof. Kawai has been President of the Japan Chapter of "Economists for Peace and Security" since 2002. He is also a Councilor of the Bank of Japan (since 2014), a Special Research Advisor to the Policy Research Institute of Japan's Ministry of Finance (since 2014), and Vice President of the Council on East Asia Community (since 2015).

3) Research Fields

international economics, international finance, monetary economics, development finance, Japanese economy, Asian economy and finance

4) Major Publications

Prof. Kawai's recent publications focus on Asian economic integration. He has published a number of books and more than 160 academic articles on open-economy macroeconomic issues, regional economic integration and cooperation, and the international economic system. His recent co-edited books include:

  • Kawai, Masahiro, Yung Chul Park, and Charles Wyplosz. 2015. Monetary and Financial Cooperation in East Asia: The State of Affairs after the Global Financial and European Crisis. Oxford: Oxford University Press.
  • Bosworth, Barry and Masahiro Kawai, eds. 2015. Transpacific Rebalancing: Implications for Trade and Economic Growth. Washington, DC: Brookings Institution Press.
  • Kawai, Masahiro and Jong-Wha Lee, eds. 2015. Rebalancing for Sustainable Growth: Asia's Postcrisis Challenge. Tokyo, Heidelberg, New York, Dordrecht, and London: Springer.
  • Eichengreen, Barry and Masahiro Kawai, eds. 2015. Renminbi Internationalization: Achievements, Prospects and Challenges. Washington, DC: Brookings Institution Press.
  • Baldwin, Richard, Masahiro Kawai, and Ganeshan Wignaraja, eds. 2014. A World Trade Organization for the 21st Century: The Asian Perspective. Cheltenham, United Kingdom: Edward Elgar.
  • Kawai, Masahiro, Mario B. Lamberte, and Peter J. Morgan, eds. 2014. Reform of the International Monetary System: An Asian Perspective. Tokyo, Heidelberg, New York, Dordrecht, and London: Springer.
  • Capannelli, Giovanni and Masahiro Kawai, eds. 2014.The Political Economy of Asian Regionalism. Tokyo, Heidelberg, New York, Dordrecht, and London: Springer.
  • Bhattacharyay, Biswa N., Masahiro Kawai, and Rajat M. Nag, eds. 2012. Infrastructure for Asian Connectivity. Cheltenham, United Kingdom: Edward Elgar.
  • Kawai, Masahiro, Mario Lamberte and Yung Chul Park, eds. 2013. The Global Financial Crisis and Asia. Oxford: Oxford University Press.
  • Kawai, Masahiro and Andrew Sheng, eds. 2012. Capital Market Reform in Asia: Towards Developed and Integrated Markets in Times of Change. New Delhi: Sage.
  • Kawai, Masahiro, Peter J. Morgan and Shinji Takagi, eds. 2012. Monetary and Currency Policy Management in Asia. Cheltenham, United Kingdom: Edward Elgar.
  • Kawai, Masahiro, David G. Mayes, and Peter J. Morgan, eds. 2012. Implications of the Global Financial Crisis for Financial Reform and Regulation in Asia. Cheltenham, United Kingdom: Edward Elgar.
  • Dervis, Kemal, Masahiro Kawai, and Domenico Lombardi, eds. 2011. Asia and Policymaking for the Global Economy. Washington, DC: Brookings Institution Press.
  • Kawai, Masahiro and Ganeshan Wignaraja, eds. 2011. Asia’s Free Trade Agreements: How Is Business Responding? Cheltenham, United Kingdom: Edward Elgar.
  • Kawai, Masahiro, Jong-Wha Lee, and Peter Petri, eds. 2010. Asian Regionalism in the World Economy: Engine for Dynamism and Stability. Cheltenham, United Kingdom: Edward Elgar.
  • Kawai, Masahiro and Mario Lamberte, eds. 2010. Managing Capital Flows: Search for a Framework. Cheltenham, United Kingdom: Edward Elgar.
  • Fukasaku, Kiichiro, Masahiro Kawai, Michael G. Plummer, and Alexandra Trzeciak-Duval, eds. 2005. Policy Coherence towards East Asia: Development Challenges for OECD Countries. Paris: Development Centre, Organisation for Economic Cooperation and Development.
  • de Brouwer, Gordon and Masahiro Kawai, eds. 2004. Exchange Rate Regimes in East Asia. London and New York: Routledge Curzon.
  • Steuerle, C. Eugene and Masahiro Kawai, eds. 1996. The New World Fiscal Order. Washington, D.C.: Urban Institute Press.

The following papers written by Prof. Kawai are often used in his lectures:

  • Kawai, Masahiro and Victor Pontines. 2016. "Is There Really a Renminbi Bloc in Asia? A Modified Frankel-Wei Approach." Journal of International Money and Finance, 62 (April), pp. 72-97.
  • Kawai, Masahiro and Kanda Naknoi. 2015. “ASEAN Economic Integration through Trade and Foreign Direct Investment: Long-Term Challenges.” ADBI Working Paper 345 (October). Tokyo: Asian Development Bank Institute.
  • Kawai, Masahiro. 2015. "Asian Infrastructure Investment Bank in the Evolving International Financial Order." In Daniel Bob, ed., Asian Infrastructure Investment Bank: China as Responsible Stakeholder? Washington, DC: Sasakawa Peace Foundation USA, pp. 5-26.
  • Eichengreen, Barry and Masahiro Kawai. 2015. "Introduction and Overview." In Eichengreen, Barry and Masahiro, eds. Renminbi Internationalization: Achievements, Prospects and Challenges. 2015. Washington, DC: Brookings Institution.
  • Kawai, Masahiro and Li-Gang Liu. 2015. "Trilemma Challenges for the People's Republic of China." Asian Development Review, 32:1, pp. 49-89.
  • Kawai, Masahiro. 2015. "From the Chiang Mai Initiative to an Asian Monetary Fund." ADBI Working Paper No. 527 (May). Tokyo: Asian Development Bank Institute.
  • Kawai, Masahiro and Peter Morgan. 2014. “Regional Financial Regulation in Asia.” In Masahiro Kawai, Peter J. Morgan, and Pradumna B. Rana, eds., New Global Economic Architecture: The Asian Perspective. Cheltenham, UK and Northampton, MA, USA: Edward Elgar, pp. 148-171.
  • Ito, Hiro and Masahiro Kawai. 2014. “Determinants of the Trilemma Policy Combination.” ADBI Working Paper No. 456 (January). Tokyo: Asian Development Bank Institute.
  • Kawai, Masahiro and Peter Petri. 2014. “Asia’s Role in the Global Economic Architecture.” Contemporary Economic Policy, 32:1 (January), pp. 230-245.
  • Kawai, Masahiro and Peter Morgan. 2013. “Banking Crises and ‘Japanization’.” In Changyong Rhee and Adam S. Posen, eds., Responding to Financial Crisis: Lessons from Asia Then, the United States and Europe Now. Washington, DC: Peterson Institute for International Economics, pp. 11-55.
  • Baldwin, Richard and Masahiro Kawai. 2013. “Multilateralizing Asian Regionalism,” ADBI Working Paper No. 431 (August). Tokyo: Asian Development Bank Institute.
  • Kawai, Masahiro and Ganeshan Wignaraja. 2013. “Patterns of Free Trade Areas in Asia.” Policy Studies No. 65. Hawaii: East-West Center.
  • Kawai, Masahiro. 2013. “Financing Development Cooperation in Northeast Asia.” Northeast Asian Economic Review, 1:10 (March), pp. 1-40.
  • Fujii, Mariko and Masahiro Kawai. 2012. “Lessons from Japan’s Banking Crisis: 1991-2005.” In Kearn Alexander and Rahul Dhumale, eds., Research Handbook on International Financial Regulation. Cheltenham and Northampton: Edward Elgar, pp. 259-284.
  • Kawai, Masahiro and Peter Morgan. 2012. “Central Banking for Financial Stability in Asia.” Public Policy Review, Special Issue: Achieving Financial Stability, Policy Research Institute, Japan’s Ministry of Finance, 8:3 (August), pp. 215-246.
  • Kawai, Masahiro and Michael Pomerleano. 2012. “Strengthening Systemic Financial Regulation.” In Masahiro Kawai, David G. Mayes, and Peter J. Morgan, eds., Implications of the Global Financial Crisis for Financial Reform and Regulation in Asia. Cheltenham and Northampton: Edward Elgar, pp. 29-49.
  • Kawai, Masahiro and Michael Pomerleano. 2011. “Regulating Systemic Risk.” In Asli Demirguc-Kunt, Douglas D. Evanoff, and George Kaufman, eds., The International Financial Crisis: Have the Rules of Finance Changed? New Jersey and London: World Scientific (2011), pp. 127-153.
  • Kawai, Masahiro. 2011. “G-20 Financial Reforms and Emerging Asia’s Challenges.” In Kemal Dervis, Masahiro Kawai, and Domenico Lombardi, eds., Asia and Policymaking for the Global Economy. Washington, DC: Brookings Institution, pp. 105-150.
  • Kawai, Masahiro. 2010. “Reform of the International Financial Architecture: An Asian Perspective.” Singapore Economic Review, 55:1 (March), pp. 207-242.
  • Kawai, Masahiro. 2009. “Can Tokyo Become a Global Financial Centre?” In Soogil Young, Dosoung Choi, Jusus Seade and Sayuri Shirai, eds., Competition among Financial Centres in Asia-Pacific: Prospects, Benefits, Risk and Policy Challenges (Singapore: Institute of Southeast Asian Studies), pp. 179-192.
  • Kawai, Masahiro and Pradumna B. Rana. 2009. “The Asian Financial Crisis Revisited: Lessons, Reponses and New Challenges.” In Richard Carney, ed., Lessons from the Asian Financial Crisis (Abingdon and New York: Routledge), pp. 154-197.
  • Kawai, Masahiro. 2008. “Toward a Regional Exchange Rate Regime in East Asia.” Pacific Economic Review, 13:1 (February), pp. 83-103. Kawai, Masahiro. 2005. “Reform of the Japanese Banking System.” International Economics and Economic Policy, 2:4 (December), pp. 307-335.
  • Kawai, Masahiro. 2006. “Globalization and Economic Development: The Role of Multilateral Development Banks.” In Junji Nakagawa, ed., Managing Development: Globalization, Economic Restructuring and Social Policy (Abingdon and New York: Routledge, February), pp. 42-85.
  • Kawai, Masahiro and Shinji Kawai. 2005. “Strategy for a Regional Exchange Rate Arrangement in East Asia: Analysis, Review and Proposal.” Global Economic Review, 34:1 (March), pp. 21-64.
  • Kawai, Masahiro, Richard Newfarmer and Sergio L. Schmukler. 2005. “Financial Crises: Nine Lessons from East Asia.” Eastern Economic Journal, 31:2 (Spring), pp. 185-207.
  • Kawai, Masahiro. 2000. “The Resolution of the East Asian Crisis: Financial and Corporate Sector Restructuring.” Journal of Asian Economics, 11, pp. 133-168.
  • Kawai, Masahiro. 1998. “The East Asian Currency Crisis.” Contemporary Economic Policy, 14 (April), pp. 157-172.
  • Kawai, Masahiro. 1996. “The Japanese Yen as an International Currency: Performance and Prospects.” In Ryuzo Sato, Rama V. Ramachandran, and Hajime Hori, eds., Organization, Performance and Equity: Perspectives on the Japanese Economy (Boston, London, Dordrecht: Kluwer Academic Publishers), pp. 305-355.
  • Kawai, Masahiro. 1993. “Optimal and Sustainable Exchange Rate Regimes: A Two-Country Game-Theoretic Approach.” International Monetary Fund Staff Papers, 40 (June), pp. 329-368.

Prof. Kawai's papers published in refereed journals include:

  • Kawai, Masahiro and Victor Pontines. 2016. "Is There Really a Renminbi Bloc in Asia?: A Modified Frankel-Wei Approach." Journal of International Money and Finance, 62, pp.72-97.
  • Kawai, Masahiro and Li-Gang Liu. 2015. "Trilemma Challenges for the People's Republic of China." Asian Development Review, Vol. 32, No. 1, pp. 49-89.
  • Kawai, Masahiro and Peter A. Petri. 2014. “Asia’s Role in the Global Economic Architecture.” Contemporary Economic Policy, 32:1 (January), pp. 230-245.
  • Kawai, Masahiro. 2013. “Financing Development Cooperation in Northeast Asia.” Northeast Asian Economic Review, 1:10 (March), pp. 1-40.
  • Kawai, Masahiro and Ganeshan Wignaraja. 2011. “Asian FTAs: Trends, Prospects and Challenges.” Journal of Asian Economics, 22:1 (February), pp. 1-22.
  • Kawai, Masahiro and Fan Zhai. 2010. “Asia’s Post-Global Financial Crisis Adjustment: A Model-Based Dynamic Scenario Analysis.” Asian Development Review, 27:2 (December), pp. 122-151.
  • Kawai, Masahiro. 2010. “Reform of the International Financial Architecture: An Asian Perspective.” Singapore Economic Review, 55:1 (March), pp. 207-242.
  • Kawai, Masahiro and Fan Zhai. 2009. “China-Japan-United States Integration amid Global Rebalancing: A Computable General Equilibrium Analysis.” Journal of Asian Economics, 20:6 (November), pp. 688-699.
  • Kawai, Masahiro and Ganeshan Wignaraja. 2008. “EAFTA or CEPEA? Which Way Forward?” ASEAN Economic Bulletin, 25:2 (August), pp. 113-139.
  • Kawai, Masahiro. 2008. “Toward a Regional Exchange Rate Regime in East Asia.” Pacific Economic Review, 13:1 (February), pp. 83-103.
  • Kawai, Masahiro. 2005. “Reform of the Japanese Banking System.” International Economics and Economic Policy, 2:4 (December), pp. 307-335.
  • Kawai, Masahiro and Shinji Takagi. 2005. “Towards Regional Monetary Cooperation in East Asia: Lessons from Other Parts of the World.” International Journal of Finance and Economics, 10 (April), pp. 97-116.
  • Kawai, Masahiro, Richard Newfarmer, and Sergio L. Schmukler. 2005. “Financial Crises: Nine Lessons from East Asia.” Eastern Economic Journal, 31:2 (Spring), pp. 185-207.
  • Kawai, Masahiro and Shinji Takagi. 2005. “Strategy for a Regional Exchange Rate Arrangement in East Asia: Analysis, Review and Proposal.” Global Economic Review, 34:1 (March), pp. 21-64.
  • Kawai, Masahiro. 2005. “East Asian Economic Regionalism: Progress and Challenges.” Journal of Asian Economics, 16:1 (February), pp. 29-55.
  • Kawai, Masahiro and Shinji Takagi. 2004. “Japan’s Official Development Assistance: Recent Issues and Future Directions.” Journal of International Development, 16 (February), pp. 255-180.
  • Khalid, Ahmed M. and Masahiro Kawai. 2003. “Was Financial Market Contagion the Source of Economic Crisis in Asia? Evidence Using a Multivariate VAR Model.” Journal of Asian Economics, 14, pp. 133-159.
  • Kuroda, Haruhiko and Masahiro Kawai. 2002. “Strengthening Regional Financial Cooperation.” Pacific Economic Papers, No. 332 (October), pp. 1-35.
  • Kawai, Masahiro. 2000. “The Resolution of the East Asian Crisis: Financial and Corporate Sector Restructuring.” Journal of Asian Economics, 11, pp. 133-168.
  • Kawai, Masahiro and Shigeru Akiyama. 1998. “The Role of Nominal Anchor Currencies in Exchange Rate Arrangements.” Journal of the Japanese and International Economies, 12 (December), pp. 334-387.
  • Kawai, Masahiro. 1998. “The East Asian Currency Crisis.” Contemporary Economic Policy, 14 (April), pp. 157-172.
  • Kawai, Masahiro and Hidetaka Ohara. 1997. “Nonstationarity of Real Exchange Rates in the G7 Countries: Are They Cointegrated with Real Variables?” Journal of the Japanese and International Economies, 11 (December), pp. 523-547.
  • Hashimoto, Juro, Shigemi Izumida, and Masahiro Kawai. 1996. “Japanese Firms in Financial Distress and Main Banks: Analyses of Interest-rate Premia.” Japan and the World Economy, 8, pp. 175-194.
  • Kawai, Masahiro and Louis J. Maccini. 1995. “Twin Deficits vs. Unpleasant Fiscal Arithmetic in a Small Open Economy.” Journal of Money, Credit, and Banking, 27 (August), pp. 639-658.
  • Kawai, Masahiro. 1993. “Optimal and Sustainable Exchange Rate Regimes: A Two-Country Game-Theoretic Approach.” International Monetary Fund Staff Papers, 40 (June), pp. 329-368.
  • Kawai, Masahiro. 1993. “Le Japon Pays Crediteur: causes et implications.” Revue d’Economie Financiere, 24 (Spring), pp.239-275.
  • Kawai, Masahiro and Louis J. Maccini. 1990. “Fiscal Policy, Anticipated Switches in Methods of Finance and the Effects on the Economy.” International Economic Review, 31 (November), pp. 913-934.
  • Kawai, Masahiro. 1989. “Japan's Demand for Long-term External Financial Assets in the 1980s.” Asian Economic Journal, 3 (September), pp. 65-115.
  • Goodman, Allen C. and Masahiro Kawai. 1986. “Functional Form, Sample Selection and Housing Demand.” Journal of Urban Economics, 20 (September), pp. 155-167.
  • Kawai, Masahiro and Itzhak Zilcha. 1986. “International Trade with Forward-Futures Markets under Exchange Rate and Price Uncertainty.” Journal of International Economics, 20 (February), pp. 83-98.
  • Kawai, Masahiro. 1985. “Exchange Rates, the Current Account and Monetary-Fiscal Policies in the Short Run and in the Long Run.” Oxford Economic Papers, 37 (September), pp. 391-425.
  • Kawai, Masahiro and Shigeru Akiyama. 1985. “Welfare Implications of Commodity Price Stabilization with Partially Flexible Production, Private Storage and Buffer-Stock Costs.” Weltwirtschaftliches Archiv, 121 (June), pp. 262-279.
  • Kawai, Masahiro. 1984. “Estimation and Policy Implications of Rental Housing Demand.” Journal of Urban Economics, 16 (July), pp. 76-90.
  • Kawai, Masahiro. 1984. “The Effect of Forward Exchange on Spot Rate Volatility under Risk and Rational Expectations.” Journal of International Economics, 16 (February), pp. 155-172.
  • Kawai, Masahiro. 1983. “Price Volatility of Storable Commodities under Rational Expectations in Spot and Futures Markets.” International Economic Review, 24 (June), pp. 435-459.
  • Kawai, Masahiro. 1983. “Spot and Futures Prices of Nonstorable Commodities under Rational Expectations.” Quarterly Journal of Economics, 98 (May), pp. 235-254.
  • Goodman, Allen C. and Masahiro Kawai. 1982. “Permanent Income, Hedonic Prices and Demand for Housing: New Evidence.” Journal of Urban Economics, 12 (September), pp. 214-237.
  • Kawai, Masahiro. 1981. “The Behavior of an Open-Economy Firm under Flexible Exchange Rates.” Economica, 48 (February), pp. 45-60.