Creating a Harmonious Global Economic Order

International economic order depends on credible rules that discipline and limit government power while allowing the freedom to engage in mutually beneficial trades. In creating a harmonious global order, therefore, governments must first get their own houses in order.

In doing so, the first principle should be "Do no harm." This means policymakers should take account of the long-run consequences of their actions, rather than wedding themselves to the short run. They should also recognize that there is no perfect system. Every policy choice has costs and benefits; trade-offs are a fact of life. A principled approach to policy, however, will have positive spillovers as other countries follow suit.