Given the recent global economic crisis, Who Needs to Open the Capital Account? considers the impact of capital account liberalization on global economic dynamics. Should capital controls, that limit foreign investment or domestic ownership of foreign assets, be put in place to prevent global imbalances? For investors, determining where to put capital is much like betting. Investors want to place their capital to get high returns, which means betting on emerging Asian countries with high interest rates and undervalued currencies. While poorer countries need more capital to grow, can increased capital inflow become too much of a good thing? A distinguished set of authors examine capital account liberalization and recommend ways to prevent a boom-bust cycle. They advocate reconciling domestic and international financial regulation that deals with boom-bust dynamics in domestic and international credit. The crisis changes the debate on capital account liberalization, and this volume argue