Does the IMF help or hurt the developing world? Your Name here Course Details: Instructor: Date Here The original Bretton Woods conference presented the International Monetary Fund with extensive responsibilities: to regulate the volume of international liquidity; to ensure the stability of exchange rates: to promote freedom of trade and capital transactions: to coordinate the economic policies of member-states: to assist members with balance of payments (BoP) difficulties. With the break-down of the Bretton Woods structure in the early 1970s some of these aims became outdated or unattainable leaving the Fund with the principal task of providing BoP assistance. Till the recent rise of former Comecon countries as debtors almost all such aid since the mid-1970s has been to developing countries. This situation was not foreseen in 1944 at Bretton Woods: then the Fund was expected chiefly to service industrial countries. So is the Fund ill-designed for providing actual the Fund's ability to operate effectively in African and other low-income countries. Political resolve of country lending decisions remains a weakness. The Fund in recent years has been linked with a net return flow of finance from debtor developing countries and there is indication of program underfunding. The effects of the Fund on capital inflows from other sources differs greatly and its claims to exert a catalytic effect are embellished. Eventually it is the governments of the OECD countries which decide the Fund's strategies and which determine its bearing towards developing countries. Works Cited: BIBLIOGRAPHY Dreher Ambrose. "IMF and economic growth: the effects of programs loans and compliance." Word Development (2006): 769-788. Evrensel Albert. "Effectiveness of IMF-Supported Stabilization Programs in Developing." Journal of International Money and Finance (2002): 565-587.Leblang Drick and Simeone Marchesi. "The Political Economy of Speculative Attacks in the Developing World ." International Studies Quarterly (2002): 69-92. [...]
1. Does the IMF help or hurt the developing world? Discuss two views of this topic from academic journals and come to your own conclusions. paper should be 3-5 pages in length and use footnotes which include two academic sources.