The Changing Role and Strategies of the IMF and the Perspectives for the Emerging Countries

Fernando J. Cardim de Carvalho ()

Brazilian Journal of Political Economy, 2000, vol. 20, issue 1, 3-18

Abstract: The IMF was created right after World War II to manage an international paymentssystem based on fixed exchange rates. In its early years the Fund’s remedy to balance--of-payments crises consisted in reducing domestic aggregate demand. As a result, its policieswere seen as recessive. With the collapse of the fixed exchange rates system in the early 70s,the Fund lost its clients in the developed world and turned to developing countries. In theFund’s approach, developing countries suffered crises not because of temporary maladjustmentsbetween aggregate supply and demand but because of structural problems. Accordingly,the Fund began to impose structural reforms as conditionalities for its loans, curbingthe autonomy of developing countries to adopt the policies they would see as favorable togrowth. JEL Classification: F34; F62.

Keywords: IMF; crisis; stabilization; structural reforms (search for similar items in EconPapers)
Date: 2000
References: Add references at CitEc
Citations:

Downloads: (external link)
https://centrodeeconomiapolitica.org.br/repojs/ind ... rticle/view/1012/997 (application/pdf)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:ekm:repojs:v:20:y:2000:i:1:p:3-18:id:1012

Access Statistics for this article

More articles in Brazilian Journal of Political Economy from Center of Political Economy
Bibliographic data for series maintained by Brazilian Journal of Political Economy (Brazil) ().