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Essay / Research Paper Abstract
A 7 page overview of the International Monetary Fund (IMF) in which the writer analyzes the fund's history, purpose, and a number relevant issues that have confronted the U.S. government since. In particular, the problem presented by Mexico's monetary crisis is examined. Bibliography lists 5 sources.
Page Count:
7 pages (~225 words per page)
File: D0_Imf.doc
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Unformatted sample text from the term paper:
been severely devastated by World War II. One result of the conference was the founding of the International Monetary Fund (IMF). The stated purposes of the IMF were to create
international monetary cooperation, to stabilize currency exchange rates, and to assist member nations with temporary balance-of-payments difficulties. There were 143 member nations in the IMF in the early 1980s. Most
of the Communist countries, including the Soviet Union, did not join; and, of the Western nations, Switzerland has not participated. So it was a month after
the Allies landed at Normandy that the worlds best financial brains assembled at Bretton Woods, New Hampshire, to decide the shape of the worlds post-war economy. Towering over the conference
was John Maynard Keynes, who was determined that the Allies not repeat the mistakes they made after World War I, when reparations, debt, inflation and isolationism prepared the way
for a much more ghastly conflict. The IMF, World Bank and General Agreement on Tariffs and Trade were the pillars of the new world financial system. The fund, bankrolled
by rich nations such as the United States, was intended to provide loans to smooth out currency fluctuations that formerly had caused such disruption among nations.
In practice, however, both the IMF and World Bank have a long history of intellectual addiction to the soft-core Marxism and central-planning paternalism that held back Third World prosperity
for decades. The IMF has been a prisoner of numerous faulty conceits, from the push for big bank loans of the 1970s to the allure of devaluation. It sometimes used
its influence, advice and loans to hold market forces at bay rather than addressing the structural reform necessary for nations to compete in the world economy.
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