International Monetary Fund

[Lazarus]

Dragon Wench posted a song in the "Song Lyrics" thread which got me thinking ... the song decries the activities of the IMF, and, since my understanding of the organization is limited, I thought I might ask y'all what you think of it.

I did zip on over to the IMFs homepage, of course, but that is a bit biased in its own favor, and it certainly doesn't mention any guns and blood and revolution the way Dragon Wench's song does (or, rather, Bruce ****burns song does).

In any event, all I see the IMF doing is organizing trade and handing out loans. Now Bruce says that those loans choke the loanees with debt - but that IS, after all, what a loan is.

Anyway, I guess I just see no reason at all for such an organization - shouldn't this all be handled through private means rather than public?

Any thoughts?

[CM]

Well the original mission was monetary stability.
If i am correct its aim was not to be a money lending institution.

Now i think the IMF and WB do a good job.
To develop the third world needs monetary help, and the western nations can't provide all that money.
And the third world nations can't pay for their own development as large modern imports far outweigh agriculture based exports.

It would be easier to know what exactly do you want to know about the IMF?
It is a vast subject.

[Lazarus]

Originally posted by Fas:
<STRONG>...<snip>...It would be easier to know what exactly do you want to know about the IMF?
It is a vast subject.</STRONG>

Well, from everything I read, it seems that I myself am paying into this IMF. I guess I would like to know what its money is doing? Is it raw gold, or is it manufactured goods? Does the IMF just hand over money without any direction as to its use? Who determines who gets the money, and how much they get? What kind of interest is paid, and who gets the profits on that?

I know a lot of people (like the song indicates) have a certain dislike for the IMF - I've seen all the "anti-globalization" protests at the IMF meetings - what is their complaint? If others nations did NOT band together and distribute money this way, I have a feeling they (the protesters) would complain that nothing is being done.

Just curious.

[CM]

Originally posted by Lazarus:
<STRONG>Well, from everything I read, it seems that I myself am paying into this IMF. I guess I would like to know what its money is doing? Is it raw gold, or is it manufactured goods?</STRONG>

This money is doing what ever the govt which get the money decide to do with them.
The problem is that the IMF is not a supranational org.
Thus it can't dictate what should happen to the nation states.

<STRONG>Does the IMF just hand over money without any direction as to its use? Who determines who gets the money, and how much they get? What kind of interest is paid, and who gets the profits on that?</STRONG>

All in the contract it differs on nation to nation.
And they have a complicated SDR system for getting the money.
I can't explain it as i fully don't understand how it works.

<STRONG>I know a lot of people (like the song indicates) have a certain dislike for the IMF - I've seen all the "anti-globalization" protests at the IMF meetings - what is their complaint? If others nations did NOT band together and distribute money this way, I have a feeling they (the protesters) would complain that nothing is being done.

Just curious.</STRONG>

Their complaints vary greatly and they complain for the heck of it.
However the labour unions i think are the only group that have valid claims.
With globalization, the countries can modernise at incredible rates, with a great deal of FDI - forigen direct investment - from TNC - Transnational coroporations like nestle - which set up infrastructure, train workers, educate them, bring money into the economy, provide other facilities and revenues for the govt.

With all the companies looking for lower costs they will move to the third world, where they have to bearly pay wages with no benefits and can pollute as much as they want.
It is a dream come true for these companies.
But that means factories will be shut down in the west and people will be out of work.
Not good at all.

I hope that answers your questions.
This is all rather simplistic, but going into details will be like a 75 page paper and i don't know that much either as i am student!

[Lazarus]

Originally posted by Fas:
<STRONG>...<snip>...I hope that answers your questions.
This is all rather simplistic, but going into details will be like a 75 page paper and i don't know that much either as i am student! </STRONG>

Well, I think I still have some questions, but I thank you for your answer in any event. No one else has commented at all.


If I really, really, really wanted to learn more, I guess I could just wade through the hundreds and hundreds of pages at the IMF website - but I'm just not THAT concerned.

Still, if anyone else has any insights into this organization, I would be happy to hear them.

[CM]

Actually no don't check the website.
Check for books on Amazon.
I will find out from my teachers on some that give the IMF a fair chance and still complains!
So i will tell you some names tonight hopefully.