The International Monetary Fund (IMF) Essay -- essays research papers

If you owe your bank a hundred pounds, you have a problem but if you owe it a million, it has.(1)In the year of 1327, conformation Edward III of England defaulted on his Italian debts. This caused the banks of Bardi and Peruzzi in Florence to collapse. Who would know that over 650 historic period later, the world would still have these types of problems? After World War II, the engage for an organization like the IMF was finally realized. After the war, politicians and economists began to work on hot prints for a postwar world. They envisioned a liberal international stinting order, based on stable world currencies and revived world trade. The international Monetary Fund (IMF) finally came into existence on December 27, 1945. On this date, twenty-nine countries signed its charter when group meeting at Bretton Woods, New Hampshire. On March 1, 1947 the IMF came into financial operations. The IMF was established to promote internal fiscal cooperation with a permanent originat ion, which provides the machinery for consultation and collaboration on international monetary problems. Also, it provides temporary financial assistance to countries under adequate safeguards to help respite balance of payments adjustments. In addition, it facilitates the expansion and balanced growth of internal trade. legion(predicate) critics and even followers of the IMF do not even know what the IMF unfeignedly is. It is not a development or even a primal bank. It is a credit union. It pays interests on deposits it receives from member nations. The IMF lends money to members having trouble meeting financial obligations to other members, but only the condition that they undertake political economy reforms to eliminate these difficulties for their own faithful and that of the entire membership. Some people mean that if the IMF tells a country to do well-nighthing, they must do it. This statement is false. The IMF has no authority over the domestic economic policies of its members. The IMF is a cooperative institution that 182 countries voluntarily joined because they see the advantage of consulting with one another to advance a stable system of buying and selling their currencies.All 182 members of the IMF append to a pool of funds that the agency then taps to supporter troubled countries. The IMF currently has around 200 billion dollars. The U.S., Germany, Japan, Britain, France, and Saudi Arabia beat up over 35 percent of thi... ... sums of money that could be spent on education to debt repayment. Structural adjustment makes the problem worse, as the IMF hire government spending cuts and privatization measures in education. What money remains for education goes to particular schools, with education beyond elementary levels shifting to a fee-for-service basis. In Mexico, the curse advised the government to abolish constitutionally guaranteed free education at the national university, provoking a lengthy student strike. The rich repulse an education. The poor get sweatshop jobs.So, what do I think? Well, the IMF is a good program. It has worked in the past and it will continue to work in the future. It has turn out that is has the necessary elements to be a successful worldwide organization. However, clarified adjustments do need to be made, as no organization is perfect. The IMF regularly dialog about how it is doing things for the future, and not the present. I feel that the IMF should start fixing some of the current problems. This will give those countries confidence in the fund. Theyll feel that they preserve trust the IMF. In conclusion, the IMF is an organization that can help the world, just with small adjustments.