Debt, the IMF, and the World Bank

by Toussaint, Eric

• ISBN13: 9781583672228
• ISBN10: 1583672222
• Format: Paperback
• Copyright: 2010-09-01
• Publisher: Monthly Review Pr

Summary

Mainstream economists tell us that developing countries will replicate the economic achievements of the rich countries if they implement the correct "free-market"policies. But scholars and activists Toussaint and Millet demonstrate that this is patently false. Drawing on a wealth of detailed evidence, they explain how developed economies have systematically and deliberately exploited the less-developed economies by forcing them into unequal trade and political relationships. Integral to this arrangement are the international economic institutions ostensibly created to safeguard the stability of the global economythe International Monetary Fund (IMF) and the World Bankand the imposition of massive foreign debt on poor countries. The authors explain in simple language, and ample use of graphics, the multiple contours of this exploitative system, its history, and how it continues to function in the present day.Ultimately, Toussaint and Millet advocate cancellation of all foreign debt for developing countries and provide arguments from a number of perspectiveslegal, economic, moral. Presented in an accessible and easily-referenced question and answer format,Debt, the IMF, and the World Bankis an essential tool for the global justice movement.

Table of Contents

Abbreviations	p. 10
Introduction	p. 11
Human Rights, Development, And Debt	p. 13
What is meant by ôdeveloping countriesö?	p. 15
Why is the term ôdevelopmentö ambiguous?	p. 19
What is the link between debt and poverty?	p. 22
What are the ôMillennium Development Goalsö (MDG)?	p. 27
What are the different kinds of debt for developing countries?	p. 44
The Origin of the Debt in Developing Countries	p. 47
What part did private banks play in the development of developing countries' external debts in the 1960s & 1970s?	p. 49
What part did the World Bank play in the development of the developing countries' external debts in the 1960s and 1970s?	p. 51
How does die World Bank function?	p. 54
What part did the governments of countries of the North play in the evolution of the developing countries' external debt in the 1960s and 1970s?	p. 61
How was the borrowed money used in the developing countries?	p. 63
The Debt Crisis	p. 71
How did the price of commodities evolve during the last quarter of the twentieth century?	p. 73
What role did the evolution of interest rates play in the 1982 debt crisis?	p. 75
Are the World Rank, the IMF, and private banks somehow responsible for the debt crisis?	p. 79
How did creditors respond to the debt crisis?	p. 82
Are there any similarities with the 2007 subprime crisis?	p. 88
The IMF, The World Bank, And The Logic Of Structural Adjustment	p. 93
How does the IMF function?	p. 95
What are the short-term or shock measures imposed by structural adjustment, and what are their consequences?	p. 106
What are the long-term or structural measures imposed by structural adjustment, and what are their consequences?	p. 109
What is the impact of the IMF/World Bank logic on the world food crisis of 2007?	p. 119
Other International Players: The Paris Club And The Wto	p. 125
What is the Paris Club?	p. 127
Are all the developing countries treated in the same way by the Paris Club?	p. 131
What is undermining the Paris Club?	p. 135
What is the role of the World Trade Organization (WTO)?	p. 138
The Structure Of Developing Countries' Debt	p. 143
Of what does the external debt of developing countries consist?	p. 145
How has the debt changed since 1970?	p. 150
Do developing countries repay debts?	p. 152
What about the external public debt of developing countries?	p. 155
How are the debt-related financial flows directed?	p. 161
What about the domestic debt of developing countries?	p. 164
Deciphering The Official Discourse On Debt Relief	p. 171
How did the debt relief initiative come about?	p. 173
What is the Heavily Indebted Poor Countries (HIPC) initiative?	p. 175
Has the HIPC initiative achieved its goal?	p. 178
What was contained in the latest debt relief announced by the G8 in 2005?	p. 188
The Sham Of The Dominant Model	p. 195
Does Official Development Assistance (ODA) help to mitigate the effects of the debt?	p. 197
Is micro-credit a solution to the excessive debt of developing countries?	p. 204
Have the polices promoted by the World Bank and the IMF contributed to the fight against climate change?	p. 206
What is NEPAD?	p. 211
Debt Cancellations And Suspensions Of Payment In The Past	p. 215
Is it impossible to cancel debt?	p. 217
Why do the governments of the South continue to repay the debt?	p. 228
What are vulture funds?	p. 230
The Case For Canceling The Debt Of Developing Countries	p. 237
What are the moral arguments in favor of canceling the debt of developing countries?	p. 239
What are the political arguments in favor of canceling the debt of developing countries?	p. 241
What are the economic arguments in favor of canceling the debt of developing countries?	p. 244
What are the legal arguments in favor of canceling the debt of developing countries?	p. 246
What are the environment arguments in favor of canceling the debt of developing countries?	p. 254
What are the religious arguments in favor of canceling the debt of developing countries?	p. 257
Who owes what to whom?	p. 261
Who has the right to impose conditions on debt cancellation?	p. 262
Can the development of emerging countries be ensured simply by repudiating their debt?	p. 264
Issues Raised By Canceling The Debt Of The Developing Countries	p. 267
Would canceling the debt of developing countries cause a global financial crisis?	p. 269
If developing countries' debts were canceled, would the citizens of the North end up paying the bill?	p. 273
Will canceling the debt help reinforce existing dictatorial regimes?	p. 276
Should borrowing be avoided at all cost?	p. 281
Constructing Radical Alternatives	p. 285
What are the alternatives for human development in the developing countries?	p. 287
If and when the debt is canceled, how can a new round of indebtedness be avoided?	p. 302
What is debt auditing?	p. 304
Are China, sovereign funds, or the Bank of the South valid alternatives?	p. 307
Can the developing countries' external public debt be compared to the public debt of the North?	p. 315
International Campaign For Debt Cancellation	p. 319
How did the international campaign for debt cancellation start?	p. 321
What is CADTM and how was it born?	p. 324
The 145 Developing Countries in 2008	p. 329
Glossary	p. 333
Notes	p. 347
Table of Contents provided by Ingram. All Rights Reserved.