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Thomas Scheetz shows that the Internationaly Monetary Fundrs"s approach in 1980s Peru did not addresses the roots of debt and financial crisis, but instead has instituted inadequate stopgap policies, which have caused great inequities because of incorrect or biased assumptions. He argues that policies to eliminate "excess demand" in fact harm the poor, and the support the rich.
Thomas Scheetz is professor and researcher for the Universidad Nacional de Quilmes in Buenos Aires, Argentina.