POL 1102 Lecture Notes - Lecture 4: Bretton Woods Conference, Washington Consensus, U.S. Route 151
6 Apr 2016
School
Department
Course
Professor
Document Summary
Redirection of public expenditure priorities toward improving income distribution: primary health care, primary education, housing, training and infrastructure. Tax reform (to lower marginal rates and broaden the tax base) Liberalization of inflows of foreign direct investment. Deregulation (to abolish barriers to entry and exit) The imf and wb approach to economic growth and development: Sustainable development stems from a combination of sound economic policies, growth, and institutionalization with timely structural reforms: Reducing the size of the public sector as the private sector is the main engine for growth. Milton friedman"s approach to economic growth and development. Free-market economy + minimum state intervention + cautious monetary management = non-inflationary economic growth. Governments then need to increase exports just to keep their currencies stable (which may not be sustainable, either) and earn foreign exchange with which to help pay off debts. And we get into a spiraling race to the bottom. Social unrest is often one result leading to imf riots.
