GEOG 216 Lecture Notes - Marshall Plan, Debt Of Developing Countries, Debt Crisis

• School: McGill University
• Department: Geography
• Course: GEOG 216
• Professor: Geraldine Akman

Document Summary

Debt crisis fear of western bank collapses imf stabilization demands: free up barriers to trade, privatize state enterprises, devalue local currency, generate foreign revenue through exports, economic liberalization. Ibrd: (the world bank)- an international financial agency established to provide longer-term loans for particular projects, at commercial rates of interest. Allows debtor nations to rewrite/reschedule debts if they: deflationary policies invoke austerity" programs ways to clear debt or get out of a recession, let market control things, decrease size of the civil service happening today in. Canada: decrease public spending on social programs (health and education, public sector wage freeze (happening at mcgill, strike last fall, reduce subsidies on basic foods. *while these may not be economically unsound, you must think socially also* To increase the influence of market forces relative to the state and to open countries to unrestricted spatial competition globally. Historically, state intervention has been crucial to stimulating industrialization.