POL201Y1 Lecture Notes - Global Value Chain, Eurozone, Future Group
Document Summary
Movie made by the imf-describing what the imf does; the global crisis has put the imf back in the lime lights. Three main functions; regualar economic checks-suvalence, training, and takes out the fire like a fire fighter. Countries can turn to the imf for loans that will put out their fire. Tax revenues are insuffiencent or too many subcides or over employing. The most common crisis is balance of payment crisis. A really severe crisis could lead to a recession or default- the imf can help by loaning large amounts of money. Any country-rich or poor can ring the bell for help. When a country requests a loan- the imf will work with the country to develop a reform for the country-ie. policies. Once the program is underway the country is able to consume more and begin to pay back the loan. Who owns the imf- the 188 countries-the people the people of the government.
