Debt Wars: IMF and international banking policies
a root cause behind social chaos
Posted on August 18, 2011
August 18, 2011 –
PARIS – “Sovereign debt, growth, and social instability” are the
three major challenges facing the global economy today. Addressing the Council
of Foreign Relations on her 22nd day as Managing Director of the
International Monetary Fund, Christine Lagarde outlined the nature and scale of
threats to a worldwide economic recovery. For debt to be sustainable, spoke Lagarde,
it must be reinforced by strong underlying growth; and for growth to be achieved,
it must be delivered by a stable and equitable society. Troubles on the periphery of
the Eurozone have been met by cooperation among creditor states along with
‘political courage’ amongst Europe’s leaders. Echoing the UK’s Business Secretary,
Vince Cable’s attack on ‘right wing nutters’ in the US impeding raising the debt ceiling,
Lagarde blasted the mounting debt as the greatest threat to fiscal stability: “I’m
hopeful that the political courage shown by European leaders will soon be followed
by bold fiscal action in the U.S. On the debt ceiling, the clock is ticking, and clearly
the issue needs to be resolved immediately. Indeed, an adverse fiscal shock in the
United States could have serious spillovers on the rest of the world. “But more
fundamentally,” continued Lagarde, “a credible fiscal adjustment plan is needed
sooner rather than later. –Fresh Business Thinking Engineering a collapse:
But is the IMF helping member nations or actually contributing to their collapse
with a monetary policy that is designed to increase sovereign debt, enrich
corrupt bureaucrats, speculators and international bankers? Joseph Stiglitz said:
“When the IMF arrives in a country, they are interested in only one thing. How
do we make sure the banks and financial institutions are paid?… It is the IMF
that keeps the [financial] speculators in business. They’re not interested in
development, or what helps a country to get out of poverty.” -Independent
a root cause behind social chaos
Posted on August 18, 2011
August 18, 2011 –
PARIS – “Sovereign debt, growth, and social instability” are the
three major challenges facing the global economy today. Addressing the Council
of Foreign Relations on her 22nd day as Managing Director of the
International Monetary Fund, Christine Lagarde outlined the nature and scale of
threats to a worldwide economic recovery. For debt to be sustainable, spoke Lagarde,
it must be reinforced by strong underlying growth; and for growth to be achieved,
it must be delivered by a stable and equitable society. Troubles on the periphery of
the Eurozone have been met by cooperation among creditor states along with
‘political courage’ amongst Europe’s leaders. Echoing the UK’s Business Secretary,
Vince Cable’s attack on ‘right wing nutters’ in the US impeding raising the debt ceiling,
Lagarde blasted the mounting debt as the greatest threat to fiscal stability: “I’m
hopeful that the political courage shown by European leaders will soon be followed
by bold fiscal action in the U.S. On the debt ceiling, the clock is ticking, and clearly
the issue needs to be resolved immediately. Indeed, an adverse fiscal shock in the
United States could have serious spillovers on the rest of the world. “But more
fundamentally,” continued Lagarde, “a credible fiscal adjustment plan is needed
sooner rather than later. –Fresh Business Thinking Engineering a collapse:
But is the IMF helping member nations or actually contributing to their collapse
with a monetary policy that is designed to increase sovereign debt, enrich
corrupt bureaucrats, speculators and international bankers? Joseph Stiglitz said:
“When the IMF arrives in a country, they are interested in only one thing. How
do we make sure the banks and financial institutions are paid?… It is the IMF
that keeps the [financial] speculators in business. They’re not interested in
development, or what helps a country to get out of poverty.” -Independent
