Arab Today, arab today imf not recanting on neoliberalism austerity
Last Updated : GMT 19:48:50
Arab Today, arab today
Arab Today, arab today

IMF: Not recanting on neoliberalism, austerity

Arab Today, arab today

Arab Today, arab today IMF: Not recanting on neoliberalism, austerity

Maurice Obstfeld, Economic Counsellor and Director of Research Department
Washington - AFP

The International Monetary Fund's top economist said Thursday that the global crisis lender is not abandoning its much-criticized neoliberal approach to boosting economic growth.

Responding to an article by three other IMF economists that sparked widespread reports that the Fund was pulling back from a pro-markets, pro-austerity and slim-government agenda, Maurice Obstfeld said the article was "widely misinterpreted".

Publication of the article last week by the IMF itself "does not signify a major change in the Fund's approach," Obstfeld said in an interview released on the Fund's website.

He said the IMF has engaged in a reassessment of its economic and financial policy approach in the wake of the global financial crisis.

Nevertheless, he said, "that process has not fundamentally changed the core of our approach, which is based on open and competitive markets, robust macro policy frameworks, financial stability, and strong institutions."

In their article the three economists focused on the IMF's insistence on austerity -- tough spending cuts and other measures that can hurt incomes -- for financially troubled governments seeking a bailout from the Fund.

"Instead of delivering growth, some neoliberal policies have increased inequality, in turn jeopardizing durable expansion," they said.

"Increased inequality in turn hurts the level and sustainability of growth."

The article offered support to critics in countries like Greece and Portugal that have endured tough IMF-designed austerity programs to straighten out their finances.

But Obstfeld argued that austerity is necessary in many cases.

"Nobody wants needless austerity. We are in favor of fiscal policies that support growth and equity over the long term," he said.

"Governments simply have to live within their means on a long-term basis, or face some form of debt default, which normally is quite costly for citizens, and especially the poorest."

"This is a fact, not an ideological position," he added.

But Obstfeld said the IMF had already embraced another point of the article by the three economists, that the neoliberalist advocacy for free capital movements can damage weak developing economies.

"This is a great example of our trying to learn from experience and let our thinking evolve accordingly," he said.

 

Name *

E-mail *

Comment Title*

Comment *

: Characters Left

Mandatory *

Terms of use

Publishing Terms: Not to offend the author, or to persons or sanctities or attacking religions or divine self. And stay away from sectarian and racial incitement and insults.

I agree with the Terms of Use

Security Code*

Arab Today, arab today imf not recanting on neoliberalism austerity Arab Today, arab today imf not recanting on neoliberalism austerity

 



Arab Today, arab today
Arab Today, arab today Fadi Kataya explains secrets of  Nancy Ajram's newlook
Arab Today, arab today Messi visit will contribute in tourism

GMT 14:04 2017 Friday ,24 February

Messi visit will contribute in tourism
Arab Today, arab today Expresses Algerian history by woody figures

GMT 13:26 2017 Friday ,24 February

Expresses Algerian history by woody figures
Arab Today, arab today Mental conflict endures

GMT 07:36 2017 Friday ,24 February

Mental conflict endures
View News in Arabic - Business: اقتصاد دولي
Arab Today, arab today
Arab Today, arab today
Arab Today, arab today Reading therapy relieves mental disorders

GMT 15:39 2017 Friday ,24 February

Reading therapy relieves mental disorders
Arab Today, arab today UK appoints 1st Scotland Yard chief in 188 years

GMT 05:14 2017 Thursday ,23 February

UK appoints 1st Scotland Yard chief in 188 years
Arab Today, arab today Ex-yoga missionary unleashes rage

GMT 12:16 2017 Thursday ,23 February

Ex-yoga missionary unleashes rage
Arab Today, arab today Pluto's unruly moons

GMT 06:31 2015 Thursday ,04 June

Pluto's unruly moons
Arab Today, arab today Tesla back into red but revenue grows

GMT 07:27 2017 Thursday ,23 February

Tesla back into red but revenue grows
Arab Today, arab today Nissan enhances sales in most markets

GMT 14:08 2017 Monday ,20 February

Nissan enhances sales in most markets
Arab Today, arab today Wafaa Amer is happy for Sherihan’s return

GMT 07:36 2017 Wednesday ,22 February

Wafaa Amer is happy for Sherihan’s return
Arab Today, arab today Milan laughs while Rome cries

GMT 10:28 2017 Wednesday ,22 February

Milan laughs while Rome cries

GMT 05:19 2017 Tuesday ,21 February

Salma Rashid happy for 'A Whisper of Love'

GMT 12:35 2017 Tuesday ,21 February

63-Year-Old Woman Delivers Baby

GMT 22:42 2017 Thursday ,23 February

Nasima Gamei revives heritage in jewelries

GMT 15:53 2017 Tuesday ,21 February

Small ponds have outsized impact

GMT 20:33 2017 Friday ,17 February

To release new antiques collection

GMT 07:51 2017 Wednesday ,22 February

Mom's immune system accepts babies

GMT 09:59 2017 Monday ,20 February

Tourism shows signs of recovery

GMT 13:12 2015 Saturday ,09 May

Sheikh Sultan opens Sharjah Centre

GMT 20:02 2017 Tuesday ,21 February

Nohan Seyam designs beautiful accessories
Arab Today, arab today
Arab Today, arab today
 
 Arab Today Facebook,arab today facebook  Arab Today Twitter,arab today twitter Arab Today Rss,arab today rss  Arab Today Youtube,arab today youtube  Arab Today Youtube,arab today youtube
arabstoday arabstoday arabstoday arabstoday
arabstoday arabstoday arabstoday
arabstoday
بناية النخيل - رأس النبع _ خلف السفارة الفرنسية _بيروت - لبنان
arabstoday, Arabstoday, Arabstoday