Why Has the IMF Come in for Widespread Criticism for Its

question 88

Multiple Choice

Why has the IMF come in for widespread criticism for its handling of the Asian financial crisis?

• A)It refused to make loans to any of the countries whose currencies were under speculative attack.
• B)Its policies did not sufficiently punish speculators with losses, giving rise to moral hazard.
• C)Its policies led to unsustainably low interest rates in a number of Asian countries.
• D)Its policies failed to lead to sufficient hardship for citizens in a number of Asian countries, giving rise to moral hazard.

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Definitions:

Posterior Thoracic

Pertaining to the back part of the chest area, which houses important components such as the lungs and heart.

Circulatory System

The body's system of blood vessels and organs that transports blood to and from the heart and transports nutrients, oxygen, carbon dioxide, and hormones throughout the body.

Excretes Waste

The process by which living organisms remove or expel waste materials from their bodies.

Hepatic Portal Vein

A blood vessel that carries blood from the gastrointestinal tract and spleen to the liver, rich in nutrients and toxins.