When a Country Borrows from the IMF

question 49

Multiple Choice

When a country borrows from the IMF

• A)it receives all the funds from the loan at once.
• B)it receives funds in tranches, each dependent on the completion of reform targets.
• C)it is free of conditions.
• D)it can be any amount that the country requests.

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Definitions:

Voters

Individuals who have the legal right and choose to participate in the decision-making process of an election by casting a vote.

Democracy Falter

Refers to the decline or weakening of democratic principles, institutions, and practices in a society.

Economic Collapse

A drastic downturn in the economy characterized by the extreme devaluation of currency, hyperinflation, and failure of key businesses leading to high unemployment and poverty.

Poverty Increased

Refers to the situation where there is a rise in the number of people living below the poverty line, experiencing lack of access to basic needs and resources.