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:

Durkheim's View

Refers to Emile Durkheim's perspective in sociology that emphasizes the importance of social facts, collective consciousness, and the societal origins of behavior.

Society Expectations

The collective norms and ideals that a society holds regarding the behavior and roles of its members.

Internalize

The process by which individuals adopt the views, attitudes, or standards of others as their own, often unconsciously.

Bourgeoisie

The bourgeoisie refers to the social class in capitalist societies that own the means of production and have significant wealth and economic power.