International Monetary Fund

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International Monetary Fund

Intro:

In July 1944, the United Nations Monetary and Financial Conference met

in Bretton Woods, New Hampshire, to find a way to rebuild and

stabilize the world economy that had been severely devastated by World

War II. One result of the conference was the founding of the

International Monetary Fund (IMF) through the signing of its Articles

of Agreement by 29 countries.

The stated purposes of the IMF were to create international monetary

cooperation, to stabilize currency exchange rates, to facilitate the

expansion and balanced growth of international trade, and to make the

IMF's general resources temporarily available to its members

experiencing balance of payments difficulties under adequate

safeguards. There were 143 member nations in the IMF in the early

1980's. Most of the Communist countries, including the Soviet Union,

did not join; and, of the Western nations, Switzerland has not

participated (Compton's Interactive Encyclopedia, 1996). However,

there are now 184 members (www.imf.org).

On joining the IMF, each member country contributes a certain sum of

money which is known as a quota subscription, as a sort of credit

union deposit (www.imf.org). The IMF appraises its members' exchange

rate policies within the framework of a comprehensive analysis of the

general economic situation and the policy strategy of each member.

?The IMF fulfills its surveillance responsibilities through: annual

bilateral Article IV consultations with individual countries;

multilateral surveillance twice a year in the context of its World

Economic Outlook (WEO) exercise; and precautionary arrangements,

enhanced surveillance, and program monitoring, which provide a member

with close mon...

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rich and capitalistic region. The IMF?s original goals, for which it

was created, have been met and it is time for true reform and not just

the change of a name or policy.

Work Cited

1. Conditionality. (n.d.). Retrieved Nov. 22, 2005, from

Conditionality Web site: http://en.wikipedia.org/wiki/Conditionalities.

2. Engdahl, W. (n.d.). How the imf props up the bankrupt dollar

system. Retrieved Nov. 22, 2005, from How the IMF Props Up the

Bankrupt Dollar System - EES Info Report Web site:

http://ees.net.nz/info/How_the_IMF_Props_Up_the_Bankrupt_Dollar_System.htm.

3. Engler, Y. (2005). Market famines. Retrieved Nov. 22, 2005, from

Znet Africa Web site:

http://www.zmag.org/content/showarticle.cfm?SectionID=2&ItemID=8494.

4. International monetary fund. (n.d.). Retrieved Nov. 22, 2005, from

http://en.wikipedia.org/wiki/Imf.

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