>Meltzer seems to have forgotten that commitments are credible only
>if you actually have the resources to carry them out if you need to.
>If the IMF doesn't to have the resources--and I don't think it
>does--to carry out the Meltzer plan, then its guarantee will not be
>credible, and it has to buy them.
According to its latest statement <http://www.imf.org/external/np/tre/liquid/2001/0401.HTM> the IMF has about $100 billion in "net usable uncommitted resources," $43 billion available under the general agreement to borrow, and $27 billion in gold - $170 billion in all. How much do you reckon they need?
Doug