Any strategy to weaken the IMF & WB vis-à-vis the poor must be careful not to enhance the power of the US vis-à-vis the developing countries. This is not just a struggle between the BW institutions and the global poor for human rights and democracy; it is also a continuing struggle between the global South and the global North to prevent complete re-colonization.
Simply starving the BW institutions only increases the power of the US as a smaller resource pie increases the ability of the US to exert conditionality (through the BW institutions quota regime) over sovereign developing countries.
The legitimate needs of the developing world require an expanding resource base relative to total world trade. It is certainly the case that the IMF & WB need to be made accountable to the world's poor, but this should not be done by starving the BW institutions of the resources that are needed to continue the work of development. For once you have starved these institutions do you really think that they will have the resources to help lift people out of poverty?
Democratic institutions need to be strengthened in the developing world (and in the US for that matter) and the BW institutions need to be held accountable to democratic regimes. At the same time the quota regime within the IMF needs to be reformed to reflect the importance of the developing world in the world economy. It's a two-pronged strategy, and it is the only way for the poor in developing countries to truly gain from the struggle.
You are right though, I do feel awkward defending the IMF & WB, but I would rather defend these institutions than make even a temporary alliance with Saxton and his ilk.
Best,
Vikash Yadav Philadelphia, PA
-----Original Message----- From: owner-lbo-talk at lists.panix.com [mailto:owner-lbo-talk at lists.panix.com]On Behalf Of Doug Henwood Sent: Thursday, February 14, 2002 01:46 PM To: lbo-talk at lists.panix.com Subject: RE: JEC on BWIs
Vikash Yadav wrote:
>Opposition to the WB & IMF is not a sign of virtue per se.
Of course not. But it's a tough call whether right-wing attempts to starve the WB & IMF might weaken their power and, on balance, be an act of good for the world's poor. In their ideological fervor, sometimes right-wingers underestimate the degree to which state institutions are necessary to establish and maintain market relations, which they imagine to be the natural state of affairs that are only distorted by state action.
Besides, it's good political theater to watch liberals defending the IMF.
Doug