[lbo-talk] G8 debt plan

[Wojtek Sokolowski]

MG:  The real keys remain altering the international terms of
trade, and increasing OECD acceptance that interference with markets by
developing states is often essential to their progress and the long-term
interests of the global capitalist economy.  

WS:  I think that you remarks about elite corruption are right on the
target, however, terms of international trade are of secondary importance.
The problem is not that foreign producers are being cheated on the sale of
their products (I do not thing they are), but insufficient local demand that
makes it more profitable to export than sell domestically. The insufficiency
of the local demand could be ameliorated by aggressive Keynesian policies,
but such policies are difficult to implement in the countries in question
due to a variety of reasons, ranging from local corruption, to insufficient
industrial infrastructure, and to ideological opposition from the IMF and
Washington.

Wojtek