In regards to Washington Consensus, should international organizations based in wealthy countries encourage developing countries to adopt the policies of the Washington Consensus? Should the United States encourage economic reforms in foreign countries?
The Washington Consensus refers to a series of economic policies and rationalizations intended to help modernize the economies of developing countries. The British economist John Williamson came up with the term in 1989 specifically as a way to advocate for interventionist polices by developed countries—particularly the United States— into the political and economic affairs of the developing world. The Washington Consensus promotes the intervention of large, international institutions, such as the International Monetary Fund or the World Bank, in order to accelerate economic growth and the development of business in poorer countries. Some of the strategies for accomplishing this include: lowering barriers to the growth of fledgling domestic industry, such as tariffs and trade restrictions; reducing borrowing at the government level in order to balance the national deficit with the GDP; encouraging...
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