Wow. This picture is big. But you know what's even bigger? This. But the tragedy is what Obama and his international ilk are attempting to do to the IMF. Before, we could always rely on the funds we inject into the IMF to actually be used to create positive market reforms in countries accepting them. In that mission I support the IMF (if the Robinson Talking Points is unsure what organization to support, large protests by hippies is generally a good indicator the org is doing something right), and would support increased money being contributed to it. Unfortunately this crisis is leading to the proposition of some fundamentally crazy reforms. I find the idea of removing political conditions for loans crazy and could lead to the IMF shifting from dealing with the heart of a crisis to treating the symptoms. This will lead to the org being exploited by third rate powers (especially when they're proposing that Third World officials take CHARGE of the IMF!).
The economists that argue the US is the cause of the current crisis might be accurate. Nonetheless, that doesn't warrant the claim that the IMF should change its overall philosophy. If anything, this "no strings attached" policy's long term impact is to allow corrupt or unaccountable regimes/parties to stay in power in loan recipient countries. Thus removing their incentive to remove obstacles to a market economy (cough, or a democracy) and only be a perpetual drain on the successful. A true beginning to a Rand's nightmare.
That is big! I've got to say I'm out of my league when they start talking detailed economics, but I'm less than reassured when Obama says "it's not an increase, it's an exchange of assets". Yeah, letting third world countries decide how our money is spent to boost their economy seems iffy. It is nice to see that China is committing funds to the cause (whatever that may be) commensurate with their greater economic standing in the world: $40B.
ReplyDeleteI was relieved to see China contribute as well. I get the feeling that this world wide economic recession and the world unifying reforms that are taking place are all psychohistorical events that will ultimately lead to a one world government. Not in our lifetime, or even Patrick's. But globalization is taking a strangle hold and America is melting and dragging down to everyone else. Psychohistory is inevitable. The momentum can not be stopped. We need a mutant now! To save us!
ReplyDeleteI think there are too many have-nots for one-world government. The UN started out as the way to the future and now is irrelevent. If The West continues in it's European-Union type merging, it will lose vitality as its spiritual, entrepeneurial, and competitive spirit is destroyed, and will be overrun by countries and populations that still have the desire to compete. Same goes with the US. One world government may take momentary command, but its success sews the seeds of its failure.
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