The IMF Should Be Eliminated, Not Expanded

Source: Cato Institute
by Daniel J Mitchell

“I’m not a fan of the International Monetary Fund (IMF). Since I work mostly on fiscal issues, I don’t like the fact that the bureaucracy is an avid cheerleader for ever-higher taxes (which is disgustingly hypocritical since IMF employees get lavish, tax-free salaries). But the biggest problem with the IMF is that it promotes ‘moral hazard.’ More specifically, it provides bailouts for irresponsible governments and for those who foolishly lend to those governments. The net result is that bad behavior is rewarded, which is a recipe for more bad behavior. All of which explains why some nations (and their foolish lenders) have received dozens of bailouts.” (10/12/21)