The abject failure of the IMF and World Bank
If the policies of these darlings of the right were meant to improve the economy of the world, they have failed craptacularly. If the policies are, OTOH, to enrich the already wealthy at the expense of the poor, they have achieved remarkable success.
Globalization and the policies of its most powerful advocates, the International Monetary Fund and the World Bank, have come under increasing criticism in recent years. In the United States, the median real wage is about the same today as it was 27 years ago. This means that the majority of the labor force has failed to share in the gains from economic growth over the last 27 years. That is drastically different from the previous 27 years, during which the typical wage increased by about 80% in real terms.
Trade has doubled as a percentage of our economy since the early 1970s, and there is no doubt that globalization has played a significant role in the worsening distribution of income here.
However, throughout the growing debate, it has generally been assumed that globalization has helped spur economic growth throughout most of the world. Even critics of globalization, and of the IMF and World Bank, have generally accepted this assumption. They have argued that these institutions have focused too much on promoting growth and not enough on other goals such as alleviating poverty and protecting the environment.
The official data for the last two decades (1980-2000) tell a different story. Economic growth has slowed dramatically, especially in the less developed countries, as compared with the previous two decades (1960-1980).
[link|http://www.cepr.net/IMF/The_Emperor_Has_No_Growth.htm|[link|http://www.cepr.net/IMF/The_Emperor_Has_No_Growth.htm|http://www.cepr.net...o_Growth.htm]]
