IMF Resources May Not Suffice If Crisis Worsens

Blueneck

Former Staff
Jun 2007
56,195
44,380
Ohio
*sigh*

“The fund’s credibility, and hence effectiveness, rests on its perceived capacity to cope with worst-case scenarios,” Lagarde said in an “action plan” distributed to the IMF steering committee today. The current lending capacity “looks comfortable today but pales in comparison with the potential financing needs of vulnerable countries and crisis bystanders.”

Tripling IMF resources was part of the Group of 20 leaders’ response to the global recession in 2009. As the European debt crisis threatens to spread and further damp the global recovery, the IMF was asked by its steering committee today to review whether its resources are sufficient.
So if tripling the amount of money they had didn't work, maybe giving them more isn't such a great idea.

No more bailouts!

IMF Resources May Not Suffice If Crisis Worsens - Bloomberg
 

michaelr

Former Staff
Dec 2006
89,668
6,643
FEMA Region 10
They will print dollars...US dollars. It was announced a couple of weeks ago and I have it on the board. These people are hell bent on global inflationary depression.
 

jackalope

Former Staff
Jan 2010
51,139
17,672
Maine
They will print dollars...US dollars. It was announced a couple of weeks ago and I have it on the board. These people are hell bent on global inflationary depression.

What a bunch of hooey. The IMF will not be 'printing US dollars'.
 

michaelr

Former Staff
Dec 2006
89,668
6,643
FEMA Region 10
What a bunch of hooey. The IMF will not be 'printing US dollars'.
They wont but the central banks that make up the IMF sure as hell will, therefore the IMF itself. That is what the IMF is, a consortium of central and international banks.
 

anonymous

Former Staff
Jun 2008
10,578
2,873
Passing Through
If creating more capital outta thin air was the solution how come it hasn't worked? Oh, I know, they didn't create enough to begin with. Seriously folks, all they are doing with creating this capital is robbing from future growth; which will never materialize because creating capital has nothing to do with creating demand. It is, simply put, a way to socialize losses created by speculators.
 
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Jan 2008
32,903
9,709
Vertiform City
There'd better be widespread civil unrest and riots.
Otherwise, I've been waiting for nothing.
You may very well get your wish.

Although, I would be careful what I wish for.

Such a conflict would be more like the Civil War than WW-2, and that would be a big problem in today's world.

In fact I rather think the way the law is structured now, it would give an ideological madman the opportunity to sieze control of this country and use it for something different.

And it would be very bad if those two things occurred at the same time.
 
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