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Globalization.docx
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I. Vocabulary

A. Translate the following words and word combinations into Russian:

to center on smth; board of directors; a ramification; a borrowing country; sources of external funding; an applicant country; to fall into turmoil; to reach a crisis stage; to seek a credit line; debt service; to extend a credit; to slash budget deficit; a faltering economy; to pocket the loans; fiscal austerity; stringent conditions; fiscal profligacy; to cut budget expenditures; to depress economy; deficit spending; economic downturn; to cut social services; to maintain a balanced budget; civil unrest; financial plight; at the behest of; a displaced worker; to cause hardship; good money; bad money; economic meltdown; bitter side-effects; global monetary issues; to provide expertise;; to deposit assets;

B. Find in the text English equivalents for:

Быть вне критики (не подвергаться критике); система, в остове которой лежит уровень благосостояния страны; ставить несправедливые и неразумные условия; снижать дефицит бюджета страны; искусственно занижать цены; девальвировать валюту; остановить (затормозить) свободное падение экономики; вмешиваться во внутреннюю политику страны-получателя займа (реципиента); «вливать» денежные средства в страну; адаптировать планы в соответствии с положением дел отдельных стран; ухудшать качество жизни; обвинения не означают обвинительный приговор; обладать соразмерным правом голоса; неблагоразумная (опрометчивая) политика; непрекращающийся, непрерывный цикл кризисов и займов; «доморощенный» кризис; финансовая стабильность; обеспечивать стабильность валютных курсов;

II. Answer the questions:

  1. What does the criticism of the IMF stem from?

  2. What is voting in the IMF based on?

  3. Does this system of voting satisfy all the countries? What are main reasons for discontent?

  4. What are most loans granted to LDCs and CITs subject to?

  5. What examples of conditionality described in the text?

  6. List the main drawbacks of conditionality.

  7. How can the notion “dependencia relationship” be understood?

  8. Does the IMF adjust its demands to the conditions of a particular recipient?

  9. Why do the IMF’s demands destabilize governments?

  10. Can a recipient’s social welfare decrease? Why?

  11. What arguments can be given to defend the IMF as far as voting formula is concerned?

  12. Are there any reasons to assert the IMF when it comes to conditionality?

  13. Are there other monetary IGOs that help promote monetary stability?

  14. What are the functions of the BIS?

III. Comment on the following quotations:

  • Ten or 15 years ago the IMF and the World Bank were out there making little loans here and there, but they weren't out saving the world. They've been unfairly criticized of doing a bad job. (Warren Bailey)

  • The IMF needs to focus its attention to countries' vulnerability (Lawrence Summers)

  • When the IMF and the World Bank force a country to cut wages, lay off workers, produce for export instead of their own people, and sell off public property to cronies for less than its value, that's called “economic reform”

  • When a government is dependent upon bankers for money, they and not the leaders of the government control the situation, since the hand that gives is above the hand that takes. Money has no motherland; financiers are without patriotism and without decency; their sole object is gain. (Napoleon Bonaparte)

  • The main emerging markets are going to remain wary of relying on the IMF for emergency financial support until they are convinced that the leopard has really changed its spots.( Eswar Prasad)

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