Praise
In principle, conditionality is a tactic used not only to make sure loans are paid back, but also to ensure that they are used effectively. If there are no conditions on the loan, the country might not use the money to reduce poverty (see fungibility). This argument however, logically misses the counter-argument that there are many other conditionalities which could be imposed which would not necessarily create the burden of payment (and therefore, the subsequent lack of ongoing governmental investment) which is seen by many critics as creating a vicious circle. A corollary of this problem is that, should such a vicious circle indeed exist, its only overriding tendency is to allow for outside multinational investment to provide the service and food needs to the society, which can no longer function in a productive, cost effective manner.
Read more about this topic: Structural Adjustment
Famous quotes containing the word praise:
“Hear, then, a mortal Muse thy praise rehearse,
In no ignoble verse;
But such as thy own voice did practise here,
When thy first-fruits of Poesy were given,
To make thyself a welcome inmate there;
While yet a young probationer,
And candidate of Heaven.”
—John Dryden (1631–1700)
“We do not praise others, ordinarily, but in order to be praised ourselves.”
—François, Duc De La Rochefoucauld (1613–1680)
“The praise of ancient authors proceeds not from the reverence of the dead, but from the competition and mutual envy of the living.”
—Thomas Hobbes (1588–1679)