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:
“We praise a man who feels angry on the right grounds and against the right persons and also in the right manner at the right moment and for the right length of time.”
—Aristotle (384–322 B.C.)
“It is a sign of creeping inner death when we can no longer praise the living.”
—Eric Hoffer (1902–1983)
“The yearning for an afterlife is the opposite of selfish: it is love and praise for the world that we are privileged, in this complex interval of light, to witness and experience.”
—John Updike (b. 1932)