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:
“Morning has broken like the first morning,
blackbird has spoken like the first bird.
Praise for the singing! Praise for the morning!
Praise for them, springing, fresh from the Word!”
—Eleanor Farjeon (1881–1965)
“Let us praise his works beyond the ages and times, beyond eternity!”
—Jean Racine (1639–1699)
“[The political mind] is a strange mixture of vanity and timidity, of an obsequious attitude at one time and a delusion of grandeur at another time. The political mind is the product of men in public life who have been twice spoiled. They have been spoiled with praise and they have been spoiled with abuse.”
—Calvin Coolidge (1872–1933)