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:
“I know what wages beauty gives,
How hard a life her servant lives,
Yet praise the winters gone:
There is not a fool can call me friend,
And I may dine at journey’s end
With Landor and with Donne.”
—William Butler Yeats (1865–1939)
“A wreathed garland of deserved praise,
Of praise deserved, unto Thee I give,
I give to Thee, who knowest all my ways,
My crooked winding ways, wherein I live,”
—George Herbert (1593–1633)
“When at times the mob is swayed
To carry praise or blame too far,
We may take something like a star
To stay our minds on and be staid.”
—Robert Frost (1874–1963)