The Macroeconomic Underpinnings Of Adjustment Lending

Macroeconomic policy and sequencing issues increasingly have been addressed explicitly in the design of recent adjustment loans, but there still is scope for: (1) strengthening the analytical framework and macroeconomic policy conditionality in adjustment loans, and (2) greater realism about the time and external resources needed to achieve adjustment and growth objectives.

Favorable initial conditions, a timely adjustment program, and associated gains to the rural sector allowed Indonesia to maintain the momentum of its progress in poverty alleviation during the difficult 1980s.

As former Director of Research and a founding member of the Executive Board of the International Monetary Fund, Jacques J. Polak has advised theoreticians and policymakers worldwide. This collection brings together his most current writings, and is published under the auspices of the IMF. The hallmark of Dr. Polak's recent research has been his ability to draw on decades of personal experience and reflection to comprehend and describe the context for current policy debates. In the past decade, he has contributed much to the debates on international financial policy and the role of the IMF, and this volume brings together most of these recent papers to make them accessible to a broader audience.

When lenders participate voluntarily in a buyback of debt claims, both the price paid for repurchased claims and the secondary market price of the remaining debt rise-- so all creditors realize a net benefit. In contrast, the menu approach to debt reduction allows the debtor to reduce its debt at cheaper prices.

The Bank's comparative advantage in the population field lies in policy development, which it pursues through three main strategies: policy dialogue, sector work, and policy- oriented research.

The welfare gains Korea would realize from abolishing the tariffs and equivalent import restraints prevailing in 1982 are likely to be substantial.