Question

10. What have been the historical roles of IMF, World Bank and WTO? Are these roles changing over time?

11. What is welfare state? What are the main policy dilemmas for welfare state? Has globalization limited the role of a nation in terms of choosing independent policies? Are national governments withering away?

12. What is public debt and what are its implications?

Pls answer all questions, thanks a lot!!

Answer 1

I will try to answer the first question in detail

The IMF and WB were both created at an international conference which was held in Bretton Woods in 1944 and so both of them are also known as Bretton Woods Institutions.The IMF and the WB comes under United Nations institutions.Their main goal is to raise the standard of living of the member countries. The IMF focusus on macroeconomic issues and issues short and medium term loans to the countries while the World Bank conccentrates on long term economic development of the country and works in the areas through which poverty which is a major concern for alot of countries, can be reduced.

WTO is an international organizations which deals with rules and regulations governing the trade policies between the member nations.It strives to work towards free trade flow and lowering the barriers as well as removing the tariffs and quotas.

All these three institutions have gone through major change in their policies and objectives and in the today's globalized market, all three institutions have come together to solve the major issues of poverty,unemployment and hindrance to trade. They all agree that welfare of nations and reducing the poverty will only happen with international trade.With the right policies the member nations can work together to solve some serious issues such as job loss,inequality and low GDP. International trade facilitates the flow of goods and services across the borders and thus results in increase in employment, availability of standardized goods, equitable distributin of wealth and increases competition so the prices decrease and more and more investment opportunities is created.

Their role is now to provide a platform where all the member nations come together and have a dialogue to create an action plan and formulate policies to make the world a better place for the future generations to live in.By opening the markets, countries are able to acquire technicall know how and hire the services of experts to work in the areas where they lag behind other nations.