hw #12 - exploit cheap labor and take raw materials at...

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James Fisk 4/18/11 UGC112 Laticia McNaughton Structural adjustment can be defined as when a government that requires aid from foreign sources to stimulate its economy, they must make certain economical and political changes such as cutting spending, abolishing subsidies, deregulating business, privatizing previously state-run enterprises, and removing price controls. it helps increase privatization and trade liberalization which is intended to help stimulate economies and reduce the poverty rate. They do this so other nations can take advantage of the cheap prices of labor and raw materials. This is defiantly a bad thing. This is the world taking advantage of a smaller and weaker nation who is having economic difficulty. This policy allows nations and private businesses to
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Unformatted text preview: exploit cheap labor and take raw materials at cheap prices, all while making it so the smaller nation being subjugated by the structural adjustment unable to make decisions on their own because the world economy has their hands all over their business. As for other policies to help the debt, I'm not very sure. The global debt issue is a very intricate problem which many different players effecting many different aspects of the situation. If there was a fair way, or even just a balanced way, I feel the capitalistic ways of our global economy will find a way to exploit weaker nations....
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