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M. Neison, Edward M. Graham, Paul Krugman, Charles Gardner, Mr. David John Goldsbrough, Anand Chandavarkar, Mr. Joseph Gold, Maurice Scott, Deepak Lai, V.V. Bhatt, Michael Liplon, Richard Longhurst, Alexander von, and der Osten

For the latest thinking about the international financial system, monetary policy, economic development, poverty reduction, and other critical issues, subscribe to Finance & Development (F&D). This lively quarterly magazine brings you in-depth analyses of these and other subjects by the IMF’s own staff as well as by prominent international experts. Articles are written for lay readers who want to enrich their understanding of the workings of the global economy and the policies and activities of the IMF.

Mr. Paul Streeten

The general view used to be that development proceeded through a number of stages, along a linear path. Aid contributed missing components and thereby speeded up economic growth. A more recent view is that the developed rich “under-develop” the poor, and that the international system is biased against their development efforts. The poor should, according to this view, insulate themselves from that system. This article examines the validity of these views. The author argues that to achieve balanced, self-reliant development, countries should frame selective policies that maximize the beneficial and minimize the harmful impact of the international system.

Lauren Cooper

For certain needs, pairing similar organizations may be the most effective means of providing technical assistance