Date Created:
Place Created: Washington, D.C.
Year Created: 1989
Historical Theme:
Description: The Washington Consensus was a term coined by economist John Williamson to describe a set of economic policies promoted by the IMF, World Bank, and U.S. Treasury. These policies were aimed at developing countries facing economic crises. They advocated for free-market principles and reduced state intervention. They encompassed public spending reorientation, tax reform, interest rate and trade liberalization, competitive exchange rates, foreign direct investment liberalization, state enterprises privatization, deregulation, and property rights. Although initially presented as a standard reform package to foster economic growth, the Washington Consensus has since faced criticism for its one-size-fits-all approach, which has led to more inequality and social instability. These criticisms spurred a shift in the development strategies towards more inclusive and context-specific reforms.
Categories of Documents:
Washington, D.C.