The IMF Crisis In Russia

Good Essays
During the early 1990 's, particularly around the end of 1991 the world witnessed the meteoric crumbling of the Soviet Union giving way to what would ultimately be called the Russian Federation. The situation in post cold war Russia was rapidly deteriorating both economically and politically. The leader of the communist regime at the time, Mikhail Gorbachev, was receiving increasing internal pressure to resign and external pressure from the West to democratize. On one side the old communist guard was pushing Gorbachev to stay course with the communist agenda. On the other an increasing movement to democratize Russia began to foment by the newly elected parliament leader Boris Yeltzsin.

Amid the political unrest was the concern over
…show more content…
There were a multiplicity of reasons why the IMF loan packages were fraught with failure from the outset. Not the least of which being the rampant corruption of the Russian oligarchy deeply entrenched within the tumultuous political system or the compete lack of oversight and vision on the part of the IMF officials involved in loan dispersion(Rutland, …show more content…
Fingers were pointed at the IMF for its poor economic advice and promotion of privatization, which many experts agree lead to corrupt business deals and rigged auctions(Lawhead, Horowitz & Poe, 2007).

In conclusion the blundered loan packages of the IMF to Russia are symptomatic of a systemic narcissism that seems to pervade all International Monetary Fund projects. The egocentric belief that a one size fits all solution to intricately nuanced problems in diverse cultural and socioeconomic situations. The idea that these cookie cutter solutions would somehow ameliorate the need for lasting change, through education and enrichment of the general population is a naive and ludicrous

Related Documents

  • Decent Essays

    War; has forced social groups into political associations which create anarchy in society to understand capitalism 's role in “geopolitical deficiency.” This means that Putin and Russia’s desire is absolute gain. Should Russian’s put up with the required economic sacrifices, or will they eventually prefer greater prosperity to national pride? According to Putin and his propaganda machine; Yes. Relations between states are the most importantly factor, but with secondary importance in this capitalist war over historical human…

    • 826 Words
    • 4 Pages
    Decent Essays
  • Decent Essays

    In Soviet satellite states, Glasnost led to independence movements, which contributed to the Soviet Union’s demise. Since the Soviet government was allowing freedom of expression, many anti-Soviet movements were able to gain traction in Soviet satellite states such as East Germany. In East Germany, these movements would eventually lead to the destruction of the Berlin Wall and the reunification of Germany, which took place in 1990. Shortly after, other Eastern European countries started leaving the Soviet Union. The breaking away of Eastern European countries greatly weakened…

    • 1125 Words
    • 5 Pages
    Decent Essays
  • Decent Essays

    The political reforms diminished the role of the Soviet Party. At the 19th Party Conference in 1988 Gorbachev won backing to create a new Supreme legislative base; the Congress of the People’s Deputies. This was introduced as a result of Gorbachev’s frustration by old party members’ resistance to his attempts to liberalise, Gorbachev introduced constitutional changes to separate the party and state. The firm grip the party held over the Soviet Union was loosened. Gorbachev destabilized the Soviet party base from the inside and this was worsened by the introduction of elections; the election held in March 1989 led to the embarrassing defeat of a number of leading party members, dismantling old Soviet society control and making way for a new political group, many of whom would later be directly accountable for the ending of the Soviet Union.…

    • 1967 Words
    • 8 Pages
    Decent Essays
  • Decent Essays

    This case study is to help examine Russia’s form of oligarchic capitalism from its beginnings to its predicted future. Oligarchic capitalism in Russia was created when the social conditions of the Soviet Union were too horrendous for the common people. The transitional government understood that the new country needed a different economic policy, as economic troubles pursued throughout the era of the Soviet Union. Transitional leaders decided that the new economy needed to become “a mixed system combining competitive markets’ mechanisms…

    • 1606 Words
    • 7 Pages
    Decent Essays
  • Decent Essays

    The Soviet state was threatened by national minorities, and Gorbachev saw that. He resigned from his leadership in the Soviet Union oi 1991, and it soon destroyed itself. Once the Soviet Union fell, a new leader needed to take out…

    • 1687 Words
    • 7 Pages
    Decent Essays
  • Decent Essays

    After Stalin’s death, Khrushchev came to power and began to dismantle the cult of personality that surrounded Stalin. Gorbachev, who came to power much later, had decided to pursue policies of Glasnost, ‘openness,’ and Perestroika, restructuring of the Soviet economy. These worked in tandem to bring sweeping reforms to…

    • 1123 Words
    • 4 Pages
    Decent Essays
  • Decent Essays

    (Gordon F Boreham) This making it hard for him to turn around the Soviet economy, for the mere fact that the society was already in terrible shape. However Mikhail Gorbachev greatly influenced the economic, political, and religious views. By Using his many tactics and strategies. Mikhail Gorbachev…

    • 1462 Words
    • 6 Pages
    Decent Essays
  • Decent Essays

    Villages were accused of hiding the grain and other items of production. Created famines devastated much of the western Soviet Union, especially Ukraine. In his goal to move Russia forward, he betrayed the popular and perceived ideals of communism in a complete inhumane and hypocritical way. The massive human rights violations committed by Stalin’s regime, and how this industrialization initially had very low-turn outs of production, was an obvious contrast to how he framed it in his work. The collectivization of the USSR had great costs to the seemingly glorified process of enacting it, and Stalin was very crafty in his written work to avoid mentioning the costs.…

    • 834 Words
    • 4 Pages
    Decent Essays
  • Decent Essays

    Tsar Nicholas II Downfall

    • 842 Words
    • 4 Pages

    This intensified the political disillusionment about Tsar Nicholas’s rule over Russia. Thus, Tsar Nicholas’s poor…

    • 842 Words
    • 4 Pages
    Decent Essays
  • Decent Essays

    Changes in the Soviet Role in the Cold War changed during the period from the mid 1940’s to mid 1960’s because of the many major events like the COMECON conference and death of Joseph Stalin. At the end of World War II, the Soviet Union and USA changed from being allies to enemies and not trusting one another. The destalinization process that happened after Nikita Khrushchev took control marked the start of change like beginning to want to repair the image that Stalin had previously set. They had different ideals to each other, which took the Soviet Union towards a new direction. These ideals like Khrushchev willing to risk so much for so little led to the Cuban Missile Crisis of 1962.…

    • 1462 Words
    • 6 Pages
    Decent Essays