Macroeconomic policy after the global recession of 2008-2009: a development perspective

The standard macroeconomic framework assigns a central role to macroeconomic stability as a prerequisite for economic growth. It gained prominence in the case of developing countries during the structural adjustment era of the 1980s and 1990s. Over that period, 149 adjustment lending programmes were initiated on average per annum by the Bretton Woods institutions. In some cases, these programmes were highly persistent. The structural adjustment era formally came to an end in 1998. Structural adjustment programmes were replaced by poverty reduction strategies (PRSs), but the focus on macroeconomic stability remained intact.

Related Subject(s): Economic and Social Development