Which of the following has not been raised as a criticism of IMF lending?
A) It creates moral hazard among investors by protecting them from losses
B) The conditions imposed on recipient governments often go unfulfilled
C) The default rates are quite high
D) Recipient countries recover somewhat more slowly than non-recipients
E) The loans have become so large that the IMF may need to increase its own capital reserves

Question

Quizplus · Accepted Answer

While there have been concerns about the economic impact of IMF lending, including issues of moral hazard, fulfillment of conditions, slower recovery, and the size of loans, high default rates are not typically cited as a major criticism of IMF lending.

Which of the Following Has Not Been Raised as a Criticism