Debt, adjustment, and poverty in developing countries /

A volume of nearly epic proportions of both mind and heart, the title is certainly justified by the balanced content of the two volumes. Given the complexities and intricacies of the subjects covered such as currency devaluation, macroeconomic adjustment, structural reforms, and the proposals on international financial systems, Woodward admirably manages to sustain the strong logical current of the discussion through both volumes. The succinctly stated arguments start with the origins of the debt crisis and logically flow into the process and problems of domestic and international macroeconomic adjustments, out of which the author develops proposals for the creation of new international institutions and additional mechanisms for the existing international institutions. The process, benefits, and costs of the policies such as currency devaluation and macroeconomic adjustment are dealt with in elegant simplicity without diluting the theoretical essence of the subject. Clearly evident is the author's strong disagreement with the IMF's theoretical and policy position that balance-of-payments problems can be mostly corrected by monetary (mostly tight) and structural policies. Woodward effectively analyzes trade restrictions, e.g., agricultural policies, the Multi-Fiber Agreement, and others imposed by the developed countries that create insurmountable problems for the LDCs. Problems of health, nutrition, and education as the outcomes, mostly undesirable, of the IMF's adjustment policies are appropriately highlighted and dovetailed with the quantative evidence in the main body of the discourse. The author's tone of advocacy and his prescription make a convincing case for his position. Regardless of one's view on the main argument, the menu presented is enticing. The author's prose is lucid, flowing, and capable of sustaining interest. Faculty and students at all levels will find the book enlightening. Scholars and diplomats dealing with economics, international relations, geography, and international business will find the book indispensable. C. J. Talele; Columbia State Community College