Similarities and differences of IMF conditionality clause in Latin American and Euroarea states: a critical appraisal

摘要

The article investigates the conditionality clause implementation through adjustment programs in selected countries of Latin America and Eurozone, from 1991 to 2014. The analysis unveils key similarities and differences in three issue areas, namely macroeconomic policy, fiscal policy and structural policy. Based on institutional analysis approach the article argues that real economic convergence, structural economic transformation and social development are undermined by fiscal priorities embedded in adjustment programs and IMF conditionality terms. The main conclusion is that redesign of conditionality should equally favour economic efficiency and social equity.