Answer to Question #235981 in Macroeconomics for Tiyah

Question

Discuss the expected impact and outcome of the Structural adjustment programs (SAPs) provided by the International Monetary Fund (IMF) and the World Bank (WB) in Third World countries with special reference to Zambia.

Answer 1

SAPs have resulted in high social costs because they obstruct access to high-quality, affordable public services due to government cuts to services such as health and education. They frequently include food subsidy reductions and wage reductions, affecting vulnerable populations in particular.