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Pakistan

    My topic deals with Pakistan, its relationship with the IMF and World Bank, and
its internal problems that are causing unemployment, poverty, economic crisis
and hunger. I shall be analyzing the situation using the neo-classical theory,
as it is what the economists of the Pakistan government and the IMF are using to
alleviate the economic instability of the country. Situated in the
sub-continent, Pakistan is a low-income country, with great promise for growth.

Unfortunately, it is held back from reaching middle-income status by chronic
problems like a rapidly growing population, sizable government deficits, a heavy
dependence on foreign aid, recurrent governmental instability and large military
expenditures. It is to address these fundamental faults in Pakistan's economy
that the IMF has initiated the Structural Adjustment Programs (SAPs) in the
country. This is discussed in further detail later in the paper. Like all
developing countries, Pakistan's population is largely employed in the
agricultural sector, which accounts for about 48 percent of the labor force. In
today's world the Industrial and Service sectors are the largest growing areas
of a developed county's economy. Yet Pakistan only employs 39 percent of its
population in Service, and a minute 13 percent in Industry. This is a paltry
figure, compared to the employment statistics of a developed country. Pakistan
is also heavily dependent on a single export crop, cotton. Hence the country's
fortunes rise ...

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Submitted by: freeessay
Category: Business
Words: 412
Pages: 1.65