[G. Edward Griffin] The Creature from Jekyll Islan(BookZZ.org) (1)
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[G. Edward Griffin] The Creature from Jekyll Islan(BookZZ.org) (1)

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Ken Ewert explains further that the conditions imposed by the 
Fund are seldom free-market oriented. He says: 
The Fund concentrates on "macro-policies," such as fiscal and 
monetary policies or exchange rates, and I:ays little attention to 
fundamental issues like private p~operty ng~ts and freedom of 
enterprise. Implicit ... i~ the be~lef. that WIth proper "macro-
management" any economIC system IS vIable .... 
Even more important, it has allowed governments the world over 
to expropriate the wealth of their citizens ~ore efficient. If. (throu.gh the 
hidden tax of inflation) while at the same tune aggrandizmg then own 
power. There is little doubt that the IMF is an influence for world-wide 
ial. 1 SOC Ism. 
An important feature of the Structural-Adjustment Loans is that 
the money need not be applied to any specific development project. 
It can be spent for anything the recipient wishes. That includes 
interest payments on overdue bank loans. Thus, the World Bank 
becomes yet one more conduit from the pockets of taxpayers to the 
assets of commercial banks which have made risky loans to 
Third-World countries. 
Not every measure advocated by the IMF and World Bank is 
socialistic. Some of them even appear to be in support of the private 
sector, such as the reduction of government subsidies and welfare. 
They may include tax increases to reduce budget deficits. These 
policy changes are often described in the press as II austerity 
measures," and they are seen as hard-nosed business decisions to 
salvage the failing economies of underdeveloped countries. But, as 
the wolf (in sheep's clothing) said to Little Red-Riding-Hood, II All 
the better to fool you with, my dear." These austerity measures are 
mostly rhetoric. The borrowing nations usually ignore the condi-
tions with impunity, and the World Bank keeps the money coming 
anyway. It's all part of the game. 
Nevertheless, the "structural-adjustment" conditions provide a 
Scapegoat for local politicians who can now place the blame for 
their nation's misery on big, bad" capitalists" from America and the 
IMF. People who have been taught that it is government's role to 
provide for their welfare, their health care, their food and housing, 
1. "The International Monetary Fund," by Ken S. Ewert, The Freeman, April, 1989, 
pp. 157, 158. 
their jobs and retirement-such people will not be happy When 
they hear that these "rights" are being threatened. So they demon_ 
strate in the streets in protest, they riot in the commercial sections 
of town so they can steal goods from stores, and they throng to the 
banner of leftist politicians who promise to restore or increase their 
benefits. As described by Insight magazine: 
National strikes, riots, political upheavals and social unrest in 
Argentina, Bolivia, Brazil, Ecuador, Egypt, Haiti, Liberia, Peru, Sudan 
and elsewhere have at various times been attributed to IMF austerity 
programs .... 
Some came to the fund with domestic trouble already brewing 
and seized on the fund as a convenient scapegoat.I 
Quite true. An honest reading of the record shows that the IMF, 
far from being a force for austerity in these countries, has been an 
engine of socialist waste and a fountain of abundance for the 
corrupt leaders who rule. 
Nowhere is this pattern more blatant than in Africa. Julius 
Nyerere, the dictator of Tanzania, is notorious for his "villagiza-
tion" program in which the army has driven the peasants from 
their land, burned their huts, and loaded them like cattle into trucks 
for relocation into government villages. The purpose is to eliminate 
opposition by bringing everyone into compounds where they can 
be watched and controlled. Meanwhile the economy staggers, 
farms have gone to weed, and hunger is commonplace. Yet, 
Tanzania has received more aid per capita from the World Bank 
than any other nation. 
In Uganda, government security forces have engaged in mass 
detentions, torture, and killing of prisoners. The same is true under 
the terrorist government in Zimbabwe. Yet, both regimes continue 
to be the recipients of millions of dollars in World Bank funding. 
Zimbabwe (formerly Rhodesia) is a classic case. After its 
independence, the leftist government nationalized (confiscated) 
many of the farms previously owned by white settlers. The most 
desirable of these lands became occupied by the government's 
senior ruling-party officials, and the rest were turned into state-run 
collectives. They were such miserable failures that the workers on 
1. "IMF Hands Out Prescription for Sour Economic Medicine," Insight, February 9, 
1987, p.14. 
these farmlands were, themselves~ s~on b~~~ng for food. N~t 
ted by these failures, the SOCIalISt polItiCIans announced In 
d;;; that they were going to nationalize half of the remaining farms 
1 II And they barred the courts from inquiring into how much 
as we . .. 
Illpensation would be paId to theIr owners. . 
CO The IMP was represented in Zimbabwe at the time by MIchel 
Call1dessus, the Governor of the central Bank of France, and a 
f fIller finance minister in Francois Mitterrand's Socialist govern-~nt. After being informed of Zimbabwe's plan to confiscate 
additional land and to resettle people to work on those lands, 
Call1dessus agreed to a loan valued at 42 billion rands with full 
knowledge that much of it would be used for the resettlement 
project. . 
Perhaps the worst violations of human rights have occurred In 
Ethiopia under the Marxist regime of Mengistu Haile Mariam. The 
fcunine of 1984-85, which threatened the lives of millions of people, 
was the result of government nationalization and disruption of 
agriculture. Massive resettlement programs have torn hundreds of 
thousands of people from their privately owned land in the north 
and deported them to concentration-camp "villages" in the south, 
complete with guard towers. A report by a French voluntary 
medical-assistance group, Doctors without Borders, reveals that the 
forced resettlement program may have killed as many people as 
the famine itself. 1 Dr. Rony Brauman, director of the organization, 
describes their experience: 
Armed militiamen burst into our compounds, seized our 
equipment and menaced our volunteers. Some of our employees were 
beaten, and our trucks, medicines and food stores confiscated. We left 
Ethiopia branded as enemies of the revolution. The regime spoke the 
truth. The atrocities committed in the name of Mengistu's master plan 
did make us enemies of the revolution.2 
In the 1980s, the world was saddened by photographs of 
starving children in Ethiopia, but what the West did not realize was 
that this was a planned famine. It was modelled after Stalin's 
1. "Ethiopia Bars Relief Team," by Blaine Harden, Washington Post, December 3, 
1985, p. A-2l. 
2. "Famine Aid: Were we Duped?" by Dr. Rony Brauman, Reader's Digest, October 
1986, p. 71. 
starvation program in the Ukraine in the 1930s and Mao's starva-
tion of the peasants in the '40s. Its purpose was to starve the 
population into total submission to the government, for it is the 
government which decides who will eat and who will not. Yet, 
right up to the time Mengistu was overthrown, the World Bank 
continued to send him hundreds of millions of dollars, with much 
of it going specifically to the Ministry of Agriculture, the very 
agency in charge of the resettlement program. 1 
In the late 1970s the same story unfolded in Communist 
Vietnam. There were resettlement programs, forced collectiviza-
tion, concentration camps, atrocities, and tens of thousands of