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Strattera order online at http://www.eol.org A new report released today by the International Monetary Fund (IMF) has indicated that, in order for the government of Iceland to exit its debt crisis, the Generic strattera available canada country needs to make three major spending cuts of a combined 1.7 billion KWZ that would lead to a 3.8% reduction in GDP. What's particularly striking is how the IMF has recommended that government make these cuts over two years, rather than three. The three year plan would lead to less austerity, because a weaker Icelandic economy would help reduce the country's debt burden, which would mean the government may not have to cut spending by as much. That's right—the IMF, which has worked to help many developing countries recover from their debt crises, is suggesting the government of Iceland make largest debt crisis in history smaller. According to the authors of IMF report, Iceland's current level of debt will remain unsustainable. Therefore, there is an increasing risk for a future government to assume debt that would have to be restructured and on which it would have to continue in perpetuity. Debt relief policies are already on the horizon, though this will also likely have to be combined with additional structural reform of the public sector and an overhaul of the banking sector. The IMF argues that, while one could cut the fiscal deficit to make economy competitive within a few years, Iceland's "vast fiscal space" means that one cannot keep cutting and without jeopardizing the country's ability to repay its debt. In other words, while the IMF is certainly right about debt relief—not that the IMF is not right for its own reasons—the IMF is making these cuts out of an almost desperate sense that the way things are is unsustainable. Indeed, the IMF's report makes it clear that the IMF knows austerity hurts growth, which is why they propose to cut spending (the number of percent GDP cuts to varies). That is, the IMF is suggesting that, if it's ever in the government's interest to do something about the debt, it can do slowly. The IMF isn't actually suggesting that the government should just sit on the money and forget about making any major debt reduction—it's actually urging that the government use its debt relief to make economy more competitive. But why? The IMF's logic seems to be that debt relief is much cheaper and easier to implement in a weak economy. This explains why the IMF is also recommending "structural reform measures" and "the implementation of sound banking regulations", all which will add to the cost of servicing debt. But the IMF isn't just recommending spending cuts. The IMF is also recommending a restructuring of the country's "structural" debts—like sovereign bonds the US government holds. Of course, the IMF knows full well that the debt, once it's restructured, will not be repaid—that's one of the reasons why it recommends that the government's debt is in default before its restructuring. That's why IMF economists recommend that the restructuring be completed by time it's finished dealing with the sovereign debt. This is not the first time that IMF has recommended debt restructuring of the kind Iceland is undergoing. IMF recommended restructuring drugstore brand orange concealer Iceland's debt last year, and then Iceland restructured its debt after the Fund recommended it. In both cases, the IMF was in government's debt services business. The IMF has not made same recommendation about austerity.

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