This website uses cookies to ensure you have the best experience. Learn more

World Bank Essay

1191 words - 5 pages

International institutions, such as the IMF, the World Bank, and the GATT/WTO, have shaped the global political economy for decades and continue to do so now. For this paper, I will be assessing, from the realist perspective, how the role of the World Bank in the global political economy has changed over the past four decades. The main objective is to indicate that throughout the past four decades, the United States has had a distinct influence, using its hegemonic power, on the World Bank and it’s role in the global political economy. From the origin of the World Bank, we can see that the United States, to an extent, has influenced and continues to influence the decisions made within the Bank. This type of influence ultimately affects how the World Bank functions within a global political economy.
It is essential to first understand the purpose of the World Bank and how it came to be, before assessing its role in the global political economy. The World Bank as a Transnational Expertised Institution is one of the most important sources of knowledge for development and poverty reduction. The World Bank was created by planners at Bretton Woods in 1944, together with the International Monetary Fund (IMF), as the public sector and intergovernmental financial cooperative (St. Clair, 78, 2006). The Bank’s purpose was to essentially rebuild post-World War II Europe. However, today the World Bank functions as an international institution dedicated to fighting poverty by providing developmental assistance to middle-income and low-income countries. Some methods the World Banks uses in eliminating poverty include “giving loans and offering advice and training in both the private and public sector” (World Bank, 2013).
Although the World Bank does carry a certain measure of autonomy, it is systematically subject to the influence of states. Realists place a lot of emphasis on power, and ultimately believe that international institutions have little independent impact and argue that their influence is derived from the actions of the states within them. Realists, such as Robert Gilpin, believe that many international institutions such as the World Bank, are controlled by the hegemonic states, and thus reflect the states interests. It can be shown that the United States uses the World Bank as a subtle mechanism to exert its influence on countries. Essentially, it is vital to focus on the impact of US power rather than the character of the institution itself. The United States plays an exclusive role in influencing and shaping development priorities for the World Bank. This is due to the fact that the United States is the only shareholder that retains veto power over changed in the Bank’s structure (Weaver, 2007). Simply by noticing how the World Bank is situated in Washington D.C, possesses English as the working language and also has a large prevalence of US trained specialists, it is evident that the US indirectly displays its power and influence over the...

Find Another Essay On World Bank

What is the World Bank? Essay

1012 words - 4 pages During, and in the years after the World War 2, there was a significant need of financial aid, especially in Europe. The structural US were almost untouched, and their economy was rising. Soon they became the new superpower. At a conference held in Bretton Woods, New Hampshire, in 1944, the World Bank (WB) was founded for purposes of reconstruction in Europe. The head office was placed in Washington, and the bank president was American. When the

Problem Solution: USA World Bank Essay

1704 words - 7 pages USA World Bank is a major international and domestic corporation, who has been successful in many global ventures. In order to stay competitive in a global market, USA World Bank is looking to develop a new product, which will expand its market share. The company is in the midst of creating a credit card, which will be directed towards small business customers, or consumers, with an instant rewards component. The Vice President of New Product

World Bank Report & World Development Report

2259 words - 9 pages world has a really good chance of eliminating poverty. The World Bank Annual Report 1999 The highlights of the World Bank activities in fiscal year 1999 were the financial crisis in East Asia, which after it subsided, a lot of reorganization was needed to fix the damage and Russia and Brazil falling victim to failing investor confidence, which in the long run affected Africa negatively. The Kosovo (Yugoslavia) conflict was also a very appalling


2521 words - 11 pages In spite of their extensive criticisms the World Bank and the International Monetary Fund have benefited the global south. The end of World War II saw the world in great need of reconstruction. In July of 1944 the Bretton Woods Conference was held over twenty-two days with 44 allied nations in attendance and with the intention of devising a plan to regulate the international monetary and financial order. At this conference the groundwork was

Current Ethical Issue in Business-World Bank

2158 words - 9 pages dilemmas are usually complex, for they force the person making the decision to weigh the benefits that various business decisions impart on everyone, including themselves. It is hopefully that businesspeople are likely to reach and act on morally appropriate decisions if they do not lose sight of the fundamental issue of fairness; but those who get sidetracked by issues, such as World Bank president Paul Wolfowitz, who personally orchestrating a high

The World Bank, Tourism, and Sex Work

3728 words - 15 pages The World Bank, Tourism, and Sex Work "...International Travel, Tours and Vacations to the Philippine Islands, Services and Assistance to Single Individuals Seeking a Romantic Relationship plus Assistance with U.S. Immigration Visa Requirements...." (M-H Travel, 1). This sex tour is just one example of the direct links of tourism associated with sex work in Asia. While specifically analyzing the implications of tourism on prostitution/sex

The WTO IMF and World Bank

743 words - 3 pages The WTO IMF and World Bank The Uruguay Round in 1993was created to further reduce trade barriers. The result was the creation of the World Trading Organization (WTO). The main goal of the WTO is to police the international trading system. The data that the WTO has kept states that the volume of world trade has grown consistently faster than the volume of world output since the 1950’s. Two other types monitoring policies are the International

The World Bank - Friend or Foe to the Developing World?

2675 words - 11 pages When poor countries become desperate for economic help, they turn to the World Bank for loans. However, these loans come with strings attached - the World Bank imposes certain harsh conditions on debtor countries to ensure that their loans will be repaid. The Fund's standard package is designed to "get the economy going again", but the consequences for the poor are catastrophic because the World Bank, to put it loosely, "encourages" more land to

The IMF, World Bank, and Third World Debt Crisis

2469 words - 10 pages those in the third world, and at the same time make their situation much worse. One of the chief problems for these developing countries is Third World debt, which is that debt that the governments of Third World owe to foreign banks, governments, and international bodies, such as the International Monetary Fund (IMF) and World Bank. The World Bank and the IMF both came into existence in 1944 at the Bretton Woods Conference, which was a meeting to

In Depth-The Challenge of Culutural Change: The World Bank

719 words - 3 pages The World Bank President, Jim Yong Kim, announced plans to restructure the international institution based out of Washington D.C. due to the bank’s new plans for goals. In July of 2012, Jim Yong Kim launched a company-wide survey and Kim listened to the employee’s thought about “two new ambitious goals — reducing poverty worldwide by 2030 and boosting income of the poorest 40 percent” (Northam, 2014). 10,000 employees responded by telling Kim

The Impacts of the IMF and the World Bank

1342 words - 5 pages The Impacts of the IMF and the World Bank The World Bank and the International Monetary fund make up major parts of the UN's Economic sector. For both institutions the groundwork was laid in the Bretton Woods conference. The World Bank's initial task was to facilitate reconstruction in the post- World War II Europe. It generates capital fund from member state contributions and from international financial markers. Its

Similar Essays

World Bank Essay

3068 words - 12 pages Bureaucracy is one of the pillars of modern western society. Although this statement is debatable from many aspects, most would agree that, at the very least, our lives are greatly affected by bureaucracy. Bureaucracy is the 'pure form of rational organization' (Newson, Jan 11). Not only is it a method for achieving goals efficiently and effectively, but it is acclaimed as the most able strategy to meet objectives. The World Bank is a classic

World Bank Case Study

2638 words - 11 pages this case study, The World Bank is an example of a global company which is struggling with the mis-alignment between its business and IT processes. Redesign and reorganization of the roles and responsibilities of a company faced by mistrust between business and IT executives, the World Bank is seeking a solution to not only overcome these inhibitors but also become a world-class repository of development experience and knowledge helping all entities

Usa World Bank Paper

5987 words - 24 pages In recent years, the banking industry has experienced tremendous pressure to expand its market share globally. As a result, USA World Bank (UWB) is introducing more effective products and services to its customers. Competition has made selecting a successful product considerably more difficult than previous years; therefore, creating an exceptional and profitable product has become very challenging. UWB is a global organization that must create

World Bank Case Study

4312 words - 17 pages Running head: SITUATION ANALYSIS AND PROBLEM STATEMENT: UNITED STATES WORLD BANK CORPORATIONSituation Analysis and Problem Statement: United States World Bank CorporationSituation Analysis and Problem StatementUSA World Bank (UWB) enjoys an international and domestic presence in the banking arena. They are a major player in the industry and have U.S. and overseas branches. In able to stay competitive, UWB must launch successful products each