The eurozone crisis threatens much of the world, even emerging economies. The International Monetary Fund cannot save the eurozone. But, Martin Wolf explains, the IMF can help by encouraging eurozone governments to choose policies that are ‘least bad’ for themselves and for the rest of the world.
What role can the IMF play? Not much of one. It lacks the firepower: its total uncommitted usable resources are only about $440bn. True, it might raise more money from interested outside countries. But it cannot hope to make up for the reluctance of the eurozone