The ‘Washington Consensus’ formulated by John Williamson in 1989 refers to a set of free-market economic policy recommendations for developing countries, emphasizing:
AState nationalization of key industries
BFiscal discipline, privatization, deregulation, and trade liberalization
CHigh protective trade tariffs
DPrice controls on basic commodities
Explanation
The Washington Consensus promoted neoliberal economic reforms backed by the IMF, World Bank, and US Treasury.
Exam Relevance
- Topic: International Political Economy
- Subtopic: Washington Consensus

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