IMF/World Bank - World Bank & IMF Lesson Plan
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Posted on November 2, 2005
Previously filed under: Lesson Plans
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For a copy of this Lesson Plan in Microsoft Word click here.
Introduction
In this lesson students will learn about international organizations, specifically the International Monetary Fund (IMF) and the World Bank, two of the most influential and important global economic institutions. In addition to learning about the history, basic structure and policies of these institutions and the role of the United States, students will be introduced to some of the challenges faced by these institutions. Students will prepare for class by reading the IMF and World Bank Issue Brief and a Washington Post article introducing the World Bank. Class time will be divided into two parts. First, the teacher will guide students through an introductory background and discussion on international institutions using the World Bank as an example. Second, students will be introduced to several key issues facing the World Bank as it makes lending decisions through a brief role-play.
Student Objectives
| Unit Objectives | Your State Standard |
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At the conclusion of this unit students will be able to:
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Click here for updated State Standards |
Materials
- The IMF and the World Bank Issue Brief
- Article by Ann Gerhart, "Inside the World Bank," Washington Post, June 12, 2005.
Time Required
1 class
Procedure
Have students read the The IMF and the World Bank Issue Brief in its entirety prior to class and the article "Inside the World Bank".
In-Class Discussion on the World Bank (1/2 class period)
- Introduction and review: a brief review of what the World Bank is and what is its primary mission (teacher can present this information based on the Issue Brief or query students).
- Political differences: should the political structure of a country make a difference in the way it is treated by the World Bank? The teacher should first ask the class whether there are certain kinds of governments that the World Bank should not lend to. Possible responses might include repressive dictatorships and countries that encourage the mistreatment of women or minorities. Students should be asked not only to identify such characteristics, but specifically why this should disqualify a country from receiving aid. Should the World Bank have political litmus tests for aid recipients? How does this mesh with its stated goals? Second, what are some ways that the World Bank can encourage political reform? Students should be asked to list and describe some specific mechanisms, such as conditional loans and targeted assistance.
- The role of the United States: should the U.S. use the World Bank and other international institutions to influence political reform (e.g., democracy)? Could this conflict with the goals of the World Bank or other institutions?
World Bank Role Play (1/2 class period) - see Handout 1
This role-play is designed to give students an insight into some of the issues that the World Bank must consider when it makes funding decisions. Each student is assigned one of the three roles outlined below. The scenario is a simplified request for a loan by a developing country to a panel of World Bank specialists whose job is to inquire about the specifics of the project and make recommendations.
The Handout can be distributed during class; the role-play does not require any significant preparation, although 5 - 10 minutes is recommended. The teacher should begin the role-play by introducing the three roles and the forum and then having the students break up into sets of three (each group will include one student from each role). After the role-plays are concluded (give the students fifteen minutes), the teacher should lead the entire class through the handout questions.
Globalization101.org
World Bank & IMF Lesson Plan
Handout 1
World Bank Role-Play
Facts: The nation of Hoover needs funding to build a dam on the river Styxx. The dam will generate sufficient electric power for all of Western Hoover, plus the lake that will be created will attract foreign investment for development of Hoover's first resort community. Some Hoover residents have complained that the dam will destroy existing communities in the Styxx river basin, make the basin's ecologically important wetlands areas much too wet, and choke off water from the agricultural communities downriver. The meeting on the loan request is being conducted at the World Bank in Washington, D.C. Outside the building on Pennsylvania Avenue, Hooverian farmers and lobbyists for the Hooverian tourist industry are holding loud rallies for their respective causes.
Group One: Representative(s) from the Democratic Republic of Hoover
Group Two: Critic(s)
Group Three: Supporter(s))
Discussion Questions
- Should the project funding be denied if people would be displaced? Does it matter how many people?
- Is there anything that can be done to mitigate this dislocation problem?
- Should the World Bank investigate alternate sources of power generation for Western Hoover? What if another plan exists that would have a lesser impact on people and the environment?
- Should the panel members take into account the protesters and lobbyists outside the World Bank office? Should they be invited to speak at the meeting?
For a copy of this Lesson Plan in Microsoft Word click here.
Contributed by Center for Strategic & International Studies (CSIS) and Globalization101.org.
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