Indebtedness and poverty

ABSTRACT

Today the indebtment level is raised and the responsibility of this situation doesn’t fall back on the International Monetary Fund or the banks. The indebtment has origin in the functioning of accumulation regimes and in the economic policy followed in the 70’s. The modification of the world economic situation, the crossing of an indebtment international economy with liquidity to an economy without liquidity contributed so much to the debt become autonomous in relation to the productive system. The dollarization of economies and liabilities of public enterprises, the fall of real wages, the increasing impoverishment of new stratums of population, the aggravation of alimentary misery in the cities, constitute the consequences of this indebtment.

KEYWORDS:
Debt crisis; external debt; hunger; impoverishment