The limited progress made so far in reforming the international financial architecture cannot be attributed to insufficient reform-mindedness of the institutions involved or to a lack of reform proposals in the literature. Rather, progress is slow as almost every step towards reform involves serious trade-offs, which must be analysed carefully before reforms are implemented. Some of these trade-offs are of immediate concern for defining the role of international financial institutions, notably the IMF, with respect to crisis prevention and crisis resolution.
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