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John Cochrane: World Bank tailors advice to fit recipient preferences and seeks funding
John Cochrane comments that the World Bank is adjusting its advice to reflect what recipients want to hear. He also suggests that the institution is asking for additional funding.
The remarks highlight concerns about the objectivity of guidance provided by major international financial organizations.
Cochrane has previously highlighted the importance of central bank independence, cautioning that central banks should resist pressure to monetize government debt. He has also discussed revisions to inflation models, noting how Refine introduced a new equation and key assumptions in recent work on inflation analysis. His latest remarks follow ongoing commentary on the policy roles of major economic institutions.
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