Which description best characterizes the Washington Consensus?

Which description best characterizes the Washington Consensus?

• A. Beijing Consensus
• B. Civil Law
• C. Washington Consensus
• D. Floating Subsidiary

Answer: (C)

Market-friendly reforms and macro stability define the Washington Consensus. It describes a set of policy prescriptions aimed at liberalizing economies and fostering growth through open trade and investment, privatization of state enterprises, deregulation, and disciplined public finances. Originating with Washington-based institutions in the late 20th century, it emphasizes creating predictable, rule-based environments where markets can allocate resources efficiently—think fiscal discipline, trade liberalization, investment openness, privatization, deregulation, and strong property rights. This description stands in contrast to the Beijing Consensus, which centers on gradual, state-led development, and it doesn’t fit unrelated terms like Civil Law or Floating Subsidiary.

Market-friendly reforms and macro stability define the Washington Consensus. It describes a set of policy prescriptions aimed at liberalizing economies and fostering growth through open trade and investment, privatization of state enterprises, deregulation, and disciplined public finances. Originating with Washington-based institutions in the late 20th century, it emphasizes creating predictable, rule-based environments where markets can allocate resources efficiently—think fiscal discipline, trade liberalization, investment openness, privatization, deregulation, and strong property rights. This description stands in contrast to the Beijing Consensus, which centers on gradual, state-led development, and it doesn’t fit unrelated terms like Civil Law or Floating Subsidiary.