--- title: "Meaning & Key Takeaway of: The IMF insisted that both Russia and…" description: "\"The IMF insisted that both Russia and Brazil maintain their currency at over-valued levels. Who are you protecting when you try to maintain that exchan..." image: "https://sms4smile.com/quotes/i/8ef/joseph-stiglitz-1351_brazil_the-imf-insisted-that-both-russia-and-br_2316514.jpg" --- # The IMF insisted that both Russia and Brazil maintain… ![“The IMF insisted that both Russia and Brazil maintain their currency at over-valued levels. Who are you protecting when you try to maintain that exchange rate by having high interest rates? You're protecting domestic and foreign firms that have gambled on the exchange rate. And who is paying the…” quote by Joseph Stiglitz](https://sms4smile.com/quotes/i/8ef/joseph-stiglitz-1351_brazil_the-imf-insisted-that-both-russia-and-br_2316514.jpg) [Download](https://sms4smile.com/quotes/i/8ef/joseph-stiglitz-1351_brazil_the-imf-insisted-that-both-russia-and-br_2316514.jpg) [Open image](https://sms4smile.com/quotes/i/8ef/joseph-stiglitz-1351_brazil_the-imf-insisted-that-both-russia-and-br_2316514.jpg) > “The IMF insisted that both Russia and Brazil maintain their currency at over-valued levels. Who are you protecting when you try to maintain that exchange rate by having high interest rates? You're protecting domestic and foreign firms that have gambled on the exchange rate. And who is paying the price? The small businesses that did not gamble \[and no longer can afford loans\], the workers who are going to be put out of jobs.” [Joseph Stiglitz](https://sms4smile.com/quotes/author/joseph-stiglitz/) ## About This Quote This interpretation was drafted with AI assistance. It is one reading of the quote, not the author's own explanation. High interest rates to defend an over‑valued currency protect speculative firms while hurting small businesses and workers. **In simple terms:** Protecting speculators hurts ordinary people. Key Takeaway Policy should prioritize broad economic health. Themes economics policy inequality currency employment Mood critical analytical Type policy economic When to use this quote - government budgeting - business planning - labor market analysis - financial regulation Key Concepts exchange rate management interest rate policy speculation social impact Questions to Reflect On - How can policy balance currency stability with social equity? - What alternatives exist to protect vulnerable groups? A Different Perspective High rates may also attract needed capital inflows, complicating the trade‑off. ★ ★ ★ ★ ★ No ratings yet [Brazil](https://sms4smile.com/quotes/about/brazil/) [Currency](https://sms4smile.com/quotes/about/currency/) [Currency Valued](https://sms4smile.com/quotes/about/currency-valued-5521500/) [Exchange Rate](https://sms4smile.com/quotes/about/exchange-rate-550821/) [Firm](https://sms4smile.com/quotes/about/firm/) [Gamble](https://sms4smile.com/quotes/about/gamble/) [High Rates](https://sms4smile.com/quotes/about/high-rates-805811/) [Imf](https://sms4smile.com/quotes/about/imf/) [Imf Insisted](https://sms4smile.com/quotes/about/imf-insisted-5521501/) [Interest](https://sms4smile.com/quotes/about/interest/) [Interest rate](https://sms4smile.com/quotes/about/interest-rate/) [Jobs](https://sms4smile.com/quotes/about/jobs/) [Levels](https://sms4smile.com/quotes/about/levels/) [Loan](https://sms4smile.com/quotes/about/loan/) [Maintain Currency](https://sms4smile.com/quotes/about/maintain-currency-5521499/) [Rate](https://sms4smile.com/quotes/about/rate/) [Russia](https://sms4smile.com/quotes/about/russia/) [Small business](https://sms4smile.com/quotes/about/small-business/) [Small businesses](https://sms4smile.com/quotes/about/small-businesses/) [Trying](https://sms4smile.com/quotes/about/trying/) [Workers](https://sms4smile.com/quotes/about/workers/) ## Related quotes > [The IMF is a more complicated issue. I think there is a broad sentiment among both the left and the right that the IMF…](https://sms4smile.com/quotes/joseph-stiglitz/the-imf-is-a-more-complicated-issue-i-think-there-is-a-broad/) [Joseph Stiglitz](https://sms4smile.com/quotes/author/joseph-stiglitz/) > [I believe that the high rates of property crime (and some of the increase in violent crime) are part of the price you pay…](https://sms4smile.com/quotes/james-q-wilson/i-believe-that-the-high-rates-of-property-crime-and-some-of-the/) [James Q. Wilson](https://sms4smile.com/quotes/author/james-q-wilson/) > [Families rely on financial services more than ever, but those who need them most - who struggle to make ends meet - too often…](https://sms4smile.com/quotes/elizabeth-warren/families-rely-on-financial-services-more-than-ever-but-those-who-need/) [Elizabeth Warren](https://sms4smile.com/quotes/author/elizabeth-warren/) > [High interest rates focus on the revenue of a parasitic class.](https://sms4smile.com/quotes/linda-mcquaig/high-interest-rates-focus-on-the-revenue-of-a-parasitic-class-2/) [Linda McQuaig](https://sms4smile.com/quotes/author/linda-mcquaig/) > [High interest rates focus on the revenue of a parasitic class.Historically the financial system has been structured in favour of moneyed interests, that is,…](https://sms4smile.com/quotes/linda-mcquaig/high-interest-rates-focus-on-the-revenue-of-a-parasitic-class/) [Linda McQuaig](https://sms4smile.com/quotes/author/linda-mcquaig/) > [The United States has experienced high rates of inflation in the past and appears to be running the same type of fiscal policies that…](https://sms4smile.com/quotes/laurence-kotlikoff/the-united-states-has-experienced-high-rates-of-inflation-in-the-past/) [Laurence Kotlikoff](https://sms4smile.com/quotes/author/laurence-kotlikoff/) > [Nobody likes high interest rates.](https://sms4smile.com/quotes/chanda-kochhar/nobody-likes-high-interest-rates/) [Chanda Kochhar](https://sms4smile.com/quotes/author/chanda-kochhar/) > [We do not attract Russian money to Luxembourg with high interest rates.](https://sms4smile.com/quotes/jean-claude-juncker/we-do-not-attract-russian-money-to-luxembourg-with-high-interest-rates/) [Jean-Claude Juncker](https://sms4smile.com/quotes/author/jean-claude-juncker/) > [There are so many currency exchange rate problems that people are buying gold as a safe haven. Right now, gold looks like a safe…](https://sms4smile.com/quotes/michael-hudson/there-are-so-many-currency-exchange-rate-problems-that-people-are/) [Michael Hudson](https://sms4smile.com/quotes/author/michael-hudson/) > [What is the right exchange rate at one point is not necessarily the right exchange rate at another.](https://sms4smile.com/quotes/norman-lamont/what-is-the-right-exchange-rate-at-one-point-is-not-necessarily-the/) [Norman Lamont](https://sms4smile.com/quotes/author/norman-lamont/) > [After the maxi yuan depreciation of 1994 and until 2005, exchange-rate fixity was the order of the day, with little movement in the CNY/USD rate.](https://sms4smile.com/quotes/steve-hanke/after-the-maxi-yuan-depreciation-of-1994-and-until-2005-exchange-rate/) [Steve Hanke](https://sms4smile.com/quotes/author/steve-hanke/) > [A nation's exchange rate is the single most important price in its economy; it will influence the entire range of individual prices, imports and…](https://sms4smile.com/quotes/paul-volcker/a-nation-s-exchange-rate-is-the-single-most-important-price-in-its/) [Paul Volcker](https://sms4smile.com/quotes/author/paul-volcker/) > [Celebrity is a currency with an exchange rate almost as strong as anonymity.](https://sms4smile.com/quotes/jon-foreman/celebrity-is-a-currency-with-an-exchange-rate-almost-as-strong-as/) [Jon Foreman](https://sms4smile.com/quotes/author/jon-foreman/) > [I don't have a shred of regret about entering the exchange-rate mechanism.](https://sms4smile.com/quotes/john-major/i-don-t-have-a-shred-of-regret-about-entering-the-exchange-rate/) [John Major](https://sms4smile.com/quotes/author/john-major/) > [Turkey does not have an official exchange rate target.](https://sms4smile.com/quotes/ali-babacan/turkey-does-not-have-an-official-exchange-rate-target/) [Ali Babacan](https://sms4smile.com/quotes/author/ali-babacan/) ## More by Joseph Stiglitz > [I grew up in a family in which political issues were often discussed, and debated intensely.](https://sms4smile.com/quotes/joseph-stiglitz/i-grew-up-in-a-family-in-which-political-issues-were-often-discussed/) [Joseph Stiglitz](https://sms4smile.com/quotes/author/joseph-stiglitz/) > [But individuals and firms spend an enormous amount of resources acquiring information, which affects their beliefs; and actions of others too affect their beliefs.](https://sms4smile.com/quotes/joseph-stiglitz/but-individuals-and-firms-spend-an-enormous-amount-of-resources/) [Joseph Stiglitz](https://sms4smile.com/quotes/author/joseph-stiglitz/) > [China, with its large emerging middle class, is among the big beneficiaries of globalization.](https://sms4smile.com/quotes/joseph-stiglitz/china-with-its-large-emerging-middle-class-is-among-the-big/) [Joseph Stiglitz](https://sms4smile.com/quotes/author/joseph-stiglitz/) > [Trickle-down economics is a myth. 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So not only…](https://sms4smile.com/quotes/joseph-stiglitz/in-an-economy-when-the-government-spends-more-and-invests-in-the/) [Joseph Stiglitz](https://sms4smile.com/quotes/author/joseph-stiglitz/) > [The laws of normal economics dictate that lower taxes combined with increased spending will lead to bigger deficits.](https://sms4smile.com/quotes/joseph-stiglitz/the-laws-of-normal-economics-dictate-that-lower-taxes-combined-with/) [Joseph Stiglitz](https://sms4smile.com/quotes/author/joseph-stiglitz/) > [A less healthy America is not going to be as productive.](https://sms4smile.com/quotes/joseph-stiglitz/a-less-healthy-america-is-not-going-to-be-as-productive/) [Joseph Stiglitz](https://sms4smile.com/quotes/author/joseph-stiglitz/) > [As I noted in my Nobel lecture, an early insight in my work on the economics of information concerned the problem of appropriability -…](https://sms4smile.com/quotes/joseph-stiglitz/as-i-noted-in-my-nobel-lecture-an-early-insight-in-my-work-on-the/) [Joseph Stiglitz](https://sms4smile.com/quotes/author/joseph-stiglitz/) > [We noted the psychological problems facing many of the returning from Iraq veterans - of the 700,000 returning veterans, more than a 100,000 have…](https://sms4smile.com/quotes/joseph-stiglitz/we-noted-the-psychological-problems-facing-many-of-the-returning-from/) [Joseph Stiglitz](https://sms4smile.com/quotes/author/joseph-stiglitz/) > [World War II was really unusual, because America was in the Great Depression before. So the war did help the US economy to get…](https://sms4smile.com/quotes/joseph-stiglitz/world-war-ii-was-really-unusual-because-america-was-in-the-great/) [Joseph Stiglitz](https://sms4smile.com/quotes/author/joseph-stiglitz/) > [Moreover, because we chose to finance the way by borrowing, our deficits and debt has soared, and this means we have less room for…](https://sms4smile.com/quotes/joseph-stiglitz/moreover-because-we-chose-to-finance-the-way-by-borrowing-our/) [Joseph Stiglitz](https://sms4smile.com/quotes/author/joseph-stiglitz/) > [I've always been sceptical about the notion that the market is a person you can engage in an argument with, and that that person…](https://sms4smile.com/quotes/joseph-stiglitz/i-ve-always-been-sceptical-about-the-notion-that-the-market-is-a/) [Joseph Stiglitz](https://sms4smile.com/quotes/author/joseph-stiglitz/) > [The striking thing about America is - it's historically, extraordinary unusual,I don't of any other instance - is that productivity of workers and wages…](https://sms4smile.com/quotes/joseph-stiglitz/the-striking-thing-about-america-is-it-s-historically-extraordinary/) [Joseph Stiglitz](https://sms4smile.com/quotes/author/joseph-stiglitz/) [Explore all 251 Joseph Stiglitz quotes ](https://sms4smile.com/quotes/author/joseph-stiglitz/) ## More Brazil quotes > [“In American terms, the accomplishment of Genghis Khan might be understood if the United States, instead of being created by a group of educated…](https://sms4smile.com/quotes/jack-weatherford/in-american-terms-the-accomplishment-of-genghis-khan-might-be/) [Jack Weatherford](https://sms4smile.com/quotes/author/jack-weatherford/) > [I thought I would be an overnight star when I had a hit record in Brazil with my first album - but things didn't…](https://sms4smile.com/quotes/chris-de-burgh/i-thought-i-would-be-an-overnight-star-when-i-had-a-hit-record-in/) [Chris de Burgh](https://sms4smile.com/quotes/author/chris-de-burgh/) > [Yes, Brazil, like the whole world, stands to lose a lot in a climate-altered world. But it's also one of the major forces determining…](https://sms4smile.com/quotes/gisele-bundchen/yes-brazil-like-the-whole-world-stands-to-lose-a-lot-in-a-climate/) [Gisele Bundchen](https://sms4smile.com/quotes/author/gisele-bundchen/) > [“Não, a vida nunca foi só a vida, nela há sonhos e fantasias que fazem a realidade ser o que é...”](https://sms4smile.com/quotes/monteiro-lobato/n-o-a-vida-nunca-foi-s-a-vida-nela-h-sonhos-e-fantasias-que-fazem-a/) [Monteiro Lobato](https://sms4smile.com/quotes/author/monteiro-lobato/) > [Brazil is where I have to be, where I have my roots.](https://sms4smile.com/quotes/clarice-lispector/brazil-is-where-i-have-to-be-where-i-have-my-roots/) [Clarice Lispector](https://sms4smile.com/quotes/author/clarice-lispector/) > [ \[Brazil\] went to the UN and said, "We need new standards for this." We need to take a look at what they're calling "data… ](https://sms4smile.com/quotes/edward-snowden/brazil-went-to-the-un-and-said-we-need-new-standards-for-this-we-need/) [Edward Snowden](https://sms4smile.com/quotes/author/edward-snowden/) > [Brazil - they're so good it's like they are running round the pitch playing with themselves.](https://sms4smile.com/quotes/john-motson/brazil-they-re-so-good-it-s-like-they-are-running-round-the-pitch/) [John Motson](https://sms4smile.com/quotes/author/john-motson/) > [Playing alongside Messi is special for me. He's a player I always wanted to play with. I have played against him with Brazil, but…](https://sms4smile.com/quotes/paulinho/playing-alongside-messi-is-special-for-me-he-s-a-player-i-always/) [Paulinho](https://sms4smile.com/quotes/author/paulinho/) > [Look at me and tell me if I dont have Brazil in every curve of my body.](https://sms4smile.com/quotes/carmen-miranda/look-at-me-and-tell-me-if-i-dont-have-brazil-in-every-curve-of-my-body/) [Carmen Miranda](https://sms4smile.com/quotes/author/carmen-miranda/) > [For me it doesn't matter where, I just like to fight. 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The Cup…](https://sms4smile.com/quotes/rivaldo/it-s-not-easy-to-win-a-cup-brazil-spent-a-long-time-over-20-years/) [Rivaldo](https://sms4smile.com/quotes/author/rivaldo/) > [Because we are a small country, unlike England, Italy, or Brazil, we don't have as many good players.](https://sms4smile.com/quotes/dimitar-berbatov/because-we-are-a-small-country-unlike-england-italy-or-brazil-we-don/) [Dimitar Berbatov](https://sms4smile.com/quotes/author/dimitar-berbatov/) [Browse all 643 Brazil quotes ](https://sms4smile.com/quotes/about/brazil/) ```json { "@context": "https://schema.org", "@graph": [ { "@type": "Quotation", "text": "The IMF insisted that both Russia and Brazil maintain their currency at over-valued levels. Who are you protecting when you try to maintain that exchange rate by having high interest rates? You're protecting domestic and foreign firms that have gambled on the exchange rate. And who is paying the price? 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