The International Monetary Fund carefully watches the world economy, and the managing director Christine Lagarde says that the United States’ recent budget cuts are “absolutely inappropriate.” The cuts were enacted as a consequence of Congress’ failure to pass a budget and made even cuts across all sectors, from defense to education to agriculture.
Lagarde told a conference of economists that both the United States and Japan need to present deficit plans that do not inhibit growth of medium-sized and long-term achievements. The official statement from the IMF last month said that the sequester was “excessively rapid and ill designed”.
Lagarde has been leading the fund since 2011, and is considered to be one of the most powerful women in the world. To read more about Lagarde and her roles in the IMF and the French government, head over to her full profile.