The first part analyzes the Fund's overall role in the process of financial intermediation, including its relationship to commercial banks and the World Bank. The second part addresses the ways in which stabilization policies sould be conducted and the criterial against which Fund programs should be judged. The third section comprises twelve case studies of recent Fund programs on four continents and assesses the reason for their success or failure. The final section draws analytical conclusions and policy recommendations; it evaluates recent changes in Fund terms, suggests new directions for Fund activities in several areas and makes recommendations for the magnitude of Fund resources.