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Theories and practices often outlive their usefulness in our fast-changing world.So do institutions, including those chartered at the 1944 Bretton Woods Conference.Yet that era also bequeathed to us some new problems.What we now call the European Union grew out of a postwar Franco-German coal and steel trading pact.With US help, Europe and Japan launched huge rebuilding projects.

In today’s letter we are going to look closely at the International Monetary Fund and a scathing report from its own internal auditors.

For those of us who have been following the IMF for decades, the report is not all that surprising.

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