Which is NOT part of the Washington Consensus?

Correct — C. John Williamson coined the Washington Consensus in 1989 for a list of ten reforms.

Fiscal discipline, tax reform and trade liberalisation are all on it. The list also asks governments to redirect public spending away from subsidies, towards primary education, primary health care and infrastructure.

Export subsidies add state support, which is not on the list → option (c).

Why the others are wrong

• (a)
  Trade liberalisation — Trade liberalisation is on Williamson's list: freer imports, quantitative restrictions removed, and low, uniform tariffs.
• (b)
  Fiscal discipline — Fiscal discipline, avoiding large fiscal deficits relative to GDP, is the first item on Williamson's list.
• (d)
  Tax reform — Tax reform, a broader tax base with moderate marginal rates, is one of Williamson's ten reforms.

The Washington Consensus named the reforms that Washington-based institutions, chiefly the IMF, the World Bank and the US Treasury, pressed on developing economies.

Its ten points: fiscal discipline, reordered public spending, tax reform, market-set interest rates, competitive exchange rates, trade liberalisation, liberalised inward FDI, privatisation, deregulation and secure property rights.

Key facts

• John Williamson coined the term Washington Consensus in 1989.
• Its ten reforms include fiscal discipline, tax reform, trade liberalisation, privatisation and deregulation.
• It calls for redirecting public spending from subsidies towards primary education, primary health care and infrastructure.
• Export subsidies are not on Williamson's list.

Common traps

• Picking tax reform as the odd one out: it is on the list, as a broader base with moderate rates.
• Missing NOT in the stem and choosing the first familiar reform.

No directly related past PYQ was found.