He then served as an International Monetary Fund representative to Palestine, a position that based him in Jerusalem.
Mr. Kagalovsky is a former International Monetary Fund representative who is married to Natasha Gurfinkel Kagalovsky, a former head of Bank of New York's Eastern European division.
Correction: July 14 , 2001 Saturday A headline in World Business yesterday about an International Monetary Fund representative in the Middle East referred incorrectly to the Palestinian governing body in the West Bank and the Gaza Strip.
For the next six years he served as the International Monetary Fund representative to the Palestinian Authority, and he watched as the Palestinian state that was supposed to come into existence in 1999 receded toward the horizon in a haze of bad faith, corruption and violence.
While European leaders and International Monetary Fund representatives continue to blame Greece for the impasse in negotiations over the terms of Greece's bailout, a Saturday report by the German newspaper Frankfurter Allgemeine Sonntagszeitung reveals the IMF vetoed a compromise that cut military spending proposed by the European Commission.
Olaf Unteroberdoerster, the International Monetary Fund's representative in Hong Kong, was similarly gloomy about the potential of interest rate cuts to stop the problems.
"As the job market improves, the Federal Reserve must begin to normalize monetary policy," said Representative Kevin P. Brady, a Texas Republican who is chairman of the Joint Economic Committee.
"The appropriate policy response to weakness in the economy is a more stimulative monetary policy," said Representative Lee Hamilton, Democrat of Indiana, in his annual economic report.
"I am absolutely convinced that the challenges in our economy are not a phenomenon that can be addressed by monetary policy," said Representative Jeb Hensarling, a Texas Republican who is a member of the special deficit reduction committee.
"Let's be frank — the well-off need to pay their fair share of taxes," Bob Traa, the International Monetary Fund's representative in Greece, said in a speech last year in Athens.
"Creditors and the government need to seek a quick resolution in the highly visible case of Daewoo in order to prevent further erosion of value," said David Coe, who remains the International Monetary Fund's representative in Korea even though the fund's program formally ended on Dec. 3.
