Aid - ECONOMIC INTERACTION Flashcards
What is humanitarian aid?
Aid for humanitarian purposes, typically in response to humanitarian crises including natural disasters and man-made disasters.
What is bilateral aid?
Aid given from one government directly to another.
What is multilateral aid?
International organisations like the World Bank, UN and IMF providing aid to LEDC nations.
What is tied aid?
Foreign aid that must be spent in the donor country or a group of selected countries.
According to the case study ‘Dead Aid’, what is wrong about aid?
(4)
Govts have to be accountable for their people.
Society’s shouldn’t be reliant on Western ‘saviours’.
No long-term economic growth.
More people will continue to live in poverty.
Debt debt and aid cycle:
- ___/_______ give _________ to build _____.
- _____ don’t _____ it _____.
- _________/____/etc are imposed.
- ____ is given to allow ________ using ________.
- ____ get _____; no ‘_________’ effect.
a) IMF/World Bank, investment, trade
b) LEDCs, spend, well
c) trade sanctions/war
d) aid, debt payment, MEDC taxes
e) rich, richer, ‘trickle-down’
TRADE OR AID?
What can both trade and aid be said to do?
What is this an example of?
Increase dependency & ‘kick away the ladder’ from countries wanting to develop.
Marxist - money used for control (imperialism/neo-colonialism) but Neo-liberals agree (eg. Bauer, 1995) - they don’t money to be wasted with no return.
TRADE OR AID?
Who outlines why aid doesn’t help development.
Socialist theorists like Samura (2008).
TRADE OR AID?
According to Samura, what do undemocratic or corrupt governments do with aid?
Waste it through inefficiencies or theft.
TRADE OR AID?
What does Samura say aid is used for?
Armed forces, as recipients are usually in politically unstable regions.
TRADE OR AID?
What does Samura say aid projects often do?
Damage the environment to make money, so aid is a false economy for MEDC’s.
TRADE OR AID?
According to Samura, what do rich foreign ‘experts’ do?
Decide where money goes, without ever visiting or undertsanding the needs ‘on the ground’.
TRADE OR AID?
According to Samura, where do projects send aid?
To places where they’ll be abused, eg war zones and to dictorships.
WHY IS AID BAD?
Ghana is Corrupt:
What did a survey find about the Ghanian police?
They are among the least trusted and most corrput of government institutions.
WHY IS AID BAD?
Ghana is Corrupt:
What is their legal system compromised by?
A lack of resources