DG - Aid

Question 1

What is short term aid?

Answer 1

Aid given to relieve a disaster situation that can save lives (immediate response)

Question 2

What is long term aid?

Answer 2

Aid given over a long period of time which aims to promote economic development

Question 3

What is bilateral aid?

Answer 3

Aid given by one government to another. It may include trade and business agreements tied to the aid

Question 4

What is multilateral aid?

Answer 4

Richer countries give money to international organisations such as the World Bank, which passes it on to development projects in countries at a lesser stage of development

Question 5

What is a donor country?

Answer 5

A country giving aid to another country

Question 6

What is a recipient country?

Answer 6

A country receiving aid from another country

Question 7

What can stop aid improving poorer countries? Why do rich countries cut their contributions?

Answer 7

• Some aid is lost to corrupt governments/individuals
• A lack of infrastructure can prevent development from happening
• Too much aid is tied (the donor country gains more than the recipient country)

Question 8

What are the two types of aid?

Answer 8

Top-down aid and Bottom-up aid

Question 9

What is Top-down aid?

Answer 9

• Large scale
• Money usually given to governments (IMF)
• Make decisions without thought

Question 10

What is Bottom-down aid?

Answer 10

• Small scale
• Money usually given to individuals or small groups (NGO)
• Consult people in need (opinions) They don’t need to ask the government for help

Question 11

What are the advantages for a donor country for short term and long term aid?

Answer 11

Short term:
- People give willingly in a disaster

Long term:

• Companies and individuals find satisfying and well paid work in projects over seas
• Trade may continue into the future

Question 12

What are the advantages for a donor country for top down and bottom up aid?

Answer 12

Top down aid:
- Coordinated by the government or international organisations (makes donor feel in control)

Bottom up aid:

• NGO/individuals give to charity (feel good factor)
• Feeling of direct link between donor and recipient

Question 13

What are the disadvantages for a donor country for top down aid?

Answer 13

Projects swallow large amounts of money - donors may feel it is wasted

Question 14

What are the advantages for a recipient country for short term and long term aid?

Answer 14

Short term aid:

• Immediate help (saves lives)
• Flow of aid may continue following publicity of the disaster

Long term aid:

• New industries improve skills and employment
• Agricultural improvements (new and better crops)
• New infrastructure such as schools and hospitals built
• Trade may continue into the future

Question 15

What are the advantages for a recipient country for top down and bottom up aid?

Answer 15

Top down aid:

• Capital intensive (aims to improve country as a whole)
• Large projects eg dams

Bottom up aid:

• NGOS work with recipient communities, who have input into the project
• Money not lost to corruption
• Appropriate technology used, so projects are sustainable

Question 16

What are the disadvantages for recipient country for short term and long term aid?

Answer 16

Short term aid:
- Occasionally, well meaning governments and organisations fail to provide exactly what is needed

Long term aid:

• Tied aid (makes recipient country reliant on donor country)
• Local people may not have sufficient skills and training to reach senior posts
• Agricultural change may not be sustainable (levels of technology too high)
• Lack of money for fuel, spare parts
• May not be sufficient funding to maintain schools and hospitals to an adequate level
• Local people may lose their land to large-scale projects

Question 17

What are the disadvantages for recipient country for top down aid and bottom up aid?

Answer 17

Top down aid:
- Most ordinary people do not benefit directly

Bottom up aid:
- Charity funds may reduce in economic recession