New Concert Event: No Aid
August 28, 2008 by theroadtoliberty
A Time magazine article illustrates how the world’s generosity in Ethiopia has hampered the country’s ability to provide for its self.
Over time, sustained food aid creates dependence on handouts and shifts focus away from improving agricultural practices to increase local food supplies.
This year the United States will give more than $800 million to Ethiopia: $460 million for food, $350 million for HIV/AIDS treatment — and just $7 million for agricultural development.
Western governments are loath to halt programs that create a market for their farm surpluses, but for countries receiving their charity, food aid can become addictive.
Ethiopian farmers cannot compete with free food, so they stop trying and end up using their resources elsewhere — Ethiopia has one of Africa’s largest armies.
Still waiting for Bono to have that No Aid concert.
Time Magazine Article: http://www.time.com/time/magazine/article/0,9171,1829841,00.html
NCPA: http://www.ncpa.org/sub/dpd/index.php?page=article&Article_ID=16961
~ Chuck
Posted in Chuck, Economics, Foreign Policy, Government, Politics | Tagged Aid, Economics, Economy, Foreign Aid, Foreign Policy, Hunger, Politics, World Politics | 1 Comment
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If western govs really want to help third world countries, they need to allow them to set up protective tarrifs (as every developed country in history has done to develop its own markets/industries and many continue to do so now ie. US/EU farm subs) and drop IMF structural adjustment programmes attached to aide which just make countries more dependent on foreign capital, industry and markets.