Tuesday, February 09, 2010

"In 2002, the United States gave $3 per sub-Saharan African [in donor aid]. Taking out the parts for U.S. consultants, food and other emergency aid, administrative costs, and debt relief, the aid per African came to the grand total of six cents." -- Jeffrey Sachs, The End of Poverty

Although aid money provides countries with modern infrastructure and food drops after natural disasters, the necessary cash flows do not recirculate throughout these developing economies. Aid money never achieves its full potential for stimulating continued economic growth. These "quick fixes" do not allow for donor funds to fully take permeate within African economies. Although many of these projects and programs are necessary, the money doesn't stay in African, it gets syphoned out. As a result, demand and profits for American consulting and engineering firms, US agriculture, and the US dollar all increase, boosting the already developed American economy, while the intended beneficiaries on the African continent do not see sustainable domestic long term results. Aid money comes in the form of gifts, but these are not the gifts that keep on giving.


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1 comments:

Eileen February 11, 2010  

greg- a friend of mine (sharon) sent me this....thought i would pas it along to you- Sharon Gelboin-Katz Check out the amazing work of my cousin Dr. Flavio Wittlin in the slums of Rio De Janeiro, Brazil. Anyone looking for a worthy cause to support? Please pass it on-thanks!
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