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Foreign Aid. Why is it necessary and what does it look like???. 4/5 of world population lives in the developing world (former colonies) They produce ½ of the world’s economic output They purchase 45% of all US exports . As of 2000, they owe $2.3 trillion in foreign debt making them

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Foreign aid

Foreign Aid

Why is it necessary and what does it look like???

Is foreign aid necessary

4/5 of world population lives in the developing world (former colonies)

They produce ½ of the world’s economic output

They purchase 45% of all US exports

As of 2000, they owe $2.3 trillion in foreign debt making them

Highly Indebted Poor Countries (HIPC)

Is Foreign Aid Necessary?

History of aid marshall plan
History of Aid: Marshall Plan (former colonies)

  • US Development Aid given to European countries to assist them in rebuilding after WWII

Cold war foreign aid
Cold War Foreign Aid (former colonies)

  • USA and Soviets indirectly fight in:



    Korean Peninsula




    In other emerging nations, the two superpowers dole out financial and military aid to win and keep allies…sometimes this Cold War aid comes back to haunt us…like, for instance, in AFGHANISTAN…or IRAQ!...or IRAN!!!

Today un recommendation
Today: UN Recommendation? (former colonies)

The UN recommends that industrialized/developed nations give

.7% of GDP to development assistance.

Why a % instead of a flat $ amount?

What does foreign aid look like
What does Foreign Aid Look Like? (former colonies)

  • I. Humanitarian: disaster/famine relief

  • This is the LEAST controversial form of aid

  • May take the form of food, water, medicine, temporary housing, care for refugees

Medical supplies flour humanitarian aid is frequently distributed by the us military
Medical supplies…Flour (former colonies)Humanitarian Aid is frequently distributed by the US military

Asian tsunami
Asian Tsunami (former colonies)

Us aid after tsunami of 2004
US Aid after Tsunami of 2004 (former colonies)

Cnn article on us tsunami aid
CNN article on US Tsunami aid (former colonies)

  • U.S. ups tsunami aid from $35 million to $350 million

  • Friday, December 31, 2004 Posted: 1:15 PM EST (1815 GMT)

  • (CNN) -- -- The United States will increase its aid pledge from $35 million to $350 million to help victims of the tsunamis in south Asia, CNN has learned.

  • The increase followed criticism that the initial amount was far from enough.

  • The director of the U.S. Agency for International Development told CNN on Friday that the $35 million pledge was only the first step in U.S. aid to the countries that were devastated by Sunday's earthquake and tsunamis.

  • "The money was committed on Sunday when the emergency took place," Andrew Natsios told CNN's "American Morning." "It's action on the ground that is needed. We will get more than enough money from the president and I'm sure Congress later on when we need it."

  • Sen. Patrick Leahy Thursday said the intial U.S. offer "gave the wrong impression to the rest of the world."

  • "That's about half of what the little country of Spain is spending," the Vermont Democrat said. "We have to spend a great deal more than that. We should have been eagerly telling that part of the word, especially the Muslim part of that world, that we here in America are generous, a good people, and we are strongly committed to help them."

  • More than 135,000 deaths had been reported Friday in several countries along the Indian Ocean and that number was expected to climb as reports come in from remote parts of the region.

  • Getting aid into Indonesia's Aceh province has been difficult because of an ongoing civil war. Natsios said the U.S. has been able to reallocate staff and supplies into areas of the province that were untouched for four days after the quake and subsequent tsunami struck.

  • United Nations officials said that the international community had pledged a combined half-a-billion dollars in support, and that figure jumped to more than $800 million Friday when the United States increased its pledge.

Foreign Aid After Katrina… (former colonies)

  • Partial list of international donors, according to the State Department:Australia: $7.6 million Bahrain: $5 million Bangladesh: $1 million Belgium: medical teams Canada: two helicopters, 32-person rescue team, evacuation flights, medical supplies China: $5.1 million in cash and relief supplies France: tents, tarps, food, water-treatment supplies Germany: food and high-speed pumps India: $5 million Japan: $1 million, generators, tents, blankets, bottled water Kuwait: $400 million in oil, $100 million in cash Mexico: bedding, food, baby items, personal hygiene kits Qatar: $100 million South Korea: $30 million Taiwan: $2 million cash, medical supplies Thailand: food United Kingdom: food Venezuela: up to $1 million

Somalia 1993 how did this effect domestic public opinion
Somalia 1993 (former colonies)How did this effect domestic public opinion?

Ii military security aid
II. Military Security Aid (former colonies)

  • Equipment, training, military advisors to assist another military

  • Most controversial form of aid

Cold war politics
Cold War Politics… (former colonies)

Iii economic stability to stabilize an economic system in crisis
III. Economic Stability: $$$ to stabilize an economic system in crisis

  • Usually in conjunction with the IMF or World Bank

Iv development assistance
IV. Development Assistance system in crisis

  • Wide variety of programs to help nations alleviate poverty, improve education, tackle disease and hunger, infrastructure, internal improvements, etc.

African schools
African Schools system in crisis

Conflict resolution
Conflict Resolution displaced persons

United states received foreign aid until wwi
United States received foreign aid until WWI displaced persons

  • 1940-1980: US Foreign Aid given to discourage the spread of communism abroad.

  • Often, US military aid enabled right-wing dictators to brutally oppress their own people (Guatemala, Chile, Iran,Iraq, etc.)

So what do we give
So…what do we give??? displaced persons

  • Let’s do the MATH 