Foreign aid is a policy that
is debated daily in the United States. Some people believe that our
country needs to do more to help the developing nations, but others feel that we
already give too much overseas and need to concentrate on helping our own
people. It is a never-ending argument, one that President Bush has heated
once more with his proposal of the Millennium Challenge Account.
The goal of this program is to provide citizens of developing nations with the
tools they need to seize the opportunities of a global economy. In working
toward this goal, the United States plans to increase our foreign aid assistance
by five billion dollars over the next three budget cycles. Great
contributions are expected from developed nations. In return, the
developing nations are expected to adopt reforms and policies that make
development effective and lasting.
When it comes to taking a step in the right direction, the Millennium Challenge
Account does just that. The people of the United States should open their
eyes and look around. We are one of the wealthiest countries on the
planet. Because of this fact, some may say that we are selfish, conceited,
and insensitive, but those are inaccurate observations. Many people do not
realize that there is more going on in the world than the possible war with
Iraq. We need to educate one another about the tribulations in other parts
of the world. Then, when our economy is able to affordably enhance our
contribution to foreign aid, in turn, people will be more willing to give.
The United States needs to help, but our people fail to recognize the problems.
The Millennium Challenge Account will have a guideline as to which countries
will be accepted, so decisions will not be made by preference. The
argument may arise that the United States is not a god, and we do not have the
right to dictate to other countries. It is not that the United States is a
deity, but that there must be a cut-off point in the requirements in order to
keep things fair. If the countries want the money, they will have to step
forward and change some things. Those that work for it will be rewarded.
The proposal of stopping the increasing debt in foreign countries and giving
grants instead of loans is the best idea from our politicians in a long time.
Without the burden of any debt from the past and without being forced to pay
back the loans with added interest, the morale of the countries will most likely
be boosted and reform of the government more readily accepted. This will
enable the countries to recover economically and to prosper.
Although this is a great program, we are not ready for it quite yet. It
will work better in two to three years when our economy has had a chance to
recover from its recent recession. At this time, there are too many
reasons why it would not succeed. Where will the money be coming from to
pay for this five billion-dollar increase? The answer is found in our own
pocketbooks, because it will be coming from tax dollars. President Bush
has stated that our taxes will not be affected. But, the increase is
inevitable. Right now .1% of our country's budget goes toward foreign aid.
If money is taken away from this to go toward the Millennium Challenge Account,
other parts of the budget will be affected. Therefore, either our taxes
will be raised or government programs already in place will be eliminated due to
lack of funding.
Even though we are one of the richest countries in the world, we need the money
to support our own programs at this time. Money needs to be invested in
our own programs before we can afford to send more overseas. Today many
people in our society are on welfare and Medicaid. The people we need to
concentrate on are not just the unmotivated, but also the disadvantaged, the
handicapped, and the people who work three jobs without rest just to scrounge up
enough food to feed their families. Then there are the innocent children
whose parents are living in poverty. What chance do they have, and what
are we doing to help them? The answer is: not enough. We cannot
afford to take more money away from them.
We are on the brink of a war that may cost billions of dollars, and we need to
prepare for that expense. Our economy is in a recession and it is
extremely important that we stabilize it or the unemployment rate will continue
to climb. Our citizens cannot afford to lose any more of their jobs.
Other countries may argue that we are being selfish with our money. The
truth is that we cannot be a good role model if we end up going to war and have
given away all of our cash to the point that our economy is on the verge of
collapsing. No one wants to return to the lifestyle of the 1930s during the
Great Depression, but the current outlook suggests that such a scenario could
happen again.
Although our nation is not able to afford an increase in foreign aid at this
time, President Bush's idea of the Millennium Challenge Account is a good plan.
Our society may be poised for war and our economy in a slump, but in two to
three years the scare should be over, our economy should have had a chance to
grow, and this proposal should be able to help our neighboring countries
flourish. Patience is the more prudent course of action at this time.
Questions
Q1- President Bush claimed that most funds for development do not come from international aid. He mentions three things that do fund development. What are they?
Most
of the world's funds for development come from domestic capitol, foreign
investment, and trade.
Q2- President Bush reminded his audience
that successful development in a third world country requires more than funds.
What two items did he mention in this regard?
Successful
development in a third world country requires security and citizens who are
literate and healthy, prepared and able to work.
Q3- When is money sometimes
counterproductive, according to President Bush?
Money
can be counterproductive when sound policies are not enacted, because it
subsidizes bad policies, delays reform, and crowds out private investment.
Q4- Describe the Millennium Challenge
Account and include in your description what is anticipated from donors and
recipients.
The
Millennium Challenge Account is a program with the goal of providing people in
developing nations the tools they need to seize the opportunities of the global
economy. In working toward this goal, the United States plans to increase
our development assistance by five billion dollars over the next three budget
cycles. Greater contributions are expected from developed nations.
In return, the developing nations are expected to adapt reforms and policies
that make development effective and lasting.
Q5- What are the three broad standards
that President Bush expects the leader of the developing nations to adopt?
Ruling justly, investing in their people, and encouraging economic freedom are the three broad standards the countries are expected to adopt.
Q6- Describe President Bush's challenge to development banks and explain why or why not you favor it.
President
Bush challenged the development banks to provide up to half of the funds devoted
to poor nations in the form of grants, rather than loans. Many have
brought up the idea of dropping the debt, but President Bush is rallying the
idea of stopping the debt. I agree with this challenge. Without the
burden of any debt from the past and without being forced to pay back the loans
with added interest, the morale of the countries will most likely be boosted and
reform of the government more readily accepted. This will enable the
countries to recover
economically and to prosper.
Q7- What percentage of our national
income (GNP) do you think the United States government committed to foreign aid
in 2002? First answer this question and then use the Internet to find the
answer.
My
guess on the percentage of our national income committed to foreign aid was 6%,
but after doing some research I found that it is only .1%.
Q8- Describe and defend a "Me
First" attitude.
A "Me First"
attitude would be our country deciding against helping out other nations and
using the money for our own benefits. In taking on this attitude, we could
improve our own programs and policies. More jobs could be created, so
therefore decreasing the unemployment rate and stabilizing our economy.
Also, considering we are on the brink of a war, the money could be used in
strengthening our armed forces and raising the morale of the people. Our
country could be doing itself a favor in taking on an attitude like this one.
Q9- Describe and defend a "Mutual
Benefit" attitude.
A
"Mutual Benefit" attitude is summed up by the old saying
"together we stand and divided we fall." Each country would be
working for itself, as well as the other countries involved. No one would
be standing alone. For example, if the United States gives money to some
suffering nations, the nations would be expected to use the money and to grow.
Once the nations have grown, the United States would be able to trade with these
countries. Therefore, our imports and exports would increase and our
economy would expand. What our country needs right now, is a way to expand
our economy.
Q10- Describe three unsuccessful foreign
aid programs operated by the U.S. government or private American citizens.
Shiloh International
Ministries (Shiloh) provides funding for in home services, childcare products,
financial assistance to families in need, networking, and AIDS education.
This organization also provides guide dogs and educational materials in Braille,
benefits to veterans, financial assistance for medical equipment and counseling
to families in need, and Bibles to prison inmates. According to the CBBB
Standards for Charitable Solicitations, though, only 6% of their total income
was spent on activities directly related to the purposes of this organization.
Also, four out of their five members on the board of directors are being
compensated by the organization. This is a lot more than the 20% allowed
by the CBBB Standards.
Gifts in Kind International (GIKI) has a goal of expanding voluntary services
and improving the efficiency of donations to charitable organizations.
GIKI has distributed goods and services, such as supplies and equipment,
clothing, children's items, personal care products, and building materials.
It is good that they are committed to expanding donations, but they are not very
organized when it comes to their budget. According to the CBBB Standards
for Charitable Solicitations, GIKI has not provided a detailed description of
their expenses. This could have something to do with their expenses
overpowering their income. In order for this organization to remain
alive, they are going to have to get organized.
Feed the Children (FTC) is a nonprofit, Christian, charitable organization that
provides physical, spiritual, vocational/technical, psychological, economic and
medical assistance, and any other necessary aid to children, families, and
persons in need. In the opinion of the American Institute of Philanthropy,
however, this program is spending too much on fundraising. In the 1999
fiscal year, only 12% of FTC's cash budget was spent on program services not
connected with fundraising. Most of its cash budget is spent on television
programming, advertising, direct mail, and postage, which accounted for 75% of
the total cash expenses. The American Institute of Philanthropy, also,
strongly believes that an organization with a name like Feed the Children should
devote more of its efforts toward collecting and distributing food. In
1999, only 13% of the gifts distributed were under the category "Food and
child care items."
Q11- Describe three successful foreign
aid programs operated by the U.S. government or private American citizens.
Children
of the World believes that the birthright of every child is to be in a loving
and nurturing home. This organization seeks to restore this birthright to
children who are abandoned or orphaned by reuniting them with adoptive parents.
For orphans who will never experience the joy of a family, Children of the World
provided relief services through food, clothing medicine, toys, and facility
renovations. As adoptive parents themselves, the staff members are keenly
aware of the unique concerns about international adoption. They are
committed to keeping prospective parents informed of the progress of their
application at every stage.
The Methodist Extension to Andean Youth (EMANA) was created with the purpose of
facing the massive migration of the Aymara people to the cities of northern
Chile. The migrating people encounter an environment of discrimination and
lack of opportunities due to their lack of academic and technical preparation.
EMANA has taken on the task of a technical-educational program that deals with
agricultural aspects, since agriculture is the predominant activity of the
Andean culture. EMANA's mission is to contribute to the development of the
Andean communities in order for the people to live more abundant and dignified
lives.
The Love the Children Fund was established to help children that have been left
behind. These are children living in orphanages, on the streets, or simply
living in poverty. This fund is maintained through charitable
contributions that go directly to the orphanage, child, child's family, or
school. They provide goods, services, and medications, and some funds may
be used to help keep adoptions affordable for more families.
Q12- Steve Radelet, Senior Fellow at the
Center for Global Development, believes we can do both - take care of our own
people and lend a helping hand to citizens of less developed countries.
Explain why you think we can or cannot offer aid to both.
I believe that we can do
both. First we need to take care of our own people, and then two to three
years in the future we will be able to help out other countries. We are on
the brink of a war with our economy in a recession right now, so we need to get
past these things before we will have money to give away. We are a wealthy
nation, and I feel that once we get passed our present troubles, everyone will
be better off. We are able to help our own citizens and other counties,
but just not at the same time.
Q13- What do you think about Mr.
Radelet's assertion that "the administration is leaning towards a system in
which eligible countries would write proposals (or business plans) describing
their objectives and strategy, how they would use the money, the benchmarks for
evaluation.
Giving recipient countries this responsibility is a revolutionary change in US foreign assistance."? I feel that it is a good idea to have the countries write up a plan of action. If they have an idea, then they money is more likely to be used for the right things. If the countries' own ideas are submitted, they are more likely to carry out their plan of action, although there will have to be a follow-up on where the money is going.
Q14-
Which of Mr. Radelet's concerns regarding the MCA concerns you and why?
The
concern that "the make-or-break requirement may unnecessarily eliminate
some countries" concerns me. A small miscalculation on our part could
make an entire nation suffer. The countries that need it the most may not get
the funds. Who are we to judge who needs it more?
Q15- There is evidence of an increase in
negative world opinion towards U.S. foreign policy, not necessarily the American
people. To counter this negative perception of the U.S. some people want
the U.S. to concentrate more on weapons of mass assistance (WMA) and less on
weapons of mass destruction (WMD). Please comment.
I agree, because if we focus
more on weapons of mass assistance we are more likely to be able to help other
countries. Because of the threat of war right now, we are focused on
weapons of mass destruction. Once we are past this threat and have the
opportunity to turn things around to weapons of mass assistance, more nations
will gain from it. We are ranked high on the list of countries giving a
percentage of their budget to foreign aid at this time, but I know we can do
better.
Q16- What does the World Bank recommend
as the United State's "just and appropriate share" to reach the
Millennium Development goals by 2015? Do you think our citizens can afford
that kind of increase? Defend your views.
Given the size of the United States economy and its wealth relative to other countries, the just and appropriate donation from us would be an additional ten to fifteen billion dollars. Since the increase will be coming from our taxes, I do not think very many Americans will be able to afford this change at this time. Currently there are so many people on welfare and Medicaid, that it is just going to be another blow to the working class.
Q17-
What do you think about the request of Faith Action for People-Centered
Development Policy's request that tax dollars be used to fund, not only
government-sponsored foreign aid programs, but "that funds also go to NGOs
and grassroots organizations."?
I
think the people should have a choice as to which foreign aid programs their
money will support. If they could choose and knew exactly where their
money was going, I feel that the people would be more supportive of foreign aid.
Q18- How many countries would be affected
positively by health-related investments according to the Commission on
Macroeconomics and Health (CMH)?
83 countries would be
affected positively by health-related investments.
Q19- According to the CMH, how much would
be gained annually between 2015-2020 due to saved lives and increased economic
growth, if an increased investment were made in global AIDS and other health
services?
Three hundred and sixty
billion dollars would be gained annually between 2015 and 2020 due to saved
lives and increased economical growth.
Q20- Use the Internet for your search and
name the two congressmen who introduced H.R. 4524. Give a 2-line synopsis
of that bill.
Representative
Christopher Smith (R-NJ) and Representative John LaFalce (D-PA) introduced a
bill with the title H.R. 4524 in the House on April 18, 2002. The primary
purpose of this bill is to require our Administration to work with other
countries to amend the debt-relief programs of the heavily indebted poor
countries.
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