Rockridge
High School
Taylor Ridge, IL
Teacher:
Barbara Downey
Millennium
Challenge Account---Friend or Foe?
12th grade
As
time passes, mankind searches for ways to improve itself.
We struggle to make life easier. Recently, the leader of our country has
challenged people to aid those in impoverished nations, thus making their lives
simpler. On March 14, 2002,
President Bush addressed the world on a subject of immediacy.
He called for a new type of global development, one that would be led by
the United States. Bush proposed a
Millennium Challenge Account (MCA) that would fund economic growth in nations
that “govern justly, invest in their people, and encourage economic
freedom.” Since the proposal of
the MCA, there have been those who favor it and those who fear it.
The MCA could be effective, but right now it is clear the MCA will not
help our foreign friends.
With
the announcement of the MCA, Bush stated that there would be strict guidelines
for those who plan to receive aid from the MCA.
Those who receive assistance must submit a blueprint showing how they
plan to invest the money. Once the Board of Directors of the MCA receives this
layout, they will check the three aforementioned qualifications and decide
whether or not the country is eligible to receive the money.
While this is a terrific way of supervising the cash flow into a
particular country, the flaws shine through.
Flaw: the make or break
attitude of the MCA might anger and belittle those who fall inches short of
assistance. The United States
has a history of being the recipient of many countries’ anger.
Numerous countries feel the U.S. is too pushy and tries to become a
dictator, or policeman, of the world. For example, U.S. aid designed to bring
peace to the Middle East in 1950 has grown into a seed of hatred, war, and
recently, terrorism. Risking other
countries falling to the same state of hatred simply because the U.S. said:
“No, you don’t meet our requirements,” is a big gamble.
If the United States can choose who lives and who dies, what could be
next?
To
help balance out the possible negative effects of the MCA, the government should
focus on a new approach with more realistic goals.
The Government should find ways to reach the people that will not receive
aid because of the strict guidelines. The
leaders of some countries could not care less if they recieved this aid.
“Why,” you ask? The leaders are not the ones dying of AIDS every day,
starving, and stepping on landmines. Why
let the poor citizens of a country suffer, just because their leader is on a
“power trip?” The Government
should also focus on how the goals established by the MCA can be reached, if not
done so in the original application for assistance.
More tools are needed to stimulate economic growth and prosperity in
maturing countries.
Assistance
is a great tool, if used wisely. Many
think the U.S. government does not do enough to help those in failing nations. While the U.S. can afford to step up on foreign aid, now is
not the right time. Recently the
United States discovered that North Korea has broken a weapons of mass
destruction treaty and that Iraq may also have nuclear weapons. It is no secret that the U.S. has not had good relations with
Iraq nor North Korea over the past decade.
President Bush has announced that the US will lead a coalition against
Saddam Hussein, the leader of Iraq, to disarm him of any nuclear weapons he may
have. Since September 11, 2001 the
United States has been fighting a war on terrorism. If the United States does invade Iraq, which President Bush
has stated will happen with or without the UN’s help, the United States will
be fighting a two-front war. With
troops still stationed in Afghanistan to keep order, the US’s forces are
limited. One must not forget the
growing tension between the U.S. and N. Korea.
Some say the United States needs to focus more on weapons that will help,
rather than those that will harm. This
may have some truth to it, but with a war looming, one can only think the U.S.
needs to protect itself and its people before we try and help those in other
countries. The United States can
put the MCA funds on hold and use those funds to help the war effort.
Putting the MCA on hold may give the U.S. government time to fix the
inherent flaws.
Once
again, the MCA is only a tool to help the world’s underdeveloped
countries. There is a large gap
between nations in this world, one that may not be easy to solve, but one must
keep trying. The gap does not only
consist of availability of resources that some countries take for granted, but
also consists of hatred and war. The
US needs to find another way, other than the MCA, to build a bridge with
countries in this world. Once the
bridge is built, the U.S. can bring forth sound policy in forms other than the
MCA. The bottom line is:
the prima facia MCA will not be able to function to its full potential
with its ever present inherent flaws.
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?
-domestic capital
-foreign investment
-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?
-literate
- healthy/ prepared and able to work
Q3-
When is money sometimes counterproductive, according to President Bush?
-It
can be counterproductive when countries will not put into place sound policies.
Q4-
Describe the Millennium Challenge Account and include in your description what
is anticipated from donors and recipients.
-The
MCA is geared for the more developed nations to give support to underdeveloped
nations. The countries that give
the aid expect to see results that will last and be effective.
The donors want the recipients to make right choices when it comes to
economic growth. A stable
government without corruption is also a guideline for those who receive aid.
The recipients must try and help the people of their country,
not only with healthcare, but also with education.
Q5-
What are the three broad standards that President Bush expects the leaders of
the developing nations to adopt?
-rule
justly
-invest
in their people
-encourage
economic freedom
Q6-
Describe President Bush’s challenge to development banks and explain why or
why not you favor it.
-President
Bush challenged development banks to provide up to half of the funds that will
be needed for the MCA to run efficiently. He
also challenged them to provide the money in the form of loans rather than
grants. I think that it is a good
idea, because some countries will never be able to pay back the amount of money
that will be put into their economy to try and “jump start” it.
Rather than them having the burden of trying to pay it back, let them
have the money as long as results are seen within the country.
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.
-I thought we commit 15% to those in
impoverished nations. In reality
the U.S. government
only spends one-tenth of a percent on foreign aid.
Q8-
Describe and defend a “Me First” attitude. (Use your head you won’t find
the answer in the required reading.)
-Some
countries will feel that they need funding more than others, and if they do not
get the funds first, they might be angry. For
example, Somalia might think that they need funding sooner or at a greater level
than South Africa does.
Q9-
Describe and defend a “Mutual Benefit” attitude. (Use your head you won’t
find the answer in the required reading.)
-With
a “Mutual Benefit” attitude, all countries will be able to get funds in due
time.
Going back to the example in question 8, Somalia would say to South
Africa, “Okay, we get some funds to help feed our children, and you can have
some to fight the AIDS epidemic.”
Q10-
Describe three unsuccessful foreign aid programs operated by the U.S.
government or private American citizens. (Do not use the programs discussed in
the testimony of Faith Action for People-Centered Development Policy included in
your required reading. Conduct research using the Internet. Duplicate examples
from the same class will not be accepted.)
-(Fragile
X Association of Southern California) Their
goal is to continue research on Birth defects and genetic diseases.
Within the first year of establishment, the income level was $0 for this
organization.
-(International
Psoriasis Community) Their biggest accomplishment for the 2002 fiscal year was the
establishment of a Board of Directors. This
is not a big accomplishment for an organization aimed at educating people to
help find a cure for Psoriasis.
-(North
Florida Turners Syndrome Society) Their
goal is to work with healthcare professionals to expand knowledge of this
disease. Their biggest accomplishment for 2002 was and National
television broadcast.
Q11-
Describe three successful foreign aid programs operated by the U.S.
government or private American citizens. (Do not use the programs discussed in
the testimony of Faith Action for People-Centered Development Policy included in
your required reading. Conduct research using the Internet. Duplicate examples
from the same class will not be accepted.)
-The
Islamic American Relief Agency is a non-profit organization founded in 1985.
It strives to empower disadvantaged people all over the world.
It uses programs designed in relief and human dignity.
-The
Pediatric Aids Foundation was founded in memory of Ariel Glaser, daughter
-The
American Red Cross is no stranger to many of us.
This organization helps prepare people for disasters and emergencies.
It will also provide relief to those who have been involved in a
disaster.
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 with what Mr. Radelet has said. Our
country will never be perfect, so why try to make it perfect.
We can help and encourage other countries try to improve.
Our country is so far ahead of many of the countries in this world, that
I believe we can still make progress at home, while helping give progress to
those in need.
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 used for evaluation. Giving recipient countries this
responsibility is a revolutionary change in U.S. foreign assistance.”?
-I
believe the application proposal is a good one, until we consider the strict
guidelines that will have to be met in order to receive the assistance.
Q14-
Which of Mr. Radelet’s three concerns regarding the MCA concerns you and why?
-I
fear the separation of U.S. foreign assistance into two agencies is not a good
idea. We will have several
employees paid for doing almost the same job, when one of the salaries could be used to help fund a relief program. The two
agencies will always be competing, trying to be better than the other one.
While this struggle goes on and on, foreign aid is caught in the
crossfire.
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 feel the United States does not
need to take away from the weapons programs.
The United States is one of the most hated nations in the world.
With terrorism on the rise, a war against Iraq looming, and the North
Korean weapons crisis, I feel the United States should be going “full steam
ahead” with the weapons programs.
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.
-The World Bank thinks the United
Sates can afford 10-15 billion dollars by 2015.
I believe the United Sates can afford that increase, but it will be hard
getting the people to want to do it. I
believe the U.S. tax dollars should be used on U.S. projects, not on other
countries. The U.S. has plenty of
things we could spend the money on. Bottom
line, our tax dollars should be used on the American people.
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.”?
-Going back to question 16, the U.S.
tax dollars should be used on the American people.
Q18-
How many countries would be affected positively by health-related investments
according to the Commission on Macroeconomics and Health (CMH)?
-83
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?
-360 billion dollars
Q20-
Use the Internet for your research and name the two congressmen who introduced
H.R. 4524. Give a 2-line synopsis of that bill.
-Christopher Smith and John LaFalce proposed H.R. 4524. H.R. 4524 would provide deeper debt relief by cutting and additional one billion in debt service. It would reduce the debt payments countries have to make.