Why do we give foreign aid?
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  Why do we give foreign aid?
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Author Topic: Why do we give foreign aid?  (Read 1640 times)
progressive85
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« on: June 29, 2013, 01:19:22 AM »

Is there anything in the Constitution that says that American taxpayer money can be sent to foreign countries?  I don't understand why we do it.  We have our own people to take care of, our own needs.  We should spend the money here at home first.  Then, maybe if there's money left over, give foreign aid, but it should be much smaller than what we're giving.

Also: President Obama is spending $100 million on his trip to Africa, where he is receiving a cool reception (in some places its actually a hostile reception).  What was the point of this trip and was it worth $100 million of our money?

There's so much money being wasted.  Balance the budget, close the deficit?  Spend wiser.
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Dr. Cynic
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« Reply #1 on: June 29, 2013, 02:46:47 AM »

The reason why we do it is because as the most powerful and wealthiest nation in the world, we do have a minor obligation to give a stipend of foreign aid. The amount of budget eaten up by foreign aid is fairly miniscule as well. If you're looking for places to cut, foreign aid really isn't the place to start. Why not look at a big juggernaut like the Defense department? You could make massive defense cuts and still be by far the largest military in the world.
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Antonio the Sixth
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« Reply #2 on: June 29, 2013, 04:48:08 AM »

Solidarity? Basic human decency? Desire to avoid looking like complete assholes to the rest of the world?

Pick one.
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Knives
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« Reply #3 on: June 29, 2013, 04:52:04 AM »

Because you can say Hey! we'll give you this if you do this.

But also because as a world leader you should be setting an example for other nations.
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DC Al Fine
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« Reply #4 on: June 29, 2013, 08:42:53 AM »

We enjoy financing 3rd World Dictators' expense accounts.
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memphis
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« Reply #5 on: June 29, 2013, 08:55:25 AM »

Because you can say Hey! we'll give you this if you do this.

^^^^^^^^^^^
There's always a reason. Usually, it's to prop up a nominally friendly regime.
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The Free North
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« Reply #6 on: June 29, 2013, 10:01:11 AM »

I wonder what percentage of aid actually goes where its supposed to, especially in countries with despotic governments.


We should aim to give more to humanitarian organizations rather than inadvertently financing rich people in poor countries
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jaichind
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« Reply #7 on: June 29, 2013, 12:07:03 PM »

Foreign Aid is a tiny part of the Federal budget so not sure why this is a big deal.  That said, my ideal budget for foreign aid is $0.
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bballrox4717
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« Reply #8 on: June 29, 2013, 12:18:53 PM »

The same reason why corporations donate large sums to politicians: so we can get a say in how they run their government.
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H.E. VOLODYMYR ZELENKSYY
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« Reply #9 on: June 29, 2013, 04:06:12 PM »

Foreign Aid is a tiny part of the Federal budget so not sure why this is a big deal.  That said, my ideal budget for foreign aid is $0.

So no AIDS or hunger relief in Africa? No planes to Taiwan or Israel?
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Small Business Owner of Any Repute
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« Reply #10 on: June 29, 2013, 08:37:41 PM »

Is there anything in the Constitution that says that American taxpayer money can be sent to foreign countries?  I don't understand why we do it.  We have our own people to take care of, our own needs.  We should spend the money here at home first.  Then, maybe if there's money left over, give foreign aid, but it should be much smaller than what we're giving.

Also: President Obama is spending $100 million on his trip to Africa, where he is receiving a cool reception (in some places its actually a hostile reception).  What was the point of this trip and was it worth $100 million of our money?

There's so much money being wasted.  Balance the budget, close the deficit?  Spend wiser.

Why should I have to give money to help other people?! They don't even have the same skin color or religion as me! Besides, they'll probably just have it wasted, lol.

Ok well time to hop in my mom's minivan to go down to the mall and buy an iPad mini. Later,  guys.
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King
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« Reply #11 on: June 29, 2013, 08:56:17 PM »

It is in our national interests that poorer nations remain stable.
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Atlas Has Shrugged
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« Reply #12 on: June 29, 2013, 08:56:45 PM »

Read "Confessions of an Economic Hitman." Pretty much has the best explanation on how our government controls the third world nations.
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Blue3
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« Reply #13 on: June 29, 2013, 09:00:12 PM »

It is in our national interests that poorer nations remain stable.
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Franknburger
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« Reply #14 on: June 29, 2013, 09:25:29 PM »

Firstly- because it tends to have a far higher return on investment (economically, and in terms of satisfying people's basic needs) than other foreign policy instruments, such as military interventions, peace-keeping, "war on drugs" (burning down cocaine plantations in Bolivia). etc., It is probably also a lot cheaper in the end than building fences around the USA, border and sea patrols, and the like.

Secondly - because the USA tend to have army or navy camps in quite a number of beneficiary countries, or use them as supply routes (e.g. Central Asia). Especially in the case of the US, there is a pretty strong linkage between the size of foreign aid given to individual countries and US military presence ( interests there.

Thirdly -- because a lot of money is flowing back. Fees for American (or European) consultants, IT & software purchases, power generation / water supply / road construction equipment, etc.

Fourthly - because the USA have a historic responsibility vis-à-vis most (West) African countries, the economies of which have been devastated by centuries of slave capture & trade (the same applies to many European countries as former colonial powers).

Yeah - and then there is that romantic, idealistic stuff about a world free of hunger and poverty, with reasonable access to education and healthcare for everybody. And, in fact, the world has made quite some progress over the last thirty years in these respects, so the money spent, and the work of the foreign development community (of which I am part) has obviously not been completely useless.
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perdedor
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« Reply #15 on: June 29, 2013, 10:59:42 PM »

Good question. Guilt, maybe? We make a giant mess of nearly every conflict we involve ourselves in, equating foriegn aid with reparations isn't far fetched. It's like carbon trading, but for hypocritical governments that don't want to change.
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President Tyrion
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« Reply #16 on: June 30, 2013, 05:50:28 AM »

Firstly- because it tends to have a far higher return on investment (economically, and in terms of satisfying people's basic needs) than other foreign policy instruments, such as military interventions

I don't disagree with your point as a whole. However, empirically, military spending is actually the most efficient way to stimulate short term economic growth through government spending: more so than welfare, healthcare, or public works (welfare and public works are both much better long term solutions, of course, and healthcare costs the government money, but life is a worthy cause, in my opinion). As a Democrat, it's not necessarily in my nature to want to uphold American militaristic spending, but it is flat out wrong to say that it is an inefficient use of money. Of course, this effect is on Americans and mostly only Americans. Foreigners are thrown under the bus by America, but then again, when are they not?
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Franknburger
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« Reply #17 on: June 30, 2013, 09:15:59 AM »

Firstly- because it tends to have a far higher return on investment (economically, and in terms of satisfying people's basic needs) than other foreign policy instruments, such as military interventions

I don't disagree with your point as a whole. However, empirically, military spending is actually the most efficient way to stimulate short term economic growth through government spending: more so than welfare, healthcare, or public works (welfare and public works are both much better long term solutions, of course, and healthcare costs the government money, but life is a worthy cause, in my opinion). As a Democrat, it's not necessarily in my nature to want to uphold American militaristic spending, but it is flat out wrong to say that it is an inefficient use of money. Of course, this effect is on Americans and mostly only Americans. Foreigners are thrown under the bus by America, but then again, when are they not?

I take your point on military spending and job creation. However, domestic job creation is not among the traditional foreign policy objectives. Those are rather securing / promoting access to resources & markets, containing terrorism, controlling immigration, etc. If you do a cost-benefit analysis related to any of the a/m objectives, you will typically find foreign aid superior to the use of military force (which nevertheless may be required in specific situations).
Since you appear to have quite a good overview on available data and research: Is there any statistics available on the income US educational institutions generate from students from developing countries (including India and China),  and associated job creation in the US?
How much domestic spending on primary and secondary education has the US been saving by attracting immigration from developing countries? it was massive in the late 19th to mid 20th century, when most immigration was European, I wonder how the ratio is nowadays..
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Silent Hunter
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« Reply #18 on: July 01, 2013, 01:16:14 PM »

We enjoy financing 3rd World Dictators' expense accounts.

And it's better we fund them than our enemies.
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Bacon King
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« Reply #19 on: July 01, 2013, 04:56:56 PM »

realpolitik.
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President Tyrion
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« Reply #20 on: July 02, 2013, 05:31:14 AM »

Firstly- because it tends to have a far higher return on investment (economically, and in terms of satisfying people's basic needs) than other foreign policy instruments, such as military interventions

I don't disagree with your point as a whole. However, empirically, military spending is actually the most efficient way to stimulate short term economic growth through government spending: more so than welfare, healthcare, or public works (welfare and public works are both much better long term solutions, of course, and healthcare costs the government money, but life is a worthy cause, in my opinion). As a Democrat, it's not necessarily in my nature to want to uphold American militaristic spending, but it is flat out wrong to say that it is an inefficient use of money. Of course, this effect is on Americans and mostly only Americans. Foreigners are thrown under the bus by America, but then again, when are they not?

I take your point on military spending and job creation. However, domestic job creation is not among the traditional foreign policy objectives. Those are rather securing / promoting access to resources & markets, containing terrorism, controlling immigration, etc. If you do a cost-benefit analysis related to any of the a/m objectives, you will typically find foreign aid superior to the use of military force (which nevertheless may be required in specific situations).
Since you appear to have quite a good overview on available data and research: Is there any statistics available on the income US educational institutions generate from students from developing countries (including India and China),  and associated job creation in the US?
How much domestic spending on primary and secondary education has the US been saving by attracting immigration from developing countries? it was massive in the late 19th to mid 20th century, when most immigration was European, I wonder how the ratio is nowadays..

Brilliant questions, and well beyond the scope of the data I was looking at. Sorry, I don't have an answer for you.
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