28 March 2009

The curse of the gift

Dead Aid by Dambisa Moyo argues that international aid to ruling elites introduces the resource curse into their countries. The political leaders need not be accountable to their populations because they stay in power by catering to the wishes of the donor nations. Foreign aid crowds out indigenous entrepreneurship and turns the native populations into servile and passive recipients of gifts.

1 comment:

  1. A relevant article to this topic:

    http://www.marginalrevolution.com/marginalrevolution/2009/03/wars-guns-and-votes.html

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