Friday, April 9, 2010

African Countries, American Inner Cities: Handouts Equals Corruption



Gee, a study found that when we give poor countries money, a lot of it went to corruption.

From Study: Health aid made some countries cut budgets:

After getting millions of dollars to fight AIDS, some African countries responded by slashing their health budgets, new research says.

For years, the international community has forked over billions in health aid, believing the donations supplemented health budgets in poor countries. It now turns out development money prompted some governments to spend on entirely different things, which cannot be tracked. The research was published Friday in the medical journal Lancet. …

The research raises questions about whether international aid is sometimes detrimental. Previous studies have found pricey United Nations health initiatives haven’t paid off and occasionally hurt health systems. Experts estimate about half of international health aid can’t be traced in the budgets of receiving countries.

Originally posted at DBKP: Bailouts, Giveaways, Africa, America: Corruption

Ed, at Hot Air makes three important points about the above.

From Shocker: Massive aid does not mean improvement:

What can we learn from this study that we really should have already known?

1. Money is fungible – Giving block grants to a state for one purpose doesn’t mean that the purpose gets more money. It allows the state to divert its already-committed resources to other purposes. We’ve learned that here in the US with Porkulus block grants to states. Without accountability, that money can go anywhere and either directly or indirectly feed the corruption at the heart of Africa’s problems.
2. Corruption is the root cause of nationwide poverty – We have sent monetary aid to Africa for decades in attempts to fix the problems of poverty and disease. That should tell us that money isn’t really the root problem in these countries. The governments, mostly corrupt dictatorships, create the problems through outright theft or the imposition of incompetent central economic planning. In Zimbabwe, for just one example, it’s both. That nation’s land used to provide for much of Africa’s food, and now it can’t even feed itself.
3. We need to change direction in Africa – None of us want to see an entire continent fail, but we apparently have two choices. Either we drop billions on Africa every year in aid that extends the status quo, or we cut off the aid and force African nations to change from within. The US had moved toward the latter in the last few years, but guilt-trip initiatives (however well meaning) keep putting political pressure on nations to maintain the status quo.

More handouts enable corruption.

NOW, Quiz Time Question:

What's the difference between dishing out free money to a long-time, one-party ruler of a poor African nation and giving it to a long-time, one-party ruler of an American inner city--say, Detroit?

Tick, tick, tick.

Time's up.

How many of you said "no difference?"

That's not only right, it's racist.

It also disqualifies readers who got it correct from being hired by HHS Secretary until you repent of your ways.


That's the equation: whether it's Africa, Detroit or Washington, DC.

by Mondo Frazier
image: DBKP file

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