Home
/
RELIGION & LIBERTY ONLINE
/
Pope Francis makes connection between aid and corruption
Pope Francis makes connection between aid and corruption
Nov 7, 2024 8:42 AM

Much has been written about the unintended consequences of foreign aid flowing from the West to “developing” countries. Economists such as Dambisa Moyo, William Easterly, and Angus Deaton have mented on the downright pernicious effects of government to government aid. Not too long ago, a new voice was added to this chorus of foreign aid critics: Pope Francis.

During his recent visit to the East African nation of Mozambique, Pope Francis made ments which suggested a link between foreign aid and corruption. The Pope stated the following:

At times it seems that those who approach with the alleged desire to help have other interests. Sadly, this happens with brothers and sisters of the same land, who let themselves be corrupted. It is very dangerous to think that this is the price to be paid for foreign aid.

In other words, the Pope lamented that the hundreds of millions (and sometimes, billions of) dollars that flood an impoverished nation in the form of aid have had the the caustic effect of breeding corruption within that same nation. Why would aid have this effect? Simply put, foreign aid enables governments to act free of accountability. How does this happen?

Governments of developed countries rely primarily on businesses, a bustling middle class, and other economic actors for their revenue. In return, those members and institutions of a country’s civil society expect that their government will provide various public goods like national defense, roads, and a functioning and fair judicial system. Likewise, those in civil society expect government transparency and accountability.

This is not the case when a country’s government receives foreign aid. The amount of aid money provided to developing countries can equate to enormous percentages of their GDP and their governments’ resources. For example, the World Bank states that official net development aid to Mozambique in 2017 equated to roughly 76% of its government’s total expenses. That’s a staggering percentage. It also serves to illustrate just how much money is at stake within a poor country’s context.

With that amount of ing from outside of its borders, and not from its citizens, the government of a country can afford to ignore its people and behave corruptly. Economist Dambisa Moyo put it well in her best-selling book, Dead Aid: “Foreign aid short-circuits this link [between a government and its people]. Because the government’s financial dependence on its citizens has been reduced, it owes its people nothing.”

In the same spirit, Yale economist and Nobel Laureate, Angus Deaton, stated that

I worry a lot about African countries where almost all government expenditure ing from external sources. And that, to me, is the really crazy thing. And those governments have no incentives at all to respond to their people, because the only incentives they have are to deal with the aid agencies and to work with the aid agencies.

Indeed, foreign governments, the World Bank, the International Monetary Fund, and other development agencies try to make sure their funds are used properly. It’s just really hard to ensure and enforce this due to the fungible nature of money, public sentiment, and other factors.

Aid not only renders governments immune to their people’s cry for accountability petency, it utterly discourages them from forming the very institutions necessary for a flourishing economy in the first place. These include a functioning and just court system, a secure property rights apparatus, and a business-friendly regulation and tax structure. Why would those who prosper from the foreign aid status quo do anything to divest themselves of power? Developing those institutions would result in the formation of a rival, prosperous, and politically powerful civil society. Suddenly those who had long enjoyed perennial windfalls free of accountability would see their economic and political power wane. Such an incentive structure surely discourages reform.

Let’s be clear. Large sums of money flying around can cause government corruption to rear its ugly head just about anywhere, including in the West. For the reasons explained above, however, large sums of money in the form of aid have a particularly damaging impact on the overall health of developing countries.

Perhaps Pope Francis’ words will cause both critics and proponents of foreign aid alike to think harder about the unintended consequences of what is seemingly benevolent action. We all need to strive to provide the most effective and sustainable assistance to those most in need.

Free)

Comments
Welcome to mreligion comments! Please keep conversations courteous and on-topic. To fosterproductive and respectful conversations, you may see comments from our Community Managers.
Sign up to post
Sort by
Show More Comments
RELIGION & LIBERTY ONLINE
Misguided Hop Hip Protests: Media Companies Aren’t The Problem
The New York Times reports of a well-intentioned protest by a pastor to protest the ridiculous and dehumanizing lyrics of the type of hip hop shown on networks like BET and MTV. Wearing white T-shirts with red stop signs and chanting “BET does not reflect me, MTV does not reflect me,” protesters have been gathering every Saturday outside the homes of executives in Washington and New York City. The orderly, mostly black crowds are protesting music videos that they say...
Global Warming Consensus Alert: Coal is Universal!
When you think about it, NBC’s little promotional stunt on Sunday Night Football for their “Green is Universal” week is a lot like a mini-Kyoto treaty: it was an empty gesture that had no long-term impact on the problem it was trying to address, while immediately making things worse on their broadcast, and in the end the only thing it plished was to make the participants feel a bit better about themselves. They probably shouldn’t though, considering that in order...
Global Warming Consensus Alert: NBC Pitches In!
In what might be the dumbest attempt yet by any large corporation to appear “green,” NBC decided to turn off the lights on their Sunday Night Football broadcast’s studio set last night. This was apparently an effort to offset the carbon footprint of Matt Lauer in Greenland, which – judging by the size of the huge area lit by the lights they hauled up there – must have been pretty huge. It’s just too bad that NBC didn’t team up...
Harry Reid, Fiscal Conservative
Sophisticated followers of politics such as the readers of PowerBlog will not be surprised by this story, but I’ll bring it to your attention anyway. The US House recently passed a bill that includes a dramatic tax increase on mining businesses. Supporters argue that the tax helps reign in the environmentally abusive mining industry. Higher taxes. Environmental concern. Senate Democrats would be scrambling to get on that bus, right? One problem: Majority Leader Harry Reid is from Nevada, whose economy...
Film Screening: ‘The Kite Runner’
GodblogCon 2007 hasn’t quite started yet, but one of the privileges of attendance at this year’s conference was an opportunity to see an early screening of “The Kite Runner,” (courtesy Grace Hill Media) directed by Marc Forster (who has also directed “Stranger than Fiction” and “Finding Neverland”). The film is based on the best-selling novel by Khaled Hosseini. Michael Medved helped to host the event late last night, introducing the film and as a special treat leading a Q&A session...
The Few, The Proud, The Marines
U.S.M.C. War Memorial Last summer I visited the National Museum of the Marine Corps in Quantico, Virginia. It is an impressive and moving tribute to the U.S. Marines, focusing especially on WWII to the present War on Terror. There was an even a section which chronicled the transformation of young recruits to Marines who embody the virtues of “honor, courage, mitment.” David Zucchino of the Los Angeles Times has written a piece titled, “From Boys to Marines.” The article is...
The Greatness of America
Here is a fantastic quote about America that deserves a hearing: From the very beginning, the American dream meant proving to all mankind that freedom, justice, human rights and democracy were no utopia but were rather the most realistic policy there is and the most likely to improve the fate of each and every person. America did not tell the millions of men and women who came from every country in the world and who–with their hands, their intelligence and...
New Blog of Note: The Immanent Frame
A new blog has been added to our blogroll sidebar (along with a much-needed round of housecleaning on old and out-of-date links). Announcement below: The Social Science Research Council is pleased to announce the launch of The Immanent Frame, a new SSRC blog on secularism, religion, and the public sphere. The blog is opening with a series of posts on Charles Taylor’s A Secular Age, including recent contributions from Robert Bellah, Wendy Brown, Jose Casanova, Elizabeth Shakman Hurd, and Colin...
‘The New Fellow Travelers’
In the Washington Post, Anne Applebaum takes a look at Hugo Chavez, president of Venezuela, and his worshipful celebrity fans in the United States. Here’s the key paragraph from her column, The New Fellow Travelers: In fact, for the malcontents of Hollywood, academia and the catwalks, Chávez is an ideal ally. Just as the sympathetic foreigners whom Lenin called “useful idiots” once supported Russia abroad, their modern equivalents provide the Venezuelan president with legitimacy, attention and good photographs. He, in...
GodblogCon 2007 Day 1
Today was a pretty full day that just wrapped up a few minutes ago. Al Mohler, president of the Southern Baptist Theological Seminary in Louisville, KY, opened up the day with a keynote address, “Pioneering the New Media for Christ.” Mohler emphasized municative mandate of the Christian faith: “To be a Christian is to bear the responsibility municate.” Setting this statement within the context of stewardship, Mohler emphasized the biblical foundations for a Christian view munication. In creation God made...
Related Classification
Copyright 2023-2024 - www.mreligion.com All Rights Reserved