What is the difference between bilateral aid and multilateral aid?
Bilateral aid is aid that is transferred from government to government without exchanging hands
with any other organization, while multilateral aid goes through other organizations before it reaches its
recipients. These organizations include the World Bank, UNICEF, and many other organizations.
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determines who gets aid?
International PoliciesWhat
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Which country is the worlds largest Aid Donor?
United States
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Where does most aid come from?
Western Industrialized countries
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What is the difference between a loan and a grant?
A loan means that the monetary value of the aid should be repaid to the person who lent it to you,
while grants do not need to be paid back, but commonly have conditions to receive them.
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According to the slides, what kinds of industries or aid are non-governmental organizations not
allowed to participate in?
They do not count as Official Development Assistance, they are not allowed to fun or be a part of
military programs, and they are not allowed to export credit.
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True or False- Bangladesh is home to Garmeen Band, the worlds most successful micro-credit initiative
True
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What is a benefit of donating to multilateral institutions?
Reduce administrative costs
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At current, about 70% of aid donations are bilateral and 30% are multilateral. True or False
True
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What is the major concern with giving aid money to the government to control? What is the concern with giving it to grass roots efforts?
Governments are known for taking aid and being corrupt with the funds. The concern with grass root
efforts are that with many different organizations trying to do development work, it can become very
inefficient because it is hard to coordinate all of their efforts together to prevent redundancies.
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What is a NGO?
Non-Governmental Organization is a group or organization that operates independently from the government.
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What are reasons to get aid?Aid
Goes towards Food/ Ag. Development, Health/ Education, Idustrial development, Economic/ Social development, Debt forgiveness
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Which country is the most generous aid donor in relative size of its economy?
Give an argument on why US aid might be directed toward Israel rather than Tanzania.
This could because, even though Tanzania is much poorer than Israel, Israel is in a politically important part of the world that is known for having instability in the region.
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Define Tied Aid
A tied aid is foreign aid that donors have to give based on their GOP
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What region gets the most aid?
Sub-Saharan Africa
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Which two countries received the most support from the United States in the years
2004-05?
Irag and Afghanistan
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What county donates the largest percent of the GNI to development?
Sweden
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Name a region and give reasoning on why tied aid may be a good idea?
Answers may vary; the key concept is the possibility of corruption, the fact that the nation may use
the funds to hurt another country or group of people, and that it may provide political leverage for the
donor country
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What are RTA's?
Regional Trading Arrangements. Government make economics pacs or RTA's to improve economic prospects
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What forms does aid come in?
Loans, Grants and Military aid
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What do Millennium Challenge Corporations (MCC) focus on when choosing what
country to donate to?
To meet specific criteria regarding free markets, and democracy and good governance has to be established.
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What is the target percentage for a countries GNI donation?
0.7%
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Today do you believe we are in a donate to trickledown economics phase or a donate to
extreme poverty phase?
Donate to extreme poverty phase because of the MGD’s and because the trickledown economics has
died down in popularity since the 1970’s.