The world is becoming more and more closely linked. Movement of people between different countries has increased and worldwide trade is now greater. However, billions of people still live in poverty, and in many places, the gap between rich and poor is widening. Many people in undeveloped countries suffer because of their limited wealth. Most poor countries do not have acceptable living standards. This can be a result of lack of education or lack of efficient governments. On the other side developed countered and also countries with vast oil reserves enjoy better lives because of their wealth. For example, most of the countries in Africa suffer because they are poor. Whereas most of the countries in Europe and North America enjoy better life because of their wealth. This resulted in different level of living standards among the worldwide countries. This essay will look at the arguments for and against helping poor countries.
Many people believe it is an obligation on the rich countries to support the poor countries. Whereas many people living in rich countries believe it is not obligatory on them to support the poor countries because they still need their own wealth to provide better lives for themselves and help in developing their countries even further. They also think they did not create the problem; therefore, they are not responsible about poor countries' problems. Those who believe in supporting poor countries think it is a human cause to support the poor countries. Any support for the poor countries will lead to better worldwide health, stronger world economy, and reduce worldwide crime. In the rest of this article we will explore the different arguments from both sides and evaluate the different kind of support.
Rich countries need to develop their economy and in order to do that they need to help those poor countries by providing financial aid to them. FDI (Foreign direct investment) has increased significantly since the early 1990s which is needed in order to develop the economy across the world, Foreign aid have been perceived as the primary source of external financing for poor countries. In order to increase the private capital flows to poor countries, the international community should support policies that lead to a better market access for poor countries. (Alesina, 1998)
In order to re-build a country to be successful rich countries should help the younger generation with their education, build and develop the poor countries agricultural and improve their industrial development. This is very important in order for the younger generation to run their own economy for a better future for the world.
One of the primary goals of the United Nations (UN) to get rid of world poverty, wars, diseases and other world problems. In 1970 it has set a goal of reducing the world poverty by half in 2015, as their plan focuses on increasing the international aid to 0.7% of donor's GNP (Gross national product). However, a lot of wealthy countries have constantly failed to reach their agreed obligations of the 0.7% target. The following graph shows the gap between what is promised and what is delivered (Anup Shah, 2010).
Usually money doesn't go where it is supposed to. There are many ways to help poor countries in other different ways, helping the NGOs (Non-Government Organizations) in poor countries play a growing role in funding development programs. Another way is to help the private sector in poor countries to develop themselves. The private-sector has a big impact on the economy as it can create thousands of jobs and can also export local products to other countries.
Most of the problems the poor countries face is a result of corrupt governments. This lead to...