Many studies have shown a negative correlation between economic growth and natural resources, a finding often dubbed “the curse of natural resources.” However, oil and other minerals may not be the biggest curse in developing countries. In many of them, the amount of foreign aid is a far larger share of government revenues. In Burkina Faso, for example, aid accounted for two-thirds of the government budget and 8% of GDP over the period 1985-89. In Mauritania, it accounted for 60% and 22%, respectively, for the period 1980-84. In Rwanda, Vanuatu, Gambia, Niger, Tonga and Mali, foreign donors provided over a third of the government budget during some 5- year periods between 1960 and 1999. Some countries are chronically dependent on aid. Aid accounted for 40% of the government budget and 6.2% of GDP in Burkina Faso during 1960-1999. In Mauritania, for 37% and 12%, respectively. In “The curse of aid”, The World Bank scholars Simeon Djankov, Jose G. Montalvo and Marta Reynal-Querol surveyed data from more than 100 countries over four decades. They also found that aid tends to supplant growth and makes countries quantifiably less democratic. They compared aid with petroleum wealth. Based on their research, they determined, “aid is a bigger curse than oil. It is a well known fact that foreign aid, granted and channeled through the IMF, World Bank, USAID and similar organizations, comes with strings attached. A huge portion of such loans goes back to donor countries in form of remuneration for various consulting and support services provided by companies and firms, commonly known as the Corporatocracy. The News reported about Federal Bureau of Revenue (FBR) hiring 89 foreign consultants of IMF, each paid $30,000 per month (Rs2.41 million). Consultancy cost might go up as two foreign consultants already working at the FBR since January 2007 have been given extension after they were paid Rs40 million by March 2009. The consultancy fee is expected to increase by Rs20 million.
Is foreign aid a blessing or curse?
September 19, 2011
Since the time of independence Pakistan has been facing macroeconomic exertions, such as vicious circle of poverty, less utilization of available natural resources, unfavorable political circumstances that influenced domestic economy and so on. To seize the deficiency, Pakistan has had to depend greatly on financial assistance made by distant countries.
Pakistan has been seeking aid since 1947 from global lenders including….
Title: A curse or a blessing
A curse or a blessing
Today life is not what it was a few decades ago. Everything is evolving around us, including ourselves. We no longer resemble the people of the past; we are people of a different identity. Speaking of identity, many things in this century have influenced it; for instance, technology which has been evolving and still is to this very second. It may seem ridiculous, but….
Was The Industrial Revolution a Blessing Or A Curse?
Without doubt, the Industrial Revolution was a blessing to all of mankind. What are you using to read this article? You computer? Your mini-tablet? Your smart-phone? Without the Industrial Revolution, you would have any of that. The Industrial Revolution made our lives easier than ever before. Instead of having to go to factories everyday, machines do the harsh conditioned jobs for you, while get better jobs that have better conditions with….
Tourism Resource Development
Tourism – A Curse or a Blessing?
Tourism – Blessing or Curse?
Tourism is one of the most influential and powerful industrial service sectors in the global economy. With a current contribution of 6-7% of the overall number of jobs worldwide and an annual receipt of around 1,030 billion US Dollars in 2012 (UNWTO, 2012), tourism proves itself as a strong and solid industry. Furthermore, tourism ranks fourth as an export….
We cannot Say for certain whether science is a curse or a blessing. it is our use of science which would make science a curse or a Blessing . First let us see how man has used science for his good so that it has become a blessing for him. it is science that has provided modern man the life of ease, leisure and pleasure. It has brought within reach of the common man comforts and luxuries which were available in the past only to a privileged few.
Science has invented marvelous machines. It has discovered….
Mobile phones: A blessing or a curse? Discussion
Mobile phones are becoming a very arguable topic of today. In this
discussion I will present reasons from both sides of the argument.
The technology of today is constantly increasing and the world has to
be accepting of this. Mobile phones have become a definite essential.
Communication between people is easier and fast. Though, the
disadvantages brought along with the fast grown technology cannot be
ignored. These problems not….
Mobile Phones- A Blessing or a Curse
Hello and welcome Ladies and Gentlemen.
This afternoon we are going to be discussing whether mobile phones are a blessing or a curse and whether any action should be taken regarding them.
I regard them as a great blessing, because of the great convenience they bring us. With a mobile phone, you can speak to a person almost whenever and wherever you want. You can keep in contact with a person through some simple thumb exercise instead of a complex lettering….
Modern Middle East A-block
Is Oil a Blessing or a Course?
1908 was a turning point for the Middle East, due to the discovery of oil in Persia and in 1938 in Saudi Arabia and other parts of the Arabian Gulf. Due to this blessed discovery of oil, the Middle East has been rapidly developing and become more developed over the years. This development could only happen of the oil money is put into good use and not taken by the corrupt and greedy members of the government….
methods of curing diseases, using plants for medicinal purposes. Science and its miracles; procured after long, arduous researches over the centuries, have made life easier and enjoyable.
The application of scientific researches has proved to be a blessing in more ways than one. We have reaped rewards in almost all fields of life. Great inventions of scientists like Faraday, Graham Bell, Huxley, Marconi, Louis Pasteur and Jennifer have made the over-all living easier and more comfortable.
To determine whether technology is a blessing or a curse is one of the hardest decisions one can make. This has generated a big controversy, leading into the creation of two different positions and views: supporters and opponents.
From the supporters’ point of view, technology improves our quality of life. Some of the most important discoveries we have done would not have been possible without the usage of technology. Things like the internet have definitely changed the perspective we had of distances….