Foreign Aid Is Used For Illegal Activities

2879 words - 12 pages

Foreign aid is a type of funding that helps support many countries in great need. Other names for this term are foreign assistance, financial aid, and overseas aid. There are many ways a country can receive aid. One way would be a country giving money to the recipient country. This is the most known form of aid, but the other forms of aid can include tents, food, and weapons.

When foreign aid is used on illegal activities, it not only affects one country’s economy. A country does not merely just have a lack of aid coming into a certain sector. The effect is much greater and powerful. When viewing through an economist’s eyes, it becomes much clearer how illegal activities affect the economic growth of the entire world. Even though taking money for an illegal activity seems small, there is a consequence, whether positive or negative, for it. “A pebble tossed from a beach can become a tsunami on the other side of the world.” -Continuum

Foreign Aid: What is it?
Foreign aid, also known as international and overseas aid, is a transfer of resources from one country to another. Major reasons for giving aid are to promote humanitarianism and altruism. Some reasons a country may provide foreign aid are strengthening a military ally, rewarding a country for a certain behavior, or even influencing their culture upon other foreign countries. One great reason is that countries want to cease foreign illegal activity because they have been affected by it before or they do not want to be affected by it in the future.

Aid is generally given by individuals, private organizations, or governments. Surprisingly, foreign aid from America is usually donated by organizations that are not tied to the government. A specific transfer that fits into the criteria of being considered as aid is military assistance. Before 1957, the United States gave military assistance in its aid, but after that year military assistance was no longer provided. The “Official Development Assistance” is the most widely used measure of aid.1

Foreign Aid in the U.S.
The United States distributes the most aid to foreign countries. Despite this fact, the U.S. is the least generous in distributing foreign aid. This is valid when viewing the U.S. as a percentage economy. So the percentage of aid given out from the whole economy is the lowest compared to most other countries. Although this country is in massive debt, it should still able to distribute more foreign aid to the point of which it is no longer one of the countries that are on the bottom of the scale to give out foreign aid when looking at its percentage economy.

Many people think that the U.S. government supplies an abundant amount of foreign aid to many poor countries around the world. Ignoring the fact that there is an issue with the percentage economy even though the U.S. gives out ample amounts of foreign aid, two thirds of the whole U.S. government aid goes toward only Israel and Egypt. Most of the last third goes...

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