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P.T. Bauer’s Reminders on Foreign Aidmises.org/mises-wire/pt-bauers-reminders-foreign-aid
20 sats \ 3 comments \ @Undisciplined 9 May econ
By Joshua Mawhorter
The late P.T. Bauer provided much insight into the issue of the so-called First World sending aid to Third World nations in the name of “development.” Bauer demonstrated conclusively that such donations actually impede economic growth in poor nations.
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34 sats \ 2 replies \ @Rothbardian_fanatic 9 May
Therefore, killing USAID was a very good idea. Ending that “foriegn” aid will, by Bauer’s theory, enable the poor people of the LDCs create their own capital through their own efforts. As so many people have said, “Foreign aid is taxed from the poor people in the rich countries to give to the rich people in poor countries.” Which is the exact case, I think. The big problem is that the people in our country doling out aid are really trying to support the state apparatus of the other countries with our money. Can you see how well that has worked out for both us and them? When you examine those situations a even a little bit, will you be surprised?
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20 sats \ 1 reply \ @Undisciplined OP 9 May
“Foreign aid is taxed from the poor people in the rich countries to give to the rich people in poor countries.”
A lot of times, it's even worse than that, because it's earmarked in such a way that it has to be spent with American firms. So, it's really just taxing poor people in rich countries to give to rich people in rich countries (just like most taxes).
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29 sats \ 0 replies \ @Rothbardian_fanatic 9 May
So, it's really just taxing poor people in rich countries to give to rich people in rich countries (just like most taxes).
I cannot quibble with that. I just like how Bauer threw down on all the foreign aid experts, who in any case, are usually politicians who are getting some sort of reward for directing tax money this way. If the politicians aren’t getting it directly, one of their family is, or their assistants also called handlers get the kickbacks.
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