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Foreign Aid  

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Johnson (2000) defines aid as flows of resources aimed at encouraging economic development or alleviating short-term crisis. The phrase suggests a gesture of goodwill from rich countries to poor countries to help achieve the mentioned goals however the assistance mostly comes with strings attached. (Hoy, 1998). Aid is apparent in a number of different forms. Specifically, project aid is assistance provided for the creation of a specific outcome, for example the construction of a hospital. Program aid is a more general form, and through loans with certain policies imposed by the donor, attempts to achieve certain economic conditions in the recipient country. Another type of aid is technical assistance; this provides equipment and/or experts for a specific outcome. A team of UN engineers sent to a developing country to set up a water supply is an example of this. Humanitarian aid is usually provided in response to emergencies,...

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