What is Aid, Business Economics

Assignment Help:

What is aid?

Aid is the administered transfer of resources by a donor country or international agency or non-government organisation to less developed countries to encourage economic growth. It can be between two (bilateral) or several (multilateral) countries/institutions

• Bilateral aid is generally tied aid is while recipients should purchase products through the donor country. An International Monetary Fund loan with a conditional SAP attached is other illustration of tied aid.

• Multilateral aid is generally untied aid which can be spent into any country.

a. Argument for tied aid: the donor country makes sure aid is used for suitable purposes and its own economy advantages

b. Argument against tied aid: purchases may not show best value for money

c. Tied aid is frequently conditional for example on market reforms

• Grants that do not have to be repaid

• Concessional loans repaid at lesser interest rates and over longer eras than commercial bank loans.

• Aid can be into the form of goods, money or technical assistance.


Related Discussions:- What is Aid

Calculate the change in advanced package service, Advanced Package Service ...

Advanced Package Service (APS) offers overnight package delivery to business customers.  APS has recently decided to expand its facilities to better satisfy current and projected d

Can less developed countries economies grow, Can less developed countries e...

Can less developed countries economies grow by developing services as tourism? Less developed countries economies grow by developing services as tourism when: The less deve

How is effort monitored onto a project, How is effort monitored onto a proj...

How is effort monitored onto a project? It is significant that the effort to be spent onto activities is reassessed on a regular basis – why is it so very important? Effort is

Analyze the characteristics of a monopoly market, QUESTION (a) Analyze ...

QUESTION (a) Analyze the characteristics of a monopoly market. (b) Distinguish between the short and long run equilibrium of a monopoly. (c) Compare and contrast between

Finacial Fiasco Book Review, Can anyone type me a paper on the book financi...

Can anyone type me a paper on the book financial fiasco? I will provide with a link to the book.

Equilibrium in the goods and money markets, using a diagram, evaluate the e...

using a diagram, evaluate the effect of a decrease in money supply to the equilibrium in the goods and money market

Test review question, greg and todd form a partnership and start a business...

greg and todd form a partnership and start a business in which each has a 50 percent share of the profit. after a year, the firm goes bankrupt and has debts of $20,000. greg has no

Why are state approaches considered as unsuitable, Why are state approaches...

Why are state approaches occasionally considered as unsuitable for promoting development? Liberal economists’ argument government intervention really thwarts development. G

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd