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Option: World Sociology

Aid and its critics

  • 3 things to know
  • Component 3 Section B

Overview

Official development assistance, difference between bilateral and multilateral aid and tied aid.

What you need to know

Answer each one before you reveal it.

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Key term

What is tied aid?

Key term

What is the difference between emergency relief and development aid?

Key term

What is the case in favour of aid?

Questions from this subtopic

Each one with the model answer underneath.

  1. 1

    What is official development assistance?

    Model answer

    Official development assistance is aid provided by governments and international agencies to promote development, distinguished from private charity and from commercial lending by being concessional and directed at development rather than profit.

  2. 2

    What is the difference between bilateral and multilateral aid?

    Model answer

    Bilateral aid is given directly by one government to another. Multilateral aid is channelled through an international institution such as the World Bank, a United Nations agency or a regional development bank, which then allocates it.

  3. 3

    What is tied aid?

    Model answer

    Tied aid is assistance given on condition that it is spent on goods or services from the donor country. Critics argue it functions partly as a subsidy to donor firms and raises costs for the recipient; several donors have restricted the practice.

  4. 4

    What is the difference between emergency relief and development aid?

    Model answer

    Emergency relief responds to a disaster or conflict with immediate necessities. Development aid funds longer-term investment in infrastructure, health, education or institutions. The two are often confused in public debate.

  5. 5

    What is conditionality?

    Model answer

    Conditionality is the attachment of policy requirements to aid or loans — on economic management, governance, human rights or public spending — which the recipient must meet in order to receive or retain the funds.

  6. 6

    What is the case in favour of aid?

    Model answer

    Supporters argue that aid has funded vaccination, malaria treatment, water supply and schooling with measurable results. Supporters add that the poorest countries lack the capital to escape a poverty trap. An external injection is on that account necessary.

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