Foreign Aid and Economic
• abolish the U.S. Agency for International Development and end traditional government-to-government aid programs; • withdraw from the World Bank and the five regional multilateral development banks; • not use foreign aid to encourage or reward market reforms in the developing world; • eliminate programs, such as enterprise funds, that provide loans to the private sector in developing countries and oppose schemes that guarantee private-sector investments abroad; • privatize or abolish the Export-Import Bank, the Overseas Private Investment Corporation, the U.S. Trade and Development Agency, and other sources of corporate welfare; • forgive the debts of heavily indebted countries on the condition that they not receive any further foreign aid; and • end government support of microenterprise lending and nongovernmental organizations.
Foreign aid is among the most unpopular of all government programs with the American public. Although the public continues to place the alleviation of world poverty and the promotion of development in poor countries as priorities on its list of foreign policy concerns—a view consistent with the American tradition of generosity—it has lost confidence that the U.S. government is well suited to achieve those goals.
That apprehension is not unfounded, nor is it limited to average American citizens. Today, the failure of conventional government-to-government aid schemes is widely recognized and has brought the entire foreign assistance process under scrutiny. For example, a Clinton administration