PSY 145 Chapter Notes - Chapter 5: Official Development Assistance, Structural Adjustment, Psych
Document Summary
Financial assistance to poorer nations: many of the poorest nations, especially in africa, can not even begin to make full use of market opportunities without additional financial assistance. Socio-equity needs to balance success at the market. Approximately 15 percent of gnp is invested in drugs, food stamps, unemployment benefits and social security payments, both in the us and uk national economies. In the nordic countries, social security nets consume about one-third of gnp. Yet what about the developing world, where 1. 2 billion people live just under an absolute poverty line. Rich nations will save only 0. 3 percent of gnp for official development assistance, the closest approximation to an international network of social security. Only a quarter of official development aid is allocated to the ten countries which make up three-fourths of the world"s absolute poor. India, pakistan, and bangladesh have almost half the world"s poor but receive just one tenth of total assistance.
