Is development aid superfluous?

The benefits of development aid have been increasingly called into question in recent times. In such aid superfluous or indeed harmful? Ulrich Hiemenz and Franz Nuscheler address this issue in the following two contributions.     

Economic stagnation and development aid

The main objectors to a link being established between special drawing rights (SDRs) and the financing of development have in the past been the industrial countries. They have been pointing out that SDRs were created for other purposes — more effective control over international liquidity — and that a link with development finance would have an inflationary effect. If however the present unemployment situation in the industrial countries should become at least partly a permanent feature the idea of such a link would become more attractive than hitherto — to the industrial countries.     

Internal problems of development aid

The unsolved internal problems of Germany’s development aid require an early reexamination of the objectives and the concept of development aid against the quickly shifting world-economic background. Numerous hitherto unsettled questions concerning technical aid and its implementation have to be answered soon and expertly.     

The crisis of development aid

Measured in per cent of their Gross National Product (GNP), western industrialised countries currently spend far less on development aid than they did ten years ago. This is partly due to the very limited usefulness of the prevailing concept of development aid.     

Relief instead of development aid

Formerly an active supporter of the western industrialized countries’, and particularly Sweden’s, policy of development aid, Gunnar Myrdal has in recent years become increasingly critical of the present form of aid. In the following paper the Swedish Nobel Prize winner presents his case for a new line of aid policy.     

New approach to development aid

The prevailing disenchantment concerning the less developed countries (LDCs) has multiple roots. Two, however, are of particular importance. The first, symbolised by the report of the Club of Rome, is connected with the implications of the world’s finite resources. The second, underlined by Mr McNamara, is in the obstinately and grossly unequal distribution of the benefits of whatever progress is being made.     

Illusions of marketing planners

The article highlights the risks of using self‐evaluation as a substitute for primary and secondary market research when designing and monitoring marketing programs. Included is a study of 110 management teams that suggests internally dominated marketing analysis may breed illusory evaluations of a company's own marketing programs versus competitors. If acted upon, such illusions could lead to oversights in developing marketing offerings. The overriding potential implication of the study addresses the allocation of a company's substantial marketing assets—most notably, the risks of bypassing secondary market data and primary market research when developing and evaluating marketing programs. © 2001 John Wiley & Sons, Inc.