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A FAREWELL TO ALMS?(Live 8, Bob Geldof )

The New Yorker

| July 25, 2005 | Surowiecki, James | COPYRIGHT 2005 All rights reserved. Reproduced by permission of The Condé Nast Publications Inc. This material is published under license from the publisher through the Gale Group, Farmington Hills, Michigan.  All inquiries regarding rights should be directed to the Gale Group. (Hide copyright information)Copyright

In 1985, when Bob Geldof organized the rock spectacular Live Aid to fight poverty in Africa, he kept things simple. "Give us your fucking money" was his famous (if apocryphal) command to an affluent Western audience--words that embodied Geldof's conviction that charity alone could save Africa. He had no patience for complexity: we were rich, they were poor, let's fix it. As he once said to a luckless official in the Sudan, after seeing a starving person, "I'm not interested in the bloody system! Why has he no food?"

Whatever Live Aid accomplished, it did not save Africa. Twenty years later, most of the continent is still mired in poverty. So when, earlier this month, Geldof put together Live 8, another rock spectacular, the utopian rhetoric was ditched. In its place was talk about the sort of stuff that Geldof once despised--debt-cancellation schemes and the need for "accountability and transparency" on the part of African governments--and, instead of fund-raising, a call for the leaders of the G-8 economies to step up their commitment to Africa. (In other words, don't give us your fucking money; get interested in the bloody system.) Even after the G-8 leaders agreed to double aid to Africa, the prevailing mood was one of cautious optimism rather than euphoria.

That did not matter to the many critics of foreign aid, who mounted a lively backlash against both Live 8 and the G-8 summit. For them, continuing to give money to Africa is simply "pouring billions more down the same old ratholes," as the columnist Max Boot put it. At best, these critics say, it's money wasted; at worst, it turns countries into aid junkies, clinging to the World Bank for their next fix. Instead of looking for help, African countries need to follow the so-called Asian Tigers (countries like South Korea and Taiwan), which overcame poverty by pursuing what Boot called "superior economic policies."

Skepticism about the usefulness of alms to the Third World is certainly in order. Billions of dollars have ended up in the pockets of kleptocratic rulers--in Zaire alone, Mobutu Sese Soko stole at least four billion--and still more has been misspent on massive infrastructure boondoggles, like the twelve-billion-dollar Yacyreta Dam, between Argentina and Paraguay, which Argentina's former President called "a monument to corruption." And historically there has been little correlation between aid and economic growth.

This checkered record notwithstanding, it's a myth that aid is doomed to failure. Foreign aid funded the campaign to eradicate smallpox, and in the sixties it brought the Green Revolution in agriculture to countries like India and Pakistan, lifting living standards and life expectancies for hundreds of millions of people. As for the Asian nations that Africa is being told to emulate, they may have pulled themselves up by their bootstraps, but at least they were provided with boots. In the postwar years, South Korea and Taiwan had the good fortune to become, effectively, client states of the ...

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