Overview
A documentary which discusses topics about how harmful foreign aid, governments, and corporations helping poor countries with free goods can be. *Though it may not seem that bad, and actually like a good thing, it ends up causing harm to the ever-growing functionality and economic sectors of third world communities. It creates dependence upon this foreign aid, which never works in the long run. *
Tom's Shoes
From a previous class about entrepreneurship in society, I have actually watched this documentary before. Tom's Shoes has a goal that is trying to be helpful, but ends up being harmful to upcoming communities and countries. This is due to the fact that the mass influx of cheap shoes solves a problem, only for a little while. These shoes will eventually fall apart within a year, and then there are no more shoes. Meanwhile, the mass influx of shoes for the short period ends up putting the local shoe maker out of business since everyone has new pairs for an extended period. As a result, it ends up putting the community back from where it was, stopping progress. Now, people from rich countries think that these poorer countries need help by giving free stuff through charity. A common misconception from these rich, developed countries, is that the "poor" countries need to be given stuff. But great analogy that was brought up in the documentary was "give a man a fish, that's a fish for a day. But teach a man how to fish, that's a fish for life." Essentially emphasizing that these countries will eventually become dependent on the free stuff from these charity and outside government organizations. But really they should help out by creating and funding new businesses to improve communities and let the country become self-dependent. Highly similar to Tom's Shoes in Africa, Haiti had a similar issue with rice farming being emphasized by the United States in their country. Before, rice was a bit of a luxury. However, rice was heavily introduced, oversaturating the food markets and driving out local farming methods for a spam of rice fields. Bill Clinton himself said this was a mistake. Again, this type of behavior from governments and organizations is more detrimental to a country than helpful.
Why Do Developed Countries Do This?
Developed countries love to help third world countries by sending aid organizations and charities. However, countries do not develop from aid. They develop from trade and innovation. Helping is completely okay, however the help needs to allow the countries to stand on their own. The real benefits come from the companies that are subsidized to perform contracts within these countries, which makes sense as to why foreign aid jobs and development may be popular. You feel like you are doing good for others, but in reality you are also doing good for yourself with the money associated with it. This results in a cycle of global poverty, since aid from rich countries do not allow the poor countries to develop naturally, thus putting an obstacle on the way to the peak. The current system with the foreign aid does not allow countries to stand up on their own, but in reality it should actually be helping do that.
How Could This Be Improved?
Instead of working directly with governments and just flying in and having no comprehension of the culture of the country that is being attempted to be helped, you need people that know what they are doing in the country. Furthermore, the funds that are being provided need to go towards a few different pillars of foundation which enable a developing country to grow their economy. This may include: the ability to create businesses, ensuring peace and legal protection/justice, and access to trade. These few things are necessities to enable a prosperous country. Instead of using poverty aid as an industry and taking advantage of it, the goal should be to teach instead of giving free, because if you teach a man how to fish, that's fish for a lifetime. Not only does improving and emphasizing entrepreneurship within developing countries help out the local communities and creates self-dependence, but it also provides jobs for the citizens. It allows families to stay together, and not have to lend their children to orphanages like the one example in Haiti. It provides more money into the economy for citizens to spend, thus putting it back into the local economy and growing it. As a result, if the stabilization of the aforementioned pillars can be done, then genuinely improving the well-being of third world countries should not be incredibly difficult.
