Question

In: Economics

Collier presents four possible tools: aid, security, laws/charters, and trade. Which would you choose as your...

Collier presents four possible tools: aid, security, laws/charters, and trade. Which would you choose as your primary focus in your effort to help the bottom billion?

Solutions

Expert Solution

I would actually choose trade in order to help the bottom countries because it can only be possible for temporary purposes and they will not develop and become dependent on ais and security is not a source of economic development at all and rather it is just a spending. Laws can only help to an extent where this might not be agreed by all the countries and in this regard trade is one source where the can be developed with exchange of Technology and education and in the long run they will develop economically and poverty levels are reduced

One of the policies in UnitedStates if modified that can help the bottom countries is regarding the trade and in this regard if the trade restrictions on the bottom countries which are very poor in natureare lifted then what happens is that they can trade the natural resources and the human capital to that of United States as a result of which aid can be received from that of United States to those countries and at the same time their labour can be employed so that more work can trigger economic growth to their countries as a result of which they will ultimately get to develop on the whole and in this way in the trade policies it changes are made then definitely the bottom countries will develop


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