Nowadays we can see a huge difference between countries with well-developed economics and countries wich have some problems with it. The topic of financial aid to the poor countries is very controversial. This help has its advantages and disadvantages for both parties.
First of all, investments of developed countries into economics of emerging countries benefits most to the last mentioned above, as it is an easy money for them. Secondly poor countries can increase the level of life, if the government can accurately manages this money. In third place poor countries with high rate of unemployment can open new organizations thus open new work places.
Helping poor countries is also beneficial for investing part. For example international companies can expand their business by opening new branches in emerging countries. Moreover they can can savy money on employees salaries, as workforce in poor countries is usually much cheaper.
On the other hand there are some disadvantages. The poor countries can get used to getting easy money from abroad and it can negatively affect theit self-development. The poor countries getting gratuitous financial aid have less motivation to develop, as they do not have any responsibilities to give the money back. For rich countries it is also a risk to invest money into economics of poor countries. As a rule most of developing countries have a high level of coruption and it is very difficult to predict how this money will be spent.
Personally I think that rich countries should help emerging ones, but not for free. I believe that every investment imply a result. It does not matter how rich the country is, the government should think about their own development first.
Nowadays we can
see
a huge difference between
countries
with well-developed economics and
countries
wich
have
some
problems with it. The topic of financial aid to the
poor
countries
is
very
controversial. This
help
has its advantages and disadvantages for both parties.
First of all
, investments of developed
countries
into economics of emerging
countries
benefits most to the last mentioned above, as it is an easy
money
for them.
Secondly
poor
countries
can increase the level of life, if the
government
can
accurately
manages
this
money
. In third place
poor
countries
with high rate of unemployment can open new organizations
thus
open new work places.
Helping
poor
countries
is
also
beneficial for investing part.
For example
international
companies
can expand their business by opening new branches in emerging
countries
.
Moreover
they
can can
savy
money
on employees salaries, as workforce in
poor
countries
is
usually
much cheaper.
On the other hand
there are
some
disadvantages. The
poor
countries
can
get
used
to getting easy
money
from abroad and it can
negatively
affect
theit
self-development. The
poor
countries
getting gratuitous financial aid have less motivation to develop, as they do not have any responsibilities to give the
money
back. For rich
countries
it is
also
a
risk
to invest
money
into economics of
poor
countries
. As a
rule
most of developing
countries
have a high level of
coruption
and it is
very
difficult to predict how this
money
will
be spent
.
Personally
I
think
that rich
countries
should
help
emerging
ones,
but
not for free. I believe that every investment imply a result. It does not matter how rich the
country
is, the
government
should
think
about their
own
development
first
.