Investment flows where there are opportunities. Generally, it depends on the perception that there is political and monetary stability, and a reasonably friendly attitude towards business. Investment creates revenue, both for the employed individuals, and for the government. With that revenue, they are in a position to improve their lot. Wages may be low, but they are high relative to that locale, or no one would work. Since investment attracts investment, it is often the case that indigenous capitalists will benefit from the ripple effects on the economy, through the provision of stores and entertainment. As for education and the rest, that is the responsibility of the governments involved.
We have invested much in foreign aid, both directly and through the medium of multi- lateral institutions, and it has not all been military. The problem is not so much the quantity of aid, as the quality of local institutions. And, yes, perhaps programs like the Peace Corps or Missionaries are best able to have impact there. I think that we should bring as many foreign students in to the States as possible, so that they can learn more about us.... |
