Foreign Aid During World War II Essay

1197 Words Oct 15th, 2015 5 Pages
The end of World War II and with it the start of the Cold War marks the beginning of the use of foreign aid as an instrument to transfer resources between economies (Ruttan, 1996). An important characteristic of foreign aid has been that most aid transfers have taken place on a government-to-government basis. This characteristic emphasises the political dimension of foreign aid. In reality, foreign aid had already been provided for the reconstruction of Europe after World War II and to an extent under colonial improvement schemes. It was the first government program (in the United States) namely the Marshall Plan in 1948 to help restore the devastated and destruction of the war in Western Europe. The number of programs and their diversity, along with the number of nations participating in this plan has since then increased significantly. The history of foreign aid is often said to start with the Point Four Speech of United States President Harry Truman on his inaugural speech in 1949. The Point Four Speech which was followed of the Marshall Plan to describe the aim of aid giving at that time. Truman gave an outline as to why and how it was necessary for governments to provide aid for the development of poor countries. Truman’s Point Four said:
…Our aim should be to help the free peoples of the world – through their own efforts – to produce more food, more clothing, more materials for housing and more mechanical power to lighten their burdens. We invite other countries to…

Related Documents