Product Description

There is no doubt: we want to help. The well-documented horrors of extreme poverty around the world have created a moral imperative that people have responded to in their millions. Yet the poverty persists. At a time of unprecedented global prosperity, children are starving to death. Are we not being generous enough? Or is the problem somehow insoluble, an inevitable outcome of historical circumstance? In this provocative and compelling book, Dambisa Moyo argues that the most important challenge we face today is to destroy the myth that Aid actually works. In the modern globalized economy, simply handing out more money, however well intentioned, will not help the poorest nations achieve sustainable long-term growth. Dead Aid analyses the history of economic development over the last fifty years and shows how Aid crowds out financial and social capital and feeds corruption; the countries that have ‘caught up’ did so despite rather than because of Aid. There is, however, an alternative. Extreme poverty is not inevitable. Dambisa Moyo shows how, with improved access to capital and markets and with the right policies, even the poorest nations can prosper. If we really do want to help, we have to do more than just appease our consciences, hoping for the best, expecting the worst. We need first to understand the problem.

Product Details

• Amazon Sales Rank: #6900 in Books
• Published on: 2009-01-29
• Original language: English
• Binding: Paperback
• 208 pages

Review
'I suggest that Bono buys a copy of Dead Aid and claps Bob Geldof over the head with it, repeatedly' --Patrick French, Sunday Times

Review
'Here is an African woman, articulate, smart, glamorous, delivering a message of brazen political incorrectness: cut aid to Africa ... her ideas deserve to be taken seriously'

Review
'Dambisa Moyo kicks over the traditional piety that Western aid benefits the third world'

Customer Reviews

Good argument, not so great read
It's not easy to write to the mass market on Africa- there are so many countries there, after all, and to get across them without making every point qualified (or bracketed with a list of nations 0-44 long) is not straight forwards.

So - the positives. The book has a marvelous biography, a modern rarity. The weight of empirical force behind the core of Moyo's argument is impressive. Her argument is convincing: stop aid, it fuels corruption, does more harm than good, and is based on flawed economics. Instead, fund through the markets (bonds, micro-credit, and so on) and overcome political indifference to 60 years of failure. The book is packed with gems, some old but most new- e.g. EU cows are subsidized to the tune of 2.5 euros a day (more than most Africans).

However. This book is perhaps 10 years too late. If one had picked this up in the late 90s or early 00's, this would have been a stunning agenda shaper. Yet, in the financial turmoil of 2008-09, her arguments about how markets would solve most problems, and how tempting Africa is to investors looks shaky. (The only reference to the credit crunch is a paragraph up front). Given such a cataclysmic drop in growth, can Africa really rely on China for the next 5 years?

This aside, whilst the Dead Aid thesis / argument flows through the book, it often wonders & dwells too long. In places, arguments are confused (e.g. don't worry about defaults -Venezuela, Argentina all did it ok over the last 200 years and look how well they did! Next chapter - default at your peril, the market never forgives or forgets!).

So - this book is not without its flaws but you cannot deny the merit of its arguments. Well worth a read to anyone new to the subject.

a good book but should be supplemented with other books
Not long ago I went to a presentation of this book at the Danish Institute for International Studies (DIIS), and I have subsequently read the book.
If I had not been at the presentation, I would probably have rated the book lower; at the start of her presentation, Ms. Moyo said that the book was not an academic analysis, but was rather intended to create debate. With this in mind, the book is surely worth reading, since the debate on aid to poor countries is in much need of reflection and new ideas.
But that said, this is not such a great book, and its message is not new. In fact, the best thing about the book is its quite provocative premise that Ms. Moyo largely views aid as the cause of all of Africa's problems.

The first part of the book is a fine albeit superficial summary of the history of aid, and its problems in relation to Africa, where she argues that aid to Africa since the end of colonial times has been the major cause for increased poverty, lack of growth, corruption and bad governance, even conflict! This of course leads to the more or less explicit premise that aid should just be done away with (something that the book has been widely quoted for), but in selected parts of the book, you can see that she is not necessarily as extreme as she gives the impression of in that first part: "However worthwhile the goal to reduce and even eliminate aid is, it would not be practical or realistic to see aid immediately drop to zero. Nor, in the interim, it might be desireable." (page 76).
The main problem with the first part of the book is her lack of differetiating between different kinds of aid; she does a simplistic differentiation in the start of the book between humanitarian and NGO aid (regarding the latter, Ms. Moyo said at DIIS that she would write another book, where I would nevertheless expect the overall message to be the same), and there is a big problem in this if a person knows more about aid: issues like how it is provided and to whom, as well as the timeframe (a huge problem she rightly points out), are only implicitly treated, and these are quite relevant discussions in the aid debate, where the discussion between budget-support or project-aid is widely discussed. Also here, it is a pity that while she (competently) talks about the ECONOMY of aid, she barely talks about the POLITICS of aid, which I would argue is the main cause of many of the problems of aid: let us not be naïve to think that Western donors provide aid largely for altruistic reasons!

The second part of the book has Ms. Moyo's recommendations about what should be done to develop Africa, and is quite relevant, but very poor in the sense that there is nothing really new in it; in fact, Ms. Moyo largely repeats a market-oriented liberal approach to economic development: development of SME's, capital markets for investment, free trade and fair and just laws on property and banking. I think many existing development economists will have difficulty not agreeing with her.
Knowing this now, I find it disappointing that at the debate at DIIS there was no more discussion when one of the panelists, Erik S. Reinert, implicitly criticised Ms. Moyo's neo-liberal approach by arguing that Africa needed to develop like the west had done: by nurturing its infant industries through state protectionism and investment.
Although well-informed, and Ms. Moyo clearly being a good intellectual, the book is a disappointment for anyone wanting a more in-depth analysis (and may I add here how annoyed I was that some of her endnotes referred to Wikipedia). Although Ms. Moyo refers to some of the development thinkers that have said similar things such as William Easterly or Paul Collier, she uses them only selectively, when in fact William Easterly has already said much of what she says (and more eloquently) and Paul Collier has given a criticism of many of the weaknesses she mentions about aid, but argues that the main problem is that aid DOES WORK when provided under specific conditions.
One can only have the feeling that Ms. Moyo generalizes as much as any European about a continent of 54 countries and one billion people.

While I would say that this book is very good for reflection and discussion, it should NEVER BE READ ALONE, but should be supplemented by some of the more in-depth books on the subject, as for instance William Easterly's White Man's Burden, for someone who largely agrees with Ms. Moyo, or Jeffrey Sachs' The End of Poverty, for someone who argues that aid can solve all problems, as well as Paul Collier's The Bottom Billion, which has a much more balanced view on aid than any of these, including Ms. Moyo herself.

A Must Read For Every African.
All Africans who can read, should read this book. All Western taxpayers should read this book.

Ms Moyo's central argument is that aid doesn't work. Aid has worked in a limited number of specific circumstances. The Marshall Plan for Europe is one example. As a general rule, aid has failed miserably.

In the case of Africa, aid has not only failed, it has impoverished Africa. The majority of Africans are poorer today than they were in 1970. This in spite of USD 1 trillion having been poured into Africa over the past 50 years or so. Aid's effect on Africa hasn't been benign. It's been positively malignant.

The majority of Africans never see the aid. Aid has been a mechanism for transferring wealth from Western taxpayers to a tiny political and beauracratic African elite that has become fabulously wealthy. Western taxpayers should be outraged at this nonsense. They should demand a stop to the whole aid charade.

Fortunately, Moyo gives us several alternatives to get Africa out of the morass of aid dependence.

This is the first book on aid and Africa written by an African that I've come across. It is a welcome change. At last Africans are speaking for themselves.