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Defining the ability to pay

May 5th, 2009

Madeleine Bunting wrote a powerful column in favour of aid this weekend.

I want to see an end to aid: it should be replaced by taxes collected by local governments on income they can generate within their communities. But the pre-conditions for that to happen are, as yet, not in existence. Fort a start we stack all the odds against the aid recipient countries. Whilst that happens aid is essential.

Bunting refers to to philosopher Peter Singer, who she says:

acknowledges that some aid goes astray, and that some aid is not very effective. But he turns that argument on its head: so what, if the cost to you has been so little – only the price of a meal in a restaurant or a new pair of shoes? Such is the affluence of the west, arguments about the cost of aid are irrelevant – we can afford it.

And he puts the threshold very low: anyone who can afford to buy a bottled or canned drink where there is clean tap water available has money they do not need.

My emphasis added, but reflect on it: isn’t this a definition of our ability to redistribute to those in need? And if so, our capacity to do so is enormous. It’s one of a number of very powerful arguments on this capacity now developing, and of both the need and beenfit from doing so.

I’ll be returning to the theme.

Richard Murphy Development, Economics, Ethics

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