Question

Explain how country debt and aid impact a society’s overall well-being. Describe your own observations of the widening gap between the rich and the poor.

Answer 1

Coutry debt and aid helps to improve a nations well being through the allocation of funds towards development and growth. Helps to improve unemployment and also enhances the ability to raise GDP. This also allows the process of improving technology and help develop the nation in the future. The problem lies however in that aid does not improve the problem of inequality as it does not say how the funds will be distributed. This increases the gap between the rich and the poor and does not distribute the funds to where needed. This is one of the problems of aid and country debt. Aid also causes a problem in terms of repayment as large volumes of aid deteriorate the economic prosperity of the country.