Trade not Aid
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It would be more sensible to scale back levels of aid, provide aid only to governments that are already reforming, and make aid available for a strictly limited period of time. Other reforms, such as removing trade barriers and eliminating trade-distorting agricultural subsidies, would yield far more benefits than increasing aid.
Why reward corruption then?
British charity Oxfam has had to pay the Sri Lankan government $1m in import duty for vehicles used in tsunami reconstruction work.
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