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Ron Paul - The Annual Foreign Aid Rip-Off
House Web Site ^ | 6-5-2006 | Rep. Ron Paul (R-TX)

Posted on 06/05/2006 10:21:05 AM PDT by jmc813

This week, Congress will vote to send more than 20 billion of your hard-earned dollars overseas, when it passes the Foreign Operations Appropriations bill for 2007. Our annual foreign aid bill is one of the most egregious abuses of the taxpayer I can imagine. Not only is it an unconstitutional burden on America’s working families, but this yearly attempt to buy friends and influence foreign governments is counterproductive and actually results in less goodwill toward the United States overseas.

Why is foreign aid so bad? Isn’t it our obligation to help those less fortunate? What is not mentioned by proponents of foreign aid is that it very seldom gets to those who need it most. Foreign aid is the transfer of US dollars from the treasury of the United States to the governments of foreign countries. It is money that goes to help foreign elites, who in turn spend much of it on contracts with US corporations. This means US tax dollars ultimately go to well-connected US corporations operating overseas.

Foreign aid distorts foreign economies and props up bad governments. It breeds resentment among citizens of foreign countries, who see the United States as keeping oppressive governments in power. Also, it is important to remember that forced charity is not charity at all. While I believe strongly in the moral value of helping the less fortunate, charity must come voluntarily from the heart, not under threat from the IRS.

This year’s bill is even worse than last year’s bill. Aside from the almost 600 million dollar increase, the bill will spend half a billion dollars on something called the “Trade Capacity Enhancement Fund.” This is nothing but an enormous fund to bribe foreign governments to “liberalize” their trade policies. As one of the strongest proponents of free trade in Congress, I know well that open and free trade is its own reward. Countries that trade freely with each other are wealthier and far less likely to go to war. We shouldn’t kid ourselves: this new program is not about free trade. Its purpose is to encourage countries to enter into new so-called trade agreements with the US government. Government to government trade agreements produce government-managed trade relationships, which are not free trade at all. This fund is a colossal waste of money that will result in less free trade worldwide.

Also, this year Congress will nearly double funding for the monstrous Millennium Challenge program. This is billed as a different kind of foreign aid, in that it only goes to governments that pursue “free market” economic and social reforms. Of course this is a waste of money: governments that pursue wise economic policies will attract much more in foreign private investment than the US government can send them. The true reward for sound economic policies is increased prosperity. Foreign aid does not purchase that prosperity but in fact distorts internal markets and props up inefficient companies.

Americans concerned about high taxes, out of control gas prices, and economic downturn should think hard about what the US government is doing with the money it takes from them. The greatest “foreign assistance” we can give to other countries is to demonstrate to the rest of the world that limited government and the rule of law ensure freedom and prosperity.


TOPICS: Business/Economy; Constitution/Conservatism; Foreign Affairs; Government; News/Current Events; US: Texas
KEYWORDS: foreignaid; govwach; govwatch; ronpaul
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1 posted on 06/05/2006 10:21:08 AM PDT by jmc813
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To: jmc813

Showing my ignorance here, what presidency was the chief cause of starting and escalating foreign aid? (I've asked but all I can get is probably Truman).


2 posted on 06/05/2006 10:25:16 AM PDT by Ptaz (Take Personal Responsibility--it's not fun, but it's the right thing to do.)
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To: jmc813
Welfare state internally, welfare nation externally. Maintaining a certain amount of power over the recipient's ability to develop seems to apply in both circumstances.
3 posted on 06/05/2006 10:26:02 AM PDT by kinoxi
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To: jmc813

And how much of this goes to keep the oil flowing?


4 posted on 06/05/2006 10:26:24 AM PDT by P-40 (Al Qaeda was working in Iraq. They were just undocumented.)
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To: jmc813

A Well written editorial. Thanks for posting. If only more congressmen were more like Ron Paul


5 posted on 06/05/2006 10:30:19 AM PDT by Barney Gumble (A liberal is someone too broadminded to take his own side in a quarrel - Robert Frost)
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To: jmc813

So we should cut off aid to Israel, along with aid to Columbia to fight an insurgency and the drug cartel?


6 posted on 06/05/2006 10:32:23 AM PDT by Dog Gone
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To: Ptaz
I believe that foreign aid of any respectable degree was started by Woodrow Wilson or Warren Harding after WW1.

It was greatly increased by Harry Truman after WW2.
It has been carried on to an even greater degree by every President since.

I guess they never heard the old phrase, "You can't buy love."

7 posted on 06/05/2006 10:35:00 AM PDT by Just another Joe (Warning: FReeping can be addictive and helpful to your mental health)
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To: jmc813
Somewhere I am sure in our Constitution you will find the foreign aid clause.

The King shall lay taxes on citizens and send that to foreign kings to fund there own wealth.

From the worlds best book: "All I need to know I learned in Kindergarten"

Never buy your friends.
8 posted on 06/05/2006 10:37:02 AM PDT by edcoil (Reality doesn't say much - doesn't need too)
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To: jmc813

"but this yearly attempt to buy friends and influence foreign governments is counterproductive and actually results in less goodwill toward the United States overseas."

Yup!

It has us looking like arrogant and simply buying corrupt people to hopefully get our way - which typically doesn't happen like it did in the old days.


9 posted on 06/05/2006 10:38:22 AM PDT by nmh (Intelligent people recognize Intelligent Design (God) !)
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To: jmc813

Big effin' deal. Isn't that less than .1% of of the current Federal Budget over $2 trillion?

A lot of the money goes to Israel. A lot of the rest goes to bribe "allies." A lot of it comes right back in defense industry contracts. All things considered, this is a pretty good use of it.

I don't mind this money as much as I mind the huge transfer payments that beggar us. And the pork that corrupts us.


10 posted on 06/05/2006 10:39:16 AM PDT by Little Ray (If you want to be a martyr, we want to martyr you.)
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To: edcoil

THOSE friends will only be around as long as the money is. They'll take it but they'll despise you all the more.


11 posted on 06/05/2006 10:39:29 AM PDT by nmh (Intelligent people recognize Intelligent Design (God) !)
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To: Barney Gumble
A Well written editorial. Thanks for posting. If only more congressmen were more like Ron Paul

A large number of FReepers detest Paul. He is way too consistent on freedom and small government.

A hated libertarian.

12 posted on 06/05/2006 10:42:13 AM PDT by Protagoras ("A real decision is measured by the fact that you have taken a new action"... Tony Robbins)
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To: Dog Gone

Did you find a clause in the Constitution where the states gave that power to the Union?


13 posted on 06/05/2006 10:43:35 AM PDT by Abcdefg
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To: Dog Gone
So we should cut off aid to Israel, along with aid to Columbia to fight an insurgency and the drug cartel?

Israel needs money from US citizens?

And a person in Chicago should pay for law enforcement in Columbia?

14 posted on 06/05/2006 10:44:12 AM PDT by Protagoras ("A real decision is measured by the fact that you have taken a new action"... Tony Robbins)
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To: Protagoras
Paul opposes the War on Terrorism. Even compared it to the War on Drugs. Total apples and oranges. That alone lost my respect for him and is the chief reason why I stopped supporting the LP.

http://www.counterpunch.org/paul1.html

15 posted on 06/05/2006 10:46:15 AM PDT by Extremely Extreme Extremist (Conservatism is moderate, it is the center, it is the middle of the road)
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To: Little Ray
Big effin' deal. Isn't that less than .1% of of the current Federal Budget over $2 trillion?

So you don't mind if someone robs you of $100 if you are rich?

16 posted on 06/05/2006 10:48:28 AM PDT by Protagoras ("A real decision is measured by the fact that you have taken a new action"... Tony Robbins)
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To: Protagoras

Its more like a tip than a robbery.


17 posted on 06/05/2006 10:51:37 AM PDT by Little Ray (If you want to be a martyr, we want to martyr you.)
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To: Abcdefg

No and I can't find a clause authorizing the creation of the US Air Force, either.


18 posted on 06/05/2006 10:57:38 AM PDT by Dog Gone
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To: Little Ray
Its more like a tip than a robbery.

Tips are freely given. So it's not even remotely like it.

19 posted on 06/05/2006 11:00:17 AM PDT by Protagoras ("A real decision is measured by the fact that you have taken a new action"... Tony Robbins)
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To: Protagoras

Taxes are not freely given, but they're not robbery either. Or try to survive telling the IRS its robbery...

Same thing goes here. Its a tip. Or a fee for service. Or a bribe. In any case, it sometimes serves a useful purpose.


20 posted on 06/05/2006 11:02:54 AM PDT by Little Ray (If you want to be a martyr, we want to martyr you.)
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