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MF Mika

GWWC Team

In 2016, 30 of the largest providers of foreign aid (a group known as the Development Assistance Committee) gave a total of $142.6 billion, a sum so large that it is difficult to truly comprehend. Yet, while it’s no doubt a large number, it is only 0.32% of the combined national income of those countries — that's three dollars in aid out of every thousand. The amount that wealthy countries spend on foreign aid is generally just a tiny fraction of their budgets. 

Don’t we spend too much on foreign aid already?

This article is part of a series addressing 

Don't we spend too much on foreign aid already?

In 2016, 30 of the largest providers of foreign aid (a group known as the 

, a sum so large that it is difficult to truly comprehend.

Yet, while it's no doubt a large number, it is only 0.32% of the combined national income of those countries --- that's three dollars in aid out of every thousand. The amount that wealthy countries spend on foreign aid is generally just a tiny fraction of their budgets.

Many people don't donate to international aid charities because they believe that their governments already spend too much on foreign aid. For example, when asked what percentage of the U.S. federal budget is spent on foreign aid, Americans' guesses hover 

, with a more recent poll reporting as much as 

As it turns out, U.S. foreign aid spending is only about 1% of the federal budget. That's less than 1/25 of what Americans believe, and only about 1/10 of what the same Americans 

In contrast to the 1% of its budget that the U.S. spends on foreign aid, it spends nearly 16% of its budget on national defence and about 24% on Medicare and Medicaid.

Per citizen, the U.S. government gives about $89 in foreign aid. Oxfam 

 that $89 is less than the average American spends on candy ($107), sporting goods ($209), or jewellery ($212).

Meanwhile, private Americans, foundations, and corporations gave about 

 to support international affairs in one recent year. Again, that's an astoundingly large number, but it's only about 5% of the 

 that Americans donated to charity that year.

As Bill Nye points out in the video below, the public misconception of the amount we spend on foreign aid could lead us to neglect important opportunities for helping others. For instance, there's a lot more that wealthy countries could be doing to prevent leading causes of death, like communicable diseases, birth problems, and poor nutrition:

There is a lot of work that still needs to be done in low-income countries, and those of us in wealthier countries have an opportunity to make a huge impact at little cost. You can help improve --- and even save --- lives by donating to one of many 

 working to support health and promote economic empowerment throughout the world.

 of like-minded people who are working to make the world a better place.

Common Concerns About Donating to Charity

Many people don't donate to international aid charities because they believe that their governments already spend too much on foreign aid.
But is that argument well-supported? Read the full post here:
🔗



— Giving What We Can (@givingwhatwecan) 

In 2016, 30 of the largest providers of foreign aid (a group known as the Development Assistance Committee) gave a total of $142.6 billion, a sum so large that it is difficult to truly comprehend. Yet, while it’s no doubt a large number, it is only 0.32% of the combined national income of those countries — that's three dollars in aid out of every thousand. The amount that wealthy countries spend on foreign aid is generally just a tiny fraction of their budgets.

Ben Chugg

It’s true that political action is a necessary step towards achieving meaningful, lasting change. However, the dichotomy between political action and philanthropy is a false one. Both play an important role in improving the world, and they can be mutually beneficial.

Don’t we need political action rather than charity?

Don't we need political action rather than charity?

 is that it neglects political action and institutional change in favour of philanthropy, which can't solve the world's most fundamental problems on its own. Many argue that, rather than giving to charity, we should focus on achieving systemic change through political action.

It's true that political action can be an important step towards achieving meaningful, lasting change. However, the dichotomy between political action and philanthropy is a false one. Both play an important role in improving the world, and they can be mutually beneficial.

Giving What We Can appreciates the important need for political action. In some circumstances, political action is more appropriate and effective than donating to charity. For instance, regarding the Syrian refugee crisis in 2015, Giving What We Can Co-Founder Will MacAskill 

 that lobbying for changes in immigration policy was the most effective way to help refugees. "Donations can be helpful but are unsustainable in this instance," he wrote, "whereas political action could bring about real change." On the 80,000 Hours blog, Director of Research Rob Wiblin provides 

 of effective altruist individuals and organisations working towards systemic change.

Charity, however, can also play an important role in improving the world. It can help improve lives directly by, for example, providing support to low-income communities. There are some highly effective charities that alleviate suffering, reduce the burdens of disease, and help children receive an education. These are amazing giving opportunities, and many of them will have a lasting impact.

In order to advocate for political change, basic needs must first be met. In communities suffering from poverty and/or disease, political action is 

 to be a priority. Donations can lift individuals out of dire circumstances, giving them greater autonomy and enabling them to play a larger part in their community's politics, if they so desire. Indeed, many of the outcomes we associate with political action can be achieved by increasing the health and well-being of low-income communities.

In addition to directly helping individuals and communities, giving to charity can also support political or institutional change. Donations to advocacy organisations or campaigns, for instance, can play an important role in changing public opinion, which is frequently a necessary precursor to political mobilisation. And donating to charities that focus on public health can also have more systemic consequences, since issues with class mobility, educational access, and other similar problems are often symptoms of public health failings. 

In addition to the systemic effects of supporting poverty-alleviating interventions, there are many 

 advocating directly for institutional change. For instance, the 

 engages in legal and legislative advocacy to support climate-friendly policy change. 

The Johns Hopkins Center for Health Security

 works with policymakers to prepare for threats to public health. 

 works with political leaders across the world to improve global nuclear policy. 

, in addition to developing and promoting alternatives to animal products, is working to secure fair policy and public funding for research to develop a more sustainable global food system.

Surbhi Bharadwaj

Heather Heckman

Most people around the world pay a significant portion of their income in taxes to support government services. Fulfilling this large, obligatory payment can feel like a significant financial burden, and perhaps make people feel complacent about the need for charitable giving. However, while tax revenue can fund important social services, taxes are not a replacement for charity.

If I pay my taxes, why should I also give to charity?

 of their income in personal income tax to support government services. Fulfilling this large, obligatory payment can feel like a significant financial burden, and perhaps make people feel complacent about the need for charitable giving. However, while tax revenue can fund important social services, taxes are not a replacement for charity.

Governments collect taxes from their constituents and predominantly use that revenue to pay for services that benefit their constituents. Some tax revenue is spent on altruistic goals such as helping lower-income nations via foreign aid, but the amount is substantially less than 

 --- it increases the reputation and influence of the benefactor government.

Aside from voting and engaging in activism, there's little that an average citizen can do to influence government spending. However, individual donors can exercise complete agency in directing their personal charitable donations. While governments typically need to factor in political viability when making decisions, individual donors can choose to only support the 

Donors can also choose to help groups who are not able to vote for their own interests, and/or whose interests may not be well served by government policies. These groups include (in no particular order):

, whose needs are unlikely to be well served by your own government/tax dollars 

Non-citizens and those without the right to vote (e.g., convicted felons)

Donors can also support groups that, while able to vote, are not adequately served by government programs.

, Peter Singer argues that "if it is in our power to prevent something bad from happening, without thereby sacrificing anything of comparable moral importance, we ought, morally, to do it."

The effects of foreign aid and international donations can feel distant and unknowable. However, a lot has been achieved through international charity, including the eradication of diseases and the lifting of billions out of extreme poverty.

Can foreign aid and international charity make a difference?

The effects of foreign aid and international donations can often feel distant and unknowable. However, a lot has been achieved through international charity, including the eradication of diseases and the lifting of billions out of extreme poverty.

People are often skeptical of foreign aid and international giving, perhaps because they have been aware of problems like global poverty for a long time and haven't observed much improvement. However, the lack of progress may not indicate that foreign aid doesn't work, but rather that there isn't enough of it. Foreign aid receives far less government funding than people think, 

. The funding that aid does receive is not always directed to the most effective interventions.

While not every single aid program works as intended, the widespread skepticism of aid isn't warranted. The truth is: foreign aid not only works, but is behind some of humanity's greatest successes. Foreign aid benefits all of us, but especially those in greatest need.

Despite being underfunded, a lot has been achieved by aid across the world. For example:

 following a World Health Organisation (WHO) 

 launched in 1966. A highly contagious disease, it accounted for nearly 

 in the 20th century. The international effort, which supplied endemic countries with vaccines and testing kits, 

 and eradicated smallpox from the entire world, with the last case being reported in 1977.

Guinea worm disease, a debilitating parasitic disease, is likely to be eradicated in the next few years thanks primarily to the efforts of the Carter Center, the WHO, and UNICEF. 

, the number of cases per year fell from 3.5 million to just 27. It is expected to be the first parasitic disease to be eradicated.

 against polio, an infectious disease that causes paralysis in children under the age of five, has led to a drastic fall in cases. There were 350,000 cases in 1988 and less than 175 in 2019. The 

 coordinates work across the WHO, the Centers for Disease Control and Prevention, and UNICEF. It sources 

Research suggests that, from 2000--2015, aid in the form of anti-malarial interventions have prevented about 663 million malarial fevers. There were 262 million cases of malaria in 2000, and 

 in 2015. Long-lasting insecticide treated bed nets are particularly effective; they are responsible for about 68% of the malaria reduction, or about 450 million cases of malaria. The animated images below show the increase in bednets from 2000--2015, along with the associated decrease in malaria cases. Learn more on our 

How much is spent on foreign aid and international charity?

 to international charities in 2018. In relative terms, these are tiny amounts. Compare them to the median annual revenue of a Fortune 500 company ($5.6 billion USD) and the 2019 GDP of the U.S. (

). Even the U.S.'s miniscule spending on foreign aid has helped us make 

. Just think what we could achieve if we gave more, especially if we gave to the most effective programs!

Instead of pressuring governments to cut foreign aid spending, we should pressure them to be more transparent about their activities and impact, and to direct funds to the most effective programs. Just as we seek to fix problems that arise in domestic agencies instead of simply cutting their funding, we should seek to improve foreign aid, not end it.

You can help alleviate suffering around the world by donating to our 

Felix Werdermann

From journalist to management consultant — that's an unusual path, and many of my friends certainly didn't expect it. Even I would have thought it impossible a few years ago. Now I have my first full calendar year as a consultant behind me and would like to share how I try to improve the world through my work.

Doing Good as a Consultant

The job gives me the opportunity to donate a significant portion of my salary to charitable organizations - last year, for example, more than 20,000 U.S. dollars (17,000 euros). This allows other people to work with full dedication to make the world a better place for all of us. In this text, I would like to show that you can do an extremely great deal of good as a management consultant - and thus also encourage others to become active.

First of all, my way is by no means the only way, nor is it the best way for everyone to do good. Voluntary commitment or direct work in non-profit organizations or in the political sphere (including journalism) are extremely valuable. I, too, participate in actions against nuclear weapons in my free time, for example. But many non-profit organizations also or especially lack the financial resources to expand their activities and achieve even more.

So for many years now, I've been donating the money I don't need for myself (this includes saving for the future in addition to my current expenses). Almost four years ago, I signed a public 

" to donate at least one tenth of my income to particularly effective organizations (during my studies one percent). Being born in Germany, I am in a very privileged situation and even if I donate one tenth of my income now, I am still part of the 

As for many of us, the year 2020 was not easy for me. But at least in terms of my giving, it was more successful than any previous one. Because of my work at a consultancy firm, my salary is significantly higher than in the past and I was able to donate a total of more than $20,000 (17,000 euros) last year. There is even a term for this strategy: 

The money went primarily to organizations working to end factory farming. Why? Today's animal suffering is gigantic: 

 animals are killed every year, almost all of them suffer in factory farming under cruel conditions. While many people care about their pets; chickens, pigs or fish hardly get any attention. Industrial animal farming also contributes significantly to 

Which animal welfare organizations achieve the most with additional donations? That's what 

) is trying to find out. Every year, this independent evaluation institution analyzes the work of various organizations and develops recommendations. Last year, I donated $10,000 to the most effective animal advocacy organizations worldwide according to ACE. I think the money is especially needed in the Global South.

). This institute is committed to the research and development of cultured meat ("clean meat") and plant-based products. Only through tasty and cost-effective alternatives to animal meat, it will be possible to change consumer behavior in the long term. I am particularly pleased that the Good Food Institute is active worldwide.

My two major donations were even doubled by the "

" campaign. Successful poker players and other high earners add the same amount to donations to particularly effective organizations. Thanks to the website 

, I can also deduct my donations from my taxes in Germany, which means that I have more money to donate this year.

In addition to these two large donations, I have supported many other organizations with smaller amounts. For this year, I plan to donate a larger sum to the worldwide work of the 

International Campaign to Abolish Nuclear Weapons

), because I consider these weapons of mass destruction to be an underestimated danger. At the moment I am looking for possibilities to donate tax-exempt from Germany to this work.

Now I have written a lot about myself. What can you do? A few suggestions:

Think about how you do the most good. The principles of 

 can help: Where can you improve the lives of as many people or other sentient beings as possible? What cause area is being neglected?

Make your donations public to inspire others, for example by taking a Giving What We Can 

Volunteer for a good cause in your spare time.

Keep yourself informed and talk to friends.

If I can help in any way, please feel free to 

This post was contributed by one of our members, Felix Werdermann. It was originally published in 

 on March 10, 2021. Translated with the help of 

A common criticism of giving aid to low-income countries is that the money gets siphoned off by corrupt local officials before it can do any good.

Corruption can interfere with aid. However, by donating through reliable and effective charities, it is possible to make a big difference through charitable giving, even in areas where corruption is widespread.

Does corruption in recipient governments interfere with foreign aid?

A common criticism of giving aid to low-income countries is that the money gets siphoned off by corrupt local officials before it can do any good. Indeed, corruption is a big problem in many countries, and it can sometimes lead to aid money being diverted from its intended purpose. However, by donating through reliable and effective charities, it is possible to 

 through charitable giving, even in areas where corruption is widespread.

No one can deny that corruption has sometimes prevented aid money from achieving its intended goal. But the solution is not giving less, but giving "smarter."

One way to reduce the danger of corruption is to donate to programs which do not deal in valuable goods which officials could divert. Another is to give to charities that reliably monitor the impact of their programs, ensuring that their work is actually improving lives, rather than lining a few pockets. For example, the 

 (AMF) is particularly careful to avoid and discourage corruption while carrying out its distributions. You can learn more about AMF and similarly reliable charities through charity evaluators like 

Even many governmental aid programs, which have historically attracted significant criticism for corruption and fraud, now have measures in place to ensure that aid money goes where it is most needed. Done right, foreign aid can actually be used to 

 local institutions to become less corrupt and serve their communities more effectively. Instead of pressuring governments to cut foreign aid spending, we should pressure them to be 

 and impact, so that funds are directed to the most effective programs.

, we can make a positive impact in low- and middle-income countries. 

Blog

Don’t we spend too much on foreign aid already?

Don’t we need political action rather than charity?

If I pay my taxes, why should I also give to charity?

Can foreign aid and international charity make a difference?

Doing Good as a Consultant

Does corruption in recipient governments interfere with foreign aid?

March 2021 Newsletter

Can an individual donor really make a difference?

Member Profile: Carlos Tkacz

Measuring global inequality: Median income, GDP per capita, and the Gini Index