Buying local vs. Trade as aid

[MagnusVS]

If the US has a comparative advantage in producing these goods, they will produce them themselves. As businesses in a country will change their production/reallocate resources between different industries over time, those industries that are profitable will survive.

It's sad that poor countries export the food out of the country. Poverty is also very hard to understand and explain. One theory that can explain a bit, is that most poor countries must import real capital like machines, oil etc. To afford this, they have save less money, which again gives them less economic growth and it's spiraling downwards. Research has found that many countries have managed to improve their economic growth by making export of real capital illegal (one of the main points of the Solow Growth Model).

[TheOriginalFlashDavo]

It's sad that poor countries export the food out of the country. Poverty is also very hard to understand and explain. One theory that can explain a bit, is that most poor countries must import real capital like machines, oil etc. To afford this, they have save less money, which again gives them less economic growth and it's spiraling downwards. Research has found that many countries have managed to improve their economic growth by making export of real capital illegal (one of the main points of the Solow Growth Model).

I recall reading or hearing ages ago, someone putting forward the idea that on average, the countries that had done better economically in Africa over an extended period were the ones that had had less foreign aid help. Now, I don't know what research this idea was based on, or what if any other factors were taken into consideration, but is something which I think would make a great thesis research project one day.

I'm actually in Kenya to make myself redundant if possible. I'm undecided if being here does more good than not, but figure that the best way to find out was to be here. Not one who's a good couch jockey! I'm hoping to gain a better understanding of the issues facing developing communities, and if there are better ways to help them move forward than what we are doing.

I don't think there are any easy answers, whichever way you look at it.