Thursday, August 23, 2007

Rejecting Money for Charity

Care International one of thelargest charities in the world has recently decided to no longer accept US government funds. Why would a charity reject money? In order to receive the money CARE can only purchase US produced food and use mainly US shipping companies. From Econ 101 we know if you give away a bunch of a product you are going to lower the price of it. Not surprisingly this hurts farmers, which may mean the aid hurts more than it helps. So care has decided to stop receiving US funds.

Related Article from ISP news

No comments: