
International Issues | |
An Emerging "Disaster Industry" |
Every year, governments and international organizations spend tens of billions of dollars on both long-term relief projects and emergencies. A whole new industry is emerging dedicated to selling to relief and development agencies. Some are specialized procurement brokers that for a commission of 5 percent to 20 percent will search for items needed by relief groups -- such as surplus field kitchens, bulletproof vests and concertina wire. Others, such as drug manufacturers, will donate surplus drugs nearing their expiration date, rather than paying to destroy them.
The United Nations estimates that three million people in the Balkans will need $625 million in aid this year. Source: Barry Meier, "Supplies-Side Economics," New York Times, May 5, 1999. For more on Foreign Aid http://www.ncpa.org/pi/internat/intdex5.html |
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