Foreign Aid, NGO's and the social contract: Wanting to help, ignoring long-term effects

Abstract

This paper aims to review and add to the academic literature criticizing how foreign aid acts as an obstacle to African states in the development of a social contract between state and citizens. In the model contract, the government provides social services in exchange for tax revenue, the right to call upon citizens for national defense, and general adherence to basic rules.  However, foreign aid enables the evolution of an entirely different social contract in contemporary African states which involves new actors and exchanges. This paper examines how this new social contract impacts taxes, military service and governance and hopes to prove that the aid-supported social contract has negative long-term effects on African states.

Key words: Aid, poverty, social contract, governance