topic 4- thaoad4

To day, according the development of market economy, the world is becoming more and more closely linked. Trade has increased and the gap between rich countries and poor countries is greater than ever before, billions of people still live in poverty. One of the ways to make shorter this gap is rich countries delivered many debts for poor ones. Nevertheless, poor countries usually meet much difficulty in the reimbursement those debts, in while rich countries still have one well financial position. So, Should rich countries forgive all debts for poor countries?
There are many reasons to help the poor countries in which the average per capita income is about 1 dollar a day including: humanitarian reasons, political or diplomatic reasons and economic reasons. Debts were delivered by rich countries helps poor countries solving many problems involved economy, health…give a chance for poor countries to avoid vicious circle of poor through many line capitals
There are some advantages when RCs forgive all debts for poor countries, for example :The poor countries will not only avoid to pay the interesting on the debts which is a large part of their economy but also cancel the debts burdening, from that they can use the sources from these debts to invest in many projects that develop the economy and push social’s income such as: health service, education…
However, forgive all debts for poor countries still lead many risks. A forgiveness program would discourage poor countries from making difficult decisions to reform their economies. Billions of dollars of aid often go missing, into corrupt government and in ineffective administrations or go into many unsuitable programs with countries targets . So there are many other ways to help poor countries . Opening up trade barriers, so the poor countries can sold their goods more easily. Another way is remove subsidies that import goods from poor countries can compete fairly
The needs of poor countries is oblivious, but we can’t forgive all debts for them, we only forgive some of all and use other ways to get good results