Goodness is operational Essay Example for Free

Goodness is operational Essay According to Dunn and US OSHA (2004), the above sentiments should stand because, at the end of it all, the US will have to use its funds treating the industrially injured immigrant as well. Again, failure to teach immigrants on OSHA policies simply because they are not US citizens is contradictive to the principle of egalitarianism, which the US claims to have been founded upon. The OSHA 2004 promises that there be the training of all employees in meat packing industry alike, so as to assuage oversight in meal packing therefore comes in handy. The proposal to have the lessening of the velocity of the line speed is also very tenable. This is because, the measure allows for the chance of mishaps to be nipped in the bud, in case of any eventuality. The gravity of the matter is seen in the fact that according to the OSHA 2001 Report, 21% of devastating industrial accidents are always seen to have been revertible, should the speed of the machines have been a little slower (OSHA 2001). Mintz (2004) postulates that the importance of the matter is seen in the fact that meat packing industries are always fitted with very sharp massive cutters. It is always a requirement that apart from the abating of the velocity of the speed lines, it is also expedient that every meat packing industry be fitted with automatic detectors and main switch that allows the disabling of the cutters and the speed lines whenever of an alert is issued or an anomaly occurs. Conversely, there are those such as Wang (2003) who point out that the lessening of the velocity of the speed lines in the meat packing factories also helps in warding off cases of overworking of employees. Wang (Ibid) points out that it is increasing the speed of the conveyors and speed lines that acts as an artifice for the employees and the top management to realize maximum productivity without having to necessarily increase the employees’ working hours. This proposal seems to be sympathetic to the well being of the employees. However, when the matter is closely scrutinized, one sees that the measure remains benevolent to all. The meat packing industry or company is also bound to earn a positive corporate image as a corporate entity that factors the welfare of the employees by not overworking them. The society in point is also bound to receive products from a company that produces quality based meat products since proper time is taken to pack meat products. In this case, matters touching on negligence and anomalies in packing are extirpated. However, it is important to note that the utilitarian doctrine of According to Putnam and Langerman (2002), the recommendation that stronger worker compensation laws be set in place is also necessary as it will allow for the setting of penalties that are commensurate too. The setting up of stronger worker compensation as is proposed by US OSHA and Consul Jose Cuevas will also be in instrumental in averting cases of employees being deluded by unscrupulous employers. In almost the same wavelength, the entrenchment of stronger compensation laws will ensure the extirpation of cases of negligence from the side of employers as the employers will seek to avoid the high charges being exacted on the meat packing industry in the form of fines or employee compensation. The validity of this measure is promising, due to the fact that ever since the creation of Section 1910 Subpart 1 of OSHA regulations, cases of employers neglecting the plight of their employees assuaged by 55% in the first year alone (Humphrey 2005). Although the principle of Utilitarianism of the proceeds being beneficent to all may seem to be antithetical against the above rationale, yet, it is important to note that seldom do companies that do not have moral and political good will attain ultimate good. Even if a corporate expedition such as the one listed above may portend some liabilities for the meat packing industries, the fact that it has good will towards employees will reward the company with good public relations. It is against the backdrop of the above situation that Emmanuel Kant, being a utilitarian, quipped that good is that which is totally akin to the concept of goodwill- not profit. This totally supports the deontological notion that all industrial measures to safeguard the safety of the worker, if the principle of intrinsic goodness is operational. It is also true that ever since the inception of Section 1910 Subpart 303 that regulates the working standards in industrial sector; there was a steep plummeting of cases of poor working standards as employers took to escape the legal dragnet by uplifting the working conditions. It can therefore be easily and rightly surmised that the entrenchment of policies that would allow the upholding of international standards in the meat packing industry will inculcate OSHA policies and ideal working conditions. At the same time, the internationalization of meat packing safety conditions will be instrumental in ensuring a healthy competition among different meat packaging companies.

Using ICT in Early Years Education

Using ICT in Early Years Education Unit 6 ICT Development and learning unit 6 Introduction In this unit we will talk about ICT and ways in which it helps to develop the child’s learning. We will also talk about ways which children can be safe guarded during internet uses and ways which families could become involved into ICT in child’s learning. Having ICT in the child’s settings brings good opportunities for the children. The aim of the child care provider is to equip the children with the basic skills that are needed in order to their own learning as throughout the education system over the years. ICT is used into many and all the curriculum at the early stage of learning to use ICT which will help through and apperception of technology from the early age. 6.1 Explain the 7 types of skills that children may develop as a result of using ICT? Language. Increase Confident. Increase Knowledge. Mathematical development. Fine motor skill. Gross motor skill. Creative. Language. Through ICT children have an opportunity to develop language skills also discussion with peer’s, by use of the’ qwerty ‘key board for recognising the simple words like their names and age. Increase Confidence. Working with computers and technology operation that children have a greater senses of confident when they are using new physical skills. This helps them to boost confident when new intellectual skills are used. When using ICT it helps children to curry out deeper level. Now days most children see computer games rather than learning tools ,that’s why if we use task set with the computer children will learn in a fun way and helps them to encourage and explore new learning and building up with their confidence. Increase in world of knowledge. Most and many of daily life are used by computer technology as by television, hand held games consoles, traffic lights and more other things. Children at a early age exposure to computers there are different types of technology that can be used as will of part of life, also helps to get a good job too. Mathematical Development. All children have the chances to use mathematical software, this is now used into many per- school interactive games to support and help out with the mathematical learning .Different types of programmes gives all the children the opportunity to learn shapes and to curry out of different ways of calculations which is in a fun and educational way. Fine motor skills. ICT has many movements ,such as mouse control this helps clicking or selecting shapes on the computer screen or may be clicking and dragging a cursor to select or may high light items of text .Using ICT such as touch screen technology has added fact to fine motor skills development. Also using touch screen device or computers has different movements of fingers to the mouse clicking ,which this helps to gain the types of fine motor skills that can help to develop. Gross motor skills. In many and most child care setting ,where the child may have the access to an interactive white board where they will be able to starch and touch varies parts of the white board and use a large pen to write on the screen. Creative Development. Children have the chances to explore through the use of ICT software programmes. It gives children the opportunities to express themselves creatively by drawing basic pictures, which helps them to drag and drop items onto the screens. This will also give them the chances to use colours and graphics’. The type of program could be used is Microsoft paint program which will help children to expose children to use computer drawing with the access to fined and fatter brush and pain ,colours. A good explanation of the skills that can be developed through using ICT. 6.2 Construct a booklet which can be issued to parents which identifies safety concerns for children using ICT, and how these concerns are being addressed in the child care setting. Safety concerns for children using ICT in child care setting. The key is to ensure that children have access to ICT which offers them opportunities to develop general skills and also extends their specific knowledge of that technology. Given the range of computer hardware and software now available on the educational and toy the range of computer hardware and software now available on the educational and toy market it has become increasingly difficult to make informed choices between them. The DATEC’s publication of guidance material for parents and practitioners is therefore calculated to provide for a pressing community need. It is based on research with Practitioners and researchers in the field. Ensure an educational purpose. Typical educational uses of ICT might be something as simple as the introduction of a pretend mobile telephone to encourage imaginative role play, which children from a very early age will do quite naturally. The educational benefits of imaginative role play are well documented. A favourite computer application with many children, is ‘Make a bug’ from the CD-ROM Millie’s Math House. This can be integrated as part of a more general class project, for example about insects and minibeasts. But any application introduced to children in order to develop understanding and experience of ICT should not just be enjoyable, although this is important. It should be educationally effective too. However entertaining most arcade-type games might seem, they provide little encouragement of creativity or, indeed, any other games might seem, they provide little encouragement of creativity or, indeed, any other worthwhile learning outcome and should therefore be rejected. This is not to suggest that applications should not be fun or used for leisure, only that they should be carefully chosen to have some educational value as well. Many settings and some homes use language and number drill-and-practice programs, but these have very narrow educational aims, such as practising addition or learning colours. Such programs should be used with caution, as they promote a very directive form of teaching, normally with the use of an external reward (a smiling face, a tick or a funny teaching, normally with the use of an external reward (a smiling face, a tick or a funny sound). Over-reliance on this kind of program risks reducing children’s intrinsic Such programs should be used with caution, as they promote a very directive form of Sound). Over-reliance on this kind of program risks reducing children’s intrinsic Teaching, normally with the use of an external reward (a smiling face, a tick or a funny sound). Over-reliance on this kind of program risks reducing children’s intrinsic motivation to learn. In any event there are usually much more interesting ways of learning about these Things (see ‘Ensure the child is in control’, below). Children need a variety of applications which encourage a range of development, including learning about this sound). In any event there are usually much more interesting ways of learning about these. Children need a variety of applications which encourage a range of development. Where the computer use is integrated with other activities and the computer is used Effectively as a tool, for instance in imaginative role play, modelling or painting, children will benefit from greater movement and exercise away from the computer. Use of the computer should not be at the expense of outdoor opportunities and experiences which promote developing essential gross motor skills through running, climbing, jumping, and swinging using wheeled toys. Daily and frequent access to outdoor experiences is essential for all children and their development. Some ICT applications can encourage playing and being outdoors. Metal detectors have already been mentioned. Identifying ICT in the outdoor environment when out walking or using programmable toys outside can help but is no childhood (though it’s always possible for some young children to be taking digital pictures of their friends and them. Involving parents. Research suggests that home–school communication leads to better understanding and more positive attitudes for teachers and parents about each other’s roles. Many studies which have the children all collaborate towards the same goals (Siraj-Blatchford, I. et al. 2002). Schools also report that Children show a more positive attitude towards learning under these circumstances, and are better behaved. Parent involvement is therefore a component of effective schools with merits which merits special consideration. When participation is well planned it can promote higher success in pupils And lead to more successful family environments. Communication between professional educators and parents is crucial in the early years and a more articulated set of aims. Educators and parents is crucial in the early years and a more articulated set of aims Between the home and early years setting can lead to better outcomes for children. But many staff is ill-equipped to know what strategies to adopt to foster better home–school Research shows that there is currently very little knowledge in settings about The children’s ICT experiences at home and that this not an area on which parents are special consideration. When participation is well planned it can promote higher success in pupils Research shows that there is currently very little knowledge in settings about the children’s ICT experiences at home and that this not an area on which parents are special consideration. When participation is well planned it can promote higher success in pupils and lead to more successful family environments. Communication between professional the children’s ICT experiences at home and that this not an area on which parents are. Location of ICT equipment. Placing the computer in a correct and safe place where it should be that the child’s provider can see at all times to make sure that the material is being used safely. When talking about ICT we should remember to use not just computers and laptops .All children should have the access the internet through WI –Fi connection such as iPods, mobile phones. These are and may be needed to keep an eye on all times to make sure children are being safe from the they are using on the computers. Safe search Engines. We should always remember to tab the history on the Brower that is being used by the child care setting .It is important so that we know what the child has been doing for safety corners. 6.3 Identify and describe the various ways in which ICT can be used to support the early years foundation stage curriculum .Reference should be made to the various types of ICT available, not just computers? The different ways in which Early years foundation stage ICT is into the curriculum and also the following early learning goals are; Early years foundation stage which is used into ICT are and the learning goals; Literacy. Communication. Mathematics. Physical development. Literacy Early learning goals Starts to read and understand simple sentences. They are more able to use phonics, uses different words that are used most of the time. Likes to talk to others about what they have read about. ICT Skills that can be used. White board can be used in different ways with the vast programmes that is being used to help children form new words. Computer programmes also helps children with their reading skills. Communication and language. Children start to listen well. They love listening to stories, hear and respond to comments and questions. Many children start to follows rules, ideas and actions. Children also learn to express themselves. ICT skills that can be used. Have a role play in the role play area by setting up computer check in the desk also having a game of visiting a doctor’s surgery. Could use a cordless telephone which will help children to make conversation with each other children. Children could film each other in a role play .Children also can video camera under supervision to create their own film. For computer use children can use images that children to match word to, also print images and text them together. Mathematics. Children start to learn numbers 1 to 20 and place the number and can realize which number is more or one. Uses objects to add and take way and counts backwards finding the correct answer. ICT that can be used. White board to short of different coloured shapes. Shapes can be drawn on the computer. Different types of paint programs are there for use. Also children can walk around the nursery and see the different shapes from everyday objects. Physical development. Most children start to show control of co-ordination with in bigger and smaller movements. Children start to feel more confident .They start to use everything in a correct manner. Children start to understand the importances for good health and diet and talk about ways to keep healthy. ICT skills can be used. Learn how to control a mouse. Learns how to use white board and smaller touch screen device which can be used to help to develop gross motor skills. Starts to take on t as helping in activity such as cookery and may be involved using healthy food. 6.4 Identify the ways in which families can become involved in ICT, including in particular the ways in which the child care setting can promote its use. Parents helping children to use ICT at home is very beneficial and helping children with their learning. As the child care provider who can help on how to use ICT in parents to communicate via email instead of pepper .There is also CCTV monitoring is available for all parent’s to have an access on to secure website which they could watch their child and what they are doing. As for parents there are many different courses that is there to help them learn the knowledge of ICT also how it helps and how to use ICT. There are different kind of programmes that all parents can learn to teach their children such as laminators, digital cameras. They can also help with basic ICT skills that is needed to help to increase their knowledge. Ways in which families could help children with ICT at home. Some studies have looked at the benefits of having access to a computer and/or the Internet at home. à ¯Ã¢â‚¬Å¡Ã‚ · used effectively, ICT can improve children’s achievement. à ¯Ã¢â‚¬Å¡Ã‚ · using ICT at home and at school develops skills for life. à ¯Ã¢â‚¬Å¡Ã‚ · Children with supportive and involved parents and carers do better at school. à ¯Ã¢â‚¬Å¡Ã‚ · Children enjoy using ICT. à ¯Ã¢â‚¬Å¡Ã‚ · using ICT provides access to a wider and more flexible range of learning Materials. USING ICT AT HOME Obviously access to a computer at home is highly desirable. If the student has access to a computer then they can continue their studies at a time that is convenient to them. Access to the Internet is also extremely helpful since many of the tutorials and materials for ICT are stored electronically and can be downloaded From the school network via the Internet. Nonetheless, for those without access to the Internet, a portable USB memory stick can prove to be a value substitute, allowing the students to easily copy materials in school and take them home. We have been known in many studies in the UK and across the world on ICT’s effect on learning and teaching, and on the importance of having access to computers and/or the internet at home, both for children and parents. How you can help your child at home. ICT is not just about using computer. It is also includes the use of controllable toys , digital cameras and everyday staff such as DVD player ,mobile phone ,Nintendo the list well never end. As a parent or carer you could help your child with things of ICT at home to improve their skills for everyday use. Writing a letter to someone. Sending an email to a friend. Drawing a picture on screen. Using the Internet to research on home work. Using interactive games. Parents that help children with ICT at home it helps in many ways which will help them to improve with their work and skills which will help them to meet their target of work set for them. It will give them the chance to boost their confidantes. Developing this theme of the visual we use our digital cameras to record children’s progress and achievements which we share with parents. Again, how much more enjoyable and informative is a photograph than a tick box! Physical development, creative development and personal and social education especially lend themselves towards being reflected through a visual medium. We use our digital camera to communicate with parents about their children’s experiences, we load them onto the computer and use photos as screen savers and use our touch screen monitor so parents can turn the screen page photographs at a touch. Also there are many other things and ways in which a parent can help their child to learn the way they need to meet their goal that they have too. References Question 1 Open study college folder. Question 2 Light, P Butterworth (1992) context and origination of learning and knowing, Hemel Hempstead; Harvester wheatear online. Question 3 Open study college folder. http;//osclinks.com/99 Question 4 Open study college folder.

Dramatic Tension in An Inspector Calls by J.B. Priestly Essay -- Engli

How does J.B. Priestly create dramatic tension in An Inspector Calls? In "An Inspector Calls," dramatic, tension is created in many ways. First of all is Conflict. There is conflict within the family initially. This is mainly in the generations; Mr Birling isn't particularly proud of his son Eric and so he isn't as kind to him as he is to other members of the family. Just keep quiet Eric. As you can see, he doesn't really respect him at all. This is what Mr. Birling says to Eric after Eric asks if it was because of Mr. Birling firing Eva that she committed suicide. Rubbish! If you don't come down sharply on some of these people, they'd soon be asking for the earth. This is Mr. Birling's response after Eric tells him that he wouldn't have fired Eva. Eric is implying here that Mr. Birling was over-reacting in throwing her out, and that he should have kept her working there. After this, Eric once again brings the topic up that Mr. Birling shouldn't have fired Eva. Eric says this: And I don't see why she should have been sacked just because she'd a bit more spirit than the others. This is how Mr. Birling replies to that comment: (Rather angrily) Unless you brighten your ideas, you'll never be in a position to let anyone stay or to tell anybody to go. It's about time you learnt to face a few responsibilities. Mr. Birling saying this shows that he has no faith in his son and he feels that he will not amount to anything. Mr. Birling prefers Gerald to his son. This is obvious as he is always flattering him and giving him more respect than to Eric. This is probably another way to make Eric feel bad, to maybe get him motivated. This is the sort of thing Mr. Birling says to Eric: I'm treating ... ... to help with the baby. All of the sequences connect well and very neatly which helps to give the play more tension; because of what one person, the next thing can happen, and because of what they did, the next thing can happen and so on. This makes the play more exciting and helps it flow better, which shows it is professional and well written. In conclusion to the question, J. B. Priestly creates tension through Conflict, Dramatic Irony, Interrogation Techniques, Relief, Creation of Doubt, chain of consequences and Mystery, and Shock. These methods of creating tension are very effective and ultimately there is a lot of tension in the play. The play can get exciting in certain places due to the tension of what will happen next; what effect will one thing have on another? All in all, the play is Very well written and the dramatic tension is excellent.

Sears Kmart Merger Essay -- essays research papers

Due to slow sales and less traffic at both Sears and Kmart, the two have decided to merge creating one entity named Sears Holdings. Kmart has agreed to buy Sears for $11 Billion. This puts Sears Holdings at the third largest retailer behind Wal-Mart and Home Depot. Although Wal-Mart is a direct competitor with Kmart, Sears Holdings goal is not to compete with Wal-Mart directly, but find areas that have been overlooked by other retailers, and take advantage of the expanded line of products the new company has to offer. Sears has had higher sales than Kmart, so hundreds of Kmart’s will be transformed into Sears stores. As of now, most of Sears 870 stores are only found in malls. The new strategy would be to open Sears stores in current Kmart locations, to offer consumers with a different variety of products than what’s currently available from large retailers like Kmart and Wal-Mart. Sears is known for selling items such as their exclusive line of craftsman tools and Ken more appliances. In the future these Sears exclusives will be found in Kmart stores, and Kmart exclusives such as Martha Stewarts line of housewares will be found in Sears. This merger will bring a wide array of products to a larger group of consumers. Currently consumers looking to buy home appliances like stoves or refrigerators have to go to a mall with a Sears store or a specialty store like Best Buy or Circuit City. Not all consumers live near a mall, so buying from Sears may not be an option. Although bot...

McMurphy, Rebel with a Cause in Ken Keseys One Flew Over the Cuckoos Nest :: One Flew Over Cuckoos Nest

McMurphy, Rebel with a Cause in One Flew Over The Cuckoo's Nest Ken Kesey's experiences in a mental institution urged him to tell the story of such a ward. We are told this story through the eyes of a huge red Indian who everyone believes to be deaf and dumb named Chief in his novel "One Flew Over The Cuckoo's Nest". Chief is a patient in an Oregon psychiatric hospital on the ward of Mrs Ratched. she is the symbol of authority throughout the text. This ward forms the backdrop for the rest of the story. The men on the ward are resigned to their regime dictated by this tyrant who is referred to as 'the Big Nurse', until McMurphy arrives to disrupt it. He makes the men realise that it is possible to think for themselves, which results in a complete destruction of the system as it was. Randle P. McMurphy, a wrongly committed mental patient with a lust for life. The qualities that garner McMurphy respect and admiration from his fellow patients are also responsible for his tragic downfall. These qualities include his temper, which leads to his being deemed "disturbed," his stubbornness, which results in his receiving numerous painful disciplinary treatments, and finally his free spirit, which leads to his death. Despite McMurphy being a noble man, in the end, these characteristics hurt him more than they help him. He forms the basis to my study of rebellion. The Narrator, Chief Bromden comments that it was not he who originally decided to adopt the act of being deaf and dumb but others who treated him as if he were deaf and dumb, which illustrates that the way a person is depends upon the society around him. Indeed, Chief Bromden's father told him: "If you don't watch it people will force you one way or the other into doing what they think you should do, or into just being mule-stubborn and doing the opposite just out of spite." This is very much emphasised in the book: Kesey strongly suggests that the residents of the ward in his novel are there because they could not cope with the pressures put on them by society to conform, and that their madness is caused by others, rather than originating within the men themselves.

Cosmology in Milton’s Paradise Lost Essay

The Oxford English Dictionary defines â€Å"cosmos† as â€Å"the world or universe as an ordered and harmonious system,† from the Greek, â€Å"kosmos,† referring to an ordered and/or ornamental thing. When God created the world he had this in mind. To have a harmonious system in the universe where everything can live in peace and free of all worry. God was on top and everything was peaceful. Until the angles in Milton’s Paradise Lost had a fight. After the fight God banished these bad angels and had the last part of his universe created, hell. This completed a very complex picture of Milton’s vision of the universe in the beginning. The encyclopedic writers of the early Middle Ages communicated a modest assortment of basic cosmological information, drawn from a variety of ancient sources, especially Platonic and Stoic. These writers proclaimed the sphericity of the earth, discussed its circumference, and defined its climatic zones and division into continents. They described the celestial sphere and the circles used to map it; many revealed at least an elementary understanding of the solar, lunar and other planetary motions. They discussed the nature and size of the sun and moon, the cause of eclipses, and a variety of metrological phenomena. Another novelty was the frequent argument of the twelfth-century authors that God limited His creative activity to the moment of creation; thereafter, they held, the natural causes that He had created directed the course of things. Twelfth-century cosmologists stressed the unified, organic character of the cosmos, ruled by a world soul and bound together by astrological forces and the macrocosm-microcosm relationship. In an important continuation of early medieval thought, twelfth-century scholars described a cosmos that was fundamentally homogeneous, composed of the same elements from top to bottom: Aristotle’s quintessence or aether and his radical dichotomy between the celestial and terrestrial regions had not yet made their presence felt. Cosmology, like so many other subjects, was transformed by the wholesale translation of Greek and Arabic sources in the twelfth and thirteenth centuries. Specifically, the Aristotelian tradition gained center stage in the thirteenth century and gradually substituted its conception of the cosmos for that of Plato and the early Middle Ages. This is not to suggest that Aristotle and Plato disagreed on all the important issues; on many of the basics they were in full accord. Aristotelians, like Platonists, conceived the cosmos to be a great (but unquestionably finite) sphere, with the havens above and the earth at the center. All agreed that it had a beginning in time – although some Aristotelians of the thirteenth century were prepared to argue that this could not be established by philosophical arguments. Nobody representing either school of thought doubted that the cosmos was unique: although nearly everybody acknowledged that God could have created multiple worlds, it is difficult to assume that anybody seriously believed He had done so. However, where Aristotle and Plato disagreed, the Aristotelian world picture gradually displaced the Platonic. One of the major differences concerned the issue of homogeneity. Aristotle divided the cosmic sphere into two distinct regions, made of different stuff and operating according to different principles. Below the moon is the terrestrial region, formed out of the four elements. This region is the scene of generation and corruption, of birth and death, and of transient (typically rectilinear) motions. Above the moon are the celestial spheres, to which the fixed stars, the sun and the remaining planets are attached. This celestial region, composed of aether or the quintessence (the fifth element), is characterized by unchanging perfection and uniform circular motion. Other Aristotelian contributions to the cosmological picture were his elaborate system of planetary spheres and the principles of causation by which the celestial motions produced generation and corruption in the terrestrial realm. A variety of Aristotelian features, then, merged with traditional cosmological beliefs to define the essentials of late medieval cosmology – a cosmology that became the shared intellectual property of educated Europeans in the course of the thirteenth century. Universal agreement of such magnitude emerged not because the educated felt compelled to yield to the authority of Aristotle, but because his cosmological picture offered a persuasive and satisfying account of the world as they perceived it. Nonetheless, certain elements of Aristotelian cosmology quickly became the objects of criticism and debate, and it is here, in the attempt to flesh out and fine-tine Aristotelian cosmology and bring it into harmony with the opinions of other authorities and with biblical teaching, that medieval scholars made their cosmological contribution. But the most interesting point about Milton? s cosmology is this: why, when he knew of the discoveries Galileo had made with his telescope-as Book VIII clearly proves-and must have accepted the validity of the Copernican cosmology, wich our planetary system revolves, did Milton base his universe upon the Ptolematic pattern? The answer lies in the literary advantages of accepting the older though erreoneous concept: it was known, and Copernicanism was strongly resisted and only slowly accepted; the Ptolematic system was orderly, it laid down limits within wich Milton found it easier to work, and it made God and man the two ends of a chain-man can ascend, onward and ever upward, to union with the divinity, and this could never have happened in an open-ended Copernican universe. From the early through the late Middle Ages, Europeans moved from a disorganized, almost mystical way of thinking about the universe to an acceptance of a well-ordered, geocentric universe based upon the ideas of Greek philosophers such as Ptolemy and Aristotle. In this universe, the Earth was at the center and other heavenly bodies rotated around it in a series of concentric spheres . The entire system was powered by the primum mobile, or â€Å"Prime Mover,† which was the outermost sphere set in motion directly by God. This Primum Mobile trasformed the love of God for mankind into energy and provided the impetus that made the whole universe rotate; It took some very creative thinking to make this universe work well. For example, the retrograde motion of the planets in which they sometimes seemed to be changing directions and moving backwards was explained by way of â€Å"epicycles† (see the diagram on the right below). Specifically, it was proposed that the planets rotated around a center point fixed in place on the sphere of that planet, causing the apparent change in the direction of planetary motion. The seven known planets orbited the Earth, each one? atmosphere pushing round the one next inside it by friction ; all of this motion created a beautiful â€Å"music of the spheres† which could not be detected by humans (at least not until after they died and went to heaven), but which provided pleasure for angels and other supernatural beings. The outermost orbit, that of the planet Saturn, was itself surrounnded by the spere of the fixed stars (Book III,481) and outside that again was the vast expanse of the waters of firmament, also called by Milton the Crystalline firmament, as distinct from the waters on the earth and under the earth, had been used by God as an insulating jacket esigned to protect His Chaos through wich Satan flies at the end of Book II. The whole universe was suspended from Heaven (also frequently called the Empyrean) by a golden chain. Since medieval Europeans had no conception of a vacuum, it was believed that the heavens were filled with a celestial fluid that flowed as the spheres of the universe rotated, thus sustaining the motion of the planets. In Heaven, God sits on His throne supported by four seraphim, the most powerful of the nine orders of angels wich had remained loyal. he middle Ages believed literally that it was Divine Love that made the world go round. The rebel tenth who had revolted under Satan had been hurled down into another dread realm, Hell, created for them to occupy beyond the domain of Chaos and Old Night to the outer surface of our universe. Deceiving Uriel, regent of the sun, he flies down to Eden. The subsequent movements of both Satan and the guardians of Paradise are explained in Books IV and IX with detailed astronomical references. Just as the physical universe was thought to be centered around the Earth, the psychological universe of Medieval Europeans revolved around humans. Any understanding of the psychology and behavior of individuals at that time requires a consideration of the person’s desire for eternal salvation. For Medieval European Christians, time had essentially two divisions: The brief and insignificant one in which they lived out their sinful lives, and the cosmically enduring one in which the suffering or joy of their souls would occur. In Medieval Europe, there was no room for abnormality or nonconformity, as ANY deviation was considered to be the work of the devil. A hierarchy was everywhere in all things. People accepted their place in the social order no matter how lowly it might have been, and everything in the world had the potential for symbolizing something supernatural. People perceived messages from God in virtually every natural and human event. However, By the 17th century, the Copernican and Galilean models gained ground, and replaced this worldview. It was still an attractive philosophical construction and one that persisted for a long time in the collective Renaissance consciousness. Milton, who chose to use the Ptolemaic cosmology for his Paradise Lost, was not alone in Renaissance literature to hold on to the Medieval worldview, if not in scientific earnest, as a poetical conceit (cf. Donne’s â€Å"The First Anniversary† and â€Å"Good Friday, 1613†). Nothing less than the creation and ordering of the universe defines the scope of Paradise Lost. The epic explores its cosmological theme in theoretical discussions between Adam and Raphael and in the narrator’s descriptions and metaphors. Further, Milton imagines Satan surveying the universe in an expedition of discovery through a new world in his fall from Heaven and his passage through Chaos to Earth. Adam tries to understand the earth’s physical place in the universe and its associated ontological and theological value as the home of man. He wonders aloud about â€Å"this Earth a spot, a grain,/ An Atom, with the Firmament compar’d/ And all her numbered Starrs, that seem to rowl /Spaces incomprehensible† (PL8. 17-21). Milton asks us to imagine the first man struggling with many of the same questions a Renaissance thinker, contemplating new models of the universe, must have considered. In response to the theory that everything revolves around the sun and not the earth, philosophers were forced to question the importance of man’s role in the universal order. Raphael, responding to Adam’s concerns, suggests there is no reason â€Å"bodies bright and greater should not serve / The less not bright, nor Heav’n such journies run / Earth sitting still† (PL8. 87-9). Yet, the poem does not answer all such questions directly, and scholars often find it difficult to determine Milton’s attitude toward science. In these debates, it is helpful to remember that Milton was not a scientist but a theorist. He did not contribute to scientific knowledge so much as to an understanding of what new scientific ideas might mean to traditional Christian cosmology. He meditates on this in conditional modes, as does Raphael in his description of the universe: â€Å"What if the Sun/ Be Centre to the World† (PL 8. 122-3). In the mid-sixteenth century, Nicolaus Copernicus and his followers, most notably Johannes Kepler and Galileo Galilei, disturbed the entire Christian world by proposing a heliocentric model of the universe that displaced the earth, and by extension humanity, from the center. As the Reformation progressed, resulting theological debates acquired political importance and Milton, as a politically conscious theologian, addressed these issues in Paradise Lost. Critics debate the extent of Milton’s interest in the advancement of science. Catherine Gimelli Martin notes that many find â€Å"his cosmology stands on the wrong side of the great scientific revolution initiated by Copernicus, furthered by Galileo, and completed by Newton† (â€Å"What If the Sun Be Centre† 233). However, Martin argues that classifying Milton as scientifically backward is a mistake resulting from our modern society: â€Å"we too easily forget that during this formative period, no ‘advancement of learning,’ scientific or otherwise, could yet be conceived as succeeding apart from the requisite disclaimers about the folly of seeking superhuman knowledge and the proper assurances of humility before heights of Divine Wisdom† (Martin 231-2). Modern readers tend to treat scientific knowledge as inevitably progressive and therefore expect in Milton an appreciation of our modern scientific values and knowledge. As a rationalist, Milton must have admired the new sciences but, as a classicist and a Christian theologian, he had not yet placed scientific knowledge ahead of piety or biblical knowledge. William Poole notes the danger of seeing in Milton an advanced scientific philosopher and warns: â€Å"we should be extremely wary forcing Milton into clothes he does not fit† (â€Å"Milton and Science: A Caveat† 18). However, within the middle ground, scholars agree with Martin that Milton appreciated the value of scientific thought and development, although he may have doubted the reach of this branch of human knowledge. Cosmology appears in Paradise Lost through direct scientific references, incorporation of new scientific theories into various characters’ worldviews, and warnings against seeking beyond the limits of human knowledge. Martin observes: â€Å"Galileo or his telescope is approvingly cited on five separate occasions in Milton’s epic (the only contemporary reference to appear at all)† (Martin 238).

Aid and Two Gap Model

Aid and the Two Gap Model Aid is a burning issue these days. The question of countries accepting foreign aid has intrigued economists and the general public for a quite a while. Television discussions and newspaper articles have frequently focused on this issue while politicians try to fight this matter out in the parliaments. Furthermore, many are trying to unravel the enigma of aid and its effects on growth. This paper, in the little word space provided, will try to establish a relation between aid and growth.It will do so by first defining aid and growth and then moving on to some of the important models which can be used to understand this link. We will discuss the two-gap model and then move on to the Solow and Harrod-Domar model, giving empirical examples in each case. Finally, we will analyze two countries and try to inspect the reasons for their different growth rates using the logic used in the discussed models. Aid can be defined as any voluntary transfer of resources. It c an be either public (provided by donor countries or multilateral donor organization such as the IMF and The World Bank) or private (given by NGO’s. . The Organization for Economic Corporation and Development defines aid as any transfer of money or resource that fulfills the following criteria: a) The objective of the transfer should be noncommercial. b) It should be given for the purpose of economic development. c) The terms of the transfer should be concessional (interest rate should be less than the prevailing interest rate in the market OR the maturity period should be longer than usual). Aid should not be mixed with grant which is often used interchangeably with this term.Aid is any transfer that has concessional terms while grant is a form of aid that does not require the repayment of the principal. In this paper, we will often measure aid in the from of official development assistance (ODA) which is a convenient indicator of international aid flow. On the other hand, we will measure growth by scrutinizing the percentage change in GDP. One of the most widely used framework for analyzing the effects of aid on growth is the two-gap model which holds a key position in policy decisions related to foreign assistance.The two gap model is based on the Harrod Domar equation g = s/v where s is savings rate v is capital output ratio Capital output ratio is assumed to be constant. The two gap model assumes that a developing country faces either a savings gap or a foreign exchange gap. The savings gap occurs when a country faces a shortage of savings to match Investment in attaining an intended growth rate. In such a case, foreign borrowing or aid can supplement the savings and help bridge the gap between savings and investment. This allows a country to achieve the targeted growth rate. Ft < I – S (Savings gap)A foreign exchange gap takes place when a country’s exports are not enough to finance its imports. In such situations, aid is handy as it fills the foreign exchange gap and provides countries with sufficient exchange to reach the required level of imports. At a given point in time, only one of the two gaps is binding. Ft < M – X (Foreign Exchange gap) Following this further, we fit empirical data into this model. Zambia is a developing country that has continuously received aid since the mid 1960’s. In 1992, almost 80% of Zambia’s investment was financed by foreign aid.Since, Zambia has received aid over such a long period, the two gap model predicted that its per capita GDP would reach $2300 by the turn of the century. On the contrary, its GDP per capita in 2007 remained merely half of what was expected . i. e. $1300. The fig. below summarizes the analysis of the Zambian economy. To examine whether the Zambian case is an exception or does the model always fail to predict the reality, we scrutinize on various factors which could have blocked the path of growth for this country. Zambia has be en infected by violence and instability right from its independence, with bloodshed and massacres a common feature.In addition, economic growth has been hindered by the outbreak of civil war and influx of refugees from the neighboring countries. Corruption is another problem that has stalled growth which can be seen from the fact that Zambia is ranked 101 on the corruption perception index. Very recently, Sweden and Netherlands stopped aid to Zambia due to rampant corruption allegations. All these problems add to the ineffectiveness of aid on the growth of Zambian economy which can explain why the two-gap model failed to forecast the ineptness of aid.The effect of aid on growth can also be explained using two basic but important models, namely Harrod Domar model and the Solow model. Although the upshot of aid on growth is a multidimensional and complex process we only take into account the effect of aid on variables defined in these two models. The main focus of our discussion will be the saving rate which comes out to be the most imperative variable in both these models. We start through the basic Harrod Domar model. Capital output ratio, capital labor ratio and labor output ratio are assumed to be constant.Some of the important relations are as follows: S=s. Y (2) (3) (1) g= (s/v)-(? ) S=I Where: Y is income S is total saving I is Investment ? is depreciation of capital According to this model, growth can be increased by increasing s, decreasing v or decreasing ?. We shall mainly focus on the relation of aid on growth through the savings rate channel. Countries ask for aid mainly due to its perceived beneficial effect on the savings rate. As shown, saving equals investment in the Harrod-Domar model, subsequently an increase in savings will result in an increase in investment.This increase is supposed to boost the growth rate of the recipient country. Michael P. Shields offer an interesting explanation of the relation of foreign aid on growth in his paper â⠂¬Å"foreign aid and domestic savings: the crowding out effect†. If foreign aid is expected to increase savings, then equation (3) becomes g=(s+fa)/v -? Where fa is foreign aid as a proportion of income (4) (s+fa) represents the total funds available for backing investment. According to this equation, an increase in foreign aid is supposed to increase the total saving funds and hence investment by an equal amount.This suggests that an each additional dollar of foreign aid should result in a one dollar increase in investment in the economy of the recipient country. Reality however is not that perfect and it is too generous for anyone to assume such a one-to-one increase in investment from aid. Famous economist Edward Griffin offers a criticism of such approach. According to him foreign aid should be taken so as to supplement income rather than having a direct impact on savings. In such a case, an increase in income by the amount of foreign aid fa would increase consumption by (1 -s). a, thus increasing the investment by s. fa. In such a case, domestic savings can be crowded out by foreign aid by the net amount –(1-s)fa which equals (s-1)fa. Markedly, foreign aid can crowd out private savings and investment, resulting in a decrease in growth as suggested by the Harrod Domar model. The main obstacle in the way of growth in the Harrod-Domar model is the phenomenon of aid filtering out into increased consumption (1-s). fa. Aid has to be spent on investment or has to increase the saving rate (both eventually come out to be the same) for a country to grow.To see a practical example of this, we consider Pakistan, which is a country largely dependent on foreign aid. During the period 1952-2002, the total amount of aid given to Pakistan equaled 63703 million US dollars. Ghulam Mohey-ud-din examines in his paper â€Å"Impact of foreign aid on economic development in Pakistan†, the reasons for aid not resulting in the required growth for Pakistan. He sta tes three main reasons for the failure of aid to account for growth. First of all, a staggering 58% of this total aid (approx. 6945 million US dollars) was tied to development of large projects while only 13% (approx 8281 million US dollars) accounted for non-food and BOP aid. Such a large portion of aid (58%) going towards consumption invariably meant that the effect on savings was going to be very minute. Thus, financial aid tended to crowd out saving and investment. Secondly, while the nominal aid gradually increased, in reality, aid as a percentage of gross national income fell from approximately 7. 6% in 1960 to nearly 3% in 2002. This meant that aid was not catching up to the required increase in the GNI of Pakistan.Thirdly, along with the increase in aid came the burden of burgeoning foreign debt. This required huge amounts of debt servicing which reduced Pakistan’s current account. As previously explained, aid was already not resulting in much growth due to it crowdin g out savings and investment. An additional burden of debt servicing did the government no better. Accordingly, its GDP growth rate was subject to constant fluctuations and Pakistan could never attain sustainable growth. The growth rate reached a peak of 10. 22% in 1953 but since then, the average growth has gone down with the exception of one or two years.In 2002, the GDP growth rate stood at 4. 73%. Aid during a whole half of a century could not result in sustained economic growth. Another approach that looks at the impact of foreign aid on growth is the poverty trap. Many poor developing countries face an inability to grow at reasonable rates due to getting stuck in a poverty trap, which can be defined as a self-reinforcing mechanism which causes poverty to persist. We use the Solow model to analyze how aid can be used to pull countries out of this poverty trap and onto the path of self-sustaining economic growth.We assume the basic assumptions of Solow model to be true. Thus, we assume constant returns to scale production function and diminishing returns to capital. The final and important relation of the Solow model is ? k=s. y-(n+? ). k (5) k is capital per worker n is population growth Philipp Harms and Matthiaz Lutz depart from this conventional Solow model by assuming that people have to satisfy their basic consumption needs for which savings are zero until per capita income does not exceed a certain level. The modified Solow diagram is shown belowTwo steady states are shown in the above figure. k* is an unstable steady state while k** is a stable steady state. If the country’s initial capital per worker is below the unstable steady state k*, then the country is stuck in a potentially dangerous poverty trap. Low income levels result in low saving which leads to lower investment in capital stock. Increasing depreciation ? of capital will further lower the capital per worker k and result in even lower income. This vicious cycle of poverty and lac k of growth will keep re-enforcing each other unless the country is given a push start.This push can be in the form of aid, which may impact the savings rate s as discussed in the extended Harrod Domar model. Furthermore, aid in the form of foreign capital inflow can also increase capital per worker, consequently pushing the country out the poverty trap. Now we come to the analysis of growth patterns in two Arab countries namely Egypt and Palestine. We will explore the amounts and type of aid given to these countries and then investigate their underlying effects on various growth variables based on the Solow and Harrod Domar models discussed earlier in the paper.With this in mind, we turn to the empirical evidences which show that: 1. ODA/GNI ratio for Palestine has increased during the period 2000-2005, while that of Egypt has decreased during the same period. 2. ODA/Capita for Palestine has increased to $500 during the period 2000-2005, while ODA/Capita for Egypt has come down to $15 in 2003 from $179 in 1979. 3. In Egypt, 13% of the total aid was tied whereas in Palestine 8% was tied. 4. Technical aid provided to Egypt was 44% while that of Palestine was 16% of total aid during the period 2000-2004. 5.In Egypt, education was given the highest priority among the aid allocated to the social sector. While in Palestine, Education was the second lowest recipient of aid allocated to the social sector. 6. In Palestine, growth rate of real GDP from 2003-2005 was 35. 50%, while the percentage change in real GDP for Egypt was 127. 46 for the same period. ODA/GNI ratio signifies the dependency of the recipient country on the donor for foreign aid. A large increase in the ODA/GNI ratio of Palestine meant that it was becoming more and more dependent on foreign aid for support, while the opposite was true for Egypt.Consequently, Palestinian institutions kept weakening and were not given the incentive to develop due to their heavy reliance on outward help. On the other ha nd, Egypt’s lower dependency on foreign aid meant that it was getting increased opportunities to develop its institutions and stand up on its own feet. As the ODA/capita of Palestine increased to alarming heights, it signaled the reliance of Palestine on foreign donations. This could have created a moral hazard problem for the rulers of Palestine who knew that growth would result in drawing back of aid.In such a scenario, the incentive to grow could have actually vanished. Conditional or tied aid has great disadvantages because the recipient government cannot spend the aid on their desired projects. Moreover, tied aid has to be spent on specific and predetermines projects. As discussed earlier in the paper, if foreign aid is diverted to such consumption, it has the tendency to crowd out investment and savings. Although Egypt had a greater share of tied aid than Palestine, however the small size and weak economy of Palestine meant that even 8% of tied aid had a profound effect on its growth.Egypt was provided more technical aid than Palestine. Technical aid in turns translates into higher Theta in the extended Solow model. An important relation of this model is ?ke= s. ye-(n+? +theta) k Therefore higher technical aid for Egypt resulted in higher effective capital per labor and in turn higher growth than Palestine. The allocation of higher portion of aid to education by Egypt as compared to Palestine means that Egypt is contributing more to its human capital. This will in turn again stimulate theta in the extended Solow model, resulting in increase growth rate of Egypt.In the light of above discussion, it can be said that the effect of aid on growth does not only depend on variables explained in the models above. Many other factors play a vital role in this link as well. As seen in the case of Zambia, the macroeconomic and political stability are pre-requisites which feed into this complex relation as well. The aid distribution plan should be effective an d free of corruption of all sorts for it to have an impact on growth. A major chunk of aid should be distributed towards the saving and investment channel.While our analysis has tried to determine a link between aid and development, it still carries some shortcomings. The assumptions used in the models such as a fixed capital output ratio are too stringent and do not carry much weight in the reality. Some variables such as savings rate s and productivity theta are determined exogenously, while the macro/microeconomic conditions determining these variables could also affect the impact of aid on growth. Nonetheless, the analysis provides useful insight into the complex relation of aid and growth.Economicgrowth,Capitalaccumulation,Macroeconomics,Grossdomesticproduct,Investment,Economicdevelopment,Stockandflow,EconomicsAid and the Two Gap Model Aid is a burning issue these days. The question of countries accepting foreign aid has intrigued economists and the general public for a quite a while. Television discussions and newspaper articles have frequently focused on this issue while politicians try to fight this matter out in the parliaments. Furthermore, many are trying to unravel the enigma of aid and its effects on growth. This paper, in the little word space provided, will try to establish a relation between aid and growth.It will do so by first defining aid and growth and then moving on to some of the important models which can be used to understand this link. We will discuss the two-gap model and then move on to the Solow and Harrod-Domar model, giving empirical examples in each case. Finally, we will analyze two countries and try to inspect the reasons for their different growth rates using the logic used in the discussed models. Aid can be defined as any voluntary transfer of resources. It can be either public (provided by donor countries or multilateral donor organization such as the IMF and The World Bank) or private (given by NGO’s. . The Organiza tion for Economic Corporation and Development defines aid as any transfer of money or resource that fulfills the following criteria: a) The objective of the transfer should be noncommercial. b) It should be given for the purpose of economic development. c) The terms of the transfer should be concessional (interest rate should be less than the prevailing interest rate in the market OR the maturity period should be longer than usual). Aid should not be mixed with grant which is often used interchangeably with this term.Aid is any transfer that has concessional terms while grant is a form of aid that does not require the repayment of the principal. In this paper, we will often measure aid in the from of official development assistance (ODA) which is a convenient indicator of international aid flow. On the other hand, we will measure growth by scrutinizing the percentage change in GDP. One of the most widely used framework for analyzing the effects of aid on growth is the two-gap model which holds a key position in policy decisions related to foreign assistance.The two gap model is based on the Harrod Domar equation g = s/v where s is savings rate v is capital output ratio Capital output ratio is assumed to be constant. The two gap model assumes that a developing country faces either a savings gap or a foreign exchange gap. The savings gap occurs when a country faces a shortage of savings to match Investment in attaining an intended growth rate. In such a case, foreign borrowing or aid can supplement the savings and help bridge the gap between savings and investment. This allows a country to achieve the targeted growth rate. Ft < I – S (Savings gap)A foreign exchange gap takes place when a country’s exports are not enough to finance its imports. In such situations, aid is handy as it fills the foreign exchange gap and provides countries with sufficient exchange to reach the required level of imports. At a given point in time, only one of the two g aps is binding. Ft < M – X (Foreign Exchange gap) Following this further, we fit empirical data into this model. Zambia is a developing country that has continuously received aid since the mid 1960’s. In 1992, almost 80% of Zambia’s investment was financed by foreign aid.Since, Zambia has received aid over such a long period, the two gap model predicted that its per capita GDP would reach $2300 by the turn of the century. On the contrary, its GDP per capita in 2007 remained merely half of what was expected . i. e. $1300. The fig. below summarizes the analysis of the Zambian economy. To examine whether the Zambian case is an exception or does the model always fail to predict the reality, we scrutinize on various factors which could have blocked the path of growth for this country. Zambia has been infected by violence and instability right from its independence, with bloodshed and massacres a common feature.In addition, economic growth has been hindered by the outbreak of civil war and influx of refugees from the neighboring countries. Corruption is another problem that has stalled growth which can be seen from the fact that Zambia is ranked 101 on the corruption perception index. Very recently, Sweden and Netherlands stopped aid to Zambia due to rampant corruption allegations. All these problems add to the ineffectiveness of aid on the growth of Zambian economy which can explain why the two-gap model failed to forecast the ineptness of aid.The effect of aid on growth can also be explained using two basic but important models, namely Harrod Domar model and the Solow model. Although the upshot of aid on growth is a multidimensional and complex process we only take into account the effect of aid on variables defined in these two models. The main focus of our discussion will be the saving rate which comes out to be the most imperative variable in both these models. We start through the basic Harrod Domar model. Capital output ratio, capital labor ratio and labor output ratio are assumed to be constant.Some of the important relations are as follows: S=s. Y (2) (3) (1) g= (s/v)-(? ) S=I Where: Y is income S is total saving I is Investment ? is depreciation of capital According to this model, growth can be increased by increasing s, decreasing v or decreasing ?. We shall mainly focus on the relation of aid on growth through the savings rate channel. Countries ask for aid mainly due to its perceived beneficial effect on the savings rate. As shown, saving equals investment in the Harrod-Domar model, subsequently an increase in savings will result in an increase in investment.This increase is supposed to boost the growth rate of the recipient country. Michael P. Shields offer an interesting explanation of the relation of foreign aid on growth in his paper â€Å"foreign aid and domestic savings: the crowding out effect†. If foreign aid is expected to increase savings, then equation (3) becomes g=(s+fa)/v -? Where fa is foreign aid as a proportion of income (4) (s+fa) represents the total funds available for backing investment. According to this equation, an increase in foreign aid is supposed to increase the total saving funds and hence investment by an equal amount.This suggests that an each additional dollar of foreign aid should result in a one dollar increase in investment in the economy of the recipient country. Reality however is not that perfect and it is too generous for anyone to assume such a one-to-one increase in investment from aid. Famous economist Edward Griffin offers a criticism of such approach. According to him foreign aid should be taken so as to supplement income rather than having a direct impact on savings. In such a case, an increase in income by the amount of foreign aid fa would increase consumption by (1-s). a, thus increasing the investment by s. fa. In such a case, domestic savings can be crowded out by foreign aid by the net amount –(1-s)fa which equals (s-1)f a. Markedly, foreign aid can crowd out private savings and investment, resulting in a decrease in growth as suggested by the Harrod Domar model. The main obstacle in the way of growth in the Harrod-Domar model is the phenomenon of aid filtering out into increased consumption (1-s). fa. Aid has to be spent on investment or has to increase the saving rate (both eventually come out to be the same) for a country to grow.To see a practical example of this, we consider Pakistan, which is a country largely dependent on foreign aid. During the period 1952-2002, the total amount of aid given to Pakistan equaled 63703 million US dollars. Ghulam Mohey-ud-din examines in his paper â€Å"Impact of foreign aid on economic development in Pakistan†, the reasons for aid not resulting in the required growth for Pakistan. He states three main reasons for the failure of aid to account for growth. First of all, a staggering 58% of this total aid (approx. 6945 million US dollars) was tied to devel opment of large projects while only 13% (approx 8281 million US dollars) accounted for non-food and BOP aid. Such a large portion of aid (58%) going towards consumption invariably meant that the effect on savings was going to be very minute. Thus, financial aid tended to crowd out saving and investment. Secondly, while the nominal aid gradually increased, in reality, aid as a percentage of gross national income fell from approximately 7. 6% in 1960 to nearly 3% in 2002. This meant that aid was not catching up to the required increase in the GNI of Pakistan.Thirdly, along with the increase in aid came the burden of burgeoning foreign debt. This required huge amounts of debt servicing which reduced Pakistan’s current account. As previously explained, aid was already not resulting in much growth due to it crowding out savings and investment. An additional burden of debt servicing did the government no better. Accordingly, its GDP growth rate was subject to constant fluctuations and Pakistan could never attain sustainable growth. The growth rate reached a peak of 10. 22% in 1953 but since then, the average growth has gone down with the exception of one or two years.In 2002, the GDP growth rate stood at 4. 73%. Aid during a whole half of a century could not result in sustained economic growth. Another approach that looks at the impact of foreign aid on growth is the poverty trap. Many poor developing countries face an inability to grow at reasonable rates due to getting stuck in a poverty trap, which can be defined as a self-reinforcing mechanism which causes poverty to persist. We use the Solow model to analyze how aid can be used to pull countries out of this poverty trap and onto the path of self-sustaining economic growth.We assume the basic assumptions of Solow model to be true. Thus, we assume constant returns to scale production function and diminishing returns to capital. The final and important relation of the Solow model is ? k=s. y-(n+? ). k (5) k is capital per worker n is population growth Philipp Harms and Matthiaz Lutz depart from this conventional Solow model by assuming that people have to satisfy their basic consumption needs for which savings are zero until per capita income does not exceed a certain level. The modified Solow diagram is shown belowTwo steady states are shown in the above figure. k* is an unstable steady state while k** is a stable steady state. If the country’s initial capital per worker is below the unstable steady state k*, then the country is stuck in a potentially dangerous poverty trap. Low income levels result in low saving which leads to lower investment in capital stock. Increasing depreciation ? of capital will further lower the capital per worker k and result in even lower income. This vicious cycle of poverty and lack of growth will keep re-enforcing each other unless the country is given a push start.This push can be in the form of aid, which may impact the savings rate s as discus sed in the extended Harrod Domar model. Furthermore, aid in the form of foreign capital inflow can also increase capital per worker, consequently pushing the country out the poverty trap. Now we come to the analysis of growth patterns in two Arab countries namely Egypt and Palestine. We will explore the amounts and type of aid given to these countries and then investigate their underlying effects on various growth variables based on the Solow and Harrod Domar models discussed earlier in the paper.With this in mind, we turn to the empirical evidences which show that: 1. ODA/GNI ratio for Palestine has increased during the period 2000-2005, while that of Egypt has decreased during the same period. 2. ODA/Capita for Palestine has increased to $500 during the period 2000-2005, while ODA/Capita for Egypt has come down to $15 in 2003 from $179 in 1979. 3. In Egypt, 13% of the total aid was tied whereas in Palestine 8% was tied. 4. Technical aid provided to Egypt was 44% while that of Pale stine was 16% of total aid during the period 2000-2004. 5.In Egypt, education was given the highest priority among the aid allocated to the social sector. While in Palestine, Education was the second lowest recipient of aid allocated to the social sector. 6. In Palestine, growth rate of real GDP from 2003-2005 was 35. 50%, while the percentage change in real GDP for Egypt was 127. 46 for the same period. ODA/GNI ratio signifies the dependency of the recipient country on the donor for foreign aid. A large increase in the ODA/GNI ratio of Palestine meant that it was becoming more and more dependent on foreign aid for support, while the opposite was true for Egypt.Consequently, Palestinian institutions kept weakening and were not given the incentive to develop due to their heavy reliance on outward help. On the other hand, Egypt’s lower dependency on foreign aid meant that it was getting increased opportunities to develop its institutions and stand up on its own feet. As the ODA /capita of Palestine increased to alarming heights, it signaled the reliance of Palestine on foreign donations. This could have created a moral hazard problem for the rulers of Palestine who knew that growth would result in drawing back of aid.In such a scenario, the incentive to grow could have actually vanished. Conditional or tied aid has great disadvantages because the recipient government cannot spend the aid on their desired projects. Moreover, tied aid has to be spent on specific and predetermines projects. As discussed earlier in the paper, if foreign aid is diverted to such consumption, it has the tendency to crowd out investment and savings. Although Egypt had a greater share of tied aid than Palestine, however the small size and weak economy of Palestine meant that even 8% of tied aid had a profound effect on its growth.Egypt was provided more technical aid than Palestine. Technical aid in turns translates into higher Theta in the extended Solow model. An important relati on of this model is ?ke= s. ye-(n+? +theta) k Therefore higher technical aid for Egypt resulted in higher effective capital per labor and in turn higher growth than Palestine. The allocation of higher portion of aid to education by Egypt as compared to Palestine means that Egypt is contributing more to its human capital. This will in turn again stimulate theta in the extended Solow model, resulting in increase growth rate of Egypt.In the light of above discussion, it can be said that the effect of aid on growth does not only depend on variables explained in the models above. Many other factors play a vital role in this link as well. As seen in the case of Zambia, the macroeconomic and political stability are pre-requisites which feed into this complex relation as well. The aid distribution plan should be effective and free of corruption of all sorts for it to have an impact on growth. A major chunk of aid should be distributed towards the saving and investment channel.While our anal ysis has tried to determine a link between aid and development, it still carries some shortcomings. The assumptions used in the models such as a fixed capital output ratio are too stringent and do not carry much weight in the reality. Some variables such as savings rate s and productivity theta are determined exogenously, while the macro/microeconomic conditions determining these variables could also affect the impact of aid on growth. Nonetheless, the analysis provides useful insight into the complex relation of aid and growth.