In This Review

The Other War: Global Poverty and the Millennium Challenge Account
The Other War: Global Poverty and the Millennium Challenge Account
By Lael Brainard, Carol Graham, Nigel Purvis, Steven Radelet, G
Brookings Institution Press, 2003, 265 pp

In 2002, President Bush launched the Millennium Challenge, promising a three-year, $10 billion increase in foreign aid to poor countries that have demonstrated some capacity to govern themselves and a substantive interest in economic development. In other words, the United States would reward performance, not loyalty or strategic value, in doling out aid dollars. Such conditioning was a bold idea, and this book is effectively a handbook for policymakers on managing this new approach to foreign assistance. It addresses performance criteria, how the money should be spent, and the organization and governance of the administering agency -- all with a specificity that only those involved in administering aid will fully appreciate. Unfortunately, the administration's budget requests for fiscal year 2004 and beyond do not match the president's initial promises.