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The massive U.S. economic aid program for Egypt initiated in 1975 resulted in a bilateral aid relationship shaped by the interaction of political and development goals. In this study of the program's origins and consequences, Professor Weinbaum describes its scope and identifies the constraints that delayed and limited program implementation. The author discusses the modest U.S. leverage designed to encourage economic reforms and argues that far-reaching reforms could only be attained through a major change in Egypt's political structure. He finds that, despite its failure to make Egypt more economically self-reliant, U.S. assistance has enabled the country to attain a level of consumption and development planning possible with no other alternative. The profit to the United States results from the regime's moderate foreign policies and compatible views on strategic threats to the region. Despite the mutual benefits of this aid program, Professor Weinbaum concludes that the United States must display greater sensitivity to Egypt's political and economic problems if the "special relationship" is to survive through the 1980s.
The U.S. Economic Assistance Program for Egypt Poses a Management Challenge for AID
From the ground up the story of missed opportunities, mixed messages, and mutual frustrations in American relations with Egypt at a seminal time. Unprecedented in its drawing on Egyptian official sources, Hopes Dashed sheds new light on the difficulties and challenges of a nascent relationship characterized by missed opportunities, mixed messages, and mutual frustrations. However beneficial the intentions of those on the ground, their desire for Egyptian economic development was stymied by bureaucratic obstacles both in Egypt and the United States. And as Egypt became embroiled in the Cold War, policy decisions increasingly were made at higher levels by officials more concerned with geopolitical and Arab-Israeli issues and less how U.S. assistance could help the domestic political economy of Egypt. Alterman compellingly shows how the interests of both countries diverged to eventually undermine an early American attempt at economic assistance.
Egypt's Capacity To Absorb and Use Economic Assistance Effectively
From the ground up the story of missed opportunities, mixed messages, and mutual frustrations in American relations with Egypt at a seminal time. Unprecedented in its drawing on Egyptian official sources, Hopes Dashed sheds new light on the difficulties and challenges of a nascent relationship characterized by missed opportunities, mixed messages, and mutual frustrations. However beneficial the intentions of those on the ground, their desire for Egyptian economic development was stymied by bureaucratic obstacles both in Egypt and the United States. And as Egypt became embroiled in the Cold War, policy decisions increasingly were made at higher levels by officials more concerned with geopolitical and Arab-Israeli issues and less how U.S. assistance could help the domestic political economy of Egypt. Alterman compellingly shows how the interests of both countries diverged to eventually undermine an early American attempt at economic assistance.
Gamal Abdel Nasser's 1955 decision to barter Egyptian cotton for Soviet bloc weaponry thrust Egypt onto center stage in the Cold War in the Middle East. What Egypt needed most, and what the United States was uniquely equipped to provide, was economic aid. For the Egyptian government--eager to take rapid strides toward economic development but crippled by a burgeoning population, a paucity of arable land, and a meager reserve of foreign exchange--American economic aid promised to serve as an enormously important crutch. For American policymakers, economic assistance appeared to be an ideal means of developing American influence in Egypt. Few aid relationships in the last three decades can mat...