MPS members disagreed among themselves over whether foreign investment hurts recipients

Evidence

Some of the participants were at odds with Davenport’s presentation of Bauer’s principled position against foreign aid. Gudin did not agree with some statements of Davenport (who apparently had suggested “that blank cheques” were a common foreign aid practice), and he referred to his fellow MPS member Erik Lundberg’s position on private foreign investment: “sometimes it is very costly to the country which receives it” (MPS Quarterly 1, 1959, 23), because second-rate machinery had been imported at high interest rates, for example. — Philip Mirowski & Dieter Plehwe (eds.), The Road from Mont Pèlerin, 1328

Categorization

• XREF: Gudin and Lundberg conceding that foreign investment can be costly echoes later dependency-theory claims from the Global South—evidence that the MPS-aid cleavage was not simply North versus South. — connects to: Even early MPS figures split over whether to reject foreign aid entirely — Philip Mirowski & Dieter Plehwe (eds.), The Road from Mont Pèlerin: The Making…, 1327; Neoliberal economists disagreed sharply on whether foreign aid does harm — Philip Mirowski & Dieter Plehwe (eds.), The Road from Mont Pèlerin: The Making…, 1775

Broader Connections

• Neoliberal economists disagreed sharply on whether foreign aid does harm #corroborates (0.80) — Philip Mirowski & Dieter Plehwe (eds.), The Road from Mont Pèlerin, 1775