First, poverty is caused by national economic systems that block the incentives and opportunities of the poor to improve their lives for themselves, their neighbors and their country, and such a vicious cycle of poverty cannot be broken by an infusion of foreign capital. Some poor countries, such as Liberia, have received more than a billion dollars to tackle poverty and other problems, but governments still lack the ability to make policy reforms, such as educational development. It is clear that African governments, which take Western aid for granted, are not committed to economic reform but to distributing the money.

In addition, governments in these poor countries are likely to become more corrupt as International aid flows into them. As a result ,a  lot of international aid is spent by senior government officials, a large part of foreign aid has not contributed to Africa's self-improvement and development, but has only made life increasingly rich and luxurious for a small number of people.

Q2: Extractive institutions is reflected in depriving and squeezing the majority of people of the motivation and opportunities to improve their lives, thus leaving the whole society in a state of poverty.

International aid to Africa cannot solve Africa's economic problems, but will keep Africa in poverty. As loans are the main way for IMF and World Bank to issue aid funds, and extractive institutions in receiving countries have the highest right to distribute these funds, it is difficult for donors to control the real use of funds. The conditionality attached to aid money turned out to be a dead letter.
Since the recipient country ultimately has to pay back the loans in the form of taxes, the preferential loans end up being huge debts owed by taxpaying citizens rather than the government, resulting in an even greater gap between the rich and the poor.

Q3: Long-term development can be achieved through international assistance only when governments are stable, countries are free from corruption, and human rights, the rule of law and transparent information are guaranteed.


Q4: The  “golden thread” idea means using not only international aid but also international diplomatic relations to encourage reform in the many parts of the world that are still under the control of the extractive institutions. This implies the need to use financial and diplomatic clout to create space for inclusive institutions.

Q2: These agencies often have the power to receive donations directly from the UN. But the donations are often spent by the powerful people who control them rather than going to the poor. Impact: There is no significant economic growth in poor countries. Often the poor do not receive enough aid and the powerful get richer.
Q3: Stable government, lack of corruptions, human rights, the rule of laws and transparent information
Q4: With globalization the World Bank and International Management encourage developing countries to go through market reforms and radical changes through large loans. Many developing nations began to take steps to open their markets by removing tariffs and free up their economies. 
The developed countries were able to invest in the developing nations, creating job opportunities for the poor people. developed countries could help developing countries to understand the importance of stable government,  and help them understand the drawbacks of their system rather than simply giving economic help, which is the benefit of globalization

Therefore, it seems that the aid programs given by the United Nations have made very limited tangible changes. Sovereign countries still have to rely on their own strengths and efforts to change poverty, and do not rely solely on international aid.

Q2: The extractive institutions mentioned in the author's article prevent the aspirations of poor people in some countries to have the same opportunities and chances, good health care, clean running water in their homes, and quality schools for their children. The article suggests that poverty is created and sustained by extractive institutions. It is a deterrent to economic growth in individual countries. The article argues that when aid is provided to governments that preside over extractive institutions, it is at best irrelevant and at worst completely counterproductive. This has a negative impact on both the poor and international aid, and should encourage reform in many parts of the world that remain under the control of extractive institutions.

Q3:
David Cameron mentioned "golden thread" as long-term development through aid only happens if there is a ‘golden thread’ of stable government, lack of corruption, human rights, the rule of law and transparent information.

Q4:
The 'golden threat' is a condition of globalization and global governance, with international aid working under the 'golden thread' of stable governments, lack of corruption, human rights, rule of law, and transparent information. This means using not only aid but also diplomatic relations to encourage reform in many parts of the world that are still controlled by extractive institutions. It means using financial and diplomatic clout, such as the substantial financial and diplomatic clout the UK has, to help create space for inclusive institutions to thrive. This can be a daunting task, but it is the surest way to make poverty history.

Using financial and diplomatic clout (and Britain has plenty of both) to help create room for inclusive institutions to grow.