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Development Assistance in Haiti: Where Has the Money Gone? Calhoun: The NPS Institutional Archive DSpace Repository Theses and Dissertations 1. Thesis and Dissertation Collection, all items 2014-12 Development assistance in Haiti: where has the money gone? Anderson, Scott M. Monterey, California: Naval Postgraduate School http://hdl.handle.net/10945/44512 Downloaded from NPS Archive: Calhoun NAVAL POSTGRADUATE SCHOOL MONTEREY, CALIFORNIA THESIS DEVELOPMENT ASSISTANCE IN HAITI: WHERE HAS THE MONEY GONE? by Scott M. Anderson December 2014 Thesis Advisor: Thomas C. Bruneau Second Reader: Robert E. Looney Approved for public release; distribution is unlimited THIS PAGE INTENTIONALLY LEFT BLANK REPORT DOCUMENTATION PAGE Form Approved OMB No. 0704–0188 Public reporting burden for this collection of information is estimated to average 1 hour per response, including the time for reviewing instruction, searching existing data sources, gathering and maintaining the data needed, and completing and reviewing the collection of information. Send comments regarding this burden estimate or any other aspect of this collection of information, including suggestions for reducing this burden, to Washington headquarters Services, Directorate for Information Operations and Reports, 1215 Jefferson Davis Highway, Suite 1204, Arlington, VA 22202–4302, and to the Office of Management and Budget, Paperwork Reduction Project (0704–0188) Washington DC 20503. 1. AGENCY USE ONLY (Leave blank) 2. REPORT DATE 3. REPORT TYPE AND DATES COVERED December 2014 Master’s Thesis 4. TITLE AND SUBTITLE 5. FUNDING NUMBERS DEVELOPMENT ASSISTANCE IN HAITI: WHERE HAS THE MONEY GONE? 6. AUTHOR(S) Scott M. Anderson 7. PERFORMING ORGANIZATION NAME(S) AND ADDRESS(ES) 8. PERFORMING ORGANIZATION Naval Postgraduate School REPORT NUMBER Monterey, CA 93943–5000 9. SPONSORING /MONITORING AGENCY NAME(S) AND ADDRESS(ES) 10. SPONSORING/MONITORING N/A AGENCY REPORT NUMBER 11. SUPPLEMENTARY NOTES The views expressed in this thesis are those of the author and do not reflect the official policy or position of the Department of Defense or the U.S. Government. IRB Protocol number ____N/A____. 12a. DISTRIBUTION / AVAILABILITY STATEMENT 12b. DISTRIBUTION CODE Approved for public release; distribution is unlimited 13. ABSTRACT (maximum 200 words) This thesis analyzes the level of effectiveness of the development assistance that Haiti has received since being struck by an earthquake on January 12, 2010. Despite receiving billions of dollars in development assistance, Haiti has little tangible results to show for all of the money spent. According to a 2014 report from the United Nations Special Envoy to Haiti, $6.43 billion of this aid has already been disbursed. This thesis analyzes the political and socioeconomic history of Haiti focusing on the progress and changes over the past five years since receiving the additional economic assistance and documenting the challenges facing Haiti moving forward. This thesis finds that Haiti the political and socioeconomic climate is extremely intricate and complex and progress is difficult to measure. It concludes that over half of the allocated funds have been allocated to consumable resources that do not provide any enduring benefit to the nation, but that many of the resources were spent on opportunistic NGOs without the knowledge or consent of the Haitian government. Despite historical precedence, the Haitian government needs more autonomy in determining its future if it is going to achieve enduring prosperity. 14. SUBJECT TERMS Haiti, economics, earthquake 15. NUMBER OF PAGES 81 16. PRICE CODE 17. SECURITY 18. SECURITY 19. SECURITY 20. LIMITATION OF CLASSIFICATION OF CLASSIFICATION OF THIS CLASSIFICATION OF ABSTRACT REPORT PAGE ABSTRACT Unclassified Unclassified Unclassified UU NSN 7540–01–280–5500 Standard Form 298 (Rev. 2–89) Prescribed by ANSI Std. 239–18 i THIS PAGE INTENTIONALLY LEFT BLANK ii Approved for public release; distribution is unlimited DEVELOPMENT ASSISTANCE IN HAITI: WHERE HAS THE MONEY GONE? Scott M. Anderson Major, United States Army B.S., Hope College (Holland, MI), 1999 Submitted in partial fulfillment of the requirements for the degree of MASTER OF ARTS IN SECURITY STUDIES (WESTERN HEMISPHERE) from the NAVAL POSTGRADUATE SCHOOL December 2014 Author: Scott M. Anderson Approved by: Thomas C. Bruneau Thesis Advisor Robert E. Looney Second Reader Mohammed Hafez Chair, Department of National Security Affairs iii THIS PAGE INTENTIONALLY LEFT BLANK iv ABSTRACT This thesis analyzes the level of effectiveness of the development assistance that Haiti has received since being struck by an earthquake on January 12, 2010. Despite receiving billions of dollars in development assistance, Haiti has little tangible results to show for all of the money spent. According to a 2014 report from the United Nations Special Envoy to Haiti, $6.43 billion of this aid has already been disbursed. This thesis analyzes the political and socioeconomic history of Haiti focusing on the progress and changes over the past five years since receiving the additional economic assistance and documenting the challenges facing Haiti moving forward. This thesis finds that Haiti the political and socioeconomic climate is extremely intricate and complex and progress is difficult to measure. It concludes that over half of the allocated funds have been allocated to consumable resources that do not provide any enduring benefit to the nation, but that many of the resources were spent on opportunistic NGOs without the knowledge or consent of the Haitian government. Despite historical precedence, the Haitian government needs more autonomy in determining its future if it is going to achieve enduring prosperity. v THIS PAGE INTENTIONALLY LEFT BLANK vi TABLE OF CONTENTS I. INTRODUCTION........................................................................................................1 A. MAJOR RESEARCH QUESTION................................................................1 B. SIGNIFICANCE OF THE RESEARCH QUESTION .................................1 C. LITERATURE REVIEW ...............................................................................3 D. POTENTIAL EXPLANATIONS AND HYPOTHESES .............................7 E. RESEARCH DESIGN .....................................................................................9 F. OVERVIEW AND FINDINGS .....................................................................10 II. HAITI’S GOVERNMENT AND ECONOMY ........................................................13 A. SPANISH RULE: 1492–1697 ........................................................................13 B. FRENCH RULE: 1697–1791 ........................................................................16 C. THE HAITIAN REVOLUTION: 1791–1804 ..............................................17 D. POST-REVOLUTION HAITI: 1804–1915 .................................................20 E. UNITED STATES MILITARY INTERVENTION IN HAITI AND AFTERMATH: 1915–1957 ...........................................................................22 F. THE DUVALIERIST REGIMES: 1957–1986 ............................................26 G. ARISTIDE AND HAITI’S TRANSITION TO DEMOCRACY: 1986– 2010..................................................................................................................29 III. SOCIOECONOMIC CONDITIONS IN HAITI .....................................................33 A. JANUARY 12, 2010: THE PORT-AU-PRINCE EARTHQUAKE ...........34 B. LEADERSHIP TRANSITION: THE MARTELLY ADMINISTRATION .....................................................................................36 C. AID AND RECONSTRUCTION EFFORTS IN RESPONSE TO THE EARTHQUAKE .............................................................................................39 D. SIGNS OF PROGRESS AND HOPE FOR THE FUTURE ......................47 IV. CONCLUSIONS ........................................................................................................51 APPENDIX .............................................................................................................................57 LIST OF REFERENCES ......................................................................................................59 INITIAL DISTRIBUTION LIST .........................................................................................65 vii THIS PAGE INTENTIONALLY LEFT BLANK viii LIST OF TABLES Table 1. Presidents of Haiti ............................................................................................57 ix THIS PAGE INTENTIONALLY LEFT BLANK x LIST OF ACRONYMS AND ABBREVIATIONS GDP Gross Domestic Product IDB Inter-American Development Bank MINUSTAH United Nations Stabilization Mission in Haiti NGO Non-Governmental Organization NSPFM National Systems for Public Financial Management and Procurement UN United Nations USAID United States Agency for International Development WHO World Health Organization xi THIS PAGE INTENTIONALLY LEFT BLANK xii ACKNOWLEDGMENTS I would like to extend my most sincere appreciation to my thesis advisor, Professor Thomas Bruneau, and my second reader, Professor Robert Looney, for the amount of time they have devoted to making this thesis a reality and for their unwavering patience throughout this process. I am deeply grateful for your wisdom and guidance. To my family and friends, I would not have been able to accomplish this task without your love and support. I am truly blessed to have you in my life. xiii THIS PAGE INTENTIONALLY LEFT BLANK xiv I. INTRODUCTION A. MAJOR RESEARCH QUESTION The aim of this thesis is to analyze the level
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