The Origins of US Bilateral Foreign Assistance. The Marshall Plan – A Benchmark for Con- temporary Foreign Aid?

Abstract

As an examination of the origins of US foreign assistance, this paper focuses on the Marshall Plan, widely regarded as its starting point. The unique circumstances that steered the US away from multilateral channels for the provision of aid, led it to opt for a bilateral program instead, effectively making foreign aid a political tool. Through a contemporary lens, the paper analyses the programme’s design, its actual and perceived impact, its significance in the evolution of US. foreign aid, and the role it played in Europe’s economic recovery after WWII.