Foreign Aid: Hoodwinked

Of the 79 nations receiving help under the U.S. foreign aid program, none is so exasperating as Indonesia. Despite $881 million in U.S. handouts since 1946, Indonesia is an economic shambles. Factories lie idle for lack of spare parts, roads go unrepaired, and harbors clog with silt. "In Indonesia," the saying goes, "chaos is organized." Only Communist-coddling President Sukarno's 400,000-man military force seems to thrive.

Indonesia has thus been a prime target of foreign aid critics on Capitol Hill—and last week they were really steamed up. Released was testimony taken last June...

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