Glossary
Agribusiness lobby – the lobbyists who influence policy (including legislation such as the Farm bill and foreign aid decisions including Food Aid) on behalf of large food industry corporations such as Cargill and Arthur Daniels Midland
Agricultural development – development of the agricultural sector of the economy. Despite its enormous importance for local food and livelihoods, international public financial support for agriculture has greatly diminished along with attention to the sector.
Agro-ecological approach – The agro-ecological approach is a holistic approach to agriculture based on traditional knowledge and local food system experiences. This includes multi-cropping, the practice of growing several crops together, and in this way mimics the diversity and resource efficiency of a natural ecosystem.
Arbitrage - The simultaneous purchase and sale of an asset in order to profit from a difference in the price; the act of taking advantage of the price difference.
Biofuels – Fuel derived from plant sources. Most of the biofuels produced in the United States is derived from corn; Brazil produces large quantities from ethanol derived from corn. These are called “first generation” biofuels. More efficient and environmentally friendly “second generation” biofuels derived from grasses such as switchgrass are under development. Increases in US and European renewable fuel standards are driving a very controversial increase in biofuels production without a proper understanding of the costs to food production, livelihoods or the environment, especially in developing countries.
Center for Global Development – is a Washington DC-based think tank which analyzes and issues reports on a number of development issues.
Climate Change – Climate change is a term used to express unexpected changes in climate – rising temperatures, change in rain patterns, increased droughts, etc. – that result because of human-induced global warming.
Derivatives – a financial product or instrument, the value of which depends indirectly on the price of a cash instrument (referred to as the "underlying" price). Examples of cash instruments include actual shares in a company, physical stocks of commodities and cash foreign exchange. Examples of derivative instruments include options, futures, swaps and structured notes.
Ecological resources – resources that come from the natural environment, such as habitats, fish and wildlife, and water.
Financial Services Committee of the US House of Representatives – also commonly referred to as the House Financial Services Committee is the Committee staffed by Congressional Representatives charged with oversight of a wide-range of financial matters, including the foreign aid expenditures made by the World Bank and the International Monetary Fund.
Free-trade model – classical economic theory holds that each country should specialize in what it can produce relatively better than other countries and should allow for the free flow of goods, services and labor among countries. The free-trade model is based on this theory (except for the free flow of labor), so that countries would lower tariffs and other trade barriers and has been promoted as a key element of economic reform programs promoted by rich countries. In fact, the United States and other developed countries did not follow this model in their own historical development. They protected key sectors until they were able to compete internationally.
Global Environment Facility (GEF) - The GEF was established in 1992 as a mechanism to fund project and programs intended to protect the global environment. The GEF currently provides the most significant funding for adaptation. ActionAid finds the GEF to be a problematic institution because of its undemocratic system of governance, lack of civil society participation, and lack of access for the most vulnerable communities. For more information, please see the ActionAid report, “Compensating for Climate Change: Principles and Lessons for Equitable Adaptation Funding.”
global North - Refers to countries in the northern hemisphere of the planet; the majority of these countries are rich countries, and decision making about development policies are made by governmental representatives from countries in the global North.
global South – Refers to countries in the southern hemisphere of the planet; the majority of countries in the global south are poor countries, yet they are exploited for their various resources, such as their land and labor, by rich countries in the northern hemisphere (or global North).
Global Warming - is the increase in the average temperature of the Earth's near-surface air and oceans. Human activities, such as the burning of fossil fuels and deforestation, have led to an increase in greenhouse gases concentration in the air which, in turn, causes climate change.
Hedge fund – are investment pools financed by private investors. They are very secretive in their operations and are not currently subject to regulation. The term “hedge” comes from hedging a bet because hedge funds initially exploited small price differences available over time when buying one stock and short-selling (selling a security in the hope of repurchasing it later at a lower price) another. Current practice includes risky techniques such as highly leveraged trading (buying securities based on paper value without the real money collateral on hand to back up the commitment if the security’s price drops significantly).
HIPC - The Heavily Indebted Poor Countries (HIPC) initiative, launched in 1996, was the first attempt by creditors to deal with the debts of the poorest countries in a comprehensive way. HIPC was historic because the debts of the World Bank and the IMF (“preferred creditors” to whom debts have always to be repaid first) were included for write-off. HIPC has come under critique in recent years because the conditions the IMF/WB imposed for countries to qualify for debt-relief through HIPC included countries having to implement structural adjustment programs (SAPs) including having to sell to private investors public goods such as water services and also having to cut their spending in health and education services. In short, the cost of emerging from the debt burden was high human suffering and having to do without safe water, health care and education.
Independent Evaluation Office – (IEO) of the International Monetary Fund. This is an internal entity which evaluates IMF actions, policies and investments and assesses their effectiveness along with providing recommendations for change.
Inflation targets – specific rates of inflation the IMF insists countries abide by in exchange for receiving funding.
In-kind food aid - actual food (as opposed to funding) purchased or donated and then delivered to populations in need of food.
Intergovernmental Panel on Climate Change - (IPCC) - The IPCC is a scientific intergovernmental body. It was in established in 1988 to provide decision-makers and others interested in climate change with an objective source of information about climate change. Its role is to assess the latest scientific, technical, and socio-economic literature produced worldwide relevant to the understanding of the risk of human-induced climate change, its observed and projected impacts and options for adaptation and mitigation.
International Monetary Fund - is the “sister” organization of the World Bank; both organizations were created at the Bretton Woods Conference in 1944. Over time and a process of mission-creep, the IMF is now trying to play the role of determining whether any given developing country is credit-worthy, i.e. should receive funds from donor countries for its development work. ActionAid opposes the IMF usurping this signaling role and also calls upon the IMF and those in the US government who have oversight of its policies to loosen the very restrictive inflation and deficit spending targets the IMF obliges developing countries to comply with in exchange for receiving donor funds.
Low-carbon paths – The US and other rich countries have developed primarily by using energy sources such as goal, gas, and oil. These energy sources are considered “dirty” energy because, when burned, they emit large amounts of carbon dioxide – a greenhouse gas largely responsible for global warming -- into the air. Today, through solar panels, wind farms, and other new technologies, countries have the opportunity to develop by using “clean” sources of energy that emit little to no carbon dioxide or other greenhouse gases. Using such energy sources is described as being on a “low-carbon path.”
Micro-irrigation schemes - Micro irrigation schemes are irrigation methods using small flow rates to conserve water and foster crop growth. Well performing micro-irrigation schemes will provide a level of water close to optimum for plant growth. During the dry seasons and in arid climates, micro irrigation can have a positive effect on quality and quantity of crop yields.
North American Free Trade Agreement – NAFTA is a free trade agreement signed in 1994 between the United States, Canada, and Mexico.
Rain-fed agriculture – agricultural crops that are dependent on rainfall for their growth
Rights-based approach - A rights-based approach uses human rights as a framework to guide the development process. It starts from the assumption that people have a human right to achieve economic, social and cultural development.
Sovereign debt – a debt instrument guaranteed by a government; a bond.
Strategic Crisis Fund – defined in the text
Structural adjustment programs – (SAPs) mandate macroeconomic policy changes that obligate recipient nations to liberalize –open to global markets- their trade and investment policies. SAPs share a common objective: to move countries away from self-directed models of national development that focus on the domestic market and toward outward-looking development models that stress the importance of complete integration into the dominant global structures of trade, finance, and production.
Sustainable agriculture programs –Sustainable agriculture refers to the ability to use the land to produce food in a way that will preserve the land and allow others to use the land and grow food for generations to come. Unfortunately, many farming practices today are not sustainable. For example, many farmers still use farming techniques that cause long-term damage to soil and waste water by over-irrigating land. Sustainable agriculture programs would use water and soil conservation practices that would lead to increased environmental and agricultural benefits and would require many fewer agrochemicals.
Trade – trade is the exchange of goods and services among countries. International trade rules govern how those exchanges take place. Current international trade rules go far beyond goods and services to include rules on patents, investment, and public services.
US Government Accountability Office – The US GAO is US Congress’ investigative arm charged with examining matters relating to the receipt and payment of public funds. It produces reports that analyze the effectiveness of government programs and makes recommendations on how they should be reformed to better meet their stated objectives.
US Treasury Department – recommends and implements economic, fiscal and monetary policies for the US; regulates all financial institutions chartered by the US. The US representatives on the Executive Boards of the IMF and the World Bank take their marching orders from the US Treasury Department.
United Nations – The United Nations charter was drawn up by representatives of 50 countries in the summer of 1945 and was formally constituted later that year. The UN system is a significant forum for multilateral diplomatic work and has several programs and funds active in priority development work including the UN Development Program, the World Food Program, the Office of the United Nations High Commissioner for Refugees and the United Nations Development Fund for Women. ActionAid liaises with various UN offices in pursuit of effective development assistance for poor people around the world. United Nations International Covenant on Economic, Social and Cultural Rights - is a treaty adopted by the United Nations General Assembly in December 1966. It commits nation state parties to work toward the granting of economic, social, and cultural rights to individuals. President Jimmy Carter signed the ICESCR in 1977. However, given that the International Covenant on Economic, Social, and Cultural Rights would provide a binding right to food under international law, it comes as no surprise that the United States has yet to ratify it. United Nations Development Program - UNDP is the UN's global development network. UNDP advocates for change and connecting countries to knowledge, experience and resources to help people build a better life.
United Nations Educational, Scientific and Cultural Organization – (UNESCO) This UN body conducts research and implements programs to increase access to participation in education, scientific and cultural activities.
United Nations Framework Convention on Climate Change (UNFCCC) – The UNFCCC is an international treaty signed by 189 countries. The treaty, to which the United States is party, considers what can be done to reduce global warming and to cope with the inevitable increases in temperature.
United Nations Intergovernmental Panel on Climate Change (IPCC) - The IPCC is a scientific intergovernmental body. It was in established in 1988 to provide decision-makers and others interested in climate change with an objective source of information about climate change. Its role is to assess the latest scientific, technical, and socio-economic literature produced worldwide relevant to the understanding of the risk of human-induced climate change, its observed and projected impacts and options for adaptation and mitigation.
United Nations Millennium Development Goals/UN Millennium Development Goals - The eight Millennium Development Goals (MDGs) are time-bound measurable development targets agreed to by representatives of the world’s countries, development institutions and donors gathered at the UN Millennium Summit in 2000. They call for specific achievements – halving extreme poverty, halting the spread of HIV/AIDS, providing universal primary education - by 2015 and provide indicators against which citizens around the world can hold governments accountable for taking action or not to achieve them. Universal Declaration of Human Rights – adopted December 10, 1948 by the General Assembly of the United Nations, the UDHR lists in 30 articles the basic rights of all human beings agreed to at that time, including the right to life, liberty and security of person; the right to an education; the right to participate fully in cultural life; freedom from torture or cruel, inhumane treatment or punishment; and, freedom of thought, conscience and religion. US-Colombia Free Trade Agreement – The US – Columbia Free Trade Agreement is a trade agreement between US and Colombia. Like other free-trade agreements negotiated by the US government, it includes rules on trade, public services, patent protection and investment.
World Bank – The World Bank is the largest public development institution in the world, meaning it lends public money (citizens’ collective tax revenues) to national governments around the world at reduced interest rates to support development projects. During its tenure, poverty rates and specifically income inequality have sky-rocketed, generating strong critiques about its policies and projects among advocates for poor people the world around as well as former and current senior World Bank staff. ActionAid regularly critiques and calls for reforms to the loan conditions the World Bank forces countries to accept in exchange for loan money and also the voting structure of the World Bank’s Board, which endows developed countries with an unfair advantage over decision-making.
World Health Organization (WHO) – the public health arm of the UN system. The WHO issues reports and statistics useful in monitoring health conditions the world around, including measuring the achievement of MDGs for health
World Trade Organization - The World Trade Organization (WTO) is a global international organization dealing with the rules of trade between nations. The WTO produces accords governing trade in agriculture, services, industrial goods and other matters related to the global economy. Current talks for a new round of agreements (the “Doha” round) have been deadlocked for over a year because of disagreements between developed and developing countries.
