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The article focuses on U.S. President George W. Bush's foreign aid program known as the Millennium Challenge Corporation (MCC). George W. Bush's flagship foreign-aid programme is under fire. Since 2002, when the president promised to set it up, the Millennium Challenge Corporation has found only four relatively small poor countries to give money to. Last week, the MCC's chief executive, Paul Applegarth, announced that he was quitting. The MCC is unloved by both left and right. A Republican-led House of Representatives sub-committee has just recommended nearly halving its budget, to $1.75 billion next year. American liberals suspect it is part of Bush's conspiracy to conservatise the world. And Europeans mock the MCC as slower, meaner and more ideological than their own aid programmes.

Declares that U.S. President Bill Clinton has said he would sign away the federal guarantee of welfare to poor families that has existed since 1935. Reasons behind the welfare program; Information that poor Americans to get help only for limited periods; Impact of reforms on single mothers and children in the country who depend on the existing system; President's declaration that the existing system encourages a cycle of dependency; Argument on the political risk associated in the president's decision; Polls suggesting that most Americans dislike the welfare system.

The article discusses whether United States President George W. Bush means what he says about being a compassionate conservative. Back in 2000, Bush defined himself as a compassionate conservative. This was partly a matter of branding: he softened the image of his party by talking about spending more money on education and health. But compassionate conservatism was also presented as a new way to help the poor: its aim was to use public money and private donations to involve churches, temples and mosques in America's social policy. Yet compassionate conservatism has been inadequately financed, not supported by any real political commitment and representative of a huge gap between the president's rhetoric and practice. David Kuo, the former deputy director of the White House's Office of Faith-Based and Community Initiatives, argued in Beliefnet.com, a religious website, that Bush's "promises remain unfulfilled in spirit and in fact."

Reports on the success of welfare reform in the United States as of summer 2001. Importance of the social policy change encompassed by reform which has rekindled the nuclear family; Data on the economic success of reform; Challenges for America and Europe in the treatment of the poor.