In September, at the UN Millennium Summit meeting of heads of state, in New York, leaders of wealthy nations will emphasize their commitment to deeper debt relief and increased aid programs for developing countries.
The Millennium Development Goals, the centerpiece of the conference's program, call for halving the levels of world poverty and hunger by The summit will focus on increasing international aid to 0. With respect to global trade, efforts will center on the Doha Round of multilateral trade negotiations and opening markets to important exports such as cotton from developing countries. The discussions will thus proceed based on two implicit but critical underlying assumptions: that wealthy nations can materially shape development in the poor world and that their efforts to do so should consist largely of providing resources to and trading opportunities for poor countries.
These assumptions ignore key lessons of the last four decades -- and of economic history more generally. Development is something largely determined by poor countries themselves, and outsiders can play only a limited role.
Developing countries themselves emphasize this point, but in the rich world it is often forgotten. So too is the fact that financial aid and the further opening of wealthy countries' markets are tools with only a limited ability to trigger growth, especially in the poorest countries. The tremendous amount of energy and political capital expended on these efforts in official circles threatens to crowd out attention to other ways in which rich countries could do less harm and more good.
A singular focus on aid and market access at the September Millennium Summit should not leave other potentially rewarding measures on the back burner. Consider Nicaragua and Vietnam. Both are poor countries with primarily agricultural economies. Both have suffered from long periods of conflict. But this must happen alongside a change in international social norms so that we all recognise the collective benefits of a poverty-free world. Added to basket.
NPR Choice page
Jordan B. The School of Life. Rebel Ideas. Matthew Syed. Enlightenment Now. Steven Pinker. To See Clearly. Suzanne Fagence Cooper. The Social Contract.
Looking good and making a fast buck? Why rich countries help the poor.
Jean-Jacques Rousseau. Shoukei Matsumoto. The Tipping Point. Malcolm Gladwell. The Daily Stoic. Ryan Holiday. Learning from the Germans. Susan Neiman.
Utopia for Realists. Rutger Bregman.
Skin in the Game. Nassim Nicholas Taleb. The Order of Time. Carlo Rovelli.
It's not aid in reverse, illicit financial flows are more complicated than that
Your review has been submitted successfully. Not registered? Forgotten password Please enter your email address below and we'll send you a link to reset your password.
- Should Rich Nations Help the Poor? | Environment & Urbanization.
- Aid in reverse: how poor countries develop rich countries?
- GDI Lecture series: Should Rich Nations Help the Poor?.
- JIMD Reports, Volume 29.
- News from CROPNET;
- The Ending of Roman Britain.
- Formal Aspects of Security and Trust: 8th International Workshop, FAST 2011, Leuven, Belgium, September 12-14, 2011. Revised Selected Papers.