WORLD POVERTY
The Standard “Shocking Stats”
•Half of the World Lives on Less Than $2.50/Day
•95%: Less Than $10/Day
•GDP of the 41 “HIPC” Countries Less Than Combined Wealth of World’s 7 Richest People
It’s Not Getting Any Better
The Widening Gap
•More Than 80% of World’s Population Lives In Country With Widening Gap
•The Richest Country Also Owns Widest Gap
•9 Million+ Millionaires in U.S. (2006)
•Richest 1% Own 38% of Wealth
National Level International Level
•Distance Between Richest/Poorest Countries:
•1820 --- 3:1
•1913 --- 11:1
•1950 --- 35:1
•1973 --- 44:1
•1992 --- 72:1
It’s Not Getting Any Better
The Widening Gap
•More Than 80% of World’s Population Lives In Country With Widening Gap
•The Richest Country Also Owns Widest Gap
•9 Million+ Millionaires in U.S. (2006)
•Richest 1% Own 38% of Wealth
National Level International Level
•Distance Between Richest/Poorest Countries:
•1820 --- 3:1
•1913 --- 11:1
•1950 --- 35:1
•1973 --- 44:1
•1992 --- 72:1
It’s Not Getting Any Better
The Widening Gap
•More Than 80% of World’s Population Lives In Country With Widening Gap
•The Richest Country Also Owns Widest Gap
•9 Million+ Millionaires in U.S. (2006)
•Richest 1% Own 38% of Wealth
National Level International Level
•Distance Between Richest/Poorest Countries:
•1820 --- 3:1
•1913 --- 11:1
•1950 --- 35:1
•1973 --- 44:1
•1992 --- 72:1
It’s Not Getting Any Better
The Widening Gap
•More Than 80% of World’s Population Lives In Country With Widening Gap
•The Richest Country Also Owns Widest Gap
•9 Million+ Millionaires in U.S. (2006)
•Richest 1% Own 38% of Wealth
National Level International Level
•Distance Between Richest/Poorest Countries:
•1820 --- 3:1
•1913 --- 11:1
•1950 --- 35:1
•1973 --- 44:1
•1992 --- 72:1
World Bank: Poverty Decline Since 1981
It’s Not Getting Any Better
The Widening Gap
•More Than 80% of World’s Population Lives In Country With Widening Gap
•The Richest Country Also Owns Widest Gap
•9 Million+ Millionaires in U.S. (2006)
•Richest 1% Own 38% of Wealth
National Level International Level
•Distance Between Richest/Poorest Countries:
•1820 --- 3:1
•1913 --- 11:1
•1950 --- 35:1
•1973 --- 44:1
•1992 --- 72:1
World Bank: Poverty Decline Since 1981
• China: 85% to 15.9%
• World: ~10%
Important to the World?
•Millennium Developmental Goals (MDGs):
• #1 Eradicate Extreme Poverty & Hunger
• #8 Develop Global Partnership for Development
Important to the World?
•Millennium Developmental Goals (MDGs):
• #1 Eradicate Extreme Poverty & Hunger
• #8 Develop Global Partnership for Development
Stronger Link Than Usually Acknowledged
Hungry People
•World Food Shortage?
• 1/3 of World’s Starving People in India
• 1999: 10 Million Ton Food Grain Surplus
• 2000: 60 Million Tons
Hungry People
•World Food Shortage?
• 1/3 of World’s Starving People in India
• 1999: 10 Million Ton Food Grain Surplus
• 2000: 60 Million Tons
- Most Left in Granaries to Rot -
Hungry People
•World Food Shortage?
•Ethiopia was exporting green beans to Europe during 1980s famine
Hungry People
•Food is Commodity - Not Something Grown To End Hunger
• Poor do not have purchasing power to change patterns of consumption
Hungry People
•Food is Commodity - Not Something Grown To End Hunger
• Poor do not have purchasing power to change patterns of consumption
People are not hungry due to lack of food
They’re hungry because they don’t have money
Blame?
•Food Dumping• Instead of self-sufficiency, creates dependancy
• Undercuts local farmers
Blame?
•Food Dumping• Instead of self-sufficiency, creates dependancy
• Undercuts local farmers
•USAID: $50M Aid to Zimbabwe • Contingent on purchase of genetically-modified maize
• Providing a market for the unmarketable
Blame?
•Food Dumping• Instead of self-sufficiency, creates dependancy
• Undercuts local farmers
•USAID: $50M Aid to Zimbabwe • Contingent on purchase of genetically-modified maize
• Providing a market for the unmarketable
•Globalization• Super-labels contract production to weak economies
• Drop in standard of living and purchasing power
Blame?
•Food Dumping• Instead of self-sufficiency, creates dependancy
• Undercuts local farmers
•USAID: $50M Aid to Zimbabwe • Contingent on purchase of genetically-modified maize
• Providing a market for the unmarketable
•Globalization• Super-labels contract production to weak economies
• Drop in standard of living and purchasing power
•Corruption• Rich countries encourage the behavior
• Cold War, concessions/bribes, drug trade
Who Cares?
Who Cares?•Bleeding Heart Granola Eating Tree Huggers
Who Care?•Bleeding Heart Granola Eating Tree Huggers
Environmental damage from land misuse - Demand for textiles, flowers, tobacco, etc
Shouldv
•Bleeding Heart Granola Eating Tree Huggers
Environmental damage from land misuse - Demand for textiles, flowers, tobacco, etc
•You, if you’re not filthy rich
Who Care?Shouldv
What’s Being Done?•HIPC, MDRITakes away ability to control economic futureForced to export resources to pay debt
Health, education, welfare take the hit
$1 aid - - - - - $25 debt repayment•Debt: “efficient tool...to ensure access to other people’s raw materials and infrastructure on the cheapest possible terms”
“Spiraling Race To The Bottom”
Role of the state declinesExport more to pay debt
Increasing entries to global market
Value drops
Western customers benefit
Reduction in consumption
Social unrest/instability
Foreign investors pull-out
What Should Be Done?
What Should Be Done?All sorts of ideas floating around...
What Should Be Done?
Changes in Western consumerismAll sorts of ideas floating around...
What Should Be Done?
Changes in Western consumerismStop giving fish and start teaching how to fish
All sorts of ideas floating around...
What Should Be Done?
Changes in Western consumerismStop giving fish and start teaching how to fishStimulate demand side in third-world
Empower workers to stand up for rights
Foster democratically-elected, corruption-resistant governments
Regulate human rights
Enforce environmental regulations
All sorts of ideas floating around...
What Should Be Done?
Changes in Western consumerismStop giving fish and start teaching how to fishStimulate demand side in third-world
Empower workers to stand up for rights
Foster democratically-elected, corruption-resistant governments
Regulate human rights
Enforce environmental regulations
Legalize Drugs
All sorts of ideas floating around...
What Should Be Done?
Changes in Western consumerismStop giving fish and start teaching how to fishStimulate demand side in third-world
Empower workers to stand up for rights
Foster democratically-elected, corruption-resistant governments
Regulate human rights
Enforce environmental regulations
Legalize Drugs
All sorts of ideas floating around...
Realize that a “healthy, well-fed, literate population...is the most intelligent economic choice a country can make”
What Will Be Done?
Questions?
Kill MiGs