Christian Aid Week

Very interesting piece by Edward Lucas on Christian Aid Week.

CHRISTIAN AID WEEK is rightly a time for warmheartedness. But that is
no excuse for softheadedness. It is sloppy thinking, for example, to
believe poverty in one place is caused by wealth in another. To share
the wealth of the rich world evenly among the poor would temporarily
dent poverty, not end it. Redistribution invariably destroys wealth in
one place; it rarely creates it in another. The redistributed money
would mostly go on short-term consumption or be stolen by corrupt
officials. The root cause of poverty, above all injustice, would remain.

Worth reading the whole thing.

Nelson Mandela said last year in a speech of uncharacteristic
foolishness, that “like slavery and apartheid, poverty is not natural.
It is man-made.” Actually, poverty is all too natural: not so long ago
a nice flint axe and a dry cave was the summit of human material
ambition.

Yes, I’ve used that line as the anchor for a piece as well.

The overwhelming lesson of five decades of Third World aid is that,
paid from taxation, it takes money from poor people in rich countries
and gives it to rich people in poor ones.

A slight quibble….shouldn’t that quote actually be attributed? Peter Bauer?

8 responses

  1. “The overwhelming lesson of five decades of Third World aid is that, paid from taxation, it takes money from poor people in rich countries and gives it to rich people in poor ones.”
    A not so slight quibble – isn’t that line complete bollocks? The overwhelming *evidence* (sorry to bring that up again) is that while some aid was wasted, it has overall been very positive and places like Sub-Saharan Africa would be worse off without it.

  2. Nelson Mandela said last year in a speech of uncharacteristic foolishness…
    The more speeches I read of Nelson Mandela since his departure from office, the more I think the foolishness to be far from uncharacteristic.

  3. Personally I think that poverty is unnatural. The natural state is growing wealth and only government meddling can stop it.

  4. So they going to promise not fund any rebel groups in Africa this time?

  5. @Jim, who wrote: “The overwhelming *evidence* (sorry to bring that up again) is that while some aid was wasted, it has overall been very positive and places like Sub-Saharan Africa would be worse off without it.”
    I’ll accept that; just show me the evidence.
    And that’s an honest request; it might exist. The sort of thing I am thinging of is plots various of GDP per head, time, aid given per head. This by country, somehow showing the beneficial effect of aid: say proportional GDP increase by year plotted against aid over the previous 5 years. Throw in a traunch of EU countries for comparison: say Greece, Portugal, Spain and Eire as one lot, and the recent joiners from the east as the other lot; also throw in some net aid givers, for yet another comparison, and to allow normalisation against general improvement of GDP with time.
    Best regards

  6. MikeinAppalachia Avatar
    MikeinAppalachia

    My admittedly limited-12 years-observations in SE and S. Asia is that the “quote” is dead-on accurate.

  7. I originally did attribute the quote to Peter Bauer, but cut it when I was trying to lose a few lines.
    I have read the paper referred to
    http://www.cgdev.org/content/publications/detail/2744 and I am a bit sceptical. They are looking at aid that is likely to lead to growth and they find it. That may be true, but over time, I suspect aid makes the receiving institutions decay. Aid may work in specific countries and cases, but the overall record is pretty dismal (viz Tanzania).
    Finally, if wealth was natural, mankind would have been richer a long time ago. There were millennia with no govt and everyone very poor. It is institutions that allow savings of financial and human capital, property rights, contracts and these things. It’s all in Adam Smith

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