Posts Tagged development

Transforming Hearts and Minds Through Entrepreneurship

I’ve already weighed in on Bono’s “humbling” realizations about capitalism and commerce, noting that although I’m still not overly confident in the direction of Bono’s efforts, such a realization is an encouraging sign. Yet despite my original skepticism — which Greg Forster found a bit too heavy-handed — Bono has continued with this theme, arguing more recently that “commerce and entrepreneurial capitalism take more people out of poverty than aid.” Consider me pleased.

Last week, Josh Good of AEI’s Values & Capitalism project (where I also blog), used Bono’s comments as a springboard for a broader discussion about the role of aid and entrepreneurship in the developing world. Columnist Michael Gerson leads the discussion, followed by HOPE International’s Chris Horst and Andrea McDaniel of the As We Forgive Rwanda Initiative.

You can watch a video of the event here:

Although I routinely have strong and significant disagreements with Gerson’s overall approach, particularly on the topic of aid, his remarks in this particular talk are pretty close to the mark. Even where we disagree, I continue to find his arguments on particular global health initiatives to be compelling challenges to my own less interventionist positions.

The most striking point, however, comes from Horst, who points to an important Nicolas Kristof column that I’ve discussed in the past. Reminding us that the developing world faces more than just a resource problem, Horst emphasizes that our goal of empowering entrepreneurship in these countries needs to stretch beyond Read the rest of this entry »

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Africa for Norway: The Patronizing Power of Poverty Porn

In a new video crafted to inspire the type self-righteous do-gooderism we Westerners have all grown quite accustomed to, a group of concerned Africans tells us that the “tables have turned,” urging that it’s “time for us to care” (HT).

Prime your Prius for the bumper sticker:

From the Africa for Norway web site:

Imagine if every person in Africa saw the “Africa for Norway” video and this was the only information they ever got about Norway. What would they think about Norway?

If we say Africa, what do you think about? Hunger, poverty, crime or AIDS? No wonder, because in fundraising campaigns and media that’s mainly what you hear about.

The pictures we usually see in fundraisers are of poor African children. Hunger and poverty is ugly, and it calls for action. But while these images can engage people in the short term, we are concerned that many people simply give up because it seems like nothing is getting better. Africa should not just be something that people either give to, or give up on.

The truth is that there are many positive developments in African countries, and we want these to Read the rest of this entry »

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Christian Mattress Merchants Reach Beyond Economic Exchange

Urban Mattress, Christian businessOver at the Acton Institute’s PowerBlog, I discuss a recent article at Christianity Today on a mattress business whose Christian owners seek to transform what many see as “one of the sleaziest industries in the world.”

From the article:

Rietema and Steve Van Diest, both former campus ministers, are bringing rest—and integrity—back to a business largely devoid of it. Four years ago, a Christian entrepreneur invited the Colorado natives to begin deploying their relational abilities in strip malls rather than on college campuses. They now co-own three Urban Mattress stores in Denver and have franchised four more. And, they argue, their current work is just as important as their former ministry….

…”I don’t have to do mental gymnastics with the product I sell,” Van Diest says. “It’s not a frivolous item. It’s not an image-conscious product. People come here after being worn down by horrible sleep, replete with aches and pain. If we can provide them with a small glimpse of grace for a third of their lives, that’s kingdom work. That matters to God.”

There is plenty to admire about Urban Mattress, but one of the most striking features in the article is the intimate nature of many of their customer interactions. Here, I argue that Christians should pay close attention. The social, moral, and spiritual implications of Christian business – nay, all business – stretch beyond philanthropy and sound business practices:

On this, Urban Mattress provides a good lesson not only on the broader implications of our economic transactions, but also on the broader potential of Christian business in general. Far too often we confine our thinking about Christian business to areas like philanthropy or “corporate evangelism.” By going further and offering this type of personal customer service, these owners show us how there can be more exchange in exchange than we allow for or recognize, whether social, psychological, or spiritual.

When we engage in the marketplace, whether as producers or consumers, there is something transcendent Read the rest of this entry »

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On Celebrating Bono’s Pro-Capitalism Conversion

Bono, ONE Campaign, capitalismI recently wrote about Bono’s recent comments on capitalism, arguing that although I’m not overly optimistic about the trajectory of his interventionist efforts, it marks a healthy development in any do-gooder’s evolution from hasty top-down planner to careful ground-up cultivator.

Over at the Hang Together blog, Greg Forster urges us to have more optimism about the Goggled One, arguing that even rhetorical developments are cause for encouragement:

Here’s my thinking. A big change has been slowly percolating for a while in the Christian international aid space. On-the-ground practice has not changed yet. But their social system of legitimization – the network of gatekeepers who anoint what’s good and what’s bad – are increasingly embracing the need for the kinds of changes we want. Bono is only the most recent example.

And it’s getting harder and harder to dismiss this as partisan rhetoric or libertarian ideology as more and more people who self-identify as progressives are getting on the bandwagon. Again, Bono is only the most recent example.

The big aid organizations have responded by adopting the rhetoric of change. I recall seeing promotional materials from World Vision that talked about helping people develop economic independence. Of course they’re not actually doing that, but the fact that they have to say they are is a canary in the coal mine for them.

It’s a little like how Democratic judicial nominees now have to clothe themselves in the rhetoric of judicial restraint in a way they never had to fifteen years ago. Or how the teachers’ unions have had to adopt the rhetoric of teacher performance and even choice. Or how President Obama has had to adopt the rhetoric of free enterprise and even pick up Arthur Brooks’ “earned success” language. As in those fields, so in this one: it’s an early sign that we’re winning. The gap between their words and their deeds will grow, and the pressure for real change is only going to get bigger.

They key for us now, as I see it, is to capitalize on this change without falling into either of two pitfalls. On the one hand, we don’t want to drive away our new friends. Joe Sunde’s skepticism in the post I linked above, while reasonable, needs to be tempered somewhat. We don’t want to punish people for moving in our direction, we want to reward them! (We believe that incentives affect behavior, right?)

Forster makes a good point about celebrating when there’s cause for celebration. I have no desire to punish folks like Bono for any movement they make in the direction of markets. My intent was merely to offer a cautionary qualification amidst the balloons and streamers. But perhaps I could’ve tooted my kazoo a bit louder up front.

I also think Forster’s point on rhetoric is a good one: “the gap between their words and their deeds will grow, and the pressure for real change is only going to get bigger.” School choice and judicial restraint are good examples of this, but I still think we need to call out mere rhetoric as mere rhetoric and guide people to an understanding of what real solutions look like beyond and before the rhetoric.

“Before the rhetoric?” you ask? Indeed, in my own thoughts on the matter, I was actually aiming to celebrate something preceding Bono’s words, particularly his new humbled attitude about the limitations of his own human hands, quite apart from any specific endorsement of this or that political or economic solution.

It’s no coincidence, of course, that this humbled approach to development and poverty alleviation has led him where it’s led him: to capitalism.

Read Forster’s full post here.

Also, read Ryan Anderson’s comments here.

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Bono Abandons Babel?

U2 singerThere’s been a bit of buzz over Bono’s recent remarks about the positive role of markets in reducing global poverty and spurring economic development (HT):

The Irish singer and co-founder of ONE, a campaigning group that fights poverty and disease in Africa, said it had been “a humbling thing for me” to realize the importance of capitalism and entrepreneurialism in philanthropy, particularly as someone who “got into this as a righteous anger activist with all the cliches.”

“Job creators and innovators are just the key, and aid is just a bridge,” he told an audience of 200 leading technology entrepreneurs and investors at the F.ounders tech conference in Dublin. “We see it as startup money, investment in new countries. A humbling thing was to learn the role of commerce.”

I’m a bit skeptical about the broader significance of these remarks on Bono’s activism, but I do think they’re illuminating. Over at the Acton Institute, I argue that Bono’s new humbled attitude is precisely what we need in our attempts to improve economic development:

Although I’m not overly confident that Bono’s sudden self-awareness is enough to radically shift his aid efforts away from fostering dependency, this small admission helps illuminate one of our key obstacles to doing good in the world: overzealousness paired with overconfidence.

Bono describes his realization as a “humbling thing,” and “humbling” is precisely what the foreign aid experts and economic planners could use. As Friedrich Hayek famously wrote, “The curious task of economics is to demonstrate to men how little they really know about what they imagine they can design.” As the story of the Tower of Babel well confirms, man has a natural disposition to think he knows more than he knows and can construct beyond what he can construct—all to make a name for himself. The juice of righteous anger is a powerful enabler, and once it’s pumping through our veins it takes even less time for our human tendencies to escalate. After all, we’re only out to deliver humanity to heaven’s doorstep.

Such overconfidence in our own designs can be particularly destructive in the realm of economics, a science that’s in a constant battle over whether it should seek to explain human action, control it, or bypass it altogether. Such planners find a perfect match in eager activists such as Bono. “We can build your tower to heaven,” they’ll say, “and you can make a name for yourself. If only the right policy buttons are pushed and the right economic equilibrium is arranged, the world can be set to rights.”

Of all people, Christians should be aware of the deeper spiritual questions we should be asking, cautious not to be wise in our own eyes:

The economic engineer’s intrusion goes well beyond barging into more natural and effective social institutions. For in doing so, he treats dignified man and the unpredictable, invaluable relationships in which he engages as the mere mingling of predictable pieces in a larger static game. Such an intrusion should cause great alarm for those of us seeking restoration among the suffering. For how can we hope to improve conditions for the human person if we skip past what it means to be a human person? For the Christian in particular, God instructs each of us to do what the Lord wills. Are we really to Read the rest of this entry »

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Population Control, Human Dignity and Economic Development

I recently argued that economic issues and social issues are inseparable, noting that our philosophies of life and ultimate visions of humanity impact all areas and, thus, should be applied consistently. Authentic human flourishing is about much more than mere “choice,” economic or otherwise.

In a new PovertyCure video, development economist Carroll Ríos de Rodríguez affirms this point, explaining how a distorted view of human life and human dignity can ultimately inhibit an area like economic development.

As Rodriguez says, the solution to poverty is not eliminating the poor. The solution is to free people toward pursuing their life-giving potential. There’s a reason economist Julian Simon called humans the “ultimate resource.”

Portraying humans as leeches, drainers and destroyers, as so many population-control “experts” and top-down economic planners do, will only lead to pseudo-solutions misaligned and ultimately destructive to the human person, whether spiritually, in the case of economic control and dependency, or physically, in the case of widespread abortion and mechanical “sex Read the rest of this entry »

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Four Theses on Conservatism and Cultural Restoration

conservatismI’ve been writing more and more about how we might repair and restore a faltering conservative imagination. Last week, my good friend Matt Anderson posted a compelling series on this very topic, offering four distinct theses aimed specifically at social conservatives (1, 2, 3, 4). His reactions come, partially, in response (or relation) to this year’s Values Voter Summit, where I had the pleasure of hearing Matt talk on a subject quite similar alongside Chris Marlink, Eric Teetsel, Andrew Walker, and Owen Strachan.

Given that I view economic issues as being more or less interconnected with the “social” ones, Anderson’s offering is still deeply relevant for conservatives of all stripes and emphases, particularly those who believe, more broadly, that ground-up spiritual and cultural restoration should be our primary aim.

I encourage you to read each thesis in its entirety. Some key excerpts and quick responses are provided below.

Thesis #1: To Sow or to Reap

My first thesis is that social conservatives are entering a time for sowing new cultural seeds rather than reaping their cultural fruits. As folks have recently pointed out, you can’t fight a culture war if you haven’t got a culture. And by and large, social conservatives haven’t got much in that department to pass along to the children. What they do have has been cobbled together by imitating mainstream America and borrowing from Nashville. The net effect is that social conservatives are trying, desperately, to reap legal fruit despite neglecting the difficult work of sowing and nurturing cultural seeds.

…if there is such a thing as cultural flourishing and decline, then we need to carefully discriminate where we are in those seasons and allocate our time and resources accordingly. To do otherwise would be rather imprudent, no? That means redirecting attention, efforts, and (yes) funding away from the particularly urgent political concerns toward seemingly frivolous long term cultural efforts. By way of hypothesis, I suspect it is easy for Christians to raise money for either political causes at home or missions and social-justice causes overseas. But a library, conservatory, or an art studio—institutions that will form the backbone of any permanent culture?

This is a central theme here at Remnant Culture. Culture runs upstream from politics, and cultural formation is a difficult, tedious process of truth-wielding and truth-telling— one that is particularly difficult and tedious when politics is so persistently playing the imposter with “quick-and-fast” pseudo-solutions. Nevertheless, and here redundancy is ever-justified, culture runs upstream from politics. Let us not forget it, lest we fail to beget it (just call me the “rhyme czar”).

Thesis #2: End the Hostilities Against Elites

Consider this bit by Rick Santorum from this year’s Values Voter Summit, which both stunned and saddened me…

…First, the rampant populism fuels a sense of grievance against elites. It’s class warfare, only the classes are divided along prestige lines rather than economic ones… [C]lass resentment—even if its against the “creatives” or the media or academics—will necessarily limit conservatism’s appeal and so unnecessarily throttle its cultural impact.

Second, this sort of statement emboldens conservatives in the wrong places. It’s one thing to highlight conservatism’s populist character and to emphasize the church and family as the wellspring of cultural renewal…But to cut away elites altogether creates the misguided confidence that as long as we get the numbers on our side, things are going well.

Third, it ironically points toward a lack of confidence in our ability to argue persuasively for our positions. If our cause is just and our understanding of human nature is true, then if we motor along doing our thing elites will eventually come around.

Yes, yes, and yes. If we’re going to impact the culture, we can’t write off and demonize elite institutions, nay, elite people, who have some of the most significant cultural influence. Further, as Anderson goes on to mention, posing our predicament as such will likely give those conservatives who do choose to pursue such arenas an attitude of fear or “infiltration.” This will not help us in reaching healthy, long-view cultural development, and will likely result in ideas and art that are forced and combative rather than profound and beautiful (do you need examples?).

Thesis #3: Recover Intellectual Creativity

Having neglected our traditionalist conservative heritage (or having never received it to begin with), social conservatives have also tended to “repeat formulas” rather than reload the “intellectual ammunition.” While there are occasional bright spots—First Things, Public Discourse, Ross Douthat, Ramesh Ponnuru—they don’t get much air time at places like the Values Voter Summit. By and large, the mainstream of social conservatism tends to be relatively intellectually stagnant and formulaic. Which isn’t, if you catch my drift, a sign of its health.

Some of that stems from, I think, the culture war mentality that has pervaded the mainstream of the movement. One of the hidden yet potentially devastating costs of a culture war mentality is that it locks people into a framework and keeps them pursuing the particular questions that emerge from within it. If the point of our efforts is winning, then questioning our own presuppositions is out of bounds. That may be fine for a while, and it may raise more money and ensure that folks are on the team, but eventually intellectual stagnation will set in. It has to: the only way to avoid it is to question our fundamental commitments even while we are holding on to them.

Anderson begins by referencing David Brooks’ recent piece on the conservative mind, drawing (correctly) on Brooks’ critique of conservative “formulas” and his promotion of a more hearty, intellectual vision. Again, Anderson is primarily interested in critiquing the social conservative movement as it relates to traditional conservatism, but as I recently argued in connection to the same Brooks piece, economic conservatives have a bridge to build here as well (though its certainly different than the one Brooks attempts at). For conservatives, recovering intellectual creativity will mean restoring a robust, holistic conservative imagination that ties its social and the economic strains together by grounding them in Kirk’s “enduring moral order.” We should be winning on intellectual creativity, depth, and romanticism, hands down.

Thesis 4: Recover Our Confidence

Here, the “culture war” mentality really does a number on our Read the rest of this entry »

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Entrepreneurs Need More Than Just Capital

In a recent interview, Malik Fal, managing director of Endeavor South Africa, outlines some key challenges for South African entrepreneurs, as well as some suggested solutions (HT).

Most notable, I think, is his belief that access to capital is not the primary obstacle:

This week at Values & Capitalism, I build on his analysis, decrying our general human tendency to limit our economic problem-solving to the material factors.

An excerpt:

Fal argues that entrepreneurs in South Africa need things like more help from venture capital firms (e.g. IT and financial management support), and although I trust this is also true for American entrepreneurs…our broader society seems to be slipping in its grasp of the challenges and risks that are required for authentic flourishing.

This poses an issue for the real creators and producers, for when the rest of us lack patience and understanding in how value is actually created, we will tend to muddle the process by supporting the types of short-sighted, zero-risk pseudo-solutions our public is currently craving. Our society’s current inability to address its deficit crisis is Read the rest of this entry »

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Soothsaying Our Way to Economic Prosperity

In a previous post examining the scientific pretentions of many atheists, I briefly mentioned that “in economic science, we are constantly confronted with theories and policies based around a denial, dismissal or subversion of the spiritual side of man and nature.”

F.A. Hayek would call it “scientism,” which, in The Counter-Revolution of Science, he describes as a “slavish imitation of the method and language of science” — one that improperly conflates the physical and the nonphysical. (Hayek would be unlikely to use the word “spiritual,” as I most often do.)

This week at The American, Arnold Kling explores the approach as it relates to your typical economist’s faith in macroeconomic models (and the media’s lemming-like trail behind him).

How many jobs will the latest stimulus package create? What will it do to GDP?

For answers to questions like these, the press always turns to the usual suspects: the proprietors of macroeconometric models, which are maintained by some economic consulting firms and by the Congressional Budget Office (The Federal Reserve Board also maintains a model, but the Fed tries to refrain from injecting its model into fiscal policy debates.)

I think that if the press were aware of the intellectual history and lack of scientific standing of the models, it would cease rounding up these usual suspects. Macroeconometrics stands discredited among mainstream academic economists. Applying macroeconometric models to questions of fiscal policy is the equivalent of using pre-Copernican astronomy to launch a satellite or using bleeding to treat an infection.

If you aren’t aware of the “intellectual history and scientific standing” of the models, Kling is glad to inform you, and does so with precision. His conclusion: “economists must be more forthcoming about what they can and cannot estimate.”

This means no more guarantees of “X number of jobs by year Y-thousand.” This means no more predictions of “gas at $Z per gallon” if you choose candidate W. This means no more manufactured certainty (gasp!).

Kling closes with this handle:

Imagine if somehow we knew how to launch satellites but still believed in pre-Copernican astronomy. We would have no choice but to send satellites into space using Read the rest of this entry »

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You Can’t Plan a Market: Transforming Culture from the Bottom-Up

The White Man's Burden by William EasterlyWhy has post-Soviet Russia not panned out to be the bustling, prosperous economy that the freedom folks predicted it would be? Is this the fault of the free market, or is there something deeper at work?

This week at AEI’s Values and Capitalism, I examine the question, channeling economist William Easterly to make the case that “you can’t plan a market.”

Although many Western tinkerers wrongly ignore the structural limitations in improving developing economies, many on the opposite side make the mistake of pretending that the structural stuff is a cinch.

I argue that it isn’t:

In our modern, polished system (with the wear-and-tear steadily increasing), we are tempted to look at other countries and think their problems are simple enough to be fixed by scribbling a couple solutions on paper and circulating it through the right hands. Even for free-market types, there is a rash assumption that all it takes is a magical structural concoction and a semi-functional government to get a poor country in motion.

Forget the individual habits and beliefs of the people on the ground. Forget the spiritual and cultural factors that limit or propel that society forward. Forget the psychological damage caused by previous (or current) totalitarian rule. “Just give them a market,” we say, “and let them be.”

As I say in the piece, “spontaneous order is not spontaneous order unless it is spontaneous.” Even in America, lest we forget, our thriving economic system did not come from the wave of a magical capitalism wand. Look no further than the 19th century to behold the painful and chaotic emergence of what we know today (and appreciate it).

To demonstrate this lesson, Easterly’s book points to several key market components that are difficult to “invent,” particularly from the top down: trust, property rights, social relationships/unity, peace, etc.

Such features — what Nick Schulz and Arnold Kling call “intangible assets” — must originate from Read the rest of this entry »

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