Category: Poverty

Blog author: ehilton
Thursday, February 26, 2015
By

Combat Flip Flops

Combat Flip Flops

Flip flops – those quick and easy sandals we slip on our feet to run a quick errand, go to the beach or walk the dog around the block. In many countries, flip flops are the most common form of footwear. Can these sandals fight ISIS?

Two former U.S. Army Rangers think so.

Matthew “Griff” Griffin and Donald Lee both served multiple tours in Afghanistan fighting Al Qaeda and the Taliban. These are the guys behind Combat Flip Flops. They still see it as their mission to defeat Islamic extremism in Afghanistan and they think they can do so more effectively with jobs than they ever could by dropping bombs.

(more…)

and112812blogNear the top of the list of things I despise is companies that take advantage of the plight of the poor and desperate. But just above that on my list is something I hate even more: being poor and desperate. That’s why I loathe payday lending companies that charge usurious interest rates—and why I’m not yet ready to see them abolished.

Here’s how payday lending works. If you have a job (and pay stub to prove it), a payday lending company will allow you to write and cash a post-dated check. For this service the company will charge an absurd interest rate. A typical two-week payday loan with a $15 per $100 fee equates to an annual percentage rate (APR) of almost 400 percent. So if you need $100, you write the check for $115 and they’ll give you $100 in cash. Two weeks later they cash your check or you can renew or “rollover” the amount—for an exorbitant fee.

Why would anyone agree to such terms? Because they have no other choice. About twenty years ago I made some terrible choices and found myself in a serious financial bind. The amount I needed wasn’t much—about $200—but without it I wouldn’t have been able to pay my rent. I took out a payday loan that cost me $30 every two weeks. It took about eight weeks to get clear of the loan, resulting in a cost of $120 to borrow $200 for two months.

If you’re middle class and think of it in terms of interest rate, that repayment cost sounds appalling usurious. And it is. But as the poor will tell you, man does not live on APR alone. Having to pay an extra $120 was cheaper than having to find a new place to live. Yes, it was a bad deal. But it was better than all my other choices.

That is why I believe every serious critique of payday lending needs to be accompanied by a serious proposal to help those who are trapped by such “poverty problems.” An excellent example of an alternative approach is the one offered by Wesley Memorial United Methodist Church in Richmond, Virginia. One of their church members, Nina McCarthy, was initially trapped in the vicious payday lending circle:
(more…)

In the following clip from the PovertyCure series, Doug Seebeck explains how U.S. agricultural subsidies have significant negative consequences both at home and abroad — misaligning human action, distorting market signals, and diminishing opportunities for the least of these.

Haiti used to be self-sufficient in rice. Now they get all their rice from the U.S. This is what we do to Africa. We subsidize our agriculture. We overproduce. Then we ship it as aid with a handshake, and we put them out of business. We disempower them. But you’re also putting the U.S. small farmer out of business. And it gets bigger and bigger and you’re squeezing out free enterprise….

How do I best love my neighbor in this rapidly integrating world…so that everybody has the ability to have what I have? It doesn’t mean we give it away. It means allowing them to succeed.

(more…)

unbalanced“The bottom half of the world’s population owns the same as the richest 85 people in the world.”

The stat was quoted last month in a report by the development organization Oxfam, but similar claims have become common. You’ve probably seen this statistic—or one like it—before in articles about economic inequality and assumed they must be somewhat true.

But they aren’t. In reality, they are completely meaningless.

One of the problems is that the comparisons are based on net worth (assets minus liabilities). If you aggregate all the people who have a negative net worth into one category and call them the “bottom half” then you come up with some peculiar conclusions. As Felix Salmon says, “My niece, who just got her first 50 cents in pocket money, has more money than the poorest 2 billion people in the world combined.”
(more…)

As Christians continue to turn their attention to the intersection of faith and work, it can be easy to dwell on such matters only insofar as they apply to our individual lives. What is our purpose, our vocation, and our value? How does God view our work, and how ought we to render it back to him? What is the source of our economic action?

These questions are important, but the answers will inevitably point us to a more public (and for some, controversial) context filled with profound questions of its own. Stewardship is step one: calling, work, service, generosity, and so on. But what about the ripple effects of all that? How does the personal aspect connect with the public?

As Greg Forster explains in his talk at the recent Faith@Work Summit“You can’t separate stewardship from economics.”

Whether we recognize it or not, our work has profound implications for the broader social and economic order beyond gross domestic product. As we glorify God through our work, we are also creating and cultivating social and spiritual capital with our neighbors, yielding service and fostering trust as we bless strangers and receive similar blessings in return. Lester DeKoster calls it the “fabric of civilization,” weaved together by the Holy Spirit to restore “the broken family of humankind.” (more…)

global-poverty-2-15One of the primary assumptions of the modern age is that all choices are multiple choice. Whether we are choosing the color of the car we drive, the occupation that we will work, or the lifestyle we will live, choice is the dominate paradigm.

While the expansion of choices has, in many ways, expanded human flourishing, it has also led, in some areas, to a false belief that merely wanting something to be multiple choice will make it so.

But what if some large-scale problems only have one solution? What if instead of being an open-ended “Choose Your Own Adventure” novel, these problems are like mathematics, with one right answer?

Global poverty is a primary example, argues Wayne Grudem and Barry Asmus, of a problem with only one type of solution:
(more…)

School-Desks--Empty-Classroom--GENERIC-HD--1-9-09---18449637Back in October I offered five guidelines on “how to be a better guesstimater,” ways to hone your skills at guessing and estimation — guesstimation — that will help us minimize innumeracy.

A recent Washington Post article—“Majority of U.S. public school students are in poverty”—shows how applying these five tips could prevent people from falling for obviously inaccurate reporting. Here is the main claim of the article:

For the first time in at least 50 years, a majority of U.S. public school students come from low-income families, according to a new analysis of 2013 federal data, a statistic that has profound implications for the nation.
The Southern Education Foundation reports that 51 percent of students in pre-kindergarten through 12th grade in the 2012-2013 school year were eligible for the federal program that provides free and reduced-price lunches. The lunch program is a rough proxy for poverty, but the explosion in the number of needy children in the nation’s public classrooms is a recent phenomenon that has been gaining attention among educators, public officials and researchers.

Are those numbers accurate or even plausible? Let’s see how we could apply the tools of guesstimation to this claim.
(more…)

aimthesolution“You have never met a mere mortal.” – C.S. Lewis

God has called each of us to redemptive stewardship, crafting us in his own image that we might assume this calling in boldness and love. Thus, as we approach complex issues of poverty alleviation and seek to empower others on this path, we must be careful that our efforts affirm the dignity and destiny of the human person.

As noted in the Acton Institute’s core principles, “the human person, created in the image of God, is individually unique, rational, the subject of moral agency, and a co-creator,” possessing “intrinsic value and dignity, implying certain rights and duties both for himself and other persons.” A brief perusal of Genesis 1 will confirm as much, yet far too often we distort and confuse this framework, defining those in severe need according to their present station and developing our “solutions” in turn.

Such attitudes can manifest subtly (our vocabulary) or severely (coercive measures), even or especially among the boots on the ground and the “experts” that fuel them. “Anti-poverty(!)” programs and policies may indeed abound (even the Millennium Development Goals nod to “human dignity”), but little of that matters if the promoters or measures themselves treat others as inferior, incapable, or altogether dispensable. (more…)

Members of Band Aid in 1984

Members of Band Aid in 1984

In last week’s Acton commentary, “The Worst Christmas Song Ever,” Jordan Ballor touched on the well-intentioned yet harmful message shared by “Do They Know It’s Christmas?” the 1984 song produced by the music group, Band Aid, in response to the famine that struck Ethiopia.

Ballor describes the context and some of the song’s lyrics:

The song describes Africa largely as a barren wasteland, ‘Where the only water flowing is the bitter sting of tears.’ It continues in this vein. Africa, the onetime breadbasket of the Roman Empire and home of the Nile River is a land ‘where nothing ever grows, no rain nor rivers flow.’ The title question likewise plays into the supposed desperation of the continent. The only ‘Christmas bells that ring there are the clanging chimes of doom.’ The response to this call is supposed to be charity from the affluent West, to ‘feed the world’ and thereby ‘let them know it’s Christmastime again.’

The song perpetuates an image of Africans as helpless and dependent on outside assistance to support their well-being. It is true that dire situations exist and increased awareness and emergency aid is needed to prevent loss of life, outbreak of disease, and other severe conditions. But overall, do negative depictions serve to accurately portray people in the “developing world,” and their capacity for producing innovation and change in the areas in which they live?

This is the question I pose in the PovertyCure blog article, “The Hopeless Results of Graphic Poverty Imagery,” which highlights the 1984 Christmas Song and similar versions that have been produced since.

I argue that depicting Africans as incapable and destitute ultimately neglects their true nature as human beings. Though it is true that poverty exists in some corners of Africa (and this should not be ignored), a vibrant, energized environment can be witnessed in many others. There are thousands of entrepreneurs like Senegalese entrepreneur, Magatte Wade, who are establishing creative solutions and finding new markets for business and trade.

(more…)

At RealClearReligion, Rev. Robert A. Sirico offers an analysis of President Obama’s move to thaw relations with Cuba, a diplomatic opening that was supported by the Vatican. Citing Pope Francis’ appeals for “an economy of inclusion,” Rev. Sirico asks: “What, indeed, could be more inclusive than trade and travel?” More:

Free trade is not the solution to all economic, social and political problems. Nor does anyone expect it to be. That said, on my visits to Cuba and China, I have yet to meet anyone who thought restricting trade or travel helped, all of which will have to be negotiated once relations are normalized. Mutatis mutandis, those unfortunate to have to live under oppressive regimes are among the first to long for U.S. companies to setting up shop in their countries, gain new markets for their own products and will increase contact and opportunity for themselves. To have more exchanges with Americans at every level, whether it is through tourism, educational, trade or technological exchange, is what many Cubans want.

The open question is to see whether the Castro regime — which, after all, remains ideologically Marxist and viciously persecutes anyone who steps out of line — will use this thawing as a way of moving Cuba away from 50 years of one party rule and a top-down approach to the economy, and towards wider freedoms. Their track-record, to date, would not inspire confidence.

Read “The End of Cuba’s Double Despotism” by Rev. Robert A. Sirico at RealClearReligion.