Posts tagged with: poverty

A study out of Harvard University focusing on tax credits and other tax expenditures has caused 24/7 Wall St. to declare that America has 10 cities where the poor just can’t get rich. Among the reasons that economic upward mobility is so Detroit Area Economy Worsens As Big Three Automakers Face Dire Crisisminimal in these cities: horrible public education (leading to high dropout rates) and being raised in single-mother households. What these cities share is an economic segregation: two distinct classes of people, with virtually nothing in common.

However, it seems not only bold but disingenuous to say that there “are cities where the poor cannot get rich.” Is it tough? Yes. Is it impossible? Of course not. In A Field Guide to the Hero’s Journey, entrepreneur Jeff Sandefer tells how he made his first job work for him. It wasn’t glamorous. (more…)

alleviating-poverty“We see poverty in the developing world and we ask—what can I do?” says Michael Matheson Miller, Research Fellow at the Acton Institute and the Director of Poverty Cure, “But what if the question that animates our activity is the wrong one?”

What if instead of asking how we can alleviate poverty, we asked, “How do people in the developing world create prosperity for their families and their communities?” This sounds like a simple shift, but it can transform the way we think about poverty and the poorest among us because it takes the focus off ourselves and puts it where it belongs. People in need are not objects of our charity, they are subjects, and should be seen as the protagonists of their own development. Changing the question helps lead to an inter-subjective relationship.

Ask people in the developing world what they want most, and they don’t mention more aid or charity. They want jobs; they want the opportunity to build businesses; they want access to markets, to broader circles of exchange so they can provide for their families. As Ghanaian entrepreneur Herman Chinery-Hesse told me, “The people here are not stupid. They’re just disconnected from global trade.”

Read more . . .

Blog author: adeleon
Wednesday, July 3, 2013
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A common lesson that many of us were taught in grammar school was what defined an ‘opposite.’ As children we learn that hot and cold are antonyms; as are bad and good, living and dead, love and hate. One statement that I recently heard challenged a childhood preconception of mine. It declared that the opposite of love is not hate, but indifference.

If we think about what indifference is, we soon see that it is in stark opposition to love. To be neither hot nor cold toward a person in need is quite a horrific thing. It involves a lackadaisical attitude where we fail to see human beings as individual persons made in the image and likeness of God. If I have a neighbor down the street and do not care if his family is treated unjustly I am acting in an egocentric way. I am being indifferent and not – loving my neighbor as myself.

This idea troubled me and I began to wonder what ways I was acting indifferently toward others. My first thoughts were about homeless men and women whom I had ignored on the street. This notion shifted once again as I began to think not about whom I had ignored, but the reason behind why I had ignored them. I found two reasons.

The first had to do with my resources. I am a recent graduate of James Madison University in Harrisonburg, Virginia and an intern at the Acton Institute who has more debt than money to his name. Since I am not able to fully provide for myself I can only offer a bit of pocket money or volunteer from time to time. Because my resources are limited, my ability to help is limited.

The second reason, I am ashamed to say, is that I do not always take beggars at their word. I find that I am more likely to believe a man who is asking for gas money than a man who is looking to buy food. This may seem judgmental at first, however I do find that there is a logical reason behind my rationale. (more…)

This morning at Acton University I attended a fascinating lecture by Dr. Edd Noell, “Origins of Economics: The Scriptures and Early Church Fathers.” I have briefly examined one ancient Christian perspective on wealth in the past (here), but Dr. Noell’s survey today was far more expansive. For the benefit of PowerBlog readers, I would like to reflect on some of the major themes of his talk here as a sort of preview of what one could expect once the audio is available for sale. (more…)

willow-creek-community-churchs-new-care-centerA decade ago, Virginia Postrel argued in her book The Substance of Style that we live in an age of aesthetics, a period where the way things look, feel, and smell have come to matter to all social classes. She explained why the aesthetic aspects of products, services, and experiences are not merely cosmetic niceties but tap into deep human instincts and needs.

Many corporations, such as Apple and Target, have used this insight to attract new customers and increase customer loyalty. But social entrepreneurs whose “customers” are the poor and needy have been slow in making their services more aesthetically pleasing. One prominent exception is the services provided by Willow Creek Community Church, an evangelical megachurch located outside of Chicago. According to the Chicago Tribune,
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Many of you know Jay Richards from his regular lecturing at Acton University. He has a newly co-authored piece in The Daily Caller, “Enterprise is the most ‘effective altruism.’” There’s more to be said on the complex issue of helping the poor than can be put in a single op-ed, of course, but there’s some great food for thought here, particularly for those who view business and markets as necessarily part of the problem. Jay and Anne Bradley use the example of Microsoft to explain the confusion:

The Gates Foundation has saved an estimated 5 million lives thus far. But we rarely hear of the countless lives saved or improved by the profit-seeking activities of Microsoft…. One effect is the Foundation itself. To be able to start such a large aid organization, Bill Gates first had to be a successful entrepreneur. As a philanthropist, Gates is not “giving back” to the world, as if he had taken from it in the first place. His philanthropic giving is possible only because he first “gave” as an entrepreneur.

… Microsoft succeeded only because they provided value for hundreds of millions of people. Gates had to meet the needs of his customers … And to stay ahead, he had to invest wisely rather than consume or give away all the profits.

The newest issue of The Economist features a story that suggests we are nearing the end of abject poverty – the dire, horrid poverty that leaves people stuck in agonizing, short lives. The good news is that we know how to fix this problem:economist poverty (more…)

Pope Francis has made interesting comments on poverty, some of which have been misconstrued by the media and in the Church itself. Samuel Gregg, Director of Research for the Acton Institute, discusses both the meaning of poverty within Church teaching and what Pope Francis is truly referring to when he addresses poverty in our world today. In Crisis Magazine, Gregg points out that Christians are never to be forgetful of economic disparities, but that “poverty” has a richer and far more important meaning that just the economic one. (more…)

When we consider poverty alleviation, what areas should be focused on to yield effective and sustainable results? In the blog article, “The fruits, the roots, and the soil,” PovertyCure’s Mark Weber asserts that it is oftentimes the neglected aspects that are most necessary for long-term prosperity. We can often be lured by attractive, short-term assistance approaches, rather than recognizing and building the strong foundations that allow individuals and communities to thrive. We need to focus on the soil.

He says,

We poverty junkies spend a lot of time examining the fruits and the roots. But what of the soil? Humanitarians generally focus on the former, i.e. physical needs such as food, water, clothes, and medicine. Development types generally focus on the latter, i.e. infrastructure, agriculture, education, and various government or multilateral programs. Send out an agronomist to analyze a section of land for agricultural fertility, and his primary focus will be on the nature and fertility of the soil. We can have all the fancy technology in the world, we can genetically engineer seeds for pesticide resistance and higher yields, we can till the land with the powerful machines, but if the soil is sterile, nothing will grow.

Microfinance pioneer Muhammad Yunus touches on the soil issue in his poignant metaphor of the bonsai tree:

View the entire article on the PovertyCure Blog.

At the beginning of the month, Rev. Robert Sirico traveled to El Salvador to speak at ENADE XIII (Encuentro Nacional de la Empresa Privada,). This event is put on every year by the National Association for Private Enterprise of El Salvador and its theme this year was “bettering business, transforming lives.” Rev. Sirico gave the closing presentation at the event and spoke about the effectiveness of businesses in the fight to end poverty.

He said that neither piety nor charity can ultimately end poverty.  The best thing that businesses and entrepreneurs can do to break the circle of poverty is to be successful. It is a moral obligation, not a bad thing to be successful in business. The parable of the talents (Matthew 25:14-30) illustrates this point.  What’s more, entrepreneurs are given the same calling that Adam and Eve were given in the Garden of Eden: “be fruitful and multiply.” Labor is something sacred and not simply a means to wealth and riches.

The state has a role in helping the poor, but it is limited. Governments should work to create environments where businesses can thrive and provide opportunities for employment. Profitable private businesses are closely linked to poverty reduction and the overall progress of communities. He asked which is better: a powerful state with a powerful bureaucracy or a competitive and productive private sector that creates employment? (more…)