Many countries that should be thriving are dragged into poverty and strife by the burden of corruption. The loss goes far beyond the sums that change hands dishonestly; the true price must take the ensuing opportunity costs into account. In this audio lecture, Peter Eigen describes strategies that can be used by companies, governments, and citizens to break the cycle of corruption and lift themselves to more efficient, fair, and honest dealings.
To enrich Africa, oil companies and NGOs must cooperate.
To find out how best to stem corruption in development projects, a Harvard economist conducted a sophisticated experiment in 608 Javanese villages. His results challenge current wisdom: Send in the outside auditors, rather than rely on local monitors.
Michael Parker pays his new Spanish tutor $17 less than he paid his old teacher in Iowa. But his new teacher, Yesenia Mateu Grave, takes away double her normal fee. Thanks to Web conferencing, Mateu Grave teaches students around the world from her hometown in Antigua, Guatemala, via a site called Speak Shop, combining audio, video, and online chat for a classroom-like experience.
By working closely with the clients and consumers, design thinking allows high-impact solutions to social problems to bubble up from below rather than being imposed from the top.
Fair Trade-certified coffee is growing in sales, but strict certification requirements are resulting in uneven economic advantages for coffee growers and lower quality coffee for consumers.
Despite the hoopla over microfinance, it doesn't cure poverty. But stable jobs do. If societies are serious about helping the poorest of the poor, they should stop investing in microfinance and start supporting large, labor-intensive industries.
Few microfinance institutions articulate what, exactly, their ultimate goals are and how to achieve them. If the goal of microfinance is to alleviate poverty, the authors say, then MFIs should focus on helping their clients build successful enterprises, rather than on making more and bigger loans.
Market solutions to poverty, which include services and products targeting consumers at the “bottom of the pyramid,” portray poor people as creative entrepreneurs and discerning consumers. Yet this rosy view of poverty-stricken people is not only wrong, but also harmful.
