Book Description

In recent years the media have reported, frequently with alarm, on the increasing use of genetically modified crops in agriculture. Some groups have expressed concern about consumer safety and the risks of large-scale ecosystem damage. Others have noted the resulting shift of power away from locally controlled farming operations toward large agribusiness and biotech companies, and the particular vulnerability of farmers in the developing world to this trend.

In Seeds of Contention: World Hunger and the Global Controversy over GM Crops, development specialists Per Pinstrup-Andersen and Ebbe Schiøler focus attention on the less discussed issues ofthe potential benefits and costs of genetically modified crops for developing countries. Pinstrup-Andersen and Schiølerreview the basic issues and discuss the potential that such crops have for addressing the great needs of poor and undernourished peoples throughout the world. They explain how increased agricultural productivity is not enough in addressing the problem of famine. People in developing countries need crops that are disease-resistant, can fend off insect predators, and can withstand severe environmental conditions in order to produce larger crop yields.

Pinstrup-Andersen and Schiøler are sober in their assessment of these prospects, for they acknowledge that GM crops alone will not solve the world's food problem. They argue, however, that they may be one element in the solution and people in developing countries should have information about benefits and risks and the freedom to make their own decisions about whether or not to grow and consume GM crops. ... Read more

Book Description

A witty and accessible tour de force that is immersed in the latest economic thinking, Culture and Prosperity is an indispensable guide to the world around us and destined to become a classic text for understanding the politics of globalization.

Guided by the belief that a combination of lightly regulated capitalism and liberal democracy -- the American business model -- is not just appropriate for America at the dawn of the twenty-first century, but a universal path to freedom and prosperity, the United States is an unrivaled colossus seeking to remake the world in its own image.

After a decade of successive market revolutions around the world, beginning with the collapse of the Berlin Wall and continuing in countries as diverse as Argentina and New Zealand, the effectiveness of the market economy as a route to prosperity and growth is not in question, but a more sophisticated appreciation of the strengths and limits of markets is urgently required.

In this new and illuminating analysis of the nature and evolution of the market economy, John Kay attacks the oversimplified account of its operation, contained in the American business model and favored by politicians and business people. He even questions whether it offers an accurate description of the success of the American economy itself.

In an absorbing argument that rewards close reading, and rereading, Culture and Prosperity examines every assumption we have about economic life from a refreshingly new angle. Taking the reader from the shores of Lake Zurich to the streets of Mumbai, from the flower market of San Remo to the sales rooms at Christie's, John Kay reveals the connection between a nation's social, political, and cultural context and its economic performance.

Reviews (5)

A book for social democrats and europhiles
New Keynesians, Europhiles, and those who like to set up a straw-man model of the American economy and then have it will like this book a great deal. Mr. Kay has an elegant and confident style that inspires belief that his pronouncements are the way things are. He does not have much use for the Chicago school of economics, nor of the idea that small government and lower taxes can add vibrancy to an economy. He is a Social Democrat who sees little difference between Mao, Stalin, and the management at Ford Motor Company.

This idea is so strange as to seem laughable to me. Mao and Stalin brutalized entire peoples and mismanaged entire countries. Ford, an international company, is still a miniscule part of the American economy and any mismanagement it might engage in has much more limited effects. Employees who dislike working at Ford and consumers who become disenchanted with its products have other places to work and other products to buy. The citizens of the USSR and China had no such option.

Mr. Kay also says, strangely, that European productivity is higher than that in America but really doesn't explain the way the measurement is made nor the effect the recently higher Euro against the Dollar has played in that measurement. I am not declaring him wrong, I simply would like to have a more complete demonstration of his claim.

A most egregious mistake he makes, like many who dislike capitalism, is to equate greed with self-interest. He claims that many people do things that are not directly related to acquisition or more money or material goods and claims this to be a proof that people don't act as capitalism claims. Adam Smith and other explainers of the capitalist model and any of us who believe it in always talk about rational self-interest NOT naked greed, which is a form of irrationality. That people want to build concert halls or have parks or shelters for the indigent is not irrational nor against a person's self-interest. However, opponents of capitalism need to have greed as the straw man to knock down however silly the claim that it is a foundational principle of capitalism.

Does the book explain why some nations are rich but most remain poor as the subtitle promises? I think that Hernando Desoto's "The Mystery of Capital" is much more convincing. But I have my own beliefs, and while I am a fan of European history and culture, I think that Socialism has cost Europe a great deal. However, you may believe differently and if you do, you will likely enjoy this book more than I.

A description of how complex comparative economics is
There have been many arguments put forward as to why some nations seem forever destined to remain poor and others, primarily European in cultural heritage, are prosperous. Those arguments range from the extreme believers in absolutely free markets as the reason for wealth to the relentless and continuous exploitation of the poor as the reason for poverty. As is nearly always the case when there are two extremes, the truth is somewhere in the middle, with each nation having different reasons for their economic performance. However, there are some general reasons, and Kay cites them with examples.
The first requirement for prosperity is a government whose members are not concerned solely with increasing their personal wealth. Although there are many others that he could have used, Kay cites the example of Joseph Mobutu in the Congo (Zaire). In terms of natural resources, the nation is extremely wealthy, but under Mobutu the country, with the exception of his cronies, was completely bankrupted. Kay also places a lot of blame on Western institutions that supported the Mobutu regime, lending billions of dollars that have largely vanished with no physical evidence remaining. Organized mineral production in the country has largely ceased.
In general, the countries of sub-Saharan Africa all suffer from the problem of greed and weak, incompetent government. In an excellent quote, Tom Friedman states, "Come to Africa- it's a freshman Republican's paradise. Yes, sir, nobody in Liberia pays taxes. There's no gun control in Angola. There's no welfare as we know it in Burundi, and no big government to interfere in the market in Rwanda. But a lot of their people sure wish there were." These examples also demonstrate that free markets are not the answer. Some of the freest markets in the world are in these countries, where bandits rule by controlling mining and then sell their ill-gotten gains to the highest bidder. Government leaders also readily sell their decisions to the one willing to pay the most. It is very sad to note that in many of these countries, economic productivity is now lower than it was when they were still under colonial rule.
Stable governments with honest leaders are also not enough. Kay cites the example of Tanzanian President Julius Nyerere, one of the few honest leaders to emerge in sub-Saharan Africa. Nyerere ran a government largely free of corruption and tried to develop factories and a stable economic infrastructure. Under his rule, Tanzania was considered one country that could possibly rise from the muck that is the disaster of Africa. Unfortunately, despite all of the aid and advice from Westerners, the GDP of Tanzania was lower when Nyerere retired than it was when he took office. One giant factory designed to supply the entire country with shoes was a disaster and never operated at more than 5% of capacity before it was closed.
Kay also has a true sense of history, something often lacking in modern commentators on economics. He reminds us that the early industrial revolution in England was very hard on the social structure, people and the environment. Thousands were herded into slums to provide the labor pool, and left to fend for themselves when they were no longer needed. Children were forced to work very long hours at dangerous jobs that required someone of their size and dexterity. Westerners travel to sweatshops in third world countries and are strongly critical of the conditions they find. It is often forgotten that the conditions they find are much better than when Europe industrialized. The reality is that economic conditions eventually dramatically improve, it just takes some time.
In examining the conditions that lead to a country being prosperous, Kay concludes that the following conditions must hold:

* Stable, honest government.
* Laws that clearly define property rights and that are enforced in an even-handed way.
* A sense of community, where people do not blindly follow the path of personal self-interest.
* A spirit of innovation, where new ideas are constantly generated, tried in small experiments and then only executed in the large when they have passed the initial tests.

Kay also spends a great deal of time on the American stock market bubble fueled by the dot-com craze of the nineties. His statements and conclusions regarding the behavior of the American economy will not please those who praise it as the model of efficiency. He considers the descriptions of the American economy to be vastly oversimplified and even whether they accurately describe how it functions.
I enjoyed the book, especially the examples of economic successes and failures. So much so, I wished there had been more of them. A large section is spent on describing the fundamentals of markets, which I largely skimmed. One thing is very clear. In performing a comparison of the economic performance of countries, you realize how complex economic productivity is. Those who argue that all will be well if only free markets and democracy take hold are misguided and/or simple-minded. Societies and cultures are extremely complex and Kay demonstrates that even well intentioned actions can be detrimental.

Analysis of the intersection of culture and economic theory
The subtitle to this book describes the content succinctly - "Why Some Nations are Rich but Most Remain Poor". Author John Kay, a prominent British economist, postulates that one of the reasons is due to cultural factors. These cultural norms may both free and confine the society when it comes to prosperity. If international trade benefits both rich and poor countries then why do poor countries remain poor? In a brilliant exposition of economics he argues that it is not the free markets and constant search for materialistic acquisition that has made America prosperous but it is largely a factor of the various institutions we have in place. That is one reason why many countries have been unsuccessful in trying to emulate the American economic machine. If our success were based entirely on free markets then bringing them to other countries would allow them to prosper, but they often do not. If you were taught the traditional Adam Smith and Keynesian economic models you will be delighted with this additional perspective on the international market and why our models often don't work in other countries. By the same token the models that work in their cultures may not work at all in ours. A fascinating read and a fresh view of international economics, "Culture and Prosperity" is a highly recommended book.

Illuminating if a bit dense
John Kay is one of those writers with the rare knack for making economics understandable, and his skills are in full display in this book. Kay offers a sophisticated critique of the assumption that markets can, on their own, guarantee prosperity, and he shows how culture and institutions play a crucial role in driving economic growth. At the same time, he rejects facile attacks on capitalism, arguing convincingly that markets remain the most powerful engine of prosperity ever invented.

Kay's style is generally quite readable, but at times here -- more so than in his FT work -- he gets bogged down in theory and detail, and there are ponderous passages to wade through. On the whole, though, this is illuminating stuff, and anyone interested in understanding why some parts of the world are rich while others are poor should take a look.

Informative and entertaining
This excellent book is an illuminating introduction to the key economic issues of our time. I had never imagined that a book on economics could be interesting, yet this work has shown me not only that the label of 'the dismal science' is unjustified, but also that the workings of the market economy can be explained with wit and lucidity. Highly recommended. ... Read more

Book Description

With grand announcements, recycled promises, and much hype about debt relief by the leaders of the world's rich creditor countries, the International Monetary Fund (IMF), and the World Bank since 1999, many of us can be forgiven for believing that the debt crisis of the world's poor countries is over. Far from it.

Reviews (6)

Very sensible propositions
Noreena Hertz's basic principle is that the rights of creditors do not stand above fundamental human rights.
Debt repayments should not be imposed on governments when they could put in danger a minimum level of food, health care, clothing, water, education and housing for the entire population.

But as US president Calvin Coolidge said to the English delegation after WWI: 'We lent you money. Didn't we?'
The fact is that a lot of money was lent to corrupt and despotic regimes (Suharto, Marcos, Abacha, Ceaucescu, Mengistu, the South-African apartheid regime ...). More, after the end of the cold war, the US asked immediate debt repayment from States which were no longer strategically important.

Democratic governments should not be responsible for irresponsible lending by States or International Organizations.
She remarks that 60-70 % of all World bank projects under Mc Namara were failures and that only 10 % were ecologically and socially sound investments.

For her, debt should be forgiven if it was lent to undemocratic regimes, if the investments were against the interests of the majority of the population and when those who gave the money knew for what it was disbursed.
Ultimately, debt forgiveness will ot only favour the poor but also the rich countries, for it should not force nations to implement unsound policies and should improve security in the world.

By the way, she rightly lambastes massive arms investments (4 stealth bombers represent 1 schoolyear for 155 million children) and agricultural subsidies in the US and Europe (every cow receives 2,20 $ per day, or more that 1 billion human beings on our planet).

This book is a must read about a crucial problem for a massive part of the world population.

Honest, but .....
Just as her other great book , The Silent Takeover, this one is an honest effort, well documented and basically well intended.I think Ms. Hertz is brilliant and brave in her exposure of the facts. But...and there is always a but. I think that, her final proposals tend to be naive. Do not misunderstand me. Herproposals would be very good...if and only if, the people with the power to move ahead with the kind of actions that are needed were really interested in the fate of poor countries and in the people of their own countries ( as she very well explains). What they are interested in , I mean the elites everywhere,is in PROFITS and power..that is the reason and the blood of limitless capitalism. All other issues, including the welfare of the people or the environment are simply not considered.
Another point is that the role of the corrupt political elite in third world countries is in some way minimized. These guys are gangsters and must be treated as such. But instead they are very well treated by the political and corporative elites in the developed nations...and when they no longer represent PROFITS or geopolitical advantages they are simply discarded..Just remember Noriega or Saddam...The sad point is that the people of these countries can not discard these gangsters by their own means..Why?? Because of the support the corrupt Govts' receive from the rich countries..And they preach about moral and ethics....!!!Very good read....Worth your time.

The Plague
Back in the good old days of Western imperialism, Western powers used the same tried and true approach over and over again to extract wealth from and subdue non-Western peoples: invasion and/or colonization, and/or enslavement. This method was effective for a few hundred years, until subjugated populations after living in close quarters with their masters and learning their weaknesses, mounted various successful forms of resistance against them, e.g., the Algerians' violent resistance of the French, or Gandhi's non-violent resistance of the British.After the First World War, the Western powers (although with much backsliding, evident now in Iraq), began to withdraw their armies and close up their colonial shops.After the great bloodbath ofWWI the old cover stories -- "The White Man's Burden" - were so threadbare that the average Westerner could at last see imperialism for the nasty racket it was.

But wait. It turns out that was just the opening chapter of imperialism.There's a new chapter, or in business-speak a "new paradigm."Through the relatively abstract miracle of debt, rich countries since WWII have been able to reclaim their hegemony. The beauty part for the West has been that invasion through debt does not require much in the way of armies and colonists.In fact, what is really sweet about the new way of doing business is that invaders get to dictate terms to poor countries and don't usually have to back up their threats with armies.Instead there's the threat that global traders will lower poor nations' bond ratings, squeeze their economies, and, by extension, their people, until they see the light. Kind of like loan sharking when you think about it.

Loan sharks, contrary to the stories told in movies and books, generally like to keep their customers alive, because after all, they want to get their money back.In this new form of colonialism that's pretty much true, too.But still, people do get killed like they did during the traditional imperialist paradigm.Hertz shows in chilling detail, for instance, how a cholera epidemic swept through Peru because Alberto Fujimori, following the dictates of the IMF and World Bank, sent every nickel he could get his hands on to pay the interest on Peru's national debt so Peru would get back into the good graces of the financial markets.Healthcare services, welfare and other human services were curtailed or cut to pay the debt.When Peru and opened up its economy to the international market as per the IMF just as commodity prices dropped, unemployment and poverty rates went through the roof.Rural dwellers moved to the city seeking work.Work was not available; unsanitary conditions were.So desperate was their poverty that these Peruvians couldn't afford soap to wash their hands or kerosene to boil their water.And so cholera killed nearly 4,000 in less than a year.

Ms. Hertz provides much needed insight into the history of the debt threat.It began in the Cold War - the era of the "chessboard and the checkbook" in Thomas Friedman's phrase - when the U.S. and the Soviets were buying allies.Few restrictions applied to these loans.Dictators and oligarchs could spend it any way they wanted as long as they remained friends.Then in the 70s came the commercial U.S. banks, awash in petrodollars, making loans and betting that Uncle Sam would reach into the pockets of the U.S. taxpayer to bail them out if necessary.After the Soviet collapse ended the era of checkbook diplomacy, a newly invigorated IMF and World Bank began its recent career as a lender of last resort.Their one size fits all free market approach placed the same onerous restrictions on every nation they did business with.Debt enslaved nations meekly agreed to more enslavement lest these agencies tighten the screws further.

Ms. Hertz takes us through this history at a brisk pace and shows through examples that though the approach may have changed, the result is the same: poor countries in thrall to rich countries.She shows with gripping examples not only how the racket works but, more importantly, how these practices put the West in danger by promoting dangerous conditions around the world.For instance, disease can now board an airplane and land in any Western nation in a matter of hours.Poor people grown even poorer because of their nations cannot afford basic health services and so grow weaker, more susceptible.Their afflictions mutate and metastasize, and soon the entire body of humanity is at risk.Then, of course, there is the wholesale destruction of the environment as poor countries rip up their forests and sell their oil to the West so it may be burned or turned into toxins.And, of course, there are terrorists who find an ever expanding pool of ready recruits among the poor, a whole new class of young men who are boiling with resentment and rage.Tragically, in the narrow Western ethos of profit and loss, payment of debt must override all other concerns, because profit-making is the only goal, and capitalism the best of all possible alternatives.

With THE DEBT THREAT,Ms. Hertz's continues to demonstrate how the forces of global hypercapitalism that she explored in her first book ("The Silent Takeover") put the lives of everyone in physical, and at the very least, moral jeopardy.As in that book, her personal story gives one hope: an economist trained at Wharton (she was there to help "jump start" the Soviet economy in the early 90s and was witness first hand to the anti-human ethos of the free-market fabulists), she has switched her allegiance to the other side of the barricades.On a positive note, global protests and activism has managed to arrest some of the worst abuses of the World Bank and IMF, the commercial banks and ECAs.One can only hope that this cogently argued work will awaken more and more people to this latest, and perhaps even more deadly strain of imperialism.

Third world debt is a noose and a time bomb
Large amounts of government debt are a combination of a noose around the neck of many developing countries as well as a potential time bomb that could explode and threaten the developed countries as well. When I was growing up, I was repeatedly told how much the United States was giving to the poor countries of the world in foreign aid: money, equipment and food. I also heard many times about the anti-American stance that people in those countries had and how their lack of gratitude was disgraceful. Once I entered graduate school, I encountered people from other countries and we talked very frankly about how they perceived the United States. Those from Chile talked about how they watched the Chilean military round up their friends and take them to the soccer field, and how they later heard gunshots and never saw the people again. They also described how the same thing was happening in Argentina. At the time, those regimes were strongly backed by the U. S. as fellow anticommunist governments and received substantial amounts of American aid.
Students from other countries considered U. S. allies also talked about how the aid sent by the United States and other western countries was used to buy arms and equipment for the government forces and very little was ever distributed to the people. A large amount of the aid that the United States sent to third world countries before the collapse of the Soviet Union was used to buy weaponry or to bribe the leaders. The only two conditions imposed on them were that the weapons had to be purchased from the west and the country had to maintain a firm stance against communism. If the leaders receiving the money followed these guidelines, then they were free to skim whatever they felt they needed with no threat of the funds being cut off. Therefore, those nations are now overloaded with vast amounts of debt that they can never repay. One of the main themes of the book is that most of the debt of the third world countries should be forgiven. Since it was the price that the west paid to defeat communism, that is one strong argument in favor of the debt cancellation.
There is also the ugly history of the origin of much of the debt, namely greedy bankers who literally pushed the debt onto governments, giving out massive loans, knowing that the U. S. government would step in to avoid defaults in the worst cases. The International Monetary Fund (IMF) and the World Bank have forced debtor governments to institute policies that have made bad situations worse. In Rwanda, after the horror of the genocide was over, and there was not even so much as a stapler in the government buildings, the new government pleaded with the IMF to give them an emergency loan. The response was that they first needed to pay the three million in interest that they currently owed.
This theme of western rapaciousness in the face of increasing problems is the saddest aspect of the situation. In western societies, if a person goes bankrupt, the law allows them to keep some of their assets and at least tries to let them keep enough so that they can work, seek medical care and avoid starvation. That has not been the case with the IMF, which has forced nations to chose between making their interest payments and providing medical care and education for their citizens. In many nations, schools and hospitals have closed, as there is no longer any money to keep them open. The IMF had dictated that in order to get additional assistance, they must make their onerous payments. Such policies will only make the situation worse in the long term and is breeding a great deal of resentment. As Hertz points out, many of those nations are Muslim and this is the source of a great deal of anti-western hostility.
The worst two aspects of this situation are how rich some western people and institutions are getting from this. She describes how much money many of the lending institutions have made from these bad loans; few of them have truly lost significant money, even when a nation has defaulted. In my mind, the worst is what Hertz refers to as the debt vultures. These are people who spend their time in the legal system acquiring what few assets the debtor nations have in the west, stripping them of one of the few things they have of value. This is done in an attempt to pay off some of their debt. When she interviews one and asks about any feelings of remorse he may have because he is literally forcing thousands of people to an early death from starvation and disease, the vulture shows none. Such actions are considered criminal in the United States, but are routinely committed against the poor of the third world.
Hertz was in the former Soviet Union as it was collapsing, working with the international banking agencies and implementing their policies. Her opinion is that those policies were so destructive and shortsighted that they helped accelerate the collapse of the Russian economy. By trying to impose a western style capitalist economy, the functional parts of the old Soviet economy collapsed and this led to the rise of the underground and criminal economy.
This is a book that all people who study the relationships between the wealthy and poor nations should read. I will never forget my discussions with my classmates from Chile. While we all got along and they enjoyed being in the United States, there was bitterness in their voices when they talked about the events in their country. I realize that they will never forget that the United States encouraged and bankrolled the Chilean military and will always assign some blame to the United States. I also understand that they are only a few of the billions of people around the world who have similar reasons to hate the United States. It is time that western banking and political institutions recognize that it is in their best interests to implement a policy that will allow the debtor nations to recover from their indebtedness and begin to expand their infrastructure, educate their people, treat their sick and protect their natural resources.

Important and accessible history (and solutions)
A highly readable and accessible book on an important subject that most people believe is too difficult to understand. Hertz's history of third world debt, which takes us from the Bretton Woods agreements to the present day, is interspersed with stories from the author's work and observations, such as Bono's Jubilee activism and the author's own foray to Russia as a consultant for the World Bank and International Monetoary Fund. Every American should read this book -- particularly every American who finds the subject off-putting, doesn't think it really matters, or has wondered why all those people are protesting globalization. ... Read more

Reviews (22)

A Book to Reinvent Our Goals
Alan Weisman, a journalist hired by NPR to investigate solutions for environmental crises, spent years collecting information in a tiny, remote village at the eastern edge of the war-torn country of Colombia. That village was Gaviotas; this book is his result.

I read this book on a recommendation from Daniel Quinn, author of "The Story of B" and "Beyond Civilization." Quinn's entire philosophy rests on two ideas: living in a sustainable manner, and allowing the reader to come up with their own solutions for doing so. Gaviotas is a community where people did just that - through ingenuity, creativity, and hard work, the residents of this planned village created a place where water is pulled from the ground using pumps attached to children's see-saws, heat is provided by the sun, and electricity by the wind.

It's a progressive's dream come true, and an experiment that has succeeded in all possible ways. This book lays out the history of Gaviotas and its unique founder, Paolo Lugari, and places it within the context of the ongoing struggles in Colombia. In the wake of the World Trade Center attack, I decided to re-read Gaviotas to remind myself that not only is there hope for humanity as a whole, but hope that individuals will begin to take responsibility to begin freeing ourselves from the confining forces of our self-imposed prisons called "civilization," but still manage to retain the good things, too.

Every person on earth should read and re-read this book. If you haven't, buy it now or start hoofing it to the library.

Wonderful, Inspiring, Hopeful!
It was one of the best books I've ever read.
Go get it right now!

Gaviotas is an inspiring story of hope and success
Gaviotas the place is amazing! I can't believe how many good ideas were put into practice in one community! Incredible. All working/aspiring engineers, city planners, architects, etc. should having a working knowledge of the theories and practices Alan Weisman describes in this book.

Humans CAN be part of a non-destructive, even a positive, productive relationship with their surroundings. We CAN prosper without decimating everything with which we interact. Gaviotas is a good start--a good example for the rest of the world.

READ THE BOOK! BUY THE BOOK!

Hope Floats
I read this book after one of my Colombian friend recommended it. I could not put it down once I started reading it. It is not an easy reading and it requires you to think about how everybody in the western world takes life and facilities for granted which people in countries like Colombia strive hard to achieve.

This book is a fantastic tale of individuals who don't take no for an answer, who had a dream and they worked to achieve it and in the process created an outstanding example of the fact that 'life and nature can co-exist' because that is how they were before we made discoveries and inventions to conquer nature.

The book ends with a final message...If you have a dream then pursue it...you will meet people along the way who share your thinking...Hope floats.

A vision of humanities existence
Gaviotas

I can honestly say that this book completely changed the way I look human existence and relation to nature. Not only are the people of Gaviotas innovators, but visionaries aided by the studies past and present technologies. While reading this tale I was not only amazed by the resourcefulness of a few people, rather what the implications are to the human family as a whole. It seems that the people of Gaviotas have given themselves an education that no classroom can offer. In fact quite the contrary, they are scholars of the laws of nature.
One thing that I learned from this book is that it is easy to get stuck thinking within the parameters of modern society. It seems that every technology around us is based purely on the short term and hard resources. However it is the natural dynamics of Earth which run the resource base for the natural world, the wind, hot, cold and ultimately the sun. ... Read more

Book Description

The extraordinary growth enjoyed over the last several decades by many East Asian countries has amounted to nothing less than an economic miracle. Employing unorthodox policies, Hong Kong, Indonesia, Japan, Malaysia, the Republic of Korea, Singapore, Taiwan, and Thailand have all produced dramatic results with far-reaching improvements in human welfare and income distribution, leading many to ask whether a similar achievement can be duplicated elsewhere.

Written for the nonspecialist, this World Bank Policy Research Report--the first in an important new series--discusses in detail the means by which these high-performing Asian economies (HPAEs) realized their staggering success between 1965 and 1990. Examining how these countries stabilized their economies with sound development programs that led to fast growth, the book also shows how they shared the new prosperity by making income distribution more equitable.

The book makes clear how the HPAEs promoted rapid capital accumulation by making banks more reliable and encouraging high levels of domestic savings, while universal primary schooling and better primary and secondary education quickly increased their skilled labor forces. Also included are illustrative examples of productive agricultural programs, modest tax policies, the modification of price distortions, foreign technology and investment, and the cooperation of government and private enterprise.

Exposing to a broad audience the revolutionary process that transformed East Asia into the collection of economic juggernauts that it is today, this provocative World Bank report offers wisdom for today's up-and-coming markets, highlighting the policies that will make a difference as well as those that, despite their effectiveness in the Orient, could prove disastrous elsewhere. ... Read more

Reviews (1)

Good pre1997 crisis book, interesting contradictions
This book explores the causes for the extraordinary growth experienced by a few Asian countries in the pre-1997 crisis era. It describes, in great detail, the policies adopted in each country that are believed to have spurred such development; to its credit (being a World Bank book), it even suggests that some unorthodox policies may have been beneficial, even though it does suggest that these benefits are not there to be reaped again by a country trying to emulate them. One of the main arguments is also that income distribution improvements have been a common experience across these countries, which is a topic not often discussed in development economics.

There are, however, some obvious fallacies in this book. Having been written pre-1997 crisis, it does highlight the strenght of the banking system in many of these countries; these banking systems were later to be blamed for much of the pain in the 1997 crisis.

I find this book fascinating, not as a source of development ideas (those can be found elsewhere), but due to the historical context in which it was written (praising economies that were about to collapse). Of course, these economies are still better off that most developing countries, so I do not believe that they are mistaken in many points, but there are certain contradictions that arose with the crisis that make it worth reading this book to determine what is good advice and what is hot air. ... Read more

Book Description

The Sen and Dreze omnibus comprises three outstanding works by two of the world's finest economists. The volume is a trilogy on the causes of hunger, the role public action can play in its alleviation, and the Indian experience in this context. Together the three works provide a comprehensive theoretical and empirical analysis of relevant developmental issues. ... Read more

Reviews (2)

to better the understand the third world
Handelman provides what the third world has to deal with to become industrialized democracies. He foucses on underdevelopment, democratic changes. religion and politics, ethnic conflict, women in development, agrarian reform, and rapid uranization among other topics. THe book was published recently so it even has some information about 9-11 and its impact.

Good source for third world development.

Great Textbook and Resource Tool
I had to read this book for an undergraduate course on the politics of the developing world.It can be difficult to read at times if the reader does not have some understanding of the developing world or the theories that surround their slow development into modernity.Overall it is an wonderful text for building a knowledge base and an excelllent reference tool. ... Read more

Book Description

Hardbound. For this Handbook authors known to have different views regarding the nature of development economics have been selected. The Handbook is organised around the implications of different sets of assumptions and their associated research programs. It is divided into three volumes, each with three parts which focus on the broad processes of development. Volume 1 of the Handbook begins by discussing the concept of development, its historical antecedents, and alternative approaches to the study of development, broadly construed. The second part is devoted to the structural transformation of economies. The role that human resources play in economic development is the focus of the last section of this volume. ... Read more

Book Description

In a clear, lively and non-technical style, the author explains and assesses the way in which micro, welfare and benefit-cost economists view the world of public policy. The work of these economists has significantly influenced scholarship in political science, law, philosophy, sociology and psychology, and it has led to important changes in government policy concerning the environment, housing and the regulation of industry. The author explains why Democratic and Republican economists so often agree about micro-policy issues and why they are so often at odds with many politicians, consumer advocates and business and union leaders. He argues that even an elementary knowledge of resource economics could help us avoid many current public policy blunders. The book will be of interest to students and teachers of public policy, public administration, business and law and to the educated lay reader. ... Read more

Reviews (2)

For Economists and Noneconomists
Rhoads is an effective promoter of the economic way of thinking. He quotes Kenneth Arrow: "the economist's frequent job is to say 'this or that, not both. You can't do both.'" Perhaps owing to his outsider's perspective as a political scientist, he is able to usefully contrast the economic way of thinking with various alternatives. Whereas engineers concentrate on making equipment safer in order to reduce the number of accidents in the workplace, economists would tax each firm based on the number of accidents in its workplace.
Rhoads understands the economic way of thinking well. On regulations aimed at saving lives, he states: "We must weigh in our own minds, using our own standards, the gains forgone elsewhere when money is spent on such programs." On marginalism: "Many doctors will want to use scarce resources to the point where the marginal utility of further expenditures equals zero ('everything possible for my patients'), not to the point where it equals the opportunity cost." He explains the economist's approach to reducing (not eliminating) pollution through taxes on pollution and licenses to pollute. "With the incentive schemes", the advantage is that "the possibility of increasing profits by reducing pollutants remains as long as any taxes are paid or capital is tied up in the marketable effluent licenses, that is, as long as any pollutant remains." The author's knowledge of the literature on the microeconomics of public policy and his explication of it impress this reader.
Although Rhoads proves to be a clear believer in the benefits of a price system, his philosophy is not free market or libertarian. He justifies subsidies for science and art on grounds that appreciation and fondness for those subjects "are higher, more distinctively human, pleasures, but also harder and less enticing initially." A good sentence that describes Rhoads's perspective and why economists and noneconomists might find the book interesting is this: "I think economists should read more outside of economics, but most people should read more within it."

Sophisticated analysis but lucid reading
This is an excellent book. I first read it while doing graduate work in public administration and then read it again as I worked towards a Ph.D. in political science. For the student of public policy, an understanding of economics is critical to understanding the underlying rationale behind many failed as well a succesful governmental initiatives. Further, for the public servant, it casts light on policy design in one's professional work. This book is helpful in both arenas.

The book clealry describes the traditional justifications for government in a market economy, market failure; but also delves into government failure, and the limitations of democratic processes in shaping rational policy.

The book describes other economic concepts; marginalism, opportunity costs, welfare economics, pareto optimality in such a manner as to make their policy relevance very clear.

Underlying this non-technical and jargon free discussion is a well intended (and on-target) critique of the academic discipline of economics. Juxtaposing early economic thinkers with today's calculus driven analysts, Rhoades sees a dearth of span of vision. Technical expertise has overwhelmed broad understanding and mathematical brilliance has driven out a wide breadth of learning.

This is an great book for the serious reader and a must for graduate students in policy, PA or politics. ... Read more

Book Description

China and the WTO analyzes the nature of the reforms involved in Chinas accession to the WTO, assesses their implications for the world economy, and examines the implications for individual households, particularly the poor. Its key objective is to provide the information that will allow policy makers to implement WTO commitments and formulate supporting policies to contribute strongly to economic development and poverty reduction. ... Read more

Book Description

This book analyses the problem of the increasing political exclusion of ethnic, caste and gender groups in democratic Nepal and discusses its consequences for democracy and the stability of the country. While outlining alternative democratic institutions and proposing specific institutions that can include the diverse socio-cultural groups in Nepal, this book:

- analyses the Maoist insurgency, arguing that political exclusion was a major cause for its genesis and growth;

- examines the causes for the lack of democratic consolidation in Nepal;

- provides the first comprehensive critique of the 1990 Constitution, identifying it as an important factor leading to the political exclusion of ethnic groups;

- suggests the setting up of a new Constituent Assembly to address the social and political crisis in Nepal;

- makes important recommendations to shape an inclusive and democratic Nepal which include federalism; a powerful House of Nationalities; a proportional electoral system; affirmative action policies and reservations; declaration of a secular state; a centralized judicial review; and the protection of minority rights in the Constitution.

Overall, the author argues that unless Nepal's ruling elite becoms senstive to the needs of marginalized and excluded groups, the country could witness an escalation in violence.

Highlighting a wide range of issues crucial to strengthening democracy in Nepal, this book is of interest ot students and academics studing Nepal and South Asia.

Book Description

This book proposes a new approach to helping communities worldwide create healthier and cleaner living environments.

Just and Lasting Change presents how to transform communities rapidly and in locally appropriate ways. Daniel Taylor-Ide and Carl Taylor have been present at key events and worked with key thinkers in dealing with the large forces of inequity, environmental change, and globalization. The approach they have synthesized builds on what has worked over the last century—and can now be implemented rapidly and cost-effectively in many parts of the world. It relies on a three-way partnership of "bottom-up" initiatives from the community level, "top-down" support from government agencies, and "outside-in" ingenuity and objectivity from experts.Based on both a diverse range of case studies—from the earliest attempts to promote social development in India a century ago to current efforts in Tibet, the Peruvian Andes, China, and the American Southwest—and engaging personal experiences, this book describes, step-by-step, how SEED-SCALE can be effectively implemented.

With contributions from leading international experts in community-based development and public health, Just and Lasting Change offers a hopeful description of how people have made a difference in diverse communities around the world and a practical, accessible handbook for those trying to improve the quality of life in underdeveloped communities everywhere. ... Read more

Reviews (2)

new Reformation
As we watch news reports of the world in chaos and trouble this Book offers not just salve to ease the pain of some of these small communties but also real solution as they being to restore their dignity with justice for all involved.
The Model SEED/Scale is one that I believe should be studied and applied in some of the rural areas, small towns in this part of Southwest Oklahoma. This method is about a reformation of attitude, self-awareness , and possibilites for growth and change bringing the best healthiest new life possible.
I think that Churches could apply the model as well as a way to restoring justice and change withn themselves and within the communities they serve. Revitalization is something that churches in rural arears everywhere talk about I believe this model could be applied with success.
This book should have a broad readership. It could help change the world.
Rev. Bobbie G. McGarey, Southwest Oklahoma Presbyerian Parish Pastor, Frederick, Temple, Walters, Chattanooga, and Grandfield. Oklahoma.

A methodology for durable social change in poor communities
The poor communities of the world are, unfortunately, a laboratory for many thousands of mostly failed experiments in how to improve their situation. This important and valuable book builds on decades of practical experience by the authors in the successful, durable transformation of poor communities. The authors' key insights are (1) the necessity for change to be driven by the collaboration of the community, outside experts, and local government; (this may seem obvious, but many projects fail because they treat one of these three groups as an enemy or obstacle rather than a vital element), (2) to have measurable results, (3) to use the power of the community to modify behavior that is an obstacle to success. This book should be read by donors as well as those directly involved in development activities such as community leaders, government officials, and NGO workers. ... Read more

Book Description

In the 1970s and 1980s the countries of Latin America dealt with their similar debt problems in very different ways--ranging from militantly market-oriented approaches to massive state intervention in their economies--while their political systems headed toward either democracy or authoritarianism. Applying the tools of modern political economy to a developing-country context, Jeffry Frieden analyzes the different patterns of national economic and political behavior that arose in Argentina, Brazil, Chile, Mexico, and Venezuela. This book will be useful to those interested in comparative politics, international studies, development studies, and political economy more generally. "Jeffry Frieden weaves together a powerful theoretical framework with comparative case studies of the region's five largest debtor states. The result is the most insightful analysis to date of how the interplay between politics and economics in post-war Latin America set the stage for the dramatic events of the 1980s."--Carol Wise, Center for Politics and Policy, Claremont Graduate School

Reviews (1)

"Modern Political Economy" in Latin America
Frieden's "Debt, Development and Democracy" is a rational-choice analysis of economic group interests (the "demand side" of political economy) in Latin America that seeks to explain widely differing political and economic outcomes in five countries who faced nearly identical external economic conditions.By holding the external financial environment (foreign lending) constant across the five cases, Frieden can explain two kinds of divergent outcomes (economic policy and political change) through his independent variable:the political interaction of economic interest groups acting rationally vis-a-vis the state to maximize their interests.

Frieden's argument rests on the assumption that foreign loans were liked a pie to be divided.When the pie was large, during the lending spree of 1965-1982, economic interest groups in each of the five countries determined the distribution of the pie based on their political competition for capital.Since these groups were acting to maximize their economic interests, Frieden analyzes these interests in order to explain their impact on the first dependent variable:economic policy during the borrowing period.He finds that the most significant factor determining interests was the nature of national labor-capital relations.In the three cases where labor-capital relations were calm (Mexico, Venezuela and Brazil) various "sectors" of the economy squabbled over the pie, resulting in interventionist economic policy and political cleavages that cut across the labor-capital divide.The winners in this battle for government largesse were the economic sectors that were strongest in two key areas:asset specificity and concentrated organization.But in the two cases where labor-capital relations were contentious, (Argentina and Chile) Frieden shows that capitalists across all sectors recognized their common interest and refrained from sectoral squabbling by forcing the state to eschew interventionism and protect the business climate by liberalizing markets.

After 1982, when the pie began to shrink, it was the nature of these established interest group/state relationships that determined Frieden's second dependent variable:each country's political response to the financial crisis.In the 3 sectoral countries, plus Argentina (where class conflict had subsided and sectoral cleavages therefore rose to prominence), the politically powerful sectors realized their common interest by joining forces to overthrow the regime or government (or the "policy orientation" in the case of one-party Mexico) that could no longer protect their economic interests.But in Chile, where class conflict still seethed, Frieden argues that the entire business community made a rational choice to maintain its pro-regime stance, feeling that they had more to fear from a resurgence of the left than they did from the government's inability to meet their economic demands.This explains the fact that Chile is the book's only case where authoritarianism survived the debt crisis.

Frieden offers two kinds of evidence to test his theory:quantitative and qualitative.The qualitative evidence, showing the behavior of interest groups vis-a-vis the state, is made up of interviews with key players in each of the five countries, plus numerous citations from other studies, both historical and contemporary, that ostensibly use qualitative data.The quantitative data is primarily made up of statistics on Frieden's key antecedent condition, foreign lending (to illustrate the similar nature of debt conditions across the five cases) and also his economic dependent variable:well-organized and asset-specific sectors pushing for state intervention in the economy (to illustrate the fact that sectoral economies spent their foreign loans in statist ways, while the two other cases spent their money in more "liberal" ways).Fewer statistics are needed for Frieden's political dependent variable, political change after the debt crisis, since most observers would agree that Chile changed much less than the other cases (although some would say that Frieden's "policy orientation" variable in Mexico is meaningless, since the PRI never lost its grip on power.But if Frieden were to admit that Mexico did not experience political change after the debt crisis, then his argument would be falsified).

Frieden makes it easy to assess the logical completeness of his rational choice argument by himself bringing up possible alternative theoretical interpretations of his data.While this is an admirable attempt at fair and open social science, it also gives us easy access to the deficiencies of his approach.Frieden himself admits that the behavior of interest groups cannot account for all changes in political economy, but then goes on to assert that "trends toward or away from democracy are largely a function of political actors' evaluation of which institutional arrangement will best serve their interests, not of structural characteristics of developing societies" (137).While this is a bold statement, it robs all other variables (international economic conditions, institutions, the state, ideology, strategic interaction, etc.) of too much of their explanatory power.To argue that economic interest groups alone can determine the nature of economic policy and the extent of political change is an overstatement of their individual capabilities, and Frieden probably knows it.Rational choice assumes too much omnipotence on the part of particular groups and individuals, and too much power to act in their collective interests.Nonetheless, Frieden's explanation is parsimonious, and sheds much light on heretofore ignored factors in the development/democracy relationship. ... Read more

Book Description

"This is a book that should be read by all economists." -- Roger E. Backhouse, The Economic Journal

"A stimulating essay by one of the world's most thoughtful and innovative economists." -- Paul Ormerod, The Times Higher Education Supplement

Why do certain ideas gain currency in economics while others fall by the wayside? Paul Krugman argues that the unwillingness of mainstream economists to think about what they could not formalize led them to ignore ideas that turn out, in retrospect, to have been very good ones.

Krugman examines the course of economic geography and development theory to shed light on the nature of economic inquiry. He traces how development theory lost its initial influence after it became clear that many of the theory's main insights could not be clearly modeled, and concludes with a commentary on areas where further inquiry looks most promising.

The Ohlin Lectures ... Read more

Reviews (4)

Do economic models matter?
Paul Krugman is one of the few economists at home both in 'high theory' and in public economic discourse. He thinks deeply, and he thinks brilliant thoughts. This little book - based on the Olin Lectures he gave in Stockholm - is proof of what his mind can yield, when it sets out to clarify issues.

Development and economic geography, he argues, failed because they did not submit themselves to the discipline of model-building - what might look or even be at first sight downright silly in the end is preferable to the unconscious metaphors of the narrative economic discourse.

For all its clarity, Krugman's argument is deeply flawed. Development and economic geography - together with income distribution - belong to the derelict class of economic problems that addresses the question of historical disparities of wealth in the economic tissue. Why have some countries or regions developed and others have staid behind, why are there poor and rich? Was it done by better use of the available resources, or by impoverishment of other nations or persons? A corollary to this question would be: does our quest for efficiency worsen or reduce disparities? Both Adam Smith and Karl Marx addressed this question, but their observations have been largely forgotten. Pareto and welfare economics picked up the thread, only to conclude platidinuously that the only 'good' policies are those that benefit all.

Should the model-building solutions that Krugman suggests be used in development and geography be any good, they might imply that a 'big push' applies not just to economic growth, but also to concentration of income - consumer surplus playing the role of 'economies of scale'. Interesting. Just as interesting as the metaphor that - as in the 'big bang' theory of star formation - the smallest of initial income irregularities (e.g. first predatory capital accumulation) lead to the agglutination of wealth around capitalists. Which, of course, also implies that it is the 90% of dark (workers) matter that keeps the shiny capitalist 'stars' in place in a well-ordered and expanding economy.

Toys are useful provided they teach a child the 'real thing'. Toy models are not useful when they fail to recognise (let alone address) fundamental issues like that of economic disparity. Models are downright bad when their incautious use leads to blind-sighting in economic policy. Every economist should be made to ponder Kenneth Arrow's Theory of Second Best. Partial optima are bad solutions in the search for an overall optimum.
Can we expect models of income disparity soon? Paul Krugman might devote some of his intellectual powers to construct the simplest of models of income disparity and attempt to integrate it into a growth model - just to disprove (or prove) the widespread intuition that when governments pursue efficiency single-mindedly, the rich get rich and the poor poorer.

Can we further expect a 'grand unified theory of everything economic' that would bring together both concerns of efficiency and income distribution into a unified model for development? Don't hold your breath. As Koopmans famously proved, one cannot kill two birds with one stone. Until then, however, efficiency models should either be denied the Warrant Of Fitness for circulation in political circles, and/or carry the label: Efficiency may be harmful to income distribution.

Neat little book but too expensive!
It's a wonderful little piece, but a teeny little book for $40 bucks?! What's more, most of contents are/were actualy available at Krugman's own web site. Someone's sure making a lot of unearned money here off..... If money were no object, though, I'd surely rate this book much higher.

An Excellent critique of high development theory
This is an excellent critique of high development theory. Although good economists will know the main faults of their disapline, this text elegantly explains why development theory lost its direction. I will not divulge the main ideas, they are well worth the money to find out. - Economists consist of two groups, those that don't know, and those who don't know that they don't know.

Quick and Lucid
Trade theory and economic geography are two subjects that are as interesting as they are tough to lay out. This book would probably be an utter disaster in anyone but Krugman's hands. This book is not really for anyone unfamiliar with economics, but the majority of it could probably by understood by a reasonably bright high school student with some familiarity in the area. Krugman has a breezy style which runs over all the intriging upshots without becoming bogged down in fetishistic details. Admirably his clear rhetoric is supplemented by by many examples, analogies and "intuition pumps."

As far as an introduction to geography and trade go, it is less than thorough, but these are mostly props for Professor Krugman's views on economic theory, which are sensible and unpretentious. He deflates and delineates the worse practices of his profession without resulting to the stock complaints (i.e. that Economists generally think they are physicists -- nonsense!). A good quick book on how to do economics. ... Read more

Book Description

What are the key foreign economic policy issues facing the United States in the second half of this decade? How can the administration and Congress meet the economic challenges that lie ahead? This new book analyzes the dramatic importance of the world economy to both the domestic prosperity and overall foreign policy of the United States, describes the new global environment (e.g., the rise of China as a global economic superpower and the completion of European unification) in which US policy must operate, and proposes major US initiatives on a wide range of international economic issues, including correction of the huge current account deficit, new trade negotiations, and energy. Individual chapters by senior staff of the Institute on each of the key topics are included. ... Read more

Book Description

This volume presents ten original essays and four commentaries contributed by leading scholars in technology and innovation that discuss how newly industrializing countries (NICs), particularly those in East Asia, have transformed themselves from technologically backward and poor to relatively modern and affluent economies over the past thirty years. They provide interesting theoretical perspectives and the insightful understanding of the process of technological progress at both the macro and micro levels in these countries. ... Read more

Book Description

Originally published in 1985, ... Read more

Reviews (8)

Good analysts of root causes, & indirectly the solutions
This book was first written in 1985 and revised in 2000. In a nut shell the author looks at the history of Latin America, and argues that the classic explanation of the Dependency theory of Latin America's poverty relative to the United States is wrong. For a long time many people in Latin America blamed their problems on the rest of the world, and often the United States was the source of most evil. This was victimhood on an international level.

Harrison argues that this is wrong, and shows how the legacy of the Spanish and Catholic influences has produced a culture that is anti-progressive. I was a bit surprised at how often he brings up the importance of child rearing practices. This is a very well researched book. It was well written. It was very thought provoking.

Yes ...it is !!!
I read this book a long time ago ...I actually borrowed it from a friend at the USAID office in Santo Domingo and never returned it. It was an eye opener and at the same time a confirmation for a lot of our opinions. This book is ,a very clear
description of the underdeveloped mind...the way of thinking and of viewing the world that we inherited from our spanish colonial era. Not only religion is a burden...but also the
rent-seeking ,oportunistic and corrupt ways of our politicians ....and worst of all...that we the people..don't do a thing to end this mess.

Thomas Sowell recommends it, and for good reason.
Unlike one of the reviewers of this book which declared this book to reek of white supremacy stench, a portrayal which couldn't be further from the truth, I found this book to be very insightful and very well reasoned. I read this book as a recommendation from Thomas Sowell (a noted black economist and author of a trilogy on cultures - and one of my favorite authors and economists) and I found that he was right on the money with his recommendation. There is no reason in the world that any population, with or without natural resources, can't progress and become developed in a generation or -at most - two (as long as they have guarantee of liberty including the iron clad right to own property without danger of seizure from the government). The author reveals very well the stumbling blocks that prevent some countries from developing regardless of the billions given in foreign aid. Culture does play a part in this and in some cases - a major part. As an example, how do two countries of a comparable economic situation (Hong Kong - no natural resources - and Mexico - with considerable reserves of oil - in the early 50s) become so diverse in their development in a scant 50 years? Culture and economic liberty are an obvious answer. Do yourself a favor and read a copy of this book. It'll open your eyes utilizing clear and basic economics as to one of the root causes to third world poverty.

The truth that you should heed
If you are one of those people who disingenously think that all cultures are the same and that cultural attitudes do not impinge on economical issues, move on and keep on reading the same type of pseudo-scholarship that created and sustains all those described in two other works the reader should take into account: "El Manual del perfecto idiota latinoamericano" (The Manual of the Perfect Latin American Idiot")and "Fabricantes de miseria" (Makers of Misery). Otherwise, buy books like this and one day you might learn the truth.

A few good insights tainted by the stench of white-supremacy
The thesis of this book is that the economic disparities between the US, Costa Rica, Nicaragua, and Haiti result from the superiority of WASP culture. The study of the relationship between culture and progress has a long history dating back to Max Weber. This book offers nothing new except a harsher edge that gives it a stench of white-supremacy. Harrison is clearly aware of the potential for charges of racism. He makes extensive use of quotes from blacks and Hispanics to make points that would be offensive coming from a white person. This is reminiscent of the 2000 reform party's black vice presidential candidate whose job it is to state that Pat Buchanan is not a racist, not an anti-Semite, and not a homophobe. Harrison's book purports to be a book on development, rather than a justification for the disparities of wealth between the first and third worlds. Indeed, there are reasonable policy proposals in this book, as well as a decent refutation of dependency theory. However, there is nothing really new here. Economists almost universally rejected dependency theory long before "Underdevelopment is a State of Mind" was first published. Anyone even vaguely familiar with the development literature will come away with nothing more than the simplistic argument that poor people deserve to be poor because of their inferior culture. The book gives no hint as to the fundamental causes of cultural differences. Clearly culture affects economic progress. However, it is equally clear that economics affects culture. The U.S. has a culture conducive to capitalist growth in no small part because it is a wealthy capitalist nation. Any writer sincerely concerned with improving the welfare of poor people should look favorable upon immigration and cultural exchanges. With the fed raising interest rates to choke off US growth and prevent labor shortages, the U.S. can absorb vastly increased levels of immigration. The success of immigrants from very poor countries makes it clear that it is the institutional and cultural restrictions of poor countries that make them poor. They do not bring their supposed "cultural inferiority" with them. The fact that Harrison's book contains diatribes against immigration shows that his concern is with relieving his own guilt about living better than 90% of humanity rather than improving the lives of the bottom 90%. ... Read more