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Conflict Watch: Violent, Unorganized Protest is the Bane of Legitimate Grievances

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Original article:

 The unrest in Ferguson began one week ago, on the quiet side street of Canfield Drive, when residents were startled by a series of gunshots and poured out of their homes. They watched and wept as the police stood guard for hours over the body of 18-year-old Michael Brown, splayed face down in the street.

But over time, the demonstrations have changed to become an amalgam of peaceful protesters — some furious about what they say is endemic abuse of African-Americans by the police — and separate groups that have carried out acts of violence and looting.

Early Saturday morning, the divisions became even more evident during a four-hour standoff with the police. One group, some of its members wearing bandannas, broke into a liquor store and left clutching bottles of alcohol. But at other retail outlets, like a beauty supply store, demonstrators blocked the looters’ way.

Night after night the streets have attracted disparate groups, some from within Ferguson, and some from hundreds of miles away.

Many of those on the street say they have shrugged off guidance from elders in the African-American establishment, and even from the Brown family, which has repeatedly pleaded for calm.

One protester, DeVone Cruesoe, of the St. Louis area, standing on Canfield Drive last week said, “Do we have a leader? No.” Pointing to the spot where Mr. Brown was killed, he said, “You want to know who our leader is? Mike Brown.”

Many African-American civic leaders in St. Louis said they were frustrated by their inability to guide the protesters.

Some people have suggested that there is a generational divide. George Richardson, who works for the building department in East St. Louis, said the younger protesters were acting independently, ignoring advice from their parents.

“There is a gulf between the leadership and the boots on the ground,” Mr. Richardson said. “These kids do not understand why the nonviolence movement is the best way to get done what we need to get done. They don’t really know what to do.”

Violence and destruction lend legitimacy to strong handed responses by the authorities (I am not saying I necessarily agree these actions are just or proportionate, but rather stating the stance many policy makers take). It is extremely unlikely that anything justified the killing of Michael Brown, but more information must be released through independent investigation before anything can be said beyond speculation. Certainly nothing justifies the violence against, and the imprisoning of, peaceful protesters and members of the press.

However, when violent protesters and looters–opportunists who use the legitimate grievances underpinning the Micheal Brown murder and the murder itself for illegitimate ends–become indistinguishable from peaceful protesters, the indefensible becomes defensible. Suddenly, states of emergency and curfews seem not only justifiable, but indeed necessary to protect the general public.

What happened in Ferguson is not a generational issue, but an issue of social justice and accountability for those in power. Getting the protests back on track requires strong youth leadership in Ferguson; only youth leaders who stand for legitimate causes can end the perceived generational rift and expose it for what it truly is.

Young people tend to be passionate, impulsive and impressionable–not a mix of traits naturally lends itself to peaceful protest. However, young people are also likely to be pragmatic, have long term goals, and listen to other young people. Youth leaders must emerge and denounce the violence / destruction, however instantly gratifying it may seem to some misguided youths. Failure to do so risks having legitimate grievances overshadowed by opportunist, and is a betrayal to both the legacy of Michael Brown, as well as broader Civil Rights and social justice movements.

I am sure these youth leaders exist; they must be empowered by those with the resources and desire to see social justice served. There is a reason Martin Luther King is remembered as an American hero, and Malcolm X as a polarizing figure. The argument between whether “hard” and “soft” power is the better avenue for change, at least in America, was decided decades ago.


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Economic Outlook: Making Banks Responsible for “Zombie Houses”

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Original article:

New York Attorney General Eric Schneiderman has launched a statewide effort to combat so-called zombie properties by encouraging the state legislature to pass the Abandoned Property Neighborhood Relief Act (APNRA) he proposed earlier this year.

Schneiderman announced that the city councils of Albany, Poughkeepsie, Elmira, Beacon, Jamestown and Hornell are scheduled to approve resolutions on Monday urging passage of the bill. The city councils of Newburgh, Binghamton and Schenectady have passed similar resolutions.

The Attorney General’s Abandoned Property Neighborhood Relief Act would provide support to neighborhoods plagued by vacant houses. Among other things, the legislation would make banks responsible for the abandoned properties.

See the full text of the legislation here

Some U.S. cities spent public funds on securing, cleaning and stabilizing the houses that generate no tax revenue. Others let the houses rot.

New York is among the states seeking to make banks take responsibility.

I (not surprisingly) like the idea of holding banks responsible for the maintenance of “zombie houses”. Municipal budgets should be spend on public goods and welfare programs, not on cleaning up messes left by irresponsible borrowers (homeowners who could not afford the homes they bought) and / or lenders (banks giving mortgages they never should have).

Not only does the Abandoned Property Neighborhood Relief Act free up municipal funds, there also seems to be a preventative benefit of holding banks responsible for maintaining abandoned homes. In Matt Taibbi’s best selling book “Griftopia”, he tells the story of bankers who sold people the biggest house at the highest interest rate (often pushing qualified buyers into “subprime” loans), in order to secure the biggest fee / commission for the sale. The banker received their fee immediately, regardless of the long term performance of the loan–the emphasis was on the quantity of mortgages sold, not the quality. The banks then bundled these mortgages into “mortgage backed securities”, had them rated at inflated values (by ratings agencies such as S & Ps), and sold them off to investment banks (which, when the time came, were “too big to fail” and got bailed out by the taxpayers).

When people inevitably defaulted on predatory loans, the bankers kept their fees and the municipality was left to pay to maintain the vacant home, lest it attract crime / erode real estate values; a classic example of excessive risk taking due to “moral hazard“. While there is no way to ensure that a mortgage will not go bad–there are too many variables to account for–holding banks responsible for the upkeep of abandoned homes will almost certainly lead to stricter due-diligence and a more long-term perspective on mortgages.

Taibbi does a much more comprehensive job of explaining the link between poor underwriting / predatory lending and the greater housing crisis in Griftopia. With less “bad” mortgages (ones people are likely to default on, including but not limited to “sub-prime”), the destructive potential of mortgage backed securities is limited.

Furthermore, people more people will be able to stay in their homes (even if they are slightly smaller), realizing all the associated socioeconomic benefits.


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Conflict Watch: Bizarro Egypt (Part 2)

Supporters of the Morsi regime argue that the “deep state” (security forces, judiciary, business elites) conspired against his administration, resulting in ineffective rule. While this argument is open to debate (although I would say events over the past 7 months have at least partially vindicated this position), there is no question that the Egyptian judicial system is currently an extension of the military backed government:

Trials will be held in Minya province, south of Cairo, where a judge on Monday sentenced 529 defendants to death on charges of killing a police officer during an attack on a police station last summer.

Egyptian authorities are holding a series of mass trials in a crackdown on the Muslim Brotherhood and other supporters of Morsi since the military removed him in July. Around 16,000 people have been arrested over the past months, including most of the Brotherhood’s leadership.

The new trials bring the total number of defendants in Minya along to 2,147 in four trials, including the trial in which the verdicts were issued on Monday.

In one of the new trials, 715 defendants, including the Muslim Brotherhood’s leader, Mohammed Badie, are charged with killing six people and the attempted murder of 51 others during attacks on state institutions on 14 August in the city of Sallamout. Only 160 defendants in this case are in detention. The prosecutor asked for the arrest of the remainder.

In the second trial, 204 defendants, also including Badie, face charges of inciting violence. Only three are in detention in this case, in which the charges include attacking state institutions and police in al-Adawa town, also in Minya.

A court will set a date for the trials.

A judicial official said the same judge who issued the death sentences on Monday will preside over the two new trials. The official spoke on condition of anonymity because he was not authorised to talk to the press.

There is little reason to believe this same judge will not find all the defendants guilty and sentence them to death without due process, as he already did to 529 people this past Monday after only two days of deliberation.

This ruling juxtaposes an Egyptian government-appointed panel’s findings that no security forces are accountable for the August massacres which resulted in 1,300+ (officially recognized, and therefore likely under-estimated) protester deaths. Instead, the panel blames “extremists” who used civilians as “human shields”.

For those of you “keeping score” at home, that’s 529 sentenced to death for the murder of one police officer (and likely 2,000+ sentenced for a handful of deaths), 0 security forces sentenced for the deaths of 1,300+ protestors.   

This disproportionate justice delivers a message which should outrage even the strongest pro-government Egyptians. In Egypt not everyone is equal in the eyes of the law, security forces can kill with impunity, and the lives of security forces are much more valuable than the lives of civilians. These are not foundations upon which vibrant societies are built.

How many people will actually be executed in these trials is unknown, as the majority of the defendants are fugitives (can you blame them ?), but this is besides the point.

Making matters worse, alongside its crackdown of the Muslim Brotherhood, the Egyptian government has launched a blatant affront against a multitude of “good governance” concepts (soft power, human rights, accountability, judicial independence, pluralism, and democratic governance to name a few). The Egyptian government continues to use Western rhetoric to justify draconian practices. The supposed champions of these ideals (the U.N., U.S.A., E.U., etc) have responded mutedly–a terrible lesson for the people around the world with legitimate democratic aspirations.

For Sisi, who this past week officially announced his candidacy for President, this crackdown has been a calculated move. By driving peaceful Muslims to the extremism, he has created greater support for his strong-handed militaristic approach to governance. Sisi could probably win a fair, free and transparent election right now. But Sisi does not just want to win, he wants a such a lopsided victory that he can claim a popular mandate to continue the crackdown against dissenters.

At the UNDP, we had a philosophy that a society should be judged based on the well-being of it’s most vulnerable people. Egypt’s economy may well flourish under Sisi’s rule, but at what human cost? The only faction of society that can truly call Egypt’s version of “democracy” sustainable are the security forces.


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Transparency Report: Of GM, and Women In Power

Those who follow trends in development have no doubt heard of the myriad benefits associated with empowering women. In theory, women tend to be more socially conscious / accountable, long-term thinkers than men. Many conditional cash transfer (CCT) programs in developing countries give cash exclusively to women, believing they will use the money in more constructive ways.

From the UNDP website:

Equality between men and women is more than a matter of social justice – it’s a fundamental human right. But gender equality also makes good economic sense. When women have equal access to education, and go on to participate fully in business and economic decision-making, they are a key driving force against poverty. Women with equal rights are better educated, healthier, and have greater access to land, jobs and financial resources. Their increased earning power in turn raises household incomes. By enhancing women’s control over decision-making in the household, gender equality also translates into better prospects and greater well-being of children, reducing poverty of future generations.

Some fast facts about women in power (for a more “macro” picture, check out the UNDP’s Gender Inequality Index (GII), which weighs traditional Human Development Index (HDI) scores for gender equality, offering a side by side comparison):

Public Sector:

  • 20.9 per cent of national parliamentarians were female as of 1 July 2013, an increase from 11.6 per cent in 1995
  • As of June 2013, 8 women served as Head of State and 13 served as Head of Government.
  • Globally, there are 37 States in which women account for less than 10 per cent of parliamentarians in single or lower houses, as of July 2013

“More women in politics does not correlate with lower levels of corruption, as is often assumed. Rather, democratic and transparent politics is correlated with low levels of corruption, and the two create an enabling environment for more women to participate”UN Women

Private Sector:

General Motor’s new CEO Marry Barra has handled GM’s recent safety issues / vehicle recall with the remorse and accountability we should demand from all people in power:

General Motors Co announced new recalls of 1.5 million vehicles on Monday and in a virtually unprecedented public admission by a GM chief executive, Mary Barra acknowledged the company fell short in catching faulty ignition switches linked to 12 deaths.

“Something went wrong with our process in this instance, and terrible things happened,” she told employees in a video message posted online. Barra said the company is changing how it handles defect investigations and recalls.

In the last two months, GM has recalled more than 3.1 million vehicles in the United States and other markets.

Barra previously apologized for GM’s failure to catch the faulty ignition switches sooner. In Monday’s video, she said GM is “conducting an intense review of our internal processes and will have more developments to announce as we move forward.”

GM said the new recalls resulted from Barra’s push for a comprehensive internal safety review following the ignition-switch recall.

“I asked our team to redouble our efforts on our pending product reviews, bring them forward and resolve them quickly,” Barra said in a statement on Monday.

On Friday, the automaker was hit with what appeared to be the first U.S. class action related to the ignition-switch recall, as customers claimed their vehicles lost value because of the ignition switch problems. The proposed class action was filed in a Texas federal court. Other plaintiffs’ lawyers say they are preparing to file similar cases in the coming days.

To be sure, Miss Barra’s admissions of wrongdoing do not come solely out of the kindness of her heart. There has been considerable negative publicity surrounding GM in recent weeks, most notably concerning the 12 people who died due to ignition related issues (another study found that 303 people died due to airbag malfunctions in GM vehicles, which the company has yet to address). In addition to class action lawsuits, GM is facing a criminal investigation from the U.S. Department of Justice.

There can be no denying that GM was negligent in its internal processes. I think most people expected the typical corporate response: an announcement of “regret”, a recall, and silence until the legal process played out.

However, Miss Barra has gone above and beyond what we have come to expect from people in power; a presentence admission of wrongdoing and pledge to change internal processes is a breath of fresh air. Such accountability requires courage and long-term thinking, but is ultimately much more beneficial for all parties involved.

The cynic could say that GM is simply in damage control mode, or that perhaps they brought in Miss Barra because they saw this oncoming shit-storm. Somehow, despite the issues I cover, I am not a cynic; perhaps I a fool or a Pollyanna. I believe that since the future is yet unwritten, there is a chance for people power and social justice to prevail over the forces of greed. In fact, I see trends in governance and technology making this an inevitable (if not slow moving) shift.

As the UN Women quote above highlights, having women as symbolic placeholders does not itself create change. While high ranking positions are the most visible and make the decisions with the greatest social impact, gender inequality must be addressed from the ground up, starting with the world’s most vulnerable women. Breaking power imbalances is relative; for some it is holding a top position in the public or private sector, for others it is enjoying basic human rights they currently do not enjoy.

The push for greater gender equality should also catalyze self-reflection of future male leaders; if men want to hold positions of power in the future, they would be wise to embrace more long-term, socially conscious / accountable outlooks.


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Conflict Watch: Is History Still “Written by the Victors”?

This famous phrase calls into question to objectiveness of history; can we really believe the accounts of those who exterminated their foes? Prior to World War II, the world was a much different place: there was very little economic interdependence, war was a profitable endeavor, and “soft power” (diplomacy, “spotlighting” abuses of power) played a negligible role in international affairs. From the beginnings of modern history through WWII, no one can really question that history was written by those who emerged from conflicts victorious (although, as the quote above argues, this does not necessarily mean it is false).

The tide began to shift towards more objective historic accounting in the decades following WWII. The proliferation of independent media outlets, combined with advances in information and communication technologies (ICT) (the internet, social media, etc.), have made it much more difficult for any one party to dictate history on their own terms, regardless of their ability to exercise “hard power” (I wrote a research paper on this shift for anybody interested in a more in-depth read).

As people around the world have become more educated / empowered (via civil / human rights), we have naturally learned to question conventional wisdom. Have we gotten to the point where this historic adage is no longer applicable? A report by an Egyptian government panel responsible for determining what happened during the August 2013 Cairo massacre seemingly refutes this claim:

A government-appointed panel said on Wednesday that the deaths of hundreds of Muslim Brotherhood supporters at a protest camp in Cairo last August was mostly the fault of demonstrators who had provoked the security forces into opening fire.

The findings mainly echoed the military-backed government’s version of events. But in an unusual move, the panel also placed some responsibility for the bloodshed on the security forces and said they had used disproptionate force.

Panel member Nasser Amin accused the Mursi supporters of detaining and torturing civilians at the protest camps…contradicting past official accounts, Amin said security forces did not maintain proportional use of force when confronted with heavy gunfire from protesters.

He said some protesters also carried arms and shot at security forces, causing them to fire back.

But most of the protesters were peaceful and some had been used as human shields by the gunmen, he said.

The Interior Ministry has said that authorities did not use excessive force to scatter the camps and that Mursi’s supporters fired first.

It is particularly telling that a commission tasked with assessing blame for 1,200+ murders took up the issue of “detaining and torturing”. The commission found that deaths were not the fault of the Egyptian military, but rather Mursi supporters who used protesters as “human shields”, apparently quite effectively.

Admission of disproportionate use of force by Egyptian forces is a sign that the Egyptian government cannot simply whitewash over this past August’s bloodshed. Instead, it has to rely on distraction (don’t worry about the murders which undeniably took place, worry about alleged torture), and absurd scapegoating (it was not the fault of those who fired on protesters, but of terrorists using people as human shields).

The wounds of the Morsi ouster and crackdown against the Muslim Brotherhood are still very fresh. Morsi currently stands accused of capital crimes, and the MB was just designated a terrorist organization by Saudi Arabia, marking a larger regional crackdown against the group. Eventually, the truth will be recognized. Unfortunately for members of the Muslim Brotherhood, there is no specific date when this will happen. It is, however, important to remember that history is not written in a matter of months.

Eventually, liberal politicians will wrestle power from the Egyptian military. In order to build up the broad based support needed to do so, liberal politicians will have to embrace some form of a “truth and reconciliation commission“, uniting all factions of Egyptian civil society under the banners of pluralistic democracy, economic populism, and human rights. To what extent the Egyptian military will be held legally accountable under such a commission is uncertain; military leaders will likely use immunity as condition for agreeing to hand over power in the first place. However, just having official recognition of grievances fosters unity, trust, and reconciliation–all important aspects of peaceful and prosperous societies.

We have come to a point in history where eventually the truth prevails, which is in itself a huge victory for social justice / deterrent against nefarious actors. It can certainly be argued that currently “crime still pays”, as accountability for social injustices is often incomplete, disproportionately lenient, and not timely in nature. However, as trends in governance and technology continue to empower people, we will one day reach an age of true social accountability.


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Transparency Report: Civil Society Activism, Social Accountability, and Sustainable Human Development

The UN Human Rights Chief Navi Pillay opened the high-level segment of the 25th session of the Human Rights Council with a “call to protect, support civil society activism“:

“Streets, airwaves, entire countries are buzzing with demands for economic, social and political justice,”

Setting out this agenda and acknowledging the hard work that lay ahead in ensuring that all people enjoyed equal rights, Ms. Pillay emphasized the important role of civil society in those efforts. “We need to work together to ensure that the space, voice and knowledge of civil society is nurtured in all our countries,” she stressed.

[General Assembly President John Ashe]  drawing attention to upcoming initiatives on human rights issues in the General Assembly, stressed the human rights relevance of his body’s work in setting the stage for a new international development agenda following the 2015 deadline of the Millennium Development Goals.

Overcoming the rise in inequality around the world and the increasing marginalization of people living in poverty is particularly important in that light, he said.

He too pointed to the importance of civil society in pursuing those goals, given “how much courage and fortitude is required by those who champion human rights, when it is so easy to look the other way or take a less courageous stand.”

In related news, the United Nations Development Group (UNDG) announced it will hold 50 new national level consultations as part of its efforts to build local support for the Post-2015 Development Agenda:

The consultations will take the form of public meetings and discussions where policy planners, civil society representatives, community and private sector leaders will discuss how to best deliver the next sustainable development agenda that will build on the success of the Millennium Development Goals (MDG).

“We are committed to changing the way multilateral development diplomacy works,” said Olav Kjorven, Special Advisor to the UNDP Administrator on the Post-2015 Development Agenda. “We will continue to expand the areas where people will be able to engage with the work of the United Nations.”

Sustainable human development begins and ends with people. The human rights based approach (HRBA) to development champions both the political and civil rights needed for people to be active participants in change, as well as the economic, social and cultural rights people need to live dignified lives. The HRBA recognizes that these rights are interrelated and interdependent; for example, political reform cannot be put off in the name of economic growth.

There are universal means to improving standard of living; education, food, rule of law, responsive governance, healthcare, sanitation, access to energy, employment to name a few. How these means can be best implemented is context-sensitive; thinking we know better than those at a local level is an exercise in hubris, not development.

Social Accountability (p 44-45) “is used to refer to a broad range of activities in which individuals and CSOs act directly or indirectly to mobilize demand for accountability…Social accountability has worked best when the rules and frameworks in place provide legal sanctions in the event of wrongdoing and permit civil society to monitor effectively and access essential information.”

Without avenues for redress, the transformative value of social accountability activities ultimately depends on the willingness of duty bearers to engage with them. For this reason, social accountability may be more effective when its objective is to complement and strengthen the horizontal accountability mechanisms discussed earlier. Social accountability activities might aim, for example, to reveal the inadequacies of these mechanisms, lobby for their reform or seek to improve their effectiveness through greater public participation. Such interventions can encourage the formation of new “diagonal” accountability mechanisms, such as citizen oversight committees or grievance redress mechanisms (with varying degrees of formality and legal authority).

While social accountability can be a powerful tool, it is most effective when complemented by governments committed to human rights accountability and willing to cede some control over the legal process to CSOs. Essentially, social accountability mechanisms can be made as (in)effective as a government is willing to make them. If governments are ultimately accountable to people, they should do everything in their power to empower their citizenry, enabling effective social accountability. 

Sustainable Development Goals (SDGs) aside, the Post 2015 Development Agenda is a blueprint; a way to show governments how effective inclusive and consultative governance can be. It is not enough to remember the role of regular people in bringing about change while drafting development agendas, or during times of election or revolution. The roles of civil society activism and social accountability must be promoted and protected everyday.

Ultimately, progress is brought about by and for people; governments, institutions, declarations, and development agendas play an enabling/complementary role.


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Economic Outlook: An Ounce Of Crisis Prevention Is Worth A Pound Of Cure

So why do the international community and national governments under-fund crises prevention initiatives? (Especially given that there is no singular “cure” for various crises).

The rising scale of needs, a collective inability to resolve protracted crises, and the interplay of new factors such as climate change, are making it harder for Governments and aid workers to effectively respond to humanitarian challenges, the United Nations today reported, stressing that development aid must contribute to managing crisis risk.

The report, World Humanitarian Data and Trends 2013, authored by the UN Office for the Coordination of Humanitarian Affairs (OCHA), highlights major trends in the nature of humanitarian crises, the underlying causes and drivers, and the actors that participate in crises prevention, response and recovery.

“Climate change, population growth, rapid and unplanned urbanization, and food and water insecurity are leaving more and more people at risk of crisis,” write the report’s authors, listing some of the new factors facing the humanitarian community.

Among other trends, the report shows that today’s major humanitarian crises are protracted “with few signs of improvements over the long term.”

Of countries that had an inter-agency appeal in 2012, eight had an appeal in eight or more of the previous ten years, including in Sudan, Democratic Republic of the Congo (DRC) and Somalia.

When not protracted, the crises are often recurrent, occurring as a result of shocks – climate, conflict, price – to chronically vulnerable people.

On these factors, the report concludes that humanitarian assistance is still overwhelmingly focused on response and development aid often fails to target the most vulnerable.

“Less than five per cent of humanitarian funding and less than one per cent of development funding is spent on crisis preparedness and prevention,” according to figures provided.

Just as one human rights violation enables others, one humanitarian crisis often leads to future manifestations of the same or related crises. The intractable / recurrent nature of humanitarian crises highlights the need to focus on a preventative approach to building resilience to humanitarian crises. Programs which build resilience to humanitarian crises are essentially poverty reduction / sustainable human development programs (think I am oversimplifying? The United Nations Development Programme’s motto is “empowered lives, resilient nations”).

Least developed countries (LDCs) do not have access to private sector credit (at affordable rates), particularly in times of great need (like after a major crisis). Therefore, an essential component of crisis preparedness are counter-cyclical fiscal policies. Many LDCs rely on natural resource rents for financing government programs. Counter-cyclical natural resource funds, such as the Nigeria’s Sovereign Investment Authority (which draws on excess oil rents), can be powerful tools for crisis preparedness.

Responsible use of ODA / natural resource rents relies on “good governance“. Corrupt leaders can easily embezzle ODA / public savings, and send that money offshore where it can never be recoveredFinding the right balance between prevention / preparedness and crisis response is a difficult task even for the most well intended governments / organizations.

However, it is obvious that spending only 1 % of official development assistance (ODA) on preventative / preparedness measures is a short-sighted strategy (although using a broader definition of “preventative action”, as I have, may encompass a larger portion of ODA). Further exacerbating the problem, there is a large gap in ODA commitments from the worlds wealthiest nations. Dedicating a bigger slice of a bigger pie to crisis prevention / preparedness is needed to strike a responsible balance

There are obvious reasons why the vast majority of ODA goes towards crisis response. Failure to respond to a humanitarian crisis can create breeding grounds for disease, human rights violations, violence/terrorism, and/or lost generations of economic growth. In addition, it is generally easier to mobilize resources in response to a specific incidence (which is seen as unavoidable), than it is for under-development / extreme poverty (which people often unmistakably attribute to laziness). However, it should be the job of development organizations to direct funding to the avenues which will have the greatest impact.

The democratic governance based approach to sustainable human development helps overcome common development issues. By emphasizing political rights and accountable governance, donors and citizens can be confident money is going (or in the case of preparedness, staying) where it is “supposed” to go. Farsighted “good” governments, whose capacities are fully developed with adequate resources (a combination of public savings / ODA), can achieve the simultaneous goals of economic development and resilience to crisis. By emphasizing human rights and environmental sustainability, humanitarian crises are addressed preventatively.

There is no one “road-map” for Sustainable Human Development. Every country is unique and has to build its own path–what Dr. Jeffrey Sachs refers to as “differential diagnosis“.

However, there are some common steps all LDCs should take if they wish to be on the path to sustainable human development: 

1) Draft Poverty Reduction Strategy Plans (PRSPs) that take into consideration the indispensable role of human rights and accountable governance; 

2) Legislate the human rights accountability from all relevant stakeholders (governments, civil society, NGOs, private sector, IGOs, etc.);

3) Mobilize a greater share of resources for sustainable human development programs to prevent / prepare for humanitarian crises.

Update: The UNDP-EU just released interactive maps detailing their joint projects over the last 10 years. One of these maps focuses on crisis prevention and recovery projects.


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Economic Outlook: “Supply-Side” Issues Keep 1/3 Of Children Under-Educated

Original article:

“This learning crisis has costs not only for the future ambitions of children, but also for the current finances of Governments,” says the independent Education for All (EFA) Global Monitoring Report Teaching and Learning: Achieving Quality for All,commissioned by the the UN Educational, Scientific and Cultural Organization (UNESCO).

“Around 250 million children are not learning basic skills, even though half of them have spent at least four years in school. The annual cost of this failure: around 129 billion,” it says, noting that in around a third of countries, less than 75 per cent of primary school teachers are trained according to national standards. Some 57 million children are not in school at all.

“These policy changes have a cost,” UNESCO Director-General Irina Bokova says in a forword. “This is why we need to see a dramatic shift in funding. Basic education is currently underfunded by $26 billion a year, while aid is continuing to decline. At this stage, Governments simply cannot afford to reduce investment in education – nor should donors step back from their funding promises. This calls for exploring new ways to fund urgent needs.”

The report notes that in 2011, around half of young children had access to pre-primary education, but in sub-Saharan Africa the share was only 18 per cent. The number of children out of school was 57 million, half of whom lived in conflict-affected countries. In sub-Saharan Africa, only 23 per cent of poor girls in rural areas were completing primary education by the end of the decade.

Supply and Demand Side Impediments to Education:

My professor for Community Economic Development  had an interesting way of framing development challenges. She urged the class to think about development challenges as primarily “supply-side” or “demand-side” issues.

As one would expect in a development economics course, education was a recurring topic; was the education-gap primarily a demand-side issue (are parents in the developing world not sold on the advantages of education, perhaps compared to the immediate need for income from child labor), or a supply-side issue (was it a lack of schools, roads, electricity, teachers, etc.)?

Of course, supple-side concerns can perpetuate  demand-side issues. For instance, if a parent does not believe their child will receive an adequate education, they may be more inclined to send their child to work instead of school. Therefore, in instances where there is an immediate need for child-labor income, it is all the more essential to ensure that a viable alternative (adequate education) exists.

According to this UNESCO report, the education-gap is primarily a supply side issue. This is encouraging news; given adequate government funding, development aid, and accountable / transparent governance, the education-gap is not an insurmountable problem. There is not some cultural difference holding back educational goals. Given the opportunity, parents will send their children to school (as proven by inputs from “The World We Want” Post-2015 National and Thematic Consultations).

However, even “good governments” that receive development aid face fiscal constraints–notably small tax revenue bases and high borrowing costs. Therefore, these governments must consider innovate means of “stretching a dollar” of education expenditure. One idea worth considering is combining prerecorded classes (taught by an excellent teacher), with an in-person “teaching assistant” to facilitate discussion, monitor homework assignments, and answer basic questions.

Similar to using nurses / physician assistants instead of doctors in certain instances to keep healthcare costs down, using a teaching assistant would put less pressure on finding the elusive “quality teacher” (which tend to be in short-supply even in developed countries). Prerecorded classes could be translated into dialects so that traditionally marginalized groups would have access as well.

This hybrid online / in-person model is not a panacea, but it does present a reasonable substitute for quality education given supply-side constraints. It is certainly an alternative education policymakers in developing countries (and poorer areas in developed countries) should explore.

The Role of Good Governance:

Governments should have an interest in delivering a quality education to all children. Under-education has both an immediate ($129 billion lost in global put) and future costs (the report said that ensuring an equal, quality education can increase a country’s gross domestic product per capita by 23 percent over 40 years.).

This normative stance requires a long-term and accountable outlook on governance. It is always easier (and personally beneficial) to embezzle development aid than invest in education. This is one reason why democratic governance plays such an important role in development. Governments must be made accountable to their constituents, otherwise socially beneficial policies will be foregone for personal benefits.

Furthermore, when development aid does not go to its intended recipients, it fuels anti-development-aid sentiments. People in the U.S. often argue “why do we send money abroad when we have social problems at home”? When this aid does not go where it is supposed to go (which to be fair, is fairly often), these people see their views as vindicated. Of course it is not an “either-or” situation; there is no reason why the richest nations in the world cannot reach their 0.7% of GDP aid commitment while also addressing domestic concerns. Development aid is a popular scapegoat, not only because the beneficiaries aren’t “us” but “them”, but also because people chronically overestimate the amount we spend on official development aid (ODA).

ODA should be conditional on “good-governance”, including independent oversight of aid-delivery. It is fair for those paying for the aid, and those receiving it. Any government that uses the “national sovereignty” excuse to deny independent oversight of aid-delivery should be found in violation of Article 2.1 of the International Covenant on Economic, Social and Cultural Rights, which states:

“Each State Party to the present Covenant undertakes to take steps, individually and through international assistance and co-operation, especially economic and technical, to the maximum of its available resources, with a view to achieving progressively the full realization of the rights recognized in the present Covenant by all appropriate means, including particularly the adoption of legislative measures.”

 


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Transparency Report: Anti-Corruption Movements and Populism

World Bank President Dr. Jim Yong Kim called corruption “Public Enemy Number One“:

“In the developing world, corruption is public enemy number one,” said Kim, speaking at an event hosted by the World Bank’s anti-corruption investigative arm, the Integrity Vice Presidency. “We will never tolerate corruption, and I pledge to do all in our power to build upon our strong fight against it.”

“Every dollar that a corrupt official or a corrupt business person puts in their pocket is a dollar stolen from a pregnant woman who needs health care; or from a girl or a boy who deserves an education; or from communities that need water, roads, and schools. Every dollar is critical if we are to reach our goals to end extreme poverty by 2030 and to boost shared prosperity.”

An important step toward fighting corruption and helping more people lead better lives is to build institutions with greater integrity, Kim noted.  He described three key elements in the World Bank Group’s approach:

“First, we need to improve the way we share and apply knowledge about building institutions with greater integrity; second, we need to empower citizens with information and tools to make their governments more effective and accountable; and third, we need to build a global movement to prevail over corruption.”

In addition to governmental action in anti-corruption, Kim called on other partners to join the fight, including the private sector. 

“The private sector has to be part of the solution as well. Oil, gas, and mining firms are increasingly disclosing their contracts with governments. This gives everyone a chance to scrutinize the behavior of corporate and public officials.”

This transparency and accountability approach to development marks a stark contrast from the World Bank of 1990s. The IMF has recently also taken a more context-sensitive approach compared to “Washington Consensus” policies of the 1990s. This trend points to greater policy coherence between the World Bank, the IMF, and the U.N. as the Post-2015 development agenda is finalized.

These organizations have fully embraced the importance of the political economy of development. Without considering “good governance”, economic gains can be embezzled or misused. Corruption retards growth, increases inequalities, and causes grievances which can boil over civil if not regional conflicts. Economic growth and poverty reduction cannot be achieved on a large scale without considering political factors.

Ultimately, there are limits to even what global organizations can accomplish. To sustain social progress, people must be able to hold “duty bearers” (generally governments, but also private sector actors and social service providers) accountable for their human rights obligations. The role of international organizations and governments is mainly an empowering / enabling one–provide access to information, advocate for avenues / institutions to meaningfully voice grievances, and let people-power do the rest.

The anti-corruption push has recently taken hold in a number of countries. Below are a few notable examples:

India:

“Today, the common man has won,” Kejriwal said in a triumphant speech at Delhi’s Ramlila grounds, the very place were huge protests over corruption erupted in 2011, opening the way for the birth of the AAP.

“This truly feels like a miracle. Two years ago, we couldn’t have imagined such a revolution would happen in this country.”

In a December 4 election to the legislative assembly of Delhi, a city of 16 million people, no party won the majority of seats required to rule on its own.

Wearing a simple blue sweater and with a boat-shaped Gandhi cap on his head, Kejriwal pledged to set up an anti-bribery helpline.

“If anyone in the government asks you for a bribe, don’t say ‘no’,” he said. “You report it on the phone number and we’ll catch every bribe-taker red-handed.”

 Kejriwal, who has tapped into a vein of urban anger over the venality of the political class and the neglect of citizens’ rights in the world’s largest democracy, has promised to expand his movement across the country.

Along with a pledge to send Delhi’s corrupt lawmakers to jail, the AAP has also promised free water for every family in the capital and a sharp reduction in their electricity bills.

business lobby group said on Saturday the unorthodox ideology was not important as long as results were delivered.

“We feel that though the promises made by it may look tall, they can still make a good economic sense if the objective … is achieved by bringing in operational efficiencies,” Rana Kapoor, president the Associated Chambers of Commerce and Industry of India, said in a statement.

Turkey:

The allegations of high-level corruption threaten to undo Mr. Erdogan’s accomplishment of wresting Turkish politics from the military and overseeing a long period of economic growth. Like a Moses in the wilderness, he has led his people from one sort of bondage but appears unable to deliver them to a promised land of transparent government where people are ruled through consensus rather than bullying and threats.

Mr. Erdogan does not know how to play defense. Last weekend, he addressed rally after rally and cursed the “international groups” and “dark alliances” trying to undermine Turkey’s prestige.

The government is treating the crisis as nothing short of a coup by those jealous of its success. This is nonsense.

The opposition it faces has emerged because of the A.K.P’s own lack of respect for the rule of law and a cynical disregard for public accountability. It can no longer hide behind conspiracy theories and bluster.

Indonesia:

Since its establishment in 2002, the KPK (Corruption Eradication Commission) has become, contrary to all expectations, a fiercely independent, resilient, popular and successful institution that is a constant thorn in the side of Indonesia’s establishment.

[In 2009] police arrested two KPK commissioners for extortion and bribery. The charges were dropped after nationwide street protests and a Facebook campaign that gathered one million supporters.

“The KPK’s only friend is the public,” says Dadang Trisasongko, secretary general of the Indonesian chapter of global corruption watchdog Transparency International.

The international business community is watching this tussle closely. Executives surveyed in the World Economic Forum’s Global Competitiveness Report 2011-12 said corruption remained “the most problematic factor for doing business” in Indonesia.

The World Bank has said corruption across the world costs $1 trillion. No one has done a thorough study of the costs in Indonesia, the world’s fourth-most populous country and one of the hottest emerging markets with an economic growth rate of 6 percent. The Anti-Corruption Studies Center at Gadjah Mada University in Yogyakarta put the losses to the state at $1 billion over the past five years alone.

Thailand:

Thailand protests are different in the sense that the opposition is arguing for less democracy and less populist economic policies. Opponents of Prime Minister Yingluck’s Pheu Thai party cite corruption as their main grievance.

Populist economic policies, while generally beneficial in the long run, do have a common pitfall of corruption. Populist policies rely on the government signing many contracts for social goods and services. Without proper oversight, these contracts themselves present many opportunities for corruption / embezzlement of tax-payer money.

I do not know if this is what has happened in Thailand, or whether these claims are unfounded (it is worth noting that Thailand does not score well on Transparency International’s “Corruption Perception Index“. Regardless, the Pheu Thai party should consider setting up social accountability mechanisms to allay the fear of corruption.

Anti-corruption measures are themselves populist policies. Enabling people to hold corrupt government officials accountable realizes a key political right. Moving money from corrupt politicians pockets to social services helps fulfill economic and social rights. Therefore, the anti-corruption movement is an indispensable aspect of the human rights based approach to development.

The near universal embrace of anti-corruption measure–from the highest level of global governance to local politicians and their constituents on the ground–bodes well for the Post-2015 development agenda. While much work remains to be done, every anti-corruption / accountability / civilian empowerment policy is a step in the right direction.


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Merry Christmas From NN!

[Pope Francis] The leader of the 1.2 billion-member Church wove his first “Urbi et Orbi” (to the city and world) message around the theme of peace.    

“Peace is a daily commitment. It is a homemade peace,” he said.

He said that people of other religions were also praying for peace, and – departing from his prepared text – he urged atheists to join forces with believers.

“I invite even non-believers to desire peace. (Join us) with your desire, a desire that widens the heart. Let us all unite, either with prayer or with desire, but everyone, for peace,” he said, drawing sustained applause from the crowd.

The thread running through the message was that individuals had a role in promoting peace, either with their neighbor or between nations.

Pope Francis continues to break down barriers in hopes of sparking meaningful change in the world. His message of personal accountability in tackling social injustices is meant to stir self-reflection–how do my actions affect those around me? This message is all the more compelling coming from a man who, by all accounts, practices what he preaches.

By reaching out to “non-believers”, Pope Francis reminded me of something a Philosophy professor once taught me. She said that morals and ethics (the “Golden Rule”) underpin all major religions. As a development economist, I can now appreciate the linkages between religion, morals / ethics, and the human rights based approach to development.

I renew my call to challenge anybody trying to sell a strict interpretation of any ideology and / or trying to dehumanize any group with stereotypes / racism. While there are probably obscure lines in most religions which mention fighting those who oppose it’s teachings, these lines are a contradiction to the very principles those religions are based upon.

It is time we rethink what it means to be a pious person. It is not about sectarian beliefs and isolation from / hatred towards those who are different. Piety is about self-reflection, personal accountability, inclusion, reconciliation and social progress. Whether one chooses to pursue this path through organized religion or not, “with prayer or desire”, is entirely up to the individual.

Pope Francis is truly a pious man, hopefully we can all learn from his teachings.

Merry Christmas to all!

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