| > - While some measures have improved, the picture is no where near as good as it is represented. Name a measure of human suffering that has not improved. Healthy lifespan, deaths in childbirth, infant mortality, they’ve all gotten better. > - Using $1.90 as the baseline to beat is too low for what we would consider as being out of poverty. The trend is the same regardless of which poverty line you pick. Poverty is decreasing, education, literacy and health are rising. > - Most economic successes have not been due to neoliberal markets but rather state-led industrial policy, protectionism and regulation. Indeed, in every state where they’ve followed an industrial policy of “Let’s do capitalism.” poverty has decreased, whether with heavy handed government economic intervention like Japan or Korea or just leaving business alone like Hong Kong. If protectionism worked Argentina would have a car industry. They tried for 30 years. It doesn’t. > - Most quality of life improvements have not been due to neoliberal globalization but simple public interventions including free healthcare and education. The UN’s human development index is 70% explained by GDP per capita. Poor countries can’t afford good policy and capitalism is the proven way to escape poverty. > - Progress is slowing relative to the resources available to tackle the problem. As far as absolute poverty goes, maybe, kind of. The countries that have shown no real improvement are the ones with no real government or state capacity. Everywhere else is in the process of escaping absolute poverty or has done so. These are the countries that do not work, mostly in Africa. We just have to work towards integrating them into the global economy so they can grow. One hopes the nearby example of Ethiopia, Ghana, South Africa or Nigeria will help, as they grow their way out of poverty. |
The story changes quite a bit - and you know it. If we use $7.40 per day, we see a decline in the proportion of people living in poverty, but it’s not nearly as dramatic as your rosy narrative would have it. In 1981 a staggering 71% lived in poverty. Today it hovers at 58% (for 2013, the most recent data). Suddenly your grand story of progress seems tepid, mediocre, and – in a world that’s as fabulously rich as ours – completely obscene.