Let’s admit it: Britain is now a developing country

by Aditya Chakrabortty via The Guardian

http://www.theguardian.com/commentisfree/2013/dec/09/britain-now-developing-country-foodbanks-growth?CMP=fb_gu

Elite economic debate boils down to this: a man in a tie stands at a dispatch box and reads out some numbers for the years ahead, along with a few micro-measures he’ll take to improve those projections. His opposite number scoffs at the forecasts and promises his tweaks would be far superior. For a few hours, perhaps even a couple of days, afterwards, commentators discuss What It All Means. Last Thursday’s autumn statement from George Osborne  was merely the latest enactment of this twice-yearly ritual, and I bet you’ve already forgotten it. Compare his forecasts and fossicking with our fundamental problems. Start with last week’s Pisa educational yardsticks , which show British teenagers trailing their Vietnamese counterparts at science, and behind the Macanese at maths.

Or look at this year’s World Economic Forum  (WEF) competitiveness survey of 148 countries, which ranks British roads below Chile’s, and our ground-transport system worse than that of Barbados. Whether Blair or Brown or Cameron, successive prime ministers and their chancellors pretend that progress is largely a matter of trims and tweaks – of capping business rates and funding the A14 to Felixstowe. Yet those Treasury supplementary tables and fan charts are no match for the mass of inconvenient facts provided by the Organisation for Economic Co-operation and Development , the WEF or simply by going for a wander. Sift through the evidence and a different picture emerges: Britain’s economy is no longer zooming along unchallenged in the fast lane, but an increasingly clapped-out motor regularly overtaken by Asian Tigers such as South Korea and Taiwan. Gender equality? The WEF ranks us behind Nicaragua and Lesotho.

Investment by business? The Economist thinks we are struggling to keep up with Mali. Let me put it more broadly, Britain is a rich country accruing many of the stereotypical bad habits of a developing country. I began thinking about this last week, while reporting on graphene , the wonder material discovered by Manchester scientists and held up by cabinet ministers as part of our new high-tech future. Graphene is also the point at which Treasury dreaminess is harshly interrupted by the reality of our national de-development. Briefly, the story goes like this: Osborne funnelled a few tens of millions into research on the substance. It’s the kind of public-sector kickstart that might work in a manufacturing economy such as Germany – but which in Britain, with its hollowed-out industry and busted supply chains, has proved the equivalent of pouring money down a hole. One university physicist described how this was part of a familiar pattern of generating innovations for the rest of the world to capitalise on, then sighed: “One day, we’ll stop thinking of ourselves as a major economic power, and realise we’re more like South Korea in the early 60s.” South Korea, by way of comparison, has already put in over 20 times as many graphene patents as the country that discovered it. How can any nation that came up with the BBC and the NHS be considered in the same breath as India or China? Let me refer you to one of the first lines of The Great Indian Novel by Shashi Tharoor , in which a wise old man warns International Monetary Fund  officials and foreign dignatories: “India is not, as people keep calling it, an underdeveloped country, but rather, in the context of its history and cultural heritage, a highly developed one in an advanced state of decay.” Stop thinking of development as a process that only goes in one direction, or which affects a nation’s people equally, and it becomes much easier to see how Britain is going backwards.

Even banana republics have cash: it just ends up in the hands of a very few people – ask the bank managers of Switzerland or the hotel concierges of Paris. In Britain, we have become used to having our resources skimmed off by a small cadre of the international elite, who often don’t feel obliged to leave much behind for our tax officials. An Africa specialist could look at the City and recognise in it a 21st-century version of a resource curse: something generating oodles of money for a tiny group of people, often foreign, yet whose demands distort the rest of the economy. Sure, Britain has iPads and broadband – but it also has oversubscribed foodbanks.

And the concept of the working poor that has dominated political debate since the crash is also something straight out of development textbooks.

Nobel laureate Amartya Sen defined development as “the removal of various types of unfreedoms that leave people with little choice and little opportunity of exercising their reasoned agency”. Yet when it comes to social mobility, Britain now has the worst record of all advanced countries – and will soon be overtaken by the newly rich countries of east Asia. And it’s when wealth is concentrated in too few hands that the forces of law and order get used as a militia for the elite – and peaceful dissent gets stamped upon. That’s why police are now a presence on our business-friendly university campuses; it also explains why Theresa May had the front to try to deport Trenton Oldfield for disrupting a student rowing competition (sorry, the Boat Race). This isn’t a sub-Rhodesian moan about Britain going to the dogs. But as my colleague Larry Elliott said in his most recent book, Going South, the sooner we puncture our own complacency at having created a rich economy for the few, and think of ourselves as in dire need of a proper economic development plan, the better. Otherwise, we’re well set to corner the world market in pig semen . The United Kingdom of spoink.

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Map: How the world’s countries compare on income inequality based on The Palma Ratio [via: Washington Post]

http://www.washingtonpost.com/blogs/worldviews/wp/2013/09/27/map-how-the-worlds-countries-compare-on-income-inequality-the-u-s-ranks-below-nigeria/

Bluer countries have better income equality. Redder countries are more unequal. Data: CGDev, DIIS (Max Fisher / Washington Post)

Bluer countries have better income equality. Redder countries are more unequal. Data: CGDev, DIIS. (Max Fisher/The Washington Post)

The way we measure income inequality is changing. After years of relying on a complicated metric called the Gini coefficient, some economists argue that we should adopt the Palma ratio, which measures the gap between the rich and the poor in a society. My colleague Dylan Matthews explains how the Palma works and why it might be superior (more on that below).

In the map up top, I’ve illustrated the latest data on income inequality around the world, as measured by the Palma. The results are pretty revealing. Bluer countries have greater income equality, according to the metric, meaning that there’s less of a gap between the rich and the poor. Redder countries have more income inequality, meaning that there’s a wider gap. Purple countries are about in the middle — that includes the United States, which is the most unequal of any developed country measured.

The countries that come out looking best include, no surprise, the usual suspects of Northern Europe. Interestingly, Eastern Europe scores quite highly as well, as do some post-Soviet countries in Central Asia. Perhaps that’s a legacy of Soviet-era social programs meant to flatten class divides. But it’s also a reminder that, while economic equality is great, it’s not synonymous with a healthy economy. Some countries are economically equal because everyone is well-off, as in Denmark, and some because most everyone is equally poor.

The countries with the highest income inequality are, by far, those of Latin America and the southern tip of Africa. These countries have been seeing economic growth over the past few decades, but much of the wealth ends up funneling into the top stratospheres of society. This problem tends to be self-reinforcing: The rich are able to secure better education and political access, making it easier for them to stay rich and tougher for everyone else to get a share of the pie.

The United States doesn’t come out of this comparison looking great. It’s ranked 44th out of 86 countries, well below every other developed society measured. It’s one spot below Nigeria, which has some of the worst political corruption in the world and in 2012 saw nationwide protests over perceived income inequality. The United States’ Palma ratio ranks it just beneath Nigeria but above Russia and Turkey — all countries that have experienced heavy political unrest in recent years.

The data offer a reminder that the United States might enjoy greater economic equality than much of the world, but it is at the bottom end of the developed world. And the Palma ratio actually shows the United States in a more positive light than does the Gini coefficient, which ranks it even lower. To get a better sense of how the United States compares to the rest of the world, here’s a map that shows all other countries just relative to the United States. Blue countries are more equal than the United States, red countries are more unequal:

Blue countries have better income inequality than the U.S., red countries worse. Data: CGDev, DIIS (Max Fisher / Washington Post)

Blue countries have better income inequality than the U.S., red countries worse. Data: CGDev, DIIS. (Max Fisher/The Washington Post)

Here’s the story with the Palma ratio, which gave us these data. Two economists with the Center for Global Development, Alex Cobham and Andy Sumner of King’s College London, make the case for the Palma in a recent paper. They explain that it’s much more elegant than the Gini coefficient and better suited at comparing the rich and the poor. The Palma simply compares the richest 10 percent of people with the poorest 40 percent. Their report provides the data mapped out above, supplemented with some numbers from the Danish Institute of International Studies.

If you want to know more about The Palma Ration, please check this paper:

http://international.cgdev.org/publication/it-all-about-tails-palma-measure-income-inequality

 

 

 

Riots and protests in Colombia demanding for farmers rights

More information about social movements in Colombia from The Guardian:

Demonstrators and riot policemen near Bogota Colombia

Sibylla Brodzinsky in Bogotá

theguardian.com,
Thursday 29 August 2013 16.19 BST

Demonstrators banging on pots in support of farmers at the entrance of La Calera near Bogotá. Photograph: Jose Miguel Gomez/Reuters
Colombia’s largest cities were braced on Thursday for marches by students and labour unions in support of a growing nationwide strike by miners, truckers, coffee growers, milk producers and potato farmers protesting against everything from high fuel prices to free trade agreements that farmers say have them on the brink of bankruptcy.

The protests began on 19 August, with demonstrators joining striking miners,to block some of the country’s main highways using tree branches, rocks and burning tyres. At least one protester and one policeman have died in the demonstrations, dozens have been injured and more than 150 have been arrested.

The protests spread to the cities where residents banged pots in solidarity with the farmers after president Juan Manuel Santos, in a failed effort to downplay the importance of the strikes, said the “supposed national farmers’ strike does not exist”.

Forced to apologise for the statement, he sent out high-level officials to begin negotiating separately with the different sectors. “We recognise that the farmers’ protests respond to real needs and problems. We are listening to them and offering solutions,” Santos said on Wednesday night.

Farmers complain that agricultural imports allowed under free trade agreements with the US, the EU, Canada and other nations are undercutting their livelihoods.

Strike leaders said solutions offered – eliminating import tariffs on fertilisers, easing agricultural credit and triggering protective safeguards allowed under the free trade agreement for sensitive sectors – were not enough. “Talks continue,” strike leaders said on Wednesday, but called on farmers to continue protests.

Thursday’s marches are planned for Bogotá, Medellín, Cali and other mid-sized cities. With access to cities from the countryside disrupted, the price of some staple foods has nearly doubled. Gloria Galindo, a mother of three who lives in Bosa, a working-class district of Bogotá, said she sympathised with the protesters but that the roadblocks were hurting her family’s wallet. “Vegetable prices have shot through the roof,” she said.

Officials have accused leftist guerrillas of the Revolutionary Armed Forces of Colombia (FARC), which is in talks with the government to end nearly 50 years of war, of infiltrating the strikes. Strike leaders have denied the claims.

Rural development was the first point of agreement between the Farc and the government in the peace process. But the current protests show that Colombia’s conflicts are not limited to an armed insurgency and will not necessarily be resolved at the negotiating table in Havana, according to Alejandro Reyes, an adviser to the government on land issues. “When we get to a post-conflict stage there will be an enormous social conflict to deal with,” he said.


http://www.theguardian.com/world/2013/aug/29/colombia-major-national-protests-farmers

Timothy Alsip robs bank for so he can get free health care….

Timothy Alsip robs bank for so he can get free health care…..

Timothy Alsip robs bank for $1 so he can get free health care….

Timothy Alsip

Timothy Alsip

Man robs bank for $1 so he could be arrested and sent to jail for free medical health care.

A homeless Oregon man, Timothy Alsip went on to rob a bank on Friday to the tune of $1. His motive? He didn’t have the necessary funds to tend to medical concerns so he mused if he made it to jail he’d get it there.

Upon walking into a local Bank of America branch in the town of Clackamas, Timothy Alsip, 50 years old presented the following note below to a teller:

“This is a holdup. Give me a dollar.”

From there, Alsip went on to calmly sit in the lobby before going on to be arrested on suspicion of second degree robbery with bail set at a whopping $250 000.

Mark Nikolai, a spokesperson with the Clackamas County Sheriff’s Office went on to tell KGW that Alsip had been exhibiting strange behavior over the past week (you think?), including flagging down citizens so they would call 911.

Nikolai went on to tell that Alsip even went so far as to call 911 on himself to complain of imaginary problems such as being hit by a car, suffering from dental pain and overdosing on drugs.

Told Nikolai: “His behavior today is consistent with the behavior he has displayed over the last week.”

Timothy Alsip went on to tell cops that he had no permanent address, that he did not have a previous criminal record in Oregon and that he was in dire need of medical attention.

At present it is not understood as a homeless man why Alsip did not qualify for medicaid or the nature of his illness, never mind the nature of society’s illness that citizens are increasingly resorting to incarceration in the hopes of receiving basic amenities that one would consider a basic human right. Then again nothing is really free unless you can afford it, right….?

 

Colombia’s internally displaced people caught in corridor of instability

Colombia’s internally displaced people caught in corridor of instability

Despite progressive policies, battles over territory and drug trafficking mean the number of IDPs is increasing

MDG : Colombia : IDP Rosalba Dura in Norte de Santander

Colombia has 4.7 million internally displaced people, according to government figures. Above: Rosalba Duran and her family. Photograph: Obinna Anyadike/IRIN

Rosalba Duran and her family of 11 live in a single-room hut on a patch of government-owned land on the outskirts of El Tarra in the northern province of Norte de Santander, Colombia.

Eight months ago, she had a house in town and her husband a job at a nearby fish farm. But the home in which they had lived for 25 years was next to an army checkpoint that had come under repeated fire by Revolutionary Armed Forces of Colombia (Farc) guerillas.

The Durans felt they had no choice but to move to this miserable stretch of mosquito-infested land, without running water, miles from the nearest schools. They are officially part of the roughly 5 million, or one in 10 Colombians, displaced by the conflict waged by the Farc, its revolutionary cousin, the National Liberation Army (ELN), and successive governments since 1964, originally over land reform and social justice.

Norte de Santander, bordering Venezuela, forms part of a corridor of instability stretching across the mountainous northern part of the country to the province of Choco on the Pacific coast.

The prominent graffiti extolling the Farc and ELN throughout these Andean towns, even a banner across the road in one setting the speed limit and levying a fine on those that disobey, underlines this is a contested region, despite ongoing peace talks in Cuba between the Farc and the government of President Juan Manuel Santos.

The mayor of El Tarra, Jota Mario Arenas, is honest about the difficulties he faces in trying to walk the line between the guerillas and the country’s capital, Bogotá, in a town in which the insurgents wield tremendous influence. Central government feels distant here, soldiers nervously patrol the streets, potential targets for the mines and improvised explosive devices increasingly employed by the Farc and ELN. The only doctor at the health post quit recently – the rumour was that he had been threatened.

Clashes over coca eradication

Since June, the Catatumbo region of Norte de Santander has been in turmoil, with clashes between farmers and the army over the government’s periodic coca eradication programme. Farmers say it will deprive them of a livelihood, as no alternative crops are established before the coca is uprooted, while the government accuses the Farc of provoking the unrest and a strategy of confinement – the closure of roads in the area that locks up local communities, affecting their access to supplies.

“I do what I can,” Arenas told IRIN. But it was clear his political survival depends on not rocking the boat in what has historically been a major coca-growing region, where smuggling – petrol from Venezuela included – is routine, a vacuna or unofficial tax, is added to virtually every purchase, and the state struggles to provide services, security and the opportunities that would allow young men to resist taking sides in the conflict.

But it was to the local authorities that the Duran family turned to for help. Although land was provided, it was only 200 metres from an oil pipeline that the guerillas had tried three times to blow up. When IRIN visited, the Durans had received two payments, amounting to $1,100 (£725), and were expecting a third and final instalment from the Victims’ Support Unit. “This is not enough for so many,” Rosalba said.

According to the government’s figures, Colombia has 4.7 million internally displaced persons (IDPs), based on monitoring that started in 2000. NGOs, which begin their count from 1985, put the number at 5.7 million.

For the UN Office for the Co-ordination of Humanitarian Affairs (Ocha), the significant point is that the numbers are increasing. “There were more people displaced in the first quarter of this year than over the same period last year. Although they’re talking peace in Havana, there are still growing numbers of IDPs, more people affected by mines than in Afghanistan, and a reduction in humanitarian funding,” Ocha’s head of office, Gerard Gómez, told IRIN.

The IDP system

Colombia’s IDP policy looks progressive, strengthened by Santos and key court rulings. It recognises their rights, including to emergency assistance, social support and land restitution. “Unfortunately many of these rights are routinely violated,” assistant director for policy at the Jesuit Refugee Service/USA Mary Small wrote. “In general, programmes for IDPs do not cover all IDPs, are uneven in quality, end too soon and are underfunded.”

“They are great laws, but the problem is implementation,” Gabriel Rojas of the NGO CODHES (in Spanish) said. How IDPs are registered – and the trust required in the authorities to include your name – is one area. Until a constitutional court verdict earlier this year, the law did not recognise the casualties of the expanding violence of the rightwing former paramilitaries known as Bacrim, which will increase the demands and costs of the programme.

The shortfalls of the system also include a crisis of protection, where IDPs pushing for rights to land restitution have been attacked, especially by paramilitaries in league with the new landowners; bureaucratic undercapacity worsened by the tangle of the various programmes; and the basic problem of implementing care and support in the middle of a conflict where the government has incomplete control of the country.

Military pressure has pushed the Farc and ELN into hard-to-reach areas like El Tarra, or along the underdeveloped Pacific coast, and an eastern axis covering Arauca, Casanare, Vichada, Meta and Guaviare. Many of these disputed regions are drug-producing, mineral-rich or straddle lucrative smuggling routes. It is terrain shared with the Bacrim, elements of the former death squads, which, after demobilisation in the mid-2000s, re-emerged as rich, networked and ever-ruthless mafias. Along with the guerillas, they have a mutual interest in maintaining the state at arms length and their stake in the illicit economy.

“For the overlapping armed groups of guerillas, neo-paramilitaries, narco-traffickers, and organised crime, the war has splintered into a fight for control of land for large-scale agriculture and ranching, the drug trade, illegal mining and, at the Venezuelan border, the movement of gasoline,” Small said. “As the war has become de-ideologised, all armed groups rely on the strategic use of terror to control communities and silence opposition.”

African-Colombians, indigenes most affected

The violence employed by the guerillas, Bacrim and the military gives Colombia the world’s largest population of IDPs. It is to a great extent a rural crisis, in which African-Colombians and indigenous people are disproportionately affected. Although constituting just 14% of society, they comprised an estimated 83% of those driven from their homes in 2010, according to a Global Humanitarian Assistance report (pdf).

The majority of displacements involve a steady trickle of individuals or families moving to the cities. But major upheavals – of 50 or more people – are on the rise. Notorious gangs like Los Urabeños and Los Rastrojos were responsible for the majority of these displacements in 2011, according to the Internal Displacement Monitoring Centre.

Intra-urban displacement is also a growing phenomenon, with vulnerable IDPs shuttling between poor and unsafe neighbourhoods controlled by drug-dealing gangs. “They don’t want to leave the cities because at least they have access to services,” Rojas said.

In the remote ore-rich regions, gold, coltan and tungsten is replacing coca as the main revenue generator for armed groups, with only an estimated 14% of the gold produced in Colombia mined legally, according to Ocha. Communities farming the land are in the way, so large-scale forced dispossession is occurring. It can be at the barrel of a gun, a coerced sale at rock-bottom prices or a land grab legalised by a crooked notary.

Colombia’s long history of strong regions, weak central government and astonishing levels of violence by various groups of armed young men, suggests the crisis may not end with the formal demobilisation of the Farc, should the Havana talks reach a settlement.

Colombia is a middle-income country and in many respects has the trappings of a modern economy. But, according to Gómez: “In a country where you have [lucrative] drugs, gold and extortion, you might get a peace agreement today, but in the coming years there could well still be violence.”

• This article was amended on 14 August 2013. In the original, the writer referred to Mary Small as a Central America migration researcher. This has now been corrected. The quote from Small in paragraph 12 has also been amended.