Sep 12,2012

UP Links 12 September 2012

+ Brandon Fuller

Dani Rodrik on the Next Round of Millennium Development Goals

Why we need a global effort to convince developing countries to do what is good for them is not clear. Poverty reduction and human development should be the first order of business for governments in these countries, with or without the MDGs. It is true, of course, that these governments often pursue different goals, for political, military, and other reasons. But it is wishful thinking to believe that they can be persuaded to act otherwise by international declarations that lack enforcement mechanisms. If we have learned one thing in the development business, it is that real reform cannot be bought with donors’ money, let alone with vague promises of money.

Gains from International Trade and Migration

According to the World Food Program, Russia has the world’s largest reserve of arable yet now fallow land, a legacy of the collapse of the Soviet collective farm system and the depopulation of rural Russia over the last two decades. Russia’s population is 141 million, compared with 1.3 billion in China. China has perennial worries about securing enough food and finding enough work for its rural population. Some Chinese-run farms in Russia ship their soybean crops to China, and as the Chinese presence in the farm sector grows, so will the potential for more food exports. (Vegetable farms such as Golden Land sell their produce locally.)

Pay for Success Contracts in New York and Massachusetts

New York City and Massachusetts are tapping the capital markets to fund social intervention programs under a new mechanism called social impact bonds. Target areas include chronic homelessness and youth crime. Backers say if well-executed, the program would benefit investors, social service providers and governments alike, especially in the financially squeezed Northeast. Essentially, the program enables the public sector to leverage upfront funding from investors. They are also called “pay for success” contracts, with governments paying only if programs meet goals, in which case all parties benefit financially.

Ken Opalo on Africa’s Emerging Drug Problem

The problem of drug trafficking in Africa is not merely a law enforcement concern. Firstly, it is a threat to the development and consolidation of important state institutions, especially the region’s judiciaries and security agencies. In many of the African states that have been cited as important transit destinations for drugs from Latin America and Asia, drug traffickers have managed to infiltrate vital state institutions. Important politicians, members of the judiciary, and key members of the security apparatus – both police and the military – have been their primary targets. As a result, the very institutions that have been charged with policing such illicit activities have been the ones that actively promoted and/or provided protection for drug traffickers. Ineluctably, the large amounts of drug money up for grabs have caused splits among ruling elites, sometimes resulting in bloody conflict, as has been the case in Guinea-Bissau since early 2009.

UN Projects 90% of Latin American Population in Towns & Cities By 2050

The existence of urban territories controlled by, or at the mercy of, organised crime and drug dealers illustrates the complexity of the challenge posed by security. Insecurity is the prime concern for most people in Latin America, ahead of jobs. The poor are the first to suffer from the widespread violence, and their makeshift homes are the most exposed to extreme weather events and natural disasters.