- A long term perspective
- A focus on the pace and pattern of growth
- A focus on productive employment rather than income redistribution
- Concerned not only with firms, but also with the individual
- Typically fueled by market-driven sources of growth with the government playing a facilitating role
- Source: African Business Conference, HBS Presentation by Uzodinma Iweala
Institutions of Justice
Clear Title to Land
Access to Justice in the Courts and Rule of Law
Free Association & the Ability to Start a Business without Undue Burden
- Hernando de Soto did an experiment where he tried to set up a small sewing shop in the outskirts of Lima, Peru. He had 4 student lawyers use public transportation and follow all the rules to set up the business. It took 289 days. De Soto summarized it well: “The legal system is simply unfriendly to poor people.”
- Some people are surprised to hear this, but the institution of free exchanges is especially important for the poor who lack political, economic, and social contacts to navigate regulatory structures that inevitably get captured by big business, powerful interest groups, and entrenched bureaucracy.
Idealistic college students, celebrities such as Bob Geldof and politicians such as Tony Blair have all made bringing light to the dark continent their mission. They fly in for internships and fact-finding missions or to pick out children to adopt in much the same way my friends and I in New York take the subway to the pound to adopt stray dogs.
This is the West’s new image of itself: a sexy, politically active generation whose preferred means of spreading the word are magazine spreads with celebrities pictured in the foreground, forlorn Africans in the back. Never mind that the stars sent to bring succor to the natives often are, willingly, as emaciated as those they want to help.