Why Equality? How Equality?

Much of the discussion of economic development in low and middle income countries and of poverty reduction has either ignored the issue of income distribution or has tended to view income distribution only in terms of its impact on economic growth. In this paper I argue that such an approach is misguided.development, distribution, poverty

The Meaning of Poverty: Questions of Distribution and Power

Focusing on the low-income parts of the world and reviewing the different ways we can define poverty, I first argue that what people generally mean by poverty – or, more broadly, by economic well-being – cannot be adequately captured by a single, absolute measure such as income level or a more complex aggregate such as the Human Development Index. Not only do these measures fail to account for the complexity of human material needs, but they also fail to recognize the importance of distributional issues. The failure to incorporate a consideration of distribution in defining poverty is conceptually problematic, if not simply wrong. This failure also creates serious practical problems for campaigns against poverty, at best limiting their impact and at worst dooming them to failure. The United Nations Millennium Goals program is a case in point. If poverty is viewed simply in absolute terms rather than including a consideration of distributional issues, the social structures that generate poverty tend to be ignored. Policy is then viewed as a technical issue and often focuses on particular programs that are directed to helping the poor improve their absolute situation: new seed varieties to raise income, mosquito nets treated with insecticide to improve health, more schools to raise the level of education. These sorts of policies, when they are actually implemented successfully, can have positive impacts. Yet they leave unexamined and unaddressed the social structures and power relations that have generated and continue to generate poverty.poverty, income distribution, power, Millennium Development Goals, Human Devleopment Index

Liberalization, migration and development : the Mexico-U.S. relationship

Las migraciones desde México a EE.UU. han aumentado por la liberalización de la economía mexicana. Los defensores de la liberalización habían mantenido que ésta reduciría las migraciones; de hecho, usaban tal argumento junto con el sentir anti-inmigrantes como base para hacer atractivo al público estadounidense el Tratado de Libre Comercio de América del Norte. La demagogia anti-inmigración no sólo era ofensiva sino errónea en cuanto a su contenido. Diversos efectos de la liberalización han actuado como factores causales de los movimientos de personas hacia el Norte y del mantenimiento de altas tasas de migración. Esta realidad debería forzar una re-evaluación de las políticas en EE.UU. Una política que aceptara la realidad de las continuas migraciones y que integrara a los inmigrantes a la fuerza de trabajo con derechos plenos podría tener amplios beneficios. ___________________________________Migration from Mexico to the United States has been increased by liberalization of the Mexican economy. Proponents of liberalization had maintained that it would reduce migration; indeed, they used this argument along with anti-immigrant sentiment as one basis on which to sell the North American Free Trade Agreement to the U.S. public. The anti-immigration demagogy was not only offensive in sentiment but also wrong in substance. Various impacts of liberalization have been causal factors moving people northward and maintaining the high rate of migration. This reality should force a reassessment of policy in the United States. A policy that accepted the reality of continuing migration and integrated the immigrants into the labor force with full rights could have widespread benefits

Unstable Empire: US business in the international economy

SUMMARY This article argues that the international operations of US business constitute an unstable empire. In developing this argument, the article examines three aspects of US?based international business activity: the focus of US business operations abroad on the penetration and control of markets; the extremely large and rapid growth of US?based international banking; and the increasing strains on the organisational structures of multinational firms. The article establishes the hypothesis that the current instability of the US business empire has arisen as a consequence of the great success achieved earlier by US corporations abroad; current weakness and earlier strength are two parts of the same process. RESUMEN Imperio inestable: el comercio de Estados Unidos en la economía internacional Este artículo argumenta que la operación internacional del comercio estadounidense constituye un imperio inestable. Al desarrollar este argumento, el artículo examina 3 aspectos de la actividad comercial internacional de Estados Unidos: el foco de sus operaciones externas en la penetración y control de los mercados, el extremadamente rápido y amplio crecimiento de la banca internacional de base estadounidense y las crecientes presiones sobre las estructuras organizativas de las empresas multinacionales. El artículo plantea la hipótesis de que la inestabilidad actual del imperio comercial de Estados Unidos, ha surgido como consecuencia del gran éxito logrado previamente por sus corporaciones en el exterior, siendo la debilidad actual y la fortaleza anterior, dos partes del mismo proceso. RESUME Un empire instable: les affaires des Etats Unis dans l'economie internationale Cet article soutient que les opérations internationales des affaires des Etats Unis constituent un empire instable. En développant cet argument, l'article examine trois aspects d'activité économique internationale basée aux Etats Unis: l'objectif des opérations économiques des Etats Unis à l'étranger sur la pénétration et le contrôle des marchés; la croissance extrêmement large et rapide des opérations bancaires internationales basées aux Etats Unis; et la tension croissante sur les structures organisationnelles des compagnies multinationales. L'article établit l'hypothèse que l'instabilité actuelle de l'empire des affaires des Etats Unis a augmenté à cause du grand succès atteint auparavant par les compagnies américaines à l'étranger; les points faibles actuels et la grandeur passée sont deux étapes du même développement

Why Equality? How Equality?: The Desirability of a Focus on Income Distribution

Much of the discussion of economic development in low and middle income countries and of poverty reduction has either ignored the issue of income distribution or has tended to view income distribution only in terms of its impact on economic growth. In this paper I argue that such an approach is misguided. I will explain, first, why I believe that it is desirable to give a great deal of attention to income distribution in the analysis of economic development and poverty reduction. My argument includes conceptual, political and practical elements. Second, I will suggest some of the ways in which economic programs might be structured when income distribution is a central consideration. My purpose in this latter section of the paper will simply be to illustrate what could be done, not to lay out any sort of general program for economic development and poverty reduction

An End in Itself and a Means to Good Ends: Why Income Equality is Important

In recent years “poverty reduction” has become the watchword in development agencies, in international lending institutions, and among development economists generally. The focus on poverty reduction reached a high point perhaps with the articulation of the Millennium Development Goals (MDGs) and with the extensive analytic work that has accompanied the MDGs. Yet, much of the discussion of poverty reduction and economic development in low and middle income countries has either ignored the issue of income distribution or has tended to view income distribution only in terms of its impact on economic growth. Poverty and inequality, however, are intimately bound up with one another. Both as an analytic issue and as a policy issue, there are severe limitations in attempting to deal with poverty – or, more broadly, with economic well-being – without also examining income inequality. Indeed, it is questionable that we can even define poverty independently of income distribution. In this essay, I want to develop the argument that economists and economic policy-makers should focus much greater attention on inequality as measured by the distribution of income (and wealth). The traditional focus simply on absolute levels of income as a measure of poverty and economic well-being is fundamentally flawed

Washington Dollars and the Puerto Rican Economy: Amounts, Impacts, Alternatives

By examining the Washington to Puerto Rico flow of funds in some detail and comparing it with the flow of federal funds to the states, this paper demonstrates that the island’s receipt of funds is not uniquely large and cannot be viewed as representing the “largess” of U.S. taxpayers. The funds coming from Washington to Puerto Rico cannot bear the weight of responsibility for the island’s economic problems that various sources have placed upon them. Puerto Rico’s economic ills have to be explained by a larger set of factors. Nonetheless, some of the Washington to Puerto Rico transfer programs may create a set of incentives that are not in the interests of Puerto Ricans. As a result, the policy prescriptions offered here have much in common with those of analysts who see the transfer programs as a major problem, in particular with regard to the Earned Income Tax Credit. The policy prescriptions offered here, however, go beyond others in suggesting a more favorable treatment of Puerto Rico with regard to federal procurements and the Child Tax Credit. An overall message of the analysis is that the flow of federal funds could be changed in a positive rather than punitive manner to improve the operation of the Puerto Rican economy

Center for Social Policy: Systems Change through Place-Based and Collective Impact Initiatives

At the Center for Social Policy, the voices of those living in economic hardship and social exclusion not only inform our research and evaluation projects to help reshape poverty policy, they also inform us about the power of inclusive practices

Evaluation of the Family-to-Family Homelessness Prevention Project: Final Report (January 1, 2011-October 31, 2013)

This report describes implementation of the Homelessness Prevention Project of the Family-to-Family Program in Boston over nearly three years: January 1, 2011 and October 31, 2013. The project intended to help families to avoid imminent loss of their housing units. It selected participants that had good prospects for long-term housing and income stability. Project staff thought that modest financial assistance plus case management would enable these families to regain and perhaps even improve their personal and economic circumstances. The Oak Foundation provided major financial support for the project. The report describes the administration of the project, and then examines the characteristics of all of the participant families at the time of enrollment compared to the screening criteria established by the program. It then explores the experiences of participant families after they received their grant awards. It gives special attention to the experiences of those that received final grant awards 12 or more months before September 30, 2013. The report draws on data provided to the evaluation team by three agencies that administered the grants. It also describes findings from in-depth interviews with 12 families who received assistance from the program and interviews with representatives of the Family-to Family program and the three agencies that distributed funds and provided case management (HomeStart, Project Hope, and Travelers’ Aid/Family Aid)