The renowned economist Erik S. Reinert the author of ‘How Rich Countries Got Rich … and Why Poor Countries Stay Poor’ giving a lecture on Asmara Public Lecture Series 2012, Eritrea. Erik S. Reinert is a development economist and economic history specialist discussing in this exciting lecture development in general and development in the African context, as well as Eritrea in particular.

http://natna.wordpress.com/2012/08/15/erik-s-reinert-on-asmara-public-lecture-series-2012/

A.

The current development policy focus on poverty reduction is erroneous. Historically, successful development policy — from the late fifteenth century until the beginning of the twenty-first—has achieved structural change away from dependence on raw materials and agriculture, adding specialized manufacturing and services subject to increasing returns with a complex division of labor. In contrast, the Millennium Development Goals are heavily biased in favor of palliative economics: alleviating the symptoms of poverty, rather than attacking its real causes. This creates a system of ‘welfare colonialism’ increasing the dependence of poor countries, thereby hindering, rather than promoting, long-term structural change. (Erik S. Reinert )

In the 19th century, the saying in the USA was:
"Don't do as the English tell you to do, do as the English did."

Our advice to Africa and other developing countries is:
"Don't do as the Americans and the British (IMF & the World Bank) tell you to do,
do as the Americans and the British did."

I'm enjoying the lecture. This part in particular has really made me think of things that I never thought of before.

"....The smaller the population of a country working in agriculture, the less the chance is for a famine to occur. Famine only happens in countries that are almost exclusively concentrated on producing food. In countries like Western Europe and the United States, where 2 to 3% of the population working in the agriculture sector, they are producing so much food that they have to dump it in the rest of the world. That is only 2 to 3 per cent of the population producing all that food !"

Hmmm.... he said the key to fight the vicious cycle of famine and poverty is to introduce manufacturing industry. Brilliant guy!