We have met the enemy and he is powerpoint: NYT on the military

The New York Times had a front pager today on a story that this blog (twice: Dec 22, 2009 and Dec 12, 2009 ) and other blogs has been all over for months -- the use of nonsensical Powerpoint slides to guide the US military in Afghanistan. The NYT reproduced the infamous Afghan nation-building spaghetti chart over most of the front page:

“PowerPoint makes us stupid,” Gen. James N. Mattis of the Marine Corps, the Joint Forces commander, said this month at a military conference in North Carolina. (He spoke without PowerPoint.) Brig. Gen. H. R. McMaster, who banned PowerPoint presentations when he led the successful effort to secure the northern Iraqi city of Tal Afar in 2005, followed up at the same conference by likening PowerPoint to an internal threat.

“It’s dangerous because it can create the illusion of understanding and the illusion of control,” General McMaster said in a telephone interview afterward. “Some problems in the world are not bullet-izable.”

It gets worse:

Last year when a military Web site, Company Command, asked an Army platoon leader in Iraq, Lt. Sam Nuxoll, how he spent most of his time, he responded, “Making PowerPoint slides.” When pressed, he said he was serious.

...it ties up junior officers — referred to as PowerPoint Rangers — in the daily preparation of slides, be it for a Joint Staff meeting in Washington or for a platoon leader’s pre-mission combat briefing in a remote pocket of Afghanistan.

What's bizarre about this is that there are so many high-ranking military critics and yet war-by-Powerpoint continues. This blog's criticism got a friendly response from high-ranking military also. Yet none of this was enough to stop a practice that would get the military held up to ridicule today in the New York Times.

Indulging in sheer speculation here, is it because Powerpoint is indispensable to make  the military's assigned task appear feasible when it is inherently infeasible  -- to achieve development, democracy, and peace by military means?

Read More & Discuss

Wax and Gold: Meles Zenawi’s Double Dealings with Aid Donors

Helen Epstein, author of The Invisible Cure: Why We Are Losing The Fight Against AIDS in Africa, has a stunning piece on aid to Ethiopia published in this month’s New York Review of Books. Epstein argues that the main cause of fertile southern Ethiopia’s chronic food shortages—the so-called “green famine” —is Ethiopia’s toxic and repressive political system, presided over since 1991 by Meles Zenawi. While Meles placates donors and Western governments with speeches about fighting poverty and terrorism, he has committed gross human rights violations at home, rigged elections, killed political opponents, and imprisoned journalists and human rights activists. Epstein on Meles' doublespeak:

There is a type of Ethiopian poetry known as “Wax and Gold” because it has two meanings: a superficial “wax” meaning, and a hidden “golden” one. During the 1960s, the anthropologist Donald Levine described how the popularity of “Wax and Gold” poetry provided insights into some of the northern Ethiopian societies from which Prime Minister Meles would later emerge…. “Wax and Gold”–style communication might give Ethiopians like Meles an advantage in dealing with Westerners, especially when the Westerners were aid officials offering vast sums of money to follow a course of development based on liberal democracy and human rights, with which they disagree.

Several Western donors responded to Meles’ more blatant repression by channeling aid directly to local authorities, cutting out the central government. We have argued before that this strategy doesn't work when there is evidence—which Epstein provides more of—that local government officials are instrumental in election-fixing and using aid to award political supporters and punish dissidents. Now, donors can no longer even support Ethiopian civil society to oppose these human rights violations, since Meles' government recently passed a law that makes it illegal for civil society organizations to accept foreign funds.

Epstein concludes powerfully:

In 2007, Meles called for an “Ethiopian renaissance” to bring the country out of medieval poverty, but the Renaissance he’s thinking of seems very different from ours. The Western Renaissance was partly fostered by the openness to new ideas created by improved transport and trade networks, mail services, printing technology, and communications—precisely those things Meles is attempting to restrict and control.

The Western Renaissance helped to democratize “the word” so that all of us could speak of our own individual struggles, and this added new meaning and urgency to the alleviation of the suffering of others. The problem with foreign aid in Ethiopia is that both the Ethiopian government and its donors see the people of this country not as individuals with distinct needs, talents, and rights but as an undifferentiated mass, to be mobilized, decentralized, vaccinated, given primary education and pit latrines, and freed from the legacy of feudalism, imperialism, and backwardness. It is this rigid focus on the “backward masses,” rather than the unique human person, that typically justifies appalling cruelty in the name of social progress.

Read the article in full here.

Read More & Discuss

Reasons to doubt new health aid study on fungibility

This post is by David Roodman, a research fellow at the Center for Global Development (CGD) in Washington, DC. A couple of weeks ago, researchers at the Institute for Health Metrics and Evaluation triggered a Richter-7 media quake with the release of a new study in the Lancet.

Here’s how the Washington Post cast the findings:

After getting millions of dollars to fight AIDS, some African countries responded by slashing their health budgets.

Laura Freschi at Aid Watch blogged it too.

I am not a global health policy wonk, and I don’t play one on this blog, but it may well be the case that I wrote the program that produced the headline numbers (for every dollar donors gave to governments to spend on health, governments cut their own spending by $0.43–1.17).

I find the results generally plausible. I also don’t particularly believe them. Let me explain.

The results are plausible because it is easy to imagine that health aid is partly fungible: governments can take advantage of outside finance for health by shifting their own budget to guns, gyms, and schools. I would. Wouldn’t you? Well, maybe except for the guns part.

The results are dubious because it is an extremely hairy business to infer causation from correlations in cross-country data. That’s why Bill once sighed about the:

1 millionth attempt to resolve the relationship in a cross-country growth regression literature that is now largely discredited in academia.

The variable being explained here is not growth but recipient governments’ aid spending, which is admittedly less mysterious. But skepticism is still warranted. Consider:

  • The model may be wrong. The study assumes that aid received in a year only directly affects government spending that same year, even though it could take longer for the money to pipeline through—especially if recipients bank the aid to smooth its notorious volatility (hat tip to Mead Over; also see Ooms et al. Lancet commentary).
  • The quantities of interest are health-aid-to-governments and government-health-spending-from-own-resources, which is calculated as total government-health-spending minus health-aid-to-governments (yes, the variable I just mentioned above). So if health-aid-to-governments were systematically overestimated for some countries and years, government-health-spending-from-own-resources would automatically be underestimated.For example, suppose the study is wrong, that there is no relationship between health aid and governments’ health spending from their own resources. Suppose too that health aid to some countries, as measured, includes payments to expensive western consultants. That money would never reach the receiving government, resulting in an overestimate of actual aid receipts and an underestimate of how much governments are contributing to their own health budgets. The analysis would then spuriously show higher health aid causing governments to slash their own health spending. In another Lancet commentary, Sridhar and Woods list four possible sources of mismeasurement of this sort.

Both these problems must be present to some extent, creating mirages of fungibility.

Understanding at least the latter problem of causality, the authors feed their data into a black box called “System GMM.” (They call it “ABBB,” using the initials of the people who invented it.) I am in an intimate, long-term relationship with System GMM, having implemented it in a popular computer program. I have worked to demystify System GMM and documented how, just by accepting standard default choices in running the program, you can easily fail to prove causality while appearing to succeed. I can’t explain why without getting technical, which is not to say that only I know the problem – it is very well known among economists with some minimum econometric competence – but NOT to everyone who actually uses the techniques. Suffice it to say that I sometimes feel like this black box is a small time bomb that I have left ticking on the landscape of applied statistical work.

Responsible use of this black box involves telling your readers how you set all the switches and dials on it, as well as running certain statistical tests of validity. The Lancet writers have not done these things (yet). Nor have they shared their full data set. So it is impossible to judge how well their claims about cause and effect are rooted in the data. If replicability is a sine qua non of science, then this study is not yet science.

Read More & Discuss

Goldman was hedging--how evil!!!!

According to the Washington Post:

Goldman admits it had reduced its exposure to the overheated U.S. property market and had sought to limit possible losses through a strategy that would make money if home prices fell. It says such "hedging" is a routine part of its business and is intended to moderate risk to the firm, an especially vital function when markets shift violently, as they did in 2008.

The Post puts "hedging" in quotes like it is some fatuous excuse by Goldman. Let's see: Goldman is accused of betting against the housing market (that housing prices would fall). It also had other bets that housing prices would rise. It is prudent to not bet the whole firm one way or the other on something so uncertain as housing prices. Having bets on both sides is called "hedging" and is Finance 101.  Goldman Sachs is on the hook for a lot of possible sins, of which it may be indeed guilty. Hedging is not one of them. That the media and politicians can't even understand hedging is not reassuring when the largest financial reform in a generation is underway.

Read More & Discuss

Well, I'm not as bad a link-baiter as...

I was accused of link baiting in the Skip Gates piece below. I guess "link bait" is the new word for "headline". Well, at least I would NEVER stoop to the level of the Atlantic magazine: Did Porn Cause the Financial Crisis?

well, maybe, even this could lead to something good. One of my female friends commented:

priests, cardinals, philandering metro sexual politicians, SEC staffers: what do they have in common. they are MEN ! IF ONLY TO GET MORE DONE, we should have at least 50% women everywhere, the world badly needs some adult supervision and above the belt priorities and thinking.
Read More & Discuss

Skip Gates blames Africans for slave trade

...as well as Europeans.

...90 percent of those shipped to the New World were enslaved by Africans and then sold to European traders. The sad truth is that without complex business partnerships between African elites and European traders and commercial agents, the slave trade to the New World would have been impossible, at least on the scale it occurred.

Advocates of reparations for the descendants of those slaves generally ignore this untidy problem of the significant role that Africans played in the trade...

Read More & Discuss

Red Sea parts, Development data set free

This week, the World Bank unleashed data.worldbank.org, a website that provides free access to 2,000 indicators about development. For years, only those who paid high subscription fees could access much of this data. One of us authors had been meaning for all those years to complain about this -- how could a public organization like the Bank charge high fees despite the obvious case for a free public good of data on development?! I never got around to making this criticism, and now it suddenly happened without any obvious cause.  (Maybe if I had procrastinated on another bit of criticism, the World Bank would now be refusing to finance tyrannical rulers.)

OK,  just teasing, congrats to the World Bankers for making their data wide open to any citizen, journalist, student, researcher, or policymaker with a computer and an internet connection.

The site includes the newly-released 2010 World Development Indicators (WDI), along with other widely-used Bank datasets: the Africa Development Indicators (ADI), the Global Economic Monitor (GEM), Global Development Finance (GDF) and indicators from the Doing Business report. The data covers 209 countries and goes back in some cases as far as 50 years.

Not only that, the Bank is taking some much-needed steps to make the data not just free and available but also user-friendly. For a start, the new visual interface for data exploration is clearly a big improvement over the old Bank statistics sites. Consensus from data and information architecture geeks around the web so far is that the site, created by Development Seed, is both good-looking and intelligently designed.

Getting ever closer to techno-data-utopia, the Bank will host an "Apps for Development" contest later in the year, and you can already download the new World Bank Datafinder app for the iPhone. Aid Watch's crack beta testers swung into action, and within seconds, we had a chart of trends in Rwandan air freight glowing on our iPhones. (Unfortunately, the chart had no data on Rwandan air freight since 1993. Oh and we could only get indicators on the iPhone that start with A, B, or C.  In fact, this app is pretty clunky- stick with the OECD Factbook app for the moment.)

A partnership with Google has made 39 indicators searchable on the experimental and extremely easy to use Google Public Data Explorer.

In the excitement over this very welcome release, we Aid Watchers can’t forget to keep asking the tough questions about where the data comes from, how it is collected, and where more and better data is urgently needed.

For example, regarding the recent controversy on maternal mortality statistics from 1980 to the present on this and other blogs,  we could quickly check for what years the World Bank was willing to stand by the data.  They limited themselves to providing  "modeled estimate" (i.e. made-up) data for 2005.  Apparently,  even the low standards of the Bank on this variable do not allow them to enter data for any other year.

And now, with the new openness, the more eyes on the data, the better.

Read More & Discuss

Abe on double standards

Our progress in degeneracy appears to me to be pretty rapid. As a nation we began by declaring that "all men are created equal." We now practically read it "all men are created equal, except negroes." Soon it will read "all men are created equal, except negroes, and foreigners, and catholics." When it comes to this, I should prefer emigrating to some country where they make no pretense of loving liberty--to Russia, for instance, where despotism can be taken pure, and without the base alloy of hypocrisy.

- Abraham Lincoln, August 24, 1855

Read More & Discuss

Oh, NOW I understand why we don't want to talk about global human rights...

Noor Muhammed was arrested in March 2002 in Pakistan. He's been charged with helping to train Al Qaeda militants at a training camp in Afghanistan from 1996 to 2000. The only act he's charged with that occurred after September 11, 2001 is allegedly trying to evade local authorities by escaping from a safehouse in Pakistan in March 2002. Noor denies that he was a member of al Qaeda, or an "unprivileged alien enemy belligerent" as the U.S. claims. But though he's been imprisoned at Guantanamo Bay for eight years, the military commission still hasn't even held a hearing to decide the answer to that question. If Noor is right, the military commissions don't even have jurisdiction over his case.

Today, Capt. Moira Modzelewski, the military commission judge presiding at the hearing, announced that the hearing on that issue won't be held until August.

Still, the government has flown several dozen prosecution and defense lawyers, observers and journalists down to a hearing at Guantanamo Bay that lasted less than two hours. The issue decided? A complicated military bureaucratic question of whether Noor's previous military defense counsel could continue to represent him now that she'd been ordered by the military to another assignment.

This from a Huffington Post blog by Daphne Eviatar, who is with Human Rights First’s Law and Security Program. I had coffee with Daphne yesterday and was deeply impressed by her principled commitment to the unpopular cause of human rights for terrorist suspects. In the blog, she describes her visit to Guantanamo:

I ate at a Taco Bell yesterday, drank beer at an Irish bar last night, am staying in an air-conditioned tent ... And if you walk past the military barracks down the road to the beach, the view is positively breathtaking. There's even a diving shop where we can rent snorkeling equipment and explore the underside of the 80-degree Caribbean waters.

All that relative comfort can lull an observer into forgetting that on the other side of the military base, the side we don't get to see, men who were seized overseas, many based on statements made by wholly unreliable accusers, have been imprisoned by the United States government without trial - many even without charge - for more than 8 years.

OK I know you all are so bored hearing about Guantanamo. The domestic political constituency for caring about the rights of foreigners is so small that I could probably fit them all around my dining table. Maybe that also has something to the lack of interest in individual rights in development about which I complained yesterday.   All that never ending discussion about the Geneva Convention, due process, habeas corpus, human rights, blah, blah, blah...

I suspect that among the very few who are not bored by the subject is Noor Muhammed.

Read More & Discuss

Why are we not allowed to talk about individual rights in development?

Individual rights for rich countries Individual rights in development discourse
“We hold these truths to be self-evident, that all men are created equal, that they are endowed by their Creator with certain unalienable rights, that among these are life, liberty and the pursuit of happiness. That to secure these rights, governments are instituted among men, deriving their just powers from the consent of the governed.” “Implementing the strengthened approach to governance … will require … …careful development of a … detailed results framework, consideration of budget and staffing implications … and further consultations with stakeholders…The specific initiatives needed to fully operationalize this strategy will be outlined in an Implementation Plan…”
Read More & Discuss

Are aid agency heads chosen for their looks?

A new NBER Working Paper finds that corporate CEOs are better looking than others, i.e. non-CEOs of the same general demographic. Specifically, they look more "competent" to observers than the control group of non-CEOs.  This is the latest installment on the "economics of beauty" literature, which finds that looking good pays off in economic terms in many surprising ways. Since Aid Watch can never resist a crazy notion, this gave us the idea of running a test of this fascinating hypothesis applied to private CEOs vs. executives of aid agencies. So here goes: which of the leaders in these pictures looks more competent?

Oh, I forgot to mention, the authors of the NBER paper could not find any evidence that the better-looking executives really WERE more competent. But there must be SOME reason the market recruits the good looking. An old theory suggests that firms engage in costly signaling behavior to commit to quality for consumers, such as spending on plush offices that it can only afford if the firm does indeed deliver quality products and has high sales and profits. If you are going to redecorate the office, why not redecorate the CEO also?

Who did you pick above? Their real identities (clockwise from upper left) are:  Robert Iger, the CEO of Disney, Vikram Pandit, CEO of Citi, Supachai Panitchpakdi, UNCTAD Secretary-General, Irene Rosenfeld, CEO of Kraft, Helene Gayle, head of CARE, and Douglas Alexander, Head of British Department for International Development.

Actually, EVERYBODY here looks pretty good compared to the rest of us. So this completely unscientific exercise is suggestive that heads of aid agencies also are partly chosen on their looks.

After laborious attempts, Aid Watch was unable to come up with a comprehensive theory why this might be so. So we ask you the readers: are aid leaders really chosen on the basis of their looks, and if so, why?

Read More & Discuss

Yes, Cash is Best. Now when will USAID follow its own advice?

These two posters are finalists in a student contest to create public service announcements that tell Americans why giving cash in emergencies is better than giving goods like food, bottled water, or used clothes. (Hat tip to Saundra Schimmelpfennig).

The contest guidelines, provided by the Center for International Disaster Information (CIDI), are very clear on why they require entrants to focus on the simple message that giving money is the best way to help. They give three reasons, with which many Aid Watch readers are already familiar:

1) Financial contributions are easily convertible to meet the international disaster victims' specific and immediate needs;

2) Cash donations are more efficient, allowing purchases to be made at a bulk discount, at a lower transportation cost…

3) Cash donations go directly to the disaster site, allowing for exact purchases of what is needed most urgently and stimulating local economies. Other donations, such as products/goods, take time and money to transport, rarely meet victims' urgent needs, often interfere with professional relief efforts and frequently clash with cultural norms.

The videos and posters from the student finalists are here. The winners, announced tomorrow, get a cash prize and will have their work featured in CIDI’s national public education campaign. Now in its fifth year focusing on the very same message, the contest is funded by USAID, a fact which should also be obvious from the USAID logo on every entry.

The US is globally one of the worst offenders of aid tying, whereby US aid is “tied” to the purchase of American goods and services (a useful primer is here). While the percentage of aid that the US reports as tied is now falling thanks to improvements in reporting procedures as well as increases in implicitly untied programming through the Millennium Challenge Corporation and PEPFAR, the US still ranked a sad 19th out of 23 rich country donors in 2008, losing to even Italy, and edging out only Spain, Greece, Korea and Portugal.

In particular, American legislation requires that most US food aid be bought in the US, processed and packed by US firms, and shipped on US-registered vessels. As a result, only about 40 percent of the money that the US spends on food aid actually goes to buying food, and that food is often tragically slow to arrive. When proposals to change these archaic laws have come before the US Congress, they have largely been shouted down or diluted. Canada successfully shifted to a cash-only system in 2008; the US could and should do the same.

As the smart giving movement gains steam among individual donors, aren't we ready to end these wasteful practices institutionalized in US law and carried out by the world's largest bilateral aid agency? Only then would USAID finally be able to follow its own good advice: Cash is best.

Read More & Discuss

Can the West learn from China in Africa?

Deborah Brautigam, Associate Professor in American University’s International Development Program, is author of the book The Dragon’s Gift: The Real Story of China in Africa (see our review here), and a new blog which digs into current China in Africa issues reported in the press. She recently spoke at NYU and answered a few of our questions. Q:  It’s my reading of your book that you think Western donors could learn something from the way China behaves in Africa. What are the strengths of the Chinese way? Are there specific strategies or programs that the West should pay attention to?

A: As a donor, China's way has several advantages. Take the way they operate. They rarely "poach" skilled staff from African ministries to work in their own offices. The focus on turnkey infrastructure projects is far simpler and doesn't overstretch the weak capacity of many African governments faced with multiple meetings, quarterly reports, workshops, and so on. Their experts don't cost much. In addition, their emphasis on local ownership is genuine, even if it leads to projects like a new government office building, a sports stadium, or a conference center. They understand something very fundamental about state-building -- something that Pierre L'Enfant understood in 1791 when he teamed up with George Washington in newly independent America:  new states need to build buildings and dignity, not simply strive to end poverty.

But the Chinese also funded university scholarships, roads, bridges, mini-hydropower, and irrigation, for decades -- when other donors had moved away from most of these sectors. And like Japan, they see nothing wrong with using subsidies to help foster investment by their own companies; this is seen as beneficial to both sides. From the 1970s to the early 1990s, Southeast Asia's "miracle" was underwritten not only by good policies, but by Japanese investment, and Japanese aid was a partner in this. These investments boosted manufacturing prowess, attracting Japanese firms to go offshore. China's engagement in Africa could have similar results in at least a handful of countries with receptive leadership. The Chinese avoid local embezzlement and corruption by very rarely transferring any cash to African governments. There is almost no budget support, no adjustment or policy loans. Aid is disbursed directly to Chinese companies who do the projects. The resource-backed infrastructure loans work the same way. Of course those companies themselves might give kickbacks, as we've seen in Namibia.

Q: How about vice versa? Does China need to learn from the West?

A: Beijing's stubborn refusal to be transparent about official aid and other flows of development finance has created headaches for the Chinese that could have been avoided, in some cases simply by publishing information already being collected in China. The OECD members could teach China something here. The West and Japan are also far more sensitive to social and cultural differences and power relations -- resettlement issues, land tenure rights, women's role in production. In general, the Chinese -- like the World Bank decades ago -- simply depend on local governments to sort these things out. That's one of the downsides of genuine local ownership. China also needs a Foreign Corrupt Practices Act to provide a framework for moving against corruption and kickbacks overseas.

Q:  Is Chinese aid more effective than Western aid? Do we have enough information to answer this question?

A: More effective at what? To answer this question we really have to know: what is the real purpose of aid?  If we simply "follow the money" from the US, for example, we can see that national security (including resource security) and diplomacy appear to be far more important than reducing poverty or fostering growth. That said, our understanding of the impact of Chinese aid on development is very, very weak and highly anecdotal. There simply is no data. Until recently, Chinese aid was quite modest and had only local impact. It's still not very extensive. I suspect, as with Western aid, that it will be more effective in conditions/countries with more developmental elites: Mauritius as opposed to Mauritania, for example. On the other hand, Chinese business engagement is already having a tremendous impact. Huawei and ZTE are transforming the cellular telephone landscape across Africa, for example. But this is not aid.

Q:  China has been heavily criticized for its close relationship to the government in Sudan. Do you think the Western perception of Chinese motives in Sudan is accurate? What kind of role do you see China playing in Sudan?

A: Al-Bashir is widely (and correctly) reviled for his role in trying to crush a rebellion in Darfur using extremely brutal force. Chinese aid to Sudan is relatively small, but their engagement (in a joint venture with Sudan) in oil provides the bulk of the revenues that allow al-Bashir to finance the war, and they have plenty of business. As the New York Times recently reported, in the north, Sudan's economy is booming. The Chinese have also blocked and/or watered down Security Council resolutions on Darfur, allowing their focus on sovereignty (and their concern about oil supplies) to trump the newer norm of the "responsibility to protect". Chinese arms continue to flow into the country (probably legally: Sudan is under a UN arms embargo, but it is a limited one). Sudan also has its own arms factories (built by the Chinese) which makes it hard to tell where arms actually originate. All of these provide ample fodder for the critique of China's role.

But several things are not widely reported.

  • First, China's role in Sudan has changed over the past several years. They were crucial in getting Khartoum to accept a joint UN/African Union peacekeeping force (one, by the way, authorized by the UN, but not funded as generously as originally pledged). They allowed al-Bashir's case to be sent to the International Criminal Court for prosecution for war crimes (as Security Council members, they could have vetoed this). And as noted both by President Bush's special envoy, Andrew Natsios, and President Obama's special envoy, Scott Gration, Beijing is now working together with the US government and other major powers in developing joint strategies to bring the Sudanese government and the rebels to the negotiating table. As China-watcher Erica Downs put it, the West and China are now coordinating their "good cop" and "bad cop" roles in trying to end the crisis.
  • Second, there is no doubt that Beijing could have moved much sooner, and much more effectively, to become part of the solution. But they never held all the keys to solving the Darfur tragedy. In making a tactical decision to focus on China as the lynch pin to solving Darfur's crisis, and using the 2008 Olympics as the pressure point, activists let the other major powers off the hook. To end the violence, Darfur needs a peace agreement, and that requires all the parties to participate in negotiations. The West has not yet been able to get all the major rebel groups to show up to start talking.
Read More & Discuss

How early 20th century African artists did mockingly stereotypical images of whites

At a time when Europeans and Americans were trafficking in lots of racist stereotypes of Africans, it's nice to know some Africans were returning the favor. This picture is of a drum from Congo. The stereotype: white men wear hats and drink a lot. The irony: making out a drum out of a severely rhythm-challenged white man.

From Chris Blattman's Blog.

This by a Yoruba  mocks whites for public displays of affection and keeping a dog as a pet, both of which seemed ridiculous to Yorubas.

Read More & Discuss

Hips don't lie about aid

UPDATE December 14, 2010: The Guardian refers to this post in hosting a discussion of the role of celebrities in development. I'll get some grief for celebexploitation on this one... but what the heck..

The celebrity aid phenomenon is not going away any time soon, so one wonders ... are there any celebrities doing it better than others?

The Wall Street Journal had an interview with Shakira about her philanthropy efforts.

There are a few things to like:

(1) Shakira is concentrating on a place she knows well -- her native coastal Colombia, including her hometown of Barranquilla. Points for local knowledge compared to Africa-touring celebrities who wouldn't know a fufu stick from a groundnut. When she visits her projects, she's visiting people she knows.

(Another nice touch is that the journalist interviewing Shakira is also from Barranquilla.)

(2) She's starting to work with impoverished Latino kids in the US -- another group she knows well from her own life experience. More points for local knowledge.

(3) She's focusing on primary and secondary education, which apparently she again feels strongly about from her own experience.  Points for specialization.

Where did the revenue from the world's most valuable hips go?

Shakira’s latest contribution went to our hometown. In February 2009, the Barefoot Foundation inaugurated a $6 million K-12 mega-school. El colegio de Shakira, as it is known locally, gets only praise. A friend described it to me as an American institution, by which she meant state-of-the-art. The complex includes an auditorium, chemistry labs and even air conditioning. “Parents receive English classes and computer skills,” Shakira says, “and the entire neighborhood can play soccer there.” Families look for every possible way to move close to the school.

So, getting away from the idea that this blog will always and everywhere ridicule any celebrities doing philanthropy, here's a case that looks better than many others.

Read More & Discuss

Time for toilet deregulation?

UPDATE 10:34AM, 4/16 SEE END OF POST

Right now, India has more cell phones than toilets. That's the headline buzzing over the wires today, thanks to the latest phones-to-toilets ratio released by the United Nations. It's certainly a dramatic factoid. But it's not just true of India's 1.2 billion-strong population — this lopsided statistic is true around the globe, as well.

This is from the Change.org Global Poverty blog. The most obvious explanation:

And though the mobile sector has seen massive private investment — thanks in many countries to telecommunications deregulation — few corporations are clamoring to provide better sanitation for the poor.

(This picture is from an earlier Aid Watch blog reporting a happy encounter with the private sector toilet service industry in Ghana.)

UPDATE 10:34AM: I had underestimated the amount of interest and effort devoted to poor people's toilets in the story above. Somehow I had missed one of the hottest stories in the burgeoning lavatory sector (covered in the NYT, HT IdealistNYC): the Peepoo :

A Swedish entrepreneur is trying to market and sell a biodegradable plastic bag that acts as a single-use toilet for urban slums in the developing world.

Once used, the bag can be knotted and buried, and a layer of urea crystals breaks down the waste into fertilizer, killing off disease-producing pathogens found in feces.

The bag, called the Peepoo, is the brainchild of Anders Wilhelmson, an architect and professor in Stockholm.

“Not only is it sanitary,” said Mr. Wilhelmson, who has patented the bag, “they can reuse this to grow crops.”

The Peepoo is even endorsed by the WTO.  No, not THAT one, I mean of course the World Toilet Organization.

Please continue to forward me links for this rapidly exploding story.

Read More & Discuss

Never-before-seen video of a peacekeeping intervention to end war

Short clip:

From Twitter: undispatch @undispatch:

@bill_easterly instead of trying to be funny, can you actually explain your beef with peacekeeping?

Well, @undispatch, if you click on the category, "aid goes military" at the bottom of this post, you will get more than you probably want to hear from this blog on this topic. You are also welcome to check out my New York Review of Books article Aid goes military!

For the video, HT James Rauch at UCSD. Would anyone like to nominate someone most likely to be the real life counterpart to Robur in this video?

Read More & Discuss

The Plumpy’nut dustup

The following post was written by Alanna Shaikh. Alanna is a global health professional who blogs at UN Dispatch and Blood and Milk. There is a fight brewing over Plumpy’nut, a fortified peanut butter product used to treat malnutrition in children. The company that invented Plumpy’nut has a patent on the product. Two American NGOs want to make their own version, but rather than pay a royalty fee, they are trying to break the patent. They have two main points. First, that Plumpy’nut as a product is too simple to be patentable, and second, that the patent is limiting access to the product.

Plumpy’nut is a bona fide miracle product. It’s easy for health care providers to administer, and it’s easy for patients to consume. Vacuum packed and shelf stable, it’s easier to store and transport than the fortified formulas that are otherwise used to treat malnutrition. It doesn’t require access to clean water like the formula powders do. And children love it and can eat it on their own, without parental help. Using Plumpy’nut instead of traditional F100 or F75 formulas increases cure rates to levels that have never consistently been seen before. It’s not surprising, therefore, that its patent has caused a lot of resentment.

Nutriset, the French company that invented Plumpy’nut, argues that the patent is not about profit. They claim that it is needed to protect the quality of the peanut paste. They were quoted in the Associated Press as saying “The limits let the company maintain quality while licensing production in the developing world - helping alleviate hunger and create jobs…” Their commitment, they state, is to “nutritional autonomy.” Letting products flood the global market would keep countries from being able to establish their own production. And it’s true that their field operation has helped several countries set up factories to produce Plumpy’nut. Lastly, Nutriset states that according to UNICEF, worldwide production capacity for Plumpy’nut is already double the existing demand.

It’s too easy to frame this as business versus humanitarianism. The Plumpy’nut patent is not global, and Nutriset actively encourages the production of Plumpy’nut in the developing world. Flooding the market with cheap American-made products would discourage countries from developing their own production;  it would also help malnourished children by improving access to peanut paste.

The media coverage seems to missing the third side of this story: the economic view of the lawsuit. From that perspective, both sides have some major flaws in their arguments. Where is the incentive to develop products for poor people if there is no profit in it? We want the private sector to work to meet the needs of the poor. If products that do that can’t be patented for humanitarian reasons, who will bother to develop them? And why exactly do we care if countries can produce their own Plumpy’nut? What is the value of “nutritional autonomy,” anyway?

That makes me wonder if there is a solution to be found by economists. Could we have advance market commitments for peanut butter?

Read More & Discuss