Purple Haze
In The White Man's Burden, William Easterly offers important insights about the pitfalls of foreign aid. Unfortunately, his overblown attack on global "do-gooders" obscures the real point: that aid can work, but only if done right.
To the Editor:
Sparks are flying in the normally dull world of development economics. In his recent work The White Man's Burden: Why the West's Efforts to Aid the Rest Have Done So Much Ill and So Little Good, William Easterly castigated his former employers at the World Bank. Amartya Sen then zapped him in these pages for his "purple prose" ("The Man Without a Plan," March/April 2006).
As Easterly points out, however, for too long the evaluation of development projects has been conducted in the opposite of purple prose. For 60 years, bland economic reports have justified the $2 trillion that has been spent on utopian goals.
In his book, Easterly argues that aid bureaucracies are slow to learn and react because they lack "feedback mechanisms" such as markets or elections. As a result, flawed policies are never corrected because aid recipients cannot communicate their displeasure about them. Worse, what program evaluations do occur are conducted by self-interested international bureaucrats, who inevitably blame failure on someone else (typically the poor). The best way to call attention to such absurdities is through a polemic.
Since he left the World Bank, Easterly has been at times too harsh on his discipline. But Sen is wrong to imply that Easterly's overenthusiasm discredits his ideas. Such passion is a virtue, not a flaw. Members of the aid community should listen to Easterly's argument about accountability. Neither they nor the poor can afford for them to gloss over the problem again.
Tony Waters
Associate Professor and Chair, Department of Sociology, California State University-Chico
Related
Increasing aid and market access for poor countries makes sense but will not do that much good. Wealthy nations should also push other measures that could be far more rewarding, such as giving the poor more control over economic policy, financing new development-friendly technologies, and opening labor markets.
Paul Collier offers strong recommendations for helping "the bottom billion" -- those living in poor countries caught in growth traps. But he cannot overcome a basic problem: how to create growth where no functioning economy exists.
More rapid economic development for the less developed areas of the world is something which most of us in the United States want very much. We want it for humanitarian reasons and we want it because we believe it is in our national interest. There is, therefore, great public concern about our programs of assistance to developing areas, and in recent months there has been considerable discussion of the appropriate roles of public assistance and private international investment in contributing to economic development. These are important issues; but it is also important to keep them in perspective. What developing countries do for themselves is more important than what others do for them. In the majority of developing countries the adoption of a framework of law and regulations conducive to the full use by their citizens of productive resources that already exist would probably make a greater contribution toward their development than is now provided by all external assistance from both public and private sources.
