Week 08 -- Addressing Extreme Poverty

Students have two options for their Week 08 ‘reading’ assignment:

• Option 1: Watch the documentary Poverty, Inc. by Michael Matheson Miller (currently streams free on Amazon, with prime subscription).
  (NOTE: There is another film titled Poverty Inc. (by Gary Null) that does not deal with the topic of extreme poverty and is not the correct film.)

• Option 2: Watch episodes 1, 2, & 3 of poverty cure by Michael Matheson Miller (currently streams free on Amazon, with prime subscription)

Charity that Hurts

Unfortunately, much of the aid provided by the U.S. government and by various non-governmental organizations (NGOs) ends up hurting poor communities in third-world countries by displacing local businesses. When the U.S. government or NGOs send ‘free stuff’ to third-world countries, local businesses cannot compete with ‘free’ and go out of business.

“… even the best intentions can bring more harm than good.”

The Entrepreneurial Calling

Poor communities need opportunities more than they need aid. The best way to bring opportunities to struggling communities is to enact policies that foster entrepreneurship.

“The best way to reverse the cycle of poverty in an area is to create jobs. And the best way to create jobs is to release entrepreneurs to do what they do best.”

Justice for the Poor

Two essential foundations of justice are ‘rule of law’ and property rights.

“Rule of law” means every individual knows in advance (without ambiguity) whether a given action they might take will be considered lawful or criminal.

Property rights incentivize entrepreneurship by enabling local business owners to keep the fruits of their labor and obtain financing for growth and expansion.

“To bring justice to poor communities, we must have the same faith in their ideas and efforts as we do in our own.”