Transcript The Development of the Development

The Development of
Development
Karl A. Kumpfmüller
Lambach, July 23, 2009
The Development of Development
• Introduction: What does “development“ mean?
– in history and at present:
the stages of economic (scientific, technical…)
growth (W. W. Rostow, 1960,
but also Karl Marx and others):
civilization,
modernization, evolution, progress…
the Age of European Enlightenment and of
Western Civilization
The Development of Development
– as linguistic derivation (Etymology):
Latin: velo, velare: to veil sth., to envelope, to mantle
velum: the canvas, the cover, the envelope…
develo, develare: to unveil sth.
Engl.: to develop (from, into) = mainly refl.
Fr.: développment, It.: sviluppo;
Ger.: Entwicklung, Sp.: desarrollo,
Port.: desenvolvimento (
evolution)
The Development of Development
Evolution:
evolvo
to untangle, extricate,
detach, disclose
obvolvo
to wrap up, cover,
revolvo
to unroll a book, go
over again, repeat.
volva
womb (particularly
that of a sow).
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– in Biology:
– Development:
“the progressive changes in size, shape, and function
during the life of an organism by which its genetic
potentials (genotype) are translated into functioning
adult systems (phenotype)… loss or reduction of
certain structures may occur.”
(Encyclopædia Britannica 2009 Ultimate Reference Suite)
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•
The History of Development:
- Mercantilism: the modern centralized Nation-State
(absolute monarchy) uses the factors capital, labor,
education und technical progress in order to promote
wealth and growth of the country
- Colonialism: the overseas territories contribute
enormously to the “development” of the wealth of
European nations
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- Liberalism and Capitalism:
in 1776, Adam Smith, The Wealth of Nations:
“prudence” (of the private person), “justice” (the main
task of the state), and “charity” (for the poor) will create
wealth and liberty for all
- Technical Progress and Industrialization:
the fast development of natural sciences at independent
universities fosters the rapid change from an agricultural
to an industrial society:
urbanization and marginalization:
center and peripheries
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- Imperialism (1870 – 1913) and World War I & II:
The most developed states (GB, USA, Germany,
France, Japan …) compete for their hegemony in
Europe and overseas.
After Word War II the USA comes out as the strongest and
most developed. Since then the US and US-academics
have defined the content and standard of “development”.
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- The End of Colonialism –
the Invention of Underdevelopment:
After World War II, when President H. Truman took office
on Jan. 20, 1949, he declares the poor countries (the
former and actual colonies) as “under-developed” and
proposes the new era of development:
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“We must embark on a bold new program for making the
benefits of our scientific advances and industrial progress
available for the improvement and growth of
underdeveloped areas.
The old imperialism – exploitation for foreign profit – has
no place in our plans. What we envisage is a program of
development based on the concepts of democratic fair
dealing.”
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- The four Decades of Development (1961 – 2000):
In 1961, after the decolonization of most African
countries, the United Nations proclaim the so-called
“Development Decades” in order to promote assistance
from the rich to the poor countries.
Following the big successes of the ERP (“Marshall-Plan”)
the two main instruments of development aid are:
transfer of capital and technical assistance (know-how
transfer) from the North to the South.
The Development of Development
Important:
The respect of genuine cultural traditions and techniques
is not included in these programs:
many programs
failed! The people concerned are object, not subject of
development.
“Neo-colonialism – the last stage of Imperialism”
(Kwame Nkrumah, London 1966).
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- The Failure of Development Assistance:
In 1968, the 0.7% of GNP goal of development
assistance is launched in order to provide sufficient aims
to close the gap between the rich and the poor.
Until today this goal has not yet been fulfilled even half
by the 23 member states of the DAC.
The Development of Development
The Development of Development
“The present development aid policy – rightly named as
such, as it was intended as such – has actually failed.
It has not brought about what one had expected about
ten or fifteen years ago. Despite the mobilization of
relatively large sums.”
(Bruno Kreisky in a talk with Willy Brandt and Olof
Palme, Vienna 1975)
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- The Changes of Paradigm in Development Policy:
1960s &1970s: Development Aid trough capital transfer,
industrialization and Western education, cash crops,
international division of labor …
1980s: “Another Development”: focus on rural
development, self-sustaining growth, applied
technologies
self-reliance (à la Tanzania)
The Development of Development
1990s: “Sustainable Development”: cheap labor factories,
free trade areas, emerging markets economy,
industrialized raw material production, consumer markets
2000 - : “Globalization”: complete integration in world market
(
WTO), free trade and traffic, develop. assistance
concentrates on catastrophes, external debts release,
LLDCs…
“Globalization is a child of the rich” (H. Fassbeck, 2004)
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-
The Balance Sheet after 50 Years of “Development”:
1.
Only a few countries profited from the transfer of capital
and know-how, and “developed”: South Korea, Taiwan,
Singapore, Hong Kong...
2.
So-called middle-income and large-economy countries
in Latin America and Asia have increased their GNP,
combined with a tremendous rise in external debts and
in internal tensions due to the rapid increase in unequal
income distribution: Brazil, Mexico, Argentina,
Indonesia, The Philippines...
The Development of Development
The Development of Development
3.
China – and to a certain extent also India – was able to
promote its own development without a high amount of
foreign aid. Both are the fastest growing emerging markets
at the moment – without solving the internal social tensions,
on the contrary...
4.
In almost 100 so-called LLDCs and LDCs “development”
has not taken place. The gap between those countries and
the industrialized countries widened tremendously:
Compared with 1960, the overall figure of people affected
by hunger has increased from 500 to 1,020 million (2009),
by extreme poverty (< $ 1/day) from 600 to 1,100 million:
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24,000 human beings die of starvation every day (FAO, 2003).
In 2001, 2,700 million lived in poverty (< $ 2/day), most of
them have no access to clean water, education and regular
health care – and the big disillusion is that even excessive
growth of the GNP cannot close this gap:
Ind. Country: $ 25,000 GNP/cap. + 2% annual growth = $ 25,500
Dev. Country: $ 800 GNP/cap. + 10% annual growth = $
880
The Development of Development
The Development of Development
5.
The external debts of all 154 LDCs (ca 5 billion inhabitants) increased from $ 70 billion in 1970 to $ 2.800 in 2007.
In the same period, debt-service payments of the LDCs to
the North went up from $ 10 billion to $ 475 billion a year.
(Sources: IMF, Economic Outlook 2008).
Development Aid (ODA) of the 23 OECD-countries (1.1 billion inhabitants) rose from $ 7 billion to $ 104 billion a year.
(Source: DAC, Statistical Tables 2008).
Capital Transfer of 200 million emigrants from LDCs into
their former home countries makes up $ 250 billion a year.
(Source: Le Monde diplomatique, Jan. 09)
The Development of Development
The Development of Development
6. The global income distribution shows a tremendous inequality:
the highest 1% owns 40% of the global income
the highest 2% own 50% of the global income
the lowest 50% own 1% of the global income (UN Statistics)
7. The global climate change is mainly caused by this unequal
income distribution:
10% of the world population (= the industrial countries) cause
>80% of CO² emissions, of traffic, of energy consumption...
8. In 1995, 25 Mio people had to leave their country because of
deteriorated environment conditions (drought, flooding ...),
in 2010, 50 Mio people will be affected.
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The Development of Development
•
The Future of Development:
-
The widening gap can only be narrowed by a decrease of
productivity, growth, mobility, consumption, globalization,
inequality of income in the Western world.
-
Developing countries (but also industrial countries) need
a protected area of self-controlled regional markets, selfsustaining growth, subsistent agriculture, appropriate
technology, prohibitive tariffs, new strategies to fight
corruption ...
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-
A democratization process of the UN power structures has
to be urgently launched:
In a first step, countries should get their voting share
according to their number of inhabitants, and this oneperson-one-vote rule has to be applied to all decisions
which deal with Human Rights, global climate, and
environment issues ... in the General Assembly.
Further on, a profound reform of the Security Council is
necessary which includes the abolishment of the veto of
permanent members.
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-
A worldwide control of finance markets has to include the
prompt implementation of the Tobin tax as well as the
progressive taxation at source of speculation earnings.
These tax revenues will feed an International Fund of
Development which can be used for bi- and multilateral
projects of development.
So-called off-shore tax havens have to be closed
immediately.
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-
International climate and environment protection
strategies and projects of developing (and industrial)
countries must have absolute priority to industrial plans.
The same priority applies to Human Security programs
including the improvement of institutions dealing with
International Law and Jurisdiction issues.
-
Nuclear and excessive armament has to be banned not
only in the case of developing countries but also in
general. Majority decisions of the reformed United
Nations must ban also all kinds of ABC weapons and
control this disarmament process.
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Development = the continuous struggle for
and the universal creation of human rights:
”life, liberty and the pursuit of happiness”
The Declaration of Independence, July 4, 1776
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Human Development = to take responsibility/care
for oneself and the others in order to promote
a just distribution of power
the reinforcement of direct democracy
“Panem nostrum quotidianum da nobis hodie;
et dimitte nobis debita nostra,
sicut et nos dimittimus debitoribus nostris...
sed libera nos a Malo.”
Mt 6, 11 - 13
The Development of Development
“If
the white man wants to live in peace with the Indian, he can live
in peace...
Treat all men alike. Give them all the same law.
Give them all an even chance to live and grow.
All men were made by the same Great Spirit Chief.
They are all brothers.
The Earth is the mother of all people, and all people should have
equal rights upon it....
Let me be a free man, free to travel, free to stop, free to work,
free to trade where I choose my own teachers,
free to follow the religion of my fathers,
free to think and talk and act for myself,
and I will obey every law, or submit to the penalty.”
In-mut-too
yah-lat-lat (Chief Joseph), Nez Percé Leader (1870)