In the past Rick Kelo shared how free trading & nearly laissez-faire Botswana has now surpassed Detroit in many measures of standards of living. In this article he wants to provide another perspective and a different comparison. The African continent of Botswana is an exception because most of the continent has been denied access to capitalism. During the Cold War Africa served as a proving ground for Marxism. The Soviets established a university in Moscow called Patrice Lumumba University. The Soviets would bring in African leaders and train them to implement Socialism in their home countries.
Patrice Lumumba was a Congolese visionary who was put to death in the early 1960s. The Soviet Union focused on to his growing popularity and decided to use him as a symbol of their commitment to Africa. With the Congo’s specific ties to socialism, this story is very compelling. The country never transitioned to socialism although it has remained a very slow command economy even now. Even though the country has one of the most prolific collections of natural resources, it remains very poor. This is a direct result of under-developed social institutions like private property that is necessary conditions for a market economy to function.
Rick Kelo provides an excerpt from an old article in “The Economist.” Rick found it so memorable that some years later he wanted to look it up again. With the help of the Internet he was able to find it in the annals of history to share with you. What makes one nation richer and another nation poorer Rick asks? One nation has more accumulated capital per person than the other is the simple answer. This is the case in America because our country has become so wealthy through the capital accumulation process brought about by capitalism that poverty has been eradicated. In this instance he refers to true poverty, or penury, not the relative poverty of “this income quin tile makes XX% less than another income quin tile.”
In the excerpt the chief African correspondent for “The Economist” decided to do an interview with the richest African he could find. He compared their lifestyle against the poorest American he could find. The great continent of Africa has been exploited for many years and for many reasons. The people are tough and hard working that is why they were chosen as slaves. The continent is also full of resources that are needed or wanted around the world. If Africa pulls together as a whole there is no doubt that they can be the greatest nation in the world.
Patrice Lumumba was a Congolese visionary who was put to death in the early 1960s. The Soviet Union focused on to his growing popularity and decided to use him as a symbol of their commitment to Africa. With the Congo’s specific ties to socialism, this story is very compelling. The country never transitioned to socialism although it has remained a very slow command economy even now. Even though the country has one of the most prolific collections of natural resources, it remains very poor. This is a direct result of under-developed social institutions like private property that is necessary conditions for a market economy to function.
Rick Kelo provides an excerpt from an old article in “The Economist.” Rick found it so memorable that some years later he wanted to look it up again. With the help of the Internet he was able to find it in the annals of history to share with you. What makes one nation richer and another nation poorer Rick asks? One nation has more accumulated capital per person than the other is the simple answer. This is the case in America because our country has become so wealthy through the capital accumulation process brought about by capitalism that poverty has been eradicated. In this instance he refers to true poverty, or penury, not the relative poverty of “this income quin tile makes XX% less than another income quin tile.”
In the excerpt the chief African correspondent for “The Economist” decided to do an interview with the richest African he could find. He compared their lifestyle against the poorest American he could find. The great continent of Africa has been exploited for many years and for many reasons. The people are tough and hard working that is why they were chosen as slaves. The continent is also full of resources that are needed or wanted around the world. If Africa pulls together as a whole there is no doubt that they can be the greatest nation in the world.
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