Helping Africa
I recently watched the We Are the World recording video (https://lnkd.in/gAkCFCk3). It was awesome to see Lionel Richie and Michael Jackson composing, Quincy Jones putting up a sign “leave your ego at the door”, and Stevie Wonder singing Bob Dylan’s lines in his voice.
This 1985 effort raised $60 million to fight famine in Africa. It was an incentive from the heart. But was it effective? While it may have relieved victims of famine, the long term effectiveness of this help is low because it makes victims dependent. What can be done to bring lasting prosperity?
Enter Magatte Wade. Her book, The Heart of a Cheetah, breaks the road to prosperity down in a few basic questions:
What defines poverty? No money.
Where does money come from? Jobs.
Where do jobs come from? For-profit business.
What allows businesses to thrive? Rule of law, stability and a small bureaucratic burden. For example, it is key to have a low threshold to start a business. Reduction in paperwork reduces the opportunity to bribe - a business killer. Is it coincidence that it takes much more time (weeks to months) to start a business in countries that happen to be poorer?
Many countries are reducing the requirements to start a business (https://data.worldbank.org/indicator/IC.REG.DURS?view=map), including allowing women to run them.
Helping people to help themselves…I think this Cheetah is on to something.
