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Originally posted by mmiichael
I've read the blame the IMF for lending them money version of events for years and refuse to buy into it. It smacks of the usual colonial/Western World/white man's guilt.
Originally posted by mmiichael
The IMF is asked by emerging African nation leaders for loans to develop education, manufacturing, export, infrastructure, etc. These leaders weren't forced to ask for money, they weren't forced to squander it, mismanage gorssly, or secrete funds into foreign bank accounts.
To most of the roles society offers, I say, "You are made for more than that." We inhabit, in the words of Ivan Illich, "a world into which nobody fits who has not been crushed and molded by sixteen years of formal education."i The very idea of having to be at a job "on time" was appalling to early industrial laborers, who also refused the numbing repetitiveness of industrial work until the specter of starvation compelled them. What truly self-respecting person would spend a life marketing soda pop or chewing gum unless they were somehow broken by repeated threats to survival?
Zambia spends four dollars on debt service for every one dollar on health while infant mortality rate rises. In Uganda, the government spends US$3 per person annually on health and education and US$ 17 per person annually on debt repayment, while in every 5 Ugandan children die of preventable diseases before reaching the age of 5 years! Between 1990 and 1993, Africa Region did pay US$ 13.4billion annually to its external creditors more than its combined spending on health and education. Yet the African burden continued to rise so that in 1994 alone it increased by 3.2% to US$ 312 billion!
In education, total spending in Sub-Sahara Africa fell in real terms between 1980-1988 from US$ 11 billion to US$ 7 billion. A review of 26 countries shows that a decline in spending per pupil from US$ 133 to US$ 89. Even more serious is the drop in enrollment rates from 71.1% in 1980 to 66.7% in 1990. On average, only 37% of girls enrolled in primary in 1990 and this figure drops after 7-8 years of schooling.
I was just about to post that when I saw you typed it. Why were other places so powerful and industrialized even thousands of years ago? I think I would rather live in Rome a few thousand years ago than anyplace in Africa now.
Originally posted by The Vagabond
Let's also not forget where the weapons for the conflicts in Africa are coming from. It's not like the rival tribes are manufacturing their own AK-47s. Someone is providing those guns and somebody else is making sure the right people get the money to buy them with.
It's coming from the former colonial powers (who always have done and still are doing far more harm than good) and also from their rivals in Russia and China.
These people see Africa's wealth as theirs and the people on the land as obstacles to be overcome and turned into pawns.
Washington D.C. has a lot more say over who lives and dies in Africa than the African people themselves do.
Originally posted by Voxel
Oy, vey! I reflexively roll my eyes whenever someone mentions white guilt. Maybe y'all wouldn't feel so guilty if your ancestors didn't spend the last 2000 years traveling halfway around the world to kill other people in their homes.
Originally posted by mmiichael
The IMF is asked by emerging African nation leaders for loans to develop education, manufacturing, export, infrastructure, etc. These leaders weren't forced to ask for money, they weren't forced to squander it, mismanage gorssly, or secrete funds into foreign bank accounts.
Yes, in essence they were forced to squander it by neglecting the people aspect of nation building and focusing on resources.
These are the guidelines, as handed down by the IMF and WB, that nations must meet in order to receive future funding. Every one of them is designed to increase dependence on foreign investments while keeping the "developing" country from actually developing:
Cutting social expenditures, also known as austerity
--In countries with poor employment numbers and bad wages, cutting social spending is simply a way to create wage slaves who will do hard work for the basics of living.
Focusing economic output on direct export and resource extraction
--Direct export and resource extraction is another way of saying: DON'T build sustainable vertical industries.
The IMF and WB are saying to developing countries, "Hey, instead of investing in a steel mill to make steel alloys, thereby employing your people... and instead of investing in a auto plant to use your steel, thereby employing your people... just invest in ports and railroads! Why use your God given wealth to help your people?"
Devaluation of currencies (inflation)
--Inflation causes a rise in the costs of the basics for living. In a country with poor employment rates inflation compounds starvation and leads to political and economic instability.
Trade liberalization, or lifting import and export restrictions
--Destroy the local producer. Drive him out of business so that your country can produce nothing.
Privatization, or divestiture of all or part of state-owned enterprises
--Sell off your peoples' assets to foreign powers (international corporations.)
Enhancing the rights of foreign investors vis-a-vis national laws
--Provide guarantees to foreign investors that safe guard their money even while your own people are losing their guarantees to life and liberty.
Roads, water treatment and deliver, sewage handling, education, and housing are things that bring people in the community together and help to create nations.
Ports, railroads, mines, banks, militaries, and stock markets are nothing but tools of plunder. They are simply ways to efficiently extract wealth and labor.
--
Jon, your arguments are valid. I don't know nearly as much about Africa as you do. For the record, none of my ancestors travelled worldwide attacking people in their homes, though I am now classified as such, and I have spent years in the Third World observing gross disparities between potential and actualization.
The IMF may have premeditatedly stackeed the cards against the leaders on new African states, but I don't think that's the whole answer. People can and do learn things and can be creative and innovative when the need arises.
Intelligent people realize or quickly find out the limits of their knowledge and seek advice elsewhere. They can also observe what happens to their peers when confronted with similar situations.
All idealistic sounding, maybe - but it takes a tiny percentage of any country's financial wherewithal to seek viable solutions to problems.
I don't see much of this has happened. I am sympathetic to the reality that uneducated unworldly leaders came into power in African states unprepared for the demands and complexity of maintaining viable economies.
But sophistication can develop within a generation even among the least advanced. Why has this not been the case in Africa?
Mike F