The End of Poverty - Book Report/Review Example

The End of Poverty by Jeffrey Sachs is a book that deals with the economic conditions in developing countries and how the more developed countries can play a part in improving their economies. Sachs states that the developing countries do not have the opportunity to become developed because they are plagued by many negative conditions such as corruption in their governments and the heavy debt burden that they have to bear. In addition, the book addresses the poverty that afflicts developing countries which has led to their people living in extremely bad conditions while the developed countries continue to progress. The issue of lethal diseases such as AIDS is addressed, with Sachs stating that it is mainly because of this disease and related ones, that the level of productivity is very low in poor countries. The author presents his belief that all the poor countries in the world can be put on the right path towards development with the support of the more developed countries. He states that if the rich countries of the world were to contribute less than one percent of their gross domestic product to the elimination of poverty in the third world, then it would be possible to eliminate this condition within twenty-five years. Furthermore, Sachs recommends that the best way to eliminate global poverty be through the waiving of the debt that is owed to international monetary organizations by poor countries and instead, there should be an increase in the developmental aid to them. The author of this book is a renowned economist who has had experience over the years as an advisor to numerous developing countries, especially in Eastern Europe as they were in transition from communism, as well as in other developing countries in the world, especially in Sub-Saharan Africa. He is a well-known proponent of the idea that the only way through which to enable the development of third world countries is through the direct involvement of the international community. He states that the best way to tackle developmental issues in these countries is through studying their cases individually, because each of them has unique problems of their own. Furthermore, it is a well-known fact that many of these countries have huge debt owed to the IMF and the World Bank, and Sachs believes that it is this debt, which is keeping these countries underdeveloped, because they spend more money in the payment of the debt than in matters of development. Sachs is a supporter of the United Nations Millennium Development Goals whose main purpose is to ensure the global elimination of poverty within the century. He states that for these goals to be achieved the causes of poverty have to be considered, studied and finally, everything should be done to ensure that these problems are eliminated. Among the recommendations presented in the book is the making available of mosquito nets in Sub Saharan countries to combat malaria, and the provision of drugs to combat HIV and AIDS. Furthermore, Sachs recommends that the debt of these countries should be cancelled in order to provide them with the opportunity to concentrate on the things that matter the most, such as the elimination of poverty and development. When one studies the work of Jeffrey Sachs, one concludes that he is of the orthodox school of economic solutions; he is a believer of the position that the best way to end poverty is to pump as much money towards the areas affected as possible. This school of thought often fails to realize the fact that money alone cannot solve economic problems and that in fact, some of these problems are caused by factors other than those that can be solved monetarily (Altman). Among the factors that are not considered by this school of thought is the role of political violence and conflict in developing countries, which are responsible for the impoverishment of the local populations. In addition, this school of thought has come under a lot of criticism concerning its stand, as it has been stated that its proposals are not based on the realities of the world and are instead based on what can be considered unrealistic thinking. While this may be the case, Sachs’ approach in his book is quite incisive and it is quite possible that it will work, considering the fact that this man has plenty of experience in the field. He background as an economic advisor to many developing countries is well known and since he has visited these countries and seen their economic problems firsthand, it is only natural that he is best placed to make recommendations on dealing with them. Sachs is extremely meticulous in his presentation of the evidence showing that the developed world should take responsibility in ending the poverty and economic problems in the developing world. Sachs cites his experience as an economic advisor to over a hundred countries as evidence that he knows exactly what he is talking about when he makes such suggestions. It is his belief that the experience he has gained in advising the governments of countries that are at different levels of economic development shows that the ending of poverty is an achievable goal. It is his assumption that if the developed countries were to keep their promises of economic assistance to the less developed countries, then it is most likely that global poverty would be eliminated by the year 2025. He cites India and various South East Asian countries of being success stories in the matter of poverty elimination, stating that while only a few decades before, they hardly had any economic development, these countries have since then come a long way, not only economically, but also in dealing with the elimination of poverty within their populations. The standards of living have gone quite high and this has ensured that they are well on the path towards becoming developed. On the other hand, Sachs cites Malawi, the Sub-Saharan African country that is still highly underdeveloped mainly due to the huge international debt it has as well as the incompetence of the government in working towards the elimination of poverty. Malawi is shown to have a high prevalence of AIDS cases and this has made some areas lose able-bodied people who would have worked towards the development of the local economy. Sachs believes that it is because of the lack of funding that has made it difficult to develop this country, since was the funds available, and then the necessary drugs to combat AIDS would have been accessible to the local population. Sachs has been criticized for not addressing the fact the evidence he provides to justify his economic strategy is not based on the realities of the situation. An example of this is when he states that the population growth of a country does not play a significant role in its economic development. He does not consider the fact that the higher the population growth rate, the more likely it is that the country’s economy is going to become stagnant. The critics of his work have stated that countries, which have developed and have recorded a reduction in the population growth rates, are the ones, which have self-developed without any input from outside economies. They state that if the economic solutions as espoused by Sachs were to be put in place, then it is most likely that they would not work because of the fact that with more resources available in the poor countries, the higher the population growth rate will be, hence defeating the whole purpose of increased donor funding. In countering his critics, Sachs points out to countries such as India that have come into the path of development due to the wise use of international funding. While this may be the case, his critics believe that this is an isolated case, mainly because Sachs has yet to reveal any data to show that any of his opinions are correct. In fact, in the projects, which were influenced by his theory, despite a reduction in child mortality and diseases, there is yet any evidence to suggest that there has been a reduction in poverty. It is still yet to be seen whether the economic theories espoused by Sachs will become fruitful, and this may be the reason why a close eye is being kept on the Millennium Development Goals, which he helped to craft. The arguments made by Sachs in this book can be said to be part convincing because of the fact that despite his role as an economic advisor to many countries, and the implementation of some of his theories, the levels of poverty have yet to be seen in some countries. When one reads the text, however, one concludes that his way of thinking is sound and that it is indeed true that large-scale economic aid to developing countries is needed in order to bring them into the accepted standard of economic development. Sachs notes that despite the commitment that many developed countries have made to aid developing countries in economic growth and poverty reduction, these countries have not come through with these promises. They instead tend to provide partially only the promised funding and this is usually given with so many unrealistic conditions that the receiving countries are not able to fulfill them. When this is carefully considered, it can be supposed that what Sachs implies is that developed countries are not willing to help in the promotion of economic growth in developing countries, preferring them to remain in the same state because to do so will ensure continued profitability. Sachs makes extraordinarily convincing arguments which can further be authenticated by the fact the due to his long service as an economic advisor, he is a firsthand witness of the global economic problems and his suggestions are more likely than not to hold one of the keys towards the solution of these problems. Economists such as Abhijit Banerjee state that despite the fact the developed countries have enough funds to ensure that there is sufficient economic aid to developing countries; these countries tend not to provide them. Moreover, more funding is provided for projects in developing countries, which are irrelevant, and do not achieve the purpose of helping local populations ("Books and Arts: Untying the Knot; Poverty"). On the other hand, little funding is provided for the development of such programs as poverty reduction and education, things which are essential for the improvement of the lives of local people. He suggests that the current structure of developmental aid has to undergo a complete overhaul, so that more funding is provided for projects that really matter and not for those that are irrelevant to the population of third world countries. The issue of why so many people are poor while their rich counterparts are so few needs to be addressed so that there can be a balance in the standard of living all over the world. The trend where the rich become rich while the poor continue to be further immersed in poverty has to be addressed to ensure that it does not continue the way it is doing currently. Many economists, especially the conservative ones, are in agreement with Sachs, although some go even further by demanding that developed countries take moral responsibility in helping poorer countries uplift themselves from the scourge of poverty ("Making Economics Matter again"). In conclusion, it can be said that The End of Poverty is one of the most clearly written and well-researched description of the current global economic situation. It creates an argument for the uplifting of the poor from their poverty to a more reasonable standard of living through making suggestions, which are feasible if only there is dedication towards it. This book is a must read for all those people that are involved in the economic planning of developing countries because it provides ideas and suggestions on how the economic development of these countries can be handled in order to produce the best result. Works Cited Altman, Daniel. "Small-Picture Approach to a Big Problem: Poverty." New York Times: 0. Aug 20 2002. Los Angeles Times; National Newspapers Core; New York Times. Web. 7 Feb. 2013. "Books and Arts: Untying the Knot; Poverty." The Economist Apr 23 2011: 88-9.  "Making Economics Matter again." New York Times: 0. Feb 20 2008. Los Angeles Times; National Newspapers Core; New York Times. Web. 7 Feb. 2013. Read More