The Galbraith incisibeness, clarity, and wit are here brought to bear on the central aspects of the most important economic and social probelms of our time. The Nature of Mass Poverty proceeds from the author's conviction that most explanations of conditions in poor countries do not explain. They reflect, instead, the experience of the rich countries. Or they create cause out of cure. Capital and technical expertise being available from the rich countries, shortage of these becomes the cause of povery in the poor.
John Kenneth Galbraith was a Canadian-American economist. He was a Keynesian and an institutionalist, a leading proponent of 20th-century American liberalism and democratic socialism. His books on economic topics were bestsellers in the 1950s and 1960s. A prolific author, he produced four dozen books & over a 1000 articles on many subjects. Among his most famous works was his economics trilogy: American Capitalism (1952), The Affluent Society (1958) & The New Industrial State (1967). He taught at Harvard University for many years. He was active in politics, serving in the administrations of Franklin Roosevelt, Harry Truman, John Kennedy, and Lyndon Johnson. He served as US Ambassador to India under John F. Kennedy.
He received the Presidential Medal of Freedom twice: one in 1946 from President Truman, and another in 2000 from President Clinton. He was also awarded the Order of Canada in 1997, and in 2001, the Padma Vibhushan, India's second highest civilian award, for strengthening ties between India and the USA.
Gailbraith provides a compact outline of the evolution of poverty economics as a specialized field. He quickly dispels several pernicious explanations for mass poverty that still have currency today. For example, he addresses traditional explanations based on the availability of natural resources, "ethnic tendencies," inadequate government/economic systems, climate or latitude, and the legacy of colonialism. While he doesn't dismiss that last explanation out of hand, as he mostly does for the rest, he attempts to contextualize colonialism internationally and pose the question why some countries continue to suffer more than others.
Published in the late 70s, this book also does a nice job at characterizing red scare politics as it relates to humanitarian aid campaigns. Gailbraith includes some stinging rebukes of politicians winning anti-communism points at the expense of rationality and effectiveness.
The only sticking point for me was Gailbraith's concluding "provocative celebration of migration," as one Foreign Affairs review puts it, in which he argues that migrants are good because they do all the dirty work that's beneath the native work force. Citing Germany's post second world war absorption of some 8 million refugees, he lambastes current policymakers for not seeing the light. While Gailbraith's ends may be sympathetic, I feel like his reasoning is antiquated in this century.
An extremely accessible read on Poverty by Galbraith, American Ambassador to India and Social Science Expert who has lectured in the best of the best universities like Princeton, Cambridge.
The book first clarifies that using the Western lens of Case Poverty where employment and absence of poverty is not applicable in situations of Mass Poverty. The book was written in 1970s but the context of dealing with poverty hasn't changed.
It answers questions of viewing poverty from a practical, Global South lens, separating causes from consequences, the attitude shift required, opportunity from a holistic lens of capital, technical, education, infrastructure etc.
"The misery of being exploited by the capitalists is nothing compared to the misery of not being exploited at all" Joan Robinson
"The Nature of Mass Poverty" is a story of equilibrium and accommodation. It both examines and explains the persistence of poverty in poorer parts of the world and how is it to be solved. In a very big way, labor surplus is part of the equilibrium of poverty and confounds our attempts to eradicate it. What is so enjoyable about Galibratih’s writing is that he challenges our assumptions and explanations about poverty while presenting the comprehensive context in which to reexamine our own views surrounding the culture of poverty.
"We suppose that on social questions we proceed from diagnosis to action. But if action was imperative, we make the cause fit the action.” An so it has gone with our attempts at solving mass poverty. If we don’t understand the cause, solutions will elude us. "(Commonplace) explanations, each superficially persuasive, each confidently offered, each notable enough and for what it does not explain.” In fact, Galbraith suggests that poverty is both a cause and a consequence. If our actions are not well thought out, the changes may very well induce circumstances that result in more mouths to feed, too many workers, lowering of pay and ultimately a “restoration of similar levels of deprivation”.
Accommodation, that is acceptance of one’s plight, is also a major driver. However, "to accept the fact of accommodation is not to accept the inevitability of poverty”. Education can destroy accommodation but so can trauma such as war, famine, religious intolerance, and expulsion from land. Moreover, while education is necessary, it is not sufficient. In fact, implementations that do not break the equilibrium and the accommodation will not succeed.
Finally, “The Nature of Mass Poverty” is a call to rich countries to provide education, agricultural and industrial investment for those wishing to moving to urban employment from the country. And a call on us regarding immigration “to combine compassion with a certain respect for history and economic reality to look candidly at this solution.” Its what made many countries great.
3.5 I really love his brain. Took some core ideas from this, dominantly his work around accommodation (that it is the most rational response; and that it is only dislodged by trauma or education), equilibrium (as the poor live longer or accrue more capital, they are likely to have more children, which resets the accumulating capital), and the thesis that migration is a win for all.
Terrific prose in service of a reasonably good argument and a number of interesting observations regarding ineffective, pseudoscientific economic development policies and practices. Whether his advice, if followed, would yield something better is far from clear. A worthy read, in any case.