Poor people are poor because markets fail them and governments fail them. That markets fail them is well-known. Failures in capital markets mean that young people cannot get loans to finance their education; imperfect or nonexistent insurance markets mean that poor people will not get decent health care if left to unfettered markets; economies of scale as well as the simple fact that basic services such as water are necessities mean that markets will not ensure that poor people will get the services they need to survive. As
I was asked to join forces with other bloggers to blog on Blog Action Day (October 15) and write about Poverty. What better platform than the World Bank’s People, Spaces, Deliberation blog? I encourage others to do the same.
The awarding of this year’s Nobel Memorial Prize in Economics to Paul Krugman is a tribute not just to the elegance of Krugman’s pathbreaking contributions to international trade and economic geography, but also to his ability to apply cutting-edge economics to real-world problems. Two pieces by Arvind Panagariya and Arvind Su
I need to explain how this came about. I was in London recently and I wanted a fabulous example of English prose style to read on the flight back to Washington. I have always believed that the golden age of English prose style is somewhere between the 18th and 19th centuries. So I went to Waterstones, the booksellers, and bought a copy of Lord Thomas Babington Macaulay's (1800-1859) magisterial History of England, specifically the condensed Penguin Classics version of it. As a masterpiece of English prose style it has not disappointed me. The work itself tells the story of how James II, King of England in the late 17th century, lost public support and William of Orange was able to come over from Holland to replace him, almost without firing a shot in anger. The revolution is known as the Glorious Revolution of 1689, and it more or less resulted in the constitutional system that is still the basis of government in the United Kingdom today.