Ending Poverty in Our Generation: Still Time if We Try by Jeffrey Sachs


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Wednesday, October 13, 2010 Jeffrey Sachs Director, Columbia University Earth Institute “Ending Poverty in Our Generation: Still Time if We Try” Ending extreme poverty is not a dream but a practical possibility. Improvements in science, technology, and global networks make possible advances in wellbeing at unprecedented rates. Yet a high degree of social organization is needed for success. Sachs will sketch the main contours of an effective global effort against poverty, hunger, and disease to the year 2025. Sponsored by the Rockefeller Center for Public Policy at Dartmouth College http://rockefeller.dartmouth.edu

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  • 15 countries 19 sites 30 000 people half a million
    Epicenter of hunger
    Govts MDG based policies, invited
    Agro eco
    Management team – no expats
    Costing model
  • Note that utilization rates in for example Kabarole district in Western Uganda in 2005 was 0.3
  • Ending Poverty in Our Generation: Still Time if We Try by Jeffrey Sachs

    1. 1. Ending Poverty In Our Generation: Still Time if We Try Prof. Jeffrey D. Sachs Director of the Earth Institute at Columbia University Rockefeller Center for Public Policy and Civic Leadership Dartmouth College October 13, 2010
    2. 2. The Poverty Trap: Income is below subsistence Saving is zero or negative Population growth, climate change, environmental degradation, poor governance, and conflict are all leading to further decline The Solution: Targeted Investments to End the Poverty Trap Raise income and saving, reduce population growth, reverse environmental degradation, and create self-sustaining growth The Millennium Development Goal Strategy
    3. 3. A Parable of a Millennium Village Subsistence is $300 per person Initial Income (Output) is $200 per person (“sub-subsistence”) Saving is zero when income is below subsistence ($300) Saving is 50% of net income above subsistence ($300) Improved inputs (fertilizer-seed) raise net income by $2.50 for each $1 of input up to a maximum of $250 of inputs All saving is devoted to agriculture inputs up to $250 All saving beyond $250 is devoted to capital improvements with marginal productivity of 0.3
    4. 4. Three Scenarios: No Official Development Assistance (ODA): Poverty Trap Two-Year ODA for inputs: Temporary boost to income, not sustainable Four-Year ODA for inputs: Boost to income is sustainable After four years, the household has built up income sufficiently to self-finance inputs on an ongoing basis
    5. 5. ODA Levels in Three Scenarios
    6. 6. Income Levels in Three Scenarios
    7. 7. Household Saving in the Three Scenarios
    8. 8. Input Use: Sustainable Input Use with Four-Year Input Subsidies
    9. 9. Africa is a big and diverse continent!
    10. 10. Five Core Interventions • Food production: Agricultural inputs • Access to primary education (school meals, IT) • Access to health care • Access to infrastructure: roads, electricity, telephony and IT communication, safe water and sanitation, irrigation • Business development Built on Community-Led Development and Local Professional Management
    11. 11. AGRICULTURE • Fertilizer • High-yield Seeds • Treadle Pumps and Supplemental Irrigation • Agricultural extension HEALTH • Construction of clinics (Level 3) • Upgrading hospitals (Level 4) • Medical supplies • Improved staffing and salaries for health workers • Training of Community Health Workers • Improving access to family planning services EDUCATION • Construction of high-quality classrooms • Books and supplies • Teacher training • Mid-Day Meals • Computers • Internet connectivity in some schools • School-to-School Program INFRASTRUCTURE • Extending Cell phone coverage throughout the village • Internet connectivity in schools, health centers • Road grading, road construction • Increasing access to water resources, innovative electrical systems TARGET SECTORS AND EXAMPLES OF INTERVENTION STRATEGIES
    12. 12. FUNDING STRUCTURE Source: Earth Institute, Millennium Promise Donors Partner organizations (e.g. NGOs, corporate) Local and National Governments Village members $60 $20 $30 $10 Village costs per person per yr US dollars
    13. 13. Outcomes in Sauri, Kenya Comparison of 2005 and 2009
    14. 14. Harvests of Development, 2010, www.millenniumvillages.org
    15. 15. 0 5 10 15 20 25 30 35 40 45 50 2006 Q3, 2007 Q4, 2007 Q1, 2008 Q2, 2008 Q3, 2008 Q4, 2008 Institutional Deliveries in Ruhiira cluster (% of total births) Institutional Deliveries inUganda cluster (% of total births)
    16. 16. 1.6 1.7 1.8 1.9 2 2.1 2.2 2007 2008 Utilizationrates ofhealthclinics inRuhiira Cluster (No. ofvisits per personper year)
    17. 17. Mwandama, Malawi
    18. 18. Sauri, Kenya
    19. 19. Sauri, Kenya
    20. 20. Mayange, Rwanda
    21. 21. Bonsaaso, Ghana
    22. 22. THE MILLENNIUM DEVELOPMENT GOALS 1. Eradicate extreme poverty and hunger 2. Achieve universal primary education 3. Promote gender equality and empower women 4. Reduce child mortality 5. Improve maternal health 6. Combat HIV/AIDS, malaria and other diseases 7. Ensure environmental sustainability 8. Develop a global partnership for development
    23. 23. Note that 7 million of the 8.8 million deaths occurred in Sub-Saharan Africa and South Asia
    24. 24. The Lift-Off Since 2000 in Global Financing for Health (yet still only one-third of recommended levels) Source: OECD Development Assistance Committee
    25. 25. Some Choices for America
    26. 26. Figure 12.3: Pentagon Spending and Malaria Needs 0 0.5 1 1.5 2 2.5 3 3.5 Two Days' Pentagon Spending (FY 2007) Malaria Control for Africa (annual) Bed Nets for all African Sleeping Sites (five years' coverage) President's Malaria Budget (FY 2007) BillionsofU.S.$ Source: Data from Congressional Budget Office (2007) and Teklehaimanot, McCord and Sachs (2007)
    27. 27. Towards a Global Ethic
    28. 28. “So let us not be blind to our differences, but let us also direct attention to our common interests and the means by which those differences can be resolved. And if we cannot end now our differences, at least we can help make the world safe for diversity. For in the final analysis, our most basic common link is that we all inhabit this small planet. We all breathe the same air. We all cherish our children's futures. And we are all mortal.” John F. Kennedy American University June 10, 1963