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Tampilkan postingan dengan label wealth creation. Tampilkan semua postingan

Entrepreneurial Learners are Makers

An Adafruit highlight:
If you’re interested in education (which means you’re thinking abou the future), you should watch JSB’s keynote from the DML conference this week. “Entrepreneurial Learning isn’t about creating entrepreneurs. It’s about people having an entrepreneurial way of learning.” “Entrepreneurial Learners are Makers and Tinkerers.” Tinkering is a way of dealing with constant change.

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Africa’s only way forward is a grassroots/wildfire movement!

A Mind of Malaka rejoinder to You Lazy (Intellectual) African Scum!:
When Wangari Maathai began her campaign to reforest Kenyan’s landscape, her success was not with the members of her government. It was with her people; local people without much education, but who had a vision bigger than any government official had the mind to conceive. Trickle down policies do not work in Africa, because there is rot at the head. Africa’s only way forward is a grassroots/wildfire movement. With one spark, you can ignite an entire continent. It’s not going to be easy, and change never easy. Sometimes you will have to take a beating – figuratively and literally – to get the change you want to see. Ask any person who has been successful if that success did not come with some measure of pain.
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Entrepreneurship key to escaping poverty

Reuben Abraham writing in CNN:
image courtesy of Business Edge
Entrepreneurship and business are rarely accorded a serious place in discussions around drivers of economic development. A cursory look at the numbers makes this seem very surprising. China has pulled approximately 600 million people out of absolute poverty since Deng Xiaoping unleashed market reforms in the late 1970s. Never in human history have so many people been pulled out of grinding poverty is such a short span of time.

Similarly, South Korea has gone from a per-capita income of $291 in 1970 to $20,000 today. Even reform laggards like India have managed to pull a couple of hundred million people out of grinding poverty since economic reforms were initiated. Across the world, we find countries that created an entrepreneurship and business friendly environment were successful in reducing poverty drastically.

Despite the evidence, there are strong lobbies in emerging markets that make the claim that business friendly policies are anti-poor. Personally, I am in favor of redistribution, like these lobbies claim to be. However, what do you redistribute? One cannot, after all, redistribute poverty. One can only redistribute wealth, and to redistribute it, you have to create the wealth first...[continue reading]

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Commodity Resource - African Footballers

We have highlighted the commodity resource characteristics of football players within the continent.I would like to ask, why cant we build up an African football space comparable to South America's professional leagues with all its consequent non-material and financial benefits? John Wilson expands on the African state of affairs in the Guardian:
Image courtesy of orble
...there's something distasteful about an economic system that means the best players from Africa, if they're to be properly remunerated, have to move to a different part of the world to perform for western Europe's benefit. That's true of other parts of the globe, of course, but the economic imbalance isn't as stark and, elsewhere, doesn't have the same awkward echoes of colonial exploitation.

Talk of a new slave trade is unhelpfully emotive, but there is an unpleasant traffic in vulnerable and often naive young players, and it seems hard to deny that the demands of the European market have shaped the tactical development of African football. Tom Vernon, who runs an academy near Accra in Ghana and scouts for Manchester United, speaks of the "Pape Bouba Diop" template: having seen the success of big, muscular west African players, clubs go to west Africa looking for more big, muscular players and so that sort of player is prioritised, something that in part explains the dearth of west African creative players in the decade between Abedi Pelé, Jay-Jay Okocha and Kanu and the emerging generation of Kwadwo Asamoah, Dede Ayew and Gervinho.

It even suits the football administrations of individual countries within Africa to pretend that all is well, that things are developing. Not to do so, after all, would be to admit failure, and to do that would be to risk the sinecures that bring wealth, prestige and influence. The myth of Progress is sustained by a conspiracy of the complacent and the self-interested.
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'South Africa's Victim Ideology'-Moeletsi Mbeki

Moeletsi Mbeki on the ANC's policies:
We are paying the price for half measures and a victim ­ideology that drives consumption instead of production...A black upper class is now in place which, despite its size, is significant and established, he says. There has been a badly needed – though at best partial – redistribution of wealth in favour of blacks, not least through the tax system and government expenditure, but also through initiatives such as Black Economic Empowerment, a want-to-be equitable wealth plan closely associated with his older brother Thabo Mbeki, who led the country from 1999 until he was abruptly ousted from office by his own party, the ANC, in 2008.
Continuing...
Such piecemeal efforts do not amount to transformative justice, however, "which in South Africa should be about raising the earning power of the worker. We have a capitalist system and therefore by definition, the productive assets are owned by small groups, for whom large groups work. If their earning power was enhanced, it would have a knock-on effect on so much else, not least our education and health systems. That would have been real transformative justice."

But it didn't happen that way. Instead, the wrong measures were put in place, in his view. "The ANC adopted the Washington Consensus and other policies that began to shrink rather than grow the economy. Today it's stagnated, if not regressing. Look at the manufacturing system, once the main employer. Now it's shrinking and that's critical because it employs the semi-skilled and unskilled who are the bulk of the South African labour force.
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Quick Hits

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Joi Ito on Silo Breaking Education

From Big Think:
Most academics work alongside other academics in the same field to arrive at the deepest possible understanding of a particular subject. At the MIT Media Lab, researchers focus on breadth, not depth, of knowledge.“The world is full of expertise,” says Joi Ito, Executive Director. “What it lacks is agility and context.” Watch here:The mission of the Media Lab - symbolized by its glass walls - is to mitigate the isolating effects of specialization by creating a common space where brilliant people in every field can share ideas, English major to mathematician.

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Africans themselves must instigate reforms from within...

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Creating their own Economic Miracles-The Informal Entrepreneurs of China

Reason profiles Wenzhou China, a commercial powerhouse propelled by informal entrepreneurs:
Private citizens were the first to connect Wenzhou to neighboring regions by building roads, bridges, and highways, as well as the city’s airports and substantial portions of the dock. Even today the city is scattered with infrastructure investment firms through which groups of businessmen pool money to build the transport routes they all need to get their goods from factory to the point of sale. The result is not pretty. Aside from the confusion faced even by residents driving into the city, it is not uncommon to see sidewalks torn up to insert piping, with seemingly no intention of replacing the concrete. Nevertheless, the system is crudely efficient, merchants can all easily access factories, and the factories in this geographically isolated city now have sales networks that span the globe. ...
Images courtesy of Reason

The streets around the railway station are covered in stalls selling $3 blue jeans and $5 boots. There’s a city block dedicated to baby clothes next to a street that sells plastic signs for bathroom doors. In one run-down alleyway you’ll see people repairing televisions, making blankets, and selling fruits, vegetables, and poultry (live or dead). Further outside the center, you can find small shops dedicated to aluminum rods, sheet metal, tire rims, and tires. ... Pool halls are set up wherever there’s open space that you can set a tarp over. Gambling dens are openly advertised. Taxi drivers often drive off the meter. The karaoke parlors are numerous, and almost all of them double as brothels. The poorest residents take part in one of the largest citizen recycling programs anywhere in the world. In an alley one family collects scraps of fabric to sell to the local textile mills, another hoards scraps of paper and cardboard to send to the paper mills, and in front of a lot that looks like it is being used for a garbage dump, a man has set up a secondhand goods shop.
More here
via Stealth of Nations

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Makoko's Hive Mind

Adun Okupe writes about the under appreciated 'Collective Intelligence' exhibited by the Makoko community in Lagos:
Image courtesy of NLE
...within such ‘chaos’, or apparent disorganization, the system works. Somehow it does, and nowhere is this more exemplified than in Makoko, Lagos’ water community. Kunlé Adeyemi of NLÉ works is doing some very interesting work in this community and I am enthusiastic. Not only does the community provide 33% of Lagos’ fish supply and a high proportion of its timber, but it is also the city’s cheapest
dwellings...The fact that this community is existent after 100years shows that there must be a way around this. A form of collective intelligence that goes into how the residents co-habit successfully, how they build, how they plan their dwellings. I find it interesting and exciting. Excited to learn more about it, to understand it, and know how this intelligence can be replicated across the city in terms of intelligent and effective urban planning.
This is intelligence.
More here
via Nigerians Talk

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Quick Hits

How does Africa unlock its economy the way the Asian tigers did?
Lets not deceive ourselves, economic growth is not wealth
There was a time when Islamic atheism thrived
Ways of formalizing the informal sector

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The Maker Movement's potential for Education and more

Dale Dougherty founder of MAKE speaking in Washington D.C:
"Tinkering was once a solid middle-class skill. It was how you made your life better. You got a better home, you fixed your car, you did a lot of things. We've kind of lost some of that, and tinkering is on the fringe instead of in the middle today.

The software community is influencing manufacturing today, said Dougherty, including new ways of thinking about it. "It's a culture. I think when you look at 'MAKE' and MakerFaire, this is a new culture, and it is a way to kind of redefine what this means." It's about seeing manufacturing as a "creative enterprise," not something "where you're told to do something but where you're invited to solve a problem or figure things out."

This emergent culture is one in which makers create because of passion and personal interest. "People are building robots because they want to," Dougherty said. "It's an expression of who they are and what they love to do. When you get these people together, they really turn each other on, and they turn on other people."
More here

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My God is Richer than Yours

Salisu Suleiman writes:
As Nigerians join the rest of the world in congregating for Hajj, our ironic preoccupation with religion comes out once again. A few years ago, a survey showed Nigeria to be the most religious country in the world, with 90 percent of the population believing in God, praying regularly and affirming their readiness to die for their beliefs. The survey, "What the World Thinks of God" also showed Nigeria coming tops as a praying nation at 95 percent, compared to 67 percent in the US.

Our brand of Christianity has assumed a uniquely Nigerian character: loud, colorful, vigorous and patently overdone. At a time when many are fleeing churches in droves and church attendance are at record lows, the business of worshiping Christ is a trillion naira concern in Nigeria – and growing. Apart from controlling public vaults, the easiest way to own a private jet in Nigeria is probably to talk-smooth on a church podium...[continue reading]

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The Global Rise of the Informal Economy by Robert Neuwirth

A WSJ review of Robert Neuwirth's book,Stealth of Nations: The Global Rise of the Informal Economy:
In "Stealth of Nations," Robert Neuwirth offers a fascinating tour of System D, a world largely ignored by academics and government officials but a world familiar to anyone who has visited developing countries. Step outside your beachfront resort in Cancun and you can't miss it. Usually foreign visitors treat the participants in this unofficial economy with either pity or distrust: pity because they assume that System D workers are on the verge of starvation, distrust because familiar guideposts—regulations, licenses, credentials—are lacking.

Often neither prejudice is correct. Mr. Neuwirth introduces us to a woman named Jandira who for a decade has peddled coffee and homemade cakes to the unlicensed vendors at São Paulo's early-morning wholesale market for pirated movies. Her street-corner business, she proudly tells him, has enabled her to buy two cars and a house and to pay her children's fees at private school. Another of Mr. Neuwirth's sources, Chinese handbag designer Ethan Zhang, prefers to stay illegal. For him it's a matter of costs and benefits: "If I want to get a license, then I will need a bank account and an office in an office building." These are not people who lack the skills to survive through legal employment; they just see no good reason to join the legal economy...[continue reading]
Over at Bloomberg Robert Neuwirth himself on the 'Offbeat Economy':
Here, in the squatter community of Makoko, one of the waterside shantytowns of Lagos, Nigeria, Ogun Dairo smokes fish. Without a license, on land that she doesn’t own, she has created her economic future. The fish is imported from afar, caught in the North Sea, frozen and shipped to the cacophonous port city on the Nigerian coast.

After several hours in the concentrated smoke of her scorched sawdust --- the strong fumes have stained her wax-print dress, dulling the extravagant colors -- she packs the fish in boxes, readying them to be retailed for a tiny profit on the roadsides of this West African megacity.Economic development in Africa can be found all over, hidden in plain sight. It evades our gaze because our notions of growth and development are conditioned by Western rules. We expect development to be highly organized and regulated, to involve government, and to be anchored by big corporations. In Makoko, as in most of the developing world, the great engine of economic progress is different. It is unstructured, unofficial and, to most people, unfathomable.Academics call this sub-rosa sphere the informal economy, an attempt at objectivity that unfortunately links unlicensed markets with drug dealers and gun runners. But Ogun Dairo and the billions of other unlicensed businesspeople around the world are not criminals. So I propose a new name.Sculpted From French

In French, people who are particularly effective and self- motivated are known as “debrouillards.” Former French colonies have sculpted this word to their economic reality. People doing business on their own, without registering or paying taxes, are part of “l’economie de la debrouillardise” -- or, sweetened for street use, System D.
More here
via Stealth of Nations

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Data is the New Oil,Africa is Rich

Jon Gosier in Appfrica:
The environment is rich in phenomena that has been observed, analyzed, commoditized and, in many cases, exploited. But much like the precious mineral and natural gas resources of the continent, for local societies, the tools for extraction are sparse or absent. In this context we aren’t talking about refineries, we’re talking about the capacity to collect, understand, and manipulate statistics and quantitative research to build narratives that change behavior or encourage action.

Shanta Devarajan recently pointed out this ‘statistical tragedy’ of Africa:
To show that this is not an arcane point, consider the case of Ghana, which decided to update its GDP last year to the 1993 system. When they did so, they found that their GDP was 62 percent higher than previously thought. Ghana’s per capita GDP is now over $1,000, making it a middle-income country. The “tragedy” is that we were happily publishing GDP statistics and growth figures for Ghana over the last decades, when in fact the national accounts were understating GDP by 62 percent…. The tragedy is that donors, including the World Bank, undertake statistical activities without ensuring that they are consistent with the NSDS. Why? Because they need data for their own purpose—to publish reports—and this means getting it faster, with little time to strengthen the countries’ statistical capacity. But just as Africans turned around their growth tragedy, they can turn around their statistical tragedy.
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Grassroots Economic Organizing

Bottom-up models for Business building in GEO:
The Arizmendi Association of Cooperatives' development effort began in the 1990s and has started five new bakery cooperatives creating around 100 new democratic jobs. The businesses have generally been successful financially after a short startup period and two of them are now over ten years old, with very low worker turnover, high quality reputation, and close community connections. The development method emphasizes attaining a baseline of business success as a foundation from which other social goals may be pursued. Inspirations for the model came from two sources: the Mondragon cooperatives, which gained financial security from their networked business development and continued technical assistance, and the American franchise system, which benefits from a wide market presence and shared administrative support. Because the workers in the stores govern the central administration, the analogy of an "upside-down franchise" has sometimes been used.
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Dysfunctional Policies and Food Production

Mariamé Touré Ouattara writing in Open Democracy:
There is little common ground between the realities faced by the population of Burkina Faso and international requirements and the shortfall in grain production and worsening of hunger in the past years can largely be attributed to this fact. It is not that farmers are unable to produce a sufficient quantity of food, it is that they find themselves in a political system that will not allow them to fulfill their potential. Not consulted in policy debates and uninvited to discussions, they feel excluded from the system when in reality they are key actors. What is more, farmers do not always understand how policy demands play out in these domains. Yet these are the people who suffer the effects of policy choices. In my view, the problem really lies here at the level of policy.
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Make The Revolution - Anil Dash

Today World Maker Faire, New York City opens, in just over two weeks Maker Faire Africa will debut in Cairo Egypt. A year ago Anil Dash wrote a timely and relevant piece about the 'Maker Movement' and its revolutionary attributes:
Image of Alex Odundo's Sisal Decoriticator at Maker Faire Africa 2010
Today, Dale Dougherty and the dozens of others who have led Maker Faire, and the culture of "making", are in front of a movement of millions who are proactive about challenging the constrictions that law and corporations are trying to place on how they communicate, create and live. The lesson that simply making things is a radical political act has enormous precedence in political history; I learned it well as a child when my own family's conversation after a screening of Gandhi turned to the salt protests in India, which were first catalyzed in my family's home state of Orissa, and found out that my great-grandfather had walked alongside Gandhi and others in the salt marches that followed. Today's American Tea Partiers see even the original "tea party" largely as a metaphor, but the salt marches were a declaration of self-determination as expressed through manufacturing that took the symbolism of the Boston Tea Party and made it part of everyday life.
To his last day, my great-grandfather wore khadi, the handspun clothing that didn't just represent independence from the British Raj in an abstract way, but made defiance of onerous British regulation as plain as the clothes on one's back. At Maker Faire this weekend, there were numerous examples of clothing that were made to defy laws about everything from spectrum to encryption law. It would have been only an afternoon's work to construct a t-shirt that broadcast CSS-descrambling code over unauthorized spectrum in defiance of the DMCA.
And if we put the making movement in the context of other social and political movements, it's had amazing success. In city after city, year after year, tens of thousands of people pay money to show up and learn about taking control of their media, learning, consumption and communications. In contrast to groups like the Tea Party, the crowd at Maker Faire is diverse, includes children and adults of all ages, and never finds itself in conflict with other groups based on identity or politics. More importantly, the jobs that many of us have in 2030 will be determined by young people who attended a Maker Faire, in industries that they've created. There is no other political movement in America today with a credible claim at creating the jobs of the future.
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Strengthening Industrial Clusters

A recent World Bank report 'Industrial Clusters and Micro and Small Enterprises in Africa: From Survival to Growth' states that:
Existing studies on natural industrial clusters in Africa have found that the lack of managerial skills among entrepreneurs running micro and small enterprises is a major constraint for innovation and growth in the clusters. As a part of this study, pilot managerial skills training programs were conducted in two industrial clusters on an experimental basis, where a group of randomly selected entrepreneurs within the clusters were given three-week long crash course of based management such as bookkeeping, marketing, business planning, and production management. The impact evaluation of the experiments showed significant positive impacts of the training programs on value added and gross profits of enterprises.
Continuing:
Raising the current survival-type industrial clusters, which have been formed as a coping mechanism to weak investment climate, into more dynamic innovating clusters will be an important avenue for fostering growth of micro and small enterprises in Africa. While national efforts to improve investment climate and investments in human capital are undoubtedly important, there could be more targeted policies to be formulated, in complementing general policies, to support growth of micro and small domestic enterprises using existing industrial clusters as a natural springboard for their growth. In that context, the study discusses the merit of cluster-based managerial human capital development to build steps toward more innovation-oriented clusters, the importance of sound spatial planning policy, particularly at the local level in the context of urban planning, the need to expand market access and economic linkages for industrial clusters including regional integration and linkages with large enterprises
via TCI

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In Somaliland, less money has brought more democracy

Nick Eubank writing in the Guardian:
Somaliland was part of Somalia until 1991, when it seceded during the country's civil war. When Somaliland first declared independence, its government was built around a single clan and lacked accountable political institutions. Business leaders eventually agreed to provide funds, but not until the government agreed to develop representative and accountable political institutions (a concession that politicians made only out of necessity, as it weakened their own grasp on power).In one notable incident, the government was forced to implement democratic reforms in exchange for tax revenues from Somaliland's main port. These revenues total less than $30m a year – a fraction of the more than $100m the government would have received from aid organisations if Somaliland had been eligible for international assistance. It is difficult to imagine that the owners of the port would have been able to exact the same concessions if the government had other funding options.As a result of these negotiations over tax revenue, Somaliland has become an exceptional democracy. It has held multiple presidential, parliamentary and district-level elections. It has seen multiple peaceful handovers of power, including to a minority clan. It even survived a presidential election that was decided by an 80-vote margin without resorting to violence.
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