Tuesday, August 09, 2016

How different would politics be if elected officials had to spend a few months in the military or poverty?

How different would politics be if every representative had to spend a few months in the military followed by a few months in poverty?
In the post-World War II period, most successful politicians served in war. Some came from poverty (Lyndon Johnson and Bill Clinton come to mind, but so did Abraham Lincoln).

There is no evidence that those who had seen war were less inclined to send others to war. As for poverty, those who experienced it were more inclined to promote efforts to help poor people; yet no one produced as vast a set of social programs as the very wealthy Franklin Roosevelt.

In sum, I am not sure that there is a hard an fast cause-and-effect dynamic between experiencing war and poverty and leading in a way that avoids or diminishes either.

However, it seems more honorable for a person commanding others to risk life and limb to have done so, just as it seems more equitable that someone who has struggled with need should weigh efforts to alleviate poverty. For that reason alone, it might be a worthwhile requirement in a democracy.

Are there ways to reduce unemployment as social entrepreneur?

Q. Are there ways to reduce unemployment as social entrepreneur?
What are the possible solutions can a social entrepreneur do to counter unemployment in his or her country? Can social entrepreneurship solve unemployment? Is so then what are the ways and methods to do so?
PS: I’m a trader and investor in Malaysia.


I think your question answers itself. Social entrepreneurship is one way to reduce unemployment, first by hiring people to work temporarily in the enterprise and secondly by making designing those jobs as a kind of training and work experience that can serve in the labor market to obtain longer lasting and sustaining work.

The typical social enterprise in the United States is an operation that is a for-profit subsidiary of a nonprofit.

For example, Homeboy Industries began in 1992 as a ministry by a Jesuit priest to help assist high-risk youth, former gang members and young newly released ex-convicts with mental health counseling, legal services and work-readiness training services. Fr. Greg Boyle, SJ, the founder, whom I met briefly, realized that the best way to get these young people redirected into sustaining jobs was to develop businesses in which they could work and learn to show up on time, not tell off the boss and also acquire a particular marketable skill.

The group started Homeboy Bakery, Homegirl Café & Catering, Homeboy/Girl Merchandise, Homeboy Farmers Markets, The Homeboy Diner, Homeboy Silkscreen & Embroidery, Homeboy Grocery and Homeboy Cafe & Bakery, all for-profit outfits that sell goods and services produced by the people Boyle initially intended to help.

Stories such as these are more prevalent in wealthier economies, in which there is a large consumer market, than in poorer ones. However, innovations such as microfinancing, an entrepreneurial idea that I understand has been fabulously successful in Bangladesh, are examples of what can be achieved.

Monday, August 08, 2016

What psychological factors lead to poverty, and what factors/beliefs lead to wealth?


The idea that poverty or wealth are based on the psychological makeup of a person is a fallacy. It is amply established that the single most significant factor in poverty or wealth is the socioeconomic status of the family into which each person is born.

Studies on social mobility show repeatedly that socioeconomic status is downwardly “sticky.” That is, most people have a stronger likelihood of sliding downward in the socioeconomic ladder that upward.

Studies about the United States show that it takes at least five generations to climb from the bottom 20% of the income distribution to the top 20%; exception: immigrants. In any case, upward mobility happens to a small minority of people. A recent study of Sweden, recently expanded to Scandinavia and Britain found that a large share of those at the top 20% today were descendants of people in the top 20% in the 1700s.

If the question were rephrased to what traits help the rare few who climb up the socioeconomic ladder, that might elicit a different answer. But beware the Horatio Alger mythology. If hard work made people rich, African bush women would all be billionaires.


This is a repost from my replies to questions posted on Quora, a question-and-answer site where questions are asked, answered, edited and organized by its community of users, at quora.com. The questions and their subtexts are not mine.