Development as Freedom, by Amartya Sen, winner of the Nobel Prize in Economics, provides a powerful argument that development and progress cannot be measured on the basis of economic output and consumption alone, that personal freedom is a very important and in some areas predominate variable in determining whether progress has been or will be [...]
Development as Freedom, by Amartya Sen, winner of the Nobel Prize in Economics, provides a powerful argument that development and progress cannot be measured on the basis of economic output and consumption alone, that personal freedom is a very important and in some areas predominate variable in determining whether progress has been or will be made, and in defining what poverty truly is.
Amartya Sen chooses to describe poverty not as a lack of resources, but as a lack of freedoms. Those freedoms include choosing where to live and work, with whom to associate, freedom to choose our leaders and decide the rules we live by, and many others. This key point is useful in that it does not focus solely on maximization of wealth as a way out of poverty. The problem with poverty is not lack of money, but that lack of money means that people are not free to make their own way in life. They may be trapped being at the mercy of nature, an opressive government, or an economy cripled by bad policy. The conclusion therefore, is that money alone cannot fix the real problem. Government reform, economic liberalization, and the general increase of personal freedoms is the true end we are striving for. Increasing incomes is one of several necessary steps to be accomplished and not an end in and of itself. Read the rest of this entry »
