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...work An Essay on the Principle of Population, Thomas Malthus argued that famines were simply a case of too many people with not enough food. Malthus noted that populations tended to grow faster than food supply - and predicted global catastrophe without drastic population reductions. In 1981, the economist and Nobel prizewinner Amartya Sen outlined an alternative view, arguing that lack of food was just one cause of famine. Inequality was just as important. In famines, it is the poor that die, not the rich. In practice, good development combines those approaches and more. Raise food production. Reduce population growth...

Author: /time Magazine | Title: The Cost of Giving | 8/7/2008 | See Source »

...billion five-year program identified 7.3 million Ethiopians unable to live without free food and gave them jobs in rural projects, such as roads and irrigation. The idea was to create livelihoods as well as to save lives. It was working, slowly. By this year, says a Western economist familiar with the effort, "a few thousand" had left the program and were making it on their own. Then came the double blow of drought and soaring food prices. Of the 7.3 million, 5.4 million suddenly needed extra food aid. The sobering lesson: even the best efforts to eliminate hunger...

Author: /time Magazine | Title: Ethiopia: Pain amid Plenty | 8/6/2008 | See Source »

...skeptics who doubt that there are any new markets. They say, "If these opportunities really existed, someone would have found them by now." I disagree. Their argument assumes that businesses have already studied every possible market for their products. Their attitude reminds me of the old joke about an economist who's walking down the street with a friend. The economist steps over a $10 bill that's lying on the ground. His friend asks him why he didn't take the money. "It couldn't possibly be there," he explains. "If it were, somebody would've picked...

Author: /time Magazine | Title: Making Capitalism More Creative | 7/31/2008 | See Source »

...Nobel-laureate economist Milton Friedman wrote a magazine article about "corporate social responsibility," an earlier term for something very much like creative capitalism. Friedman said the responsibility of corporations was to maximize value for their stockholders--period. Anything else was a betrayal of those stockholders, who can always give their profits away to worthy causes if they want. But the choice should be theirs. It was argued in reply back then that social responsibility benefits the bottom line because it makes the corporation look good, thereby attracting more customers and better employees. Gates makes a similar argument. But this reasoning...

Author: /time Magazine | Title: The Audacity of Bill Gates | 7/31/2008 | See Source »

...deindustrialization are a major force behind protectionist sentiments in Congress, which are rising in a new crescendo. In the past year more than 200 restrictive trade measures have appeared in the congressional hopper, aimed at sheltering a wide variety of American industries from foreign competition. Says Sidney Jones, an economist with the Brookings Institution in Washington: ''The whole trade situation right now is a 1986 election issue.'' Paradoxically, while nearly 2 million U.S. manufacturing jobs have disappeared since 1979, U.S. industrial output has not declined at all. Overall, the volume of manufacturing output has increased by 23% since...

Author: /time Magazine | Title: SINGING THE SHUTDOWN BLUES U.S. industry undergoes a wrenching change, but it could be for the good | 7/21/2008 | See Source »

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