Sebastian Ruiz's Github repository for Data 150 at WIlliam and Mary
How does Owen Barder define development? How does he extend Amartya Sen’s definition to include the idea of complexity??
Barder is in agreement with Amartya Sen that development constitutes access to more freedoms and he believes that noneconomic factors such as health care are crucial to wellbeing. However, he argues that development is an intrinsic and natural process and that Sen’s definition of development is too linear and cannot be used to measure something so complex. He states that development is a “complex adaptive system” that includes social and economic systems where each system evolves and adapts to various factors.
Who was Thomas Thwaites and what was his “toaster project”? Was he successful? What is the significance of this example in the context of Barder’s talk about complexity and development?
Thomas Thwaites was a British student who attempted to construct a simple toaster completely from scratch. After many months of acquiring all the necessary materials and hard work, Thwaites was able to get his toasted to work–albeit for only a few seconds before it shorted out. Barder used this example to illustrate how complex and grand economies and supplychains are. Building a simple toaster involved a wide array of factors ranging from, manufacturing, supplylines, and the extraction the raw materials. Nations have to foster and maintain complex systems like these in order to develop and become socially and economically well off. Barder used this example to how development requires time and the right circumstances.
Barder compared the economic growth of South Korea and Ghana between 1960 and 2010. Why was this example instructive as part of his talk? What did this comparison demonstrate when used as the basis to validate (or invalidate) economic models?
Barder uses the comparison between South Korea and Ghana’s economic growth to illustrate the failure of traditionally used economic models to measure development. In the 60s, South Korea and Gahana had very simalir rates of income per person, however, as time went on South Korea dramatically increased its income per person while Ghana’s remained low. Barder explains that no traditional growth or development model is able to explain South Korea’s greater development and argues that development is too complex to be measured by linear models. He advocates for the adoption of a complex and adaptive development model.
What was the Harrod-Domar model? What are the two fundamental variables in this model? Who was Walter Rostow and what the impact of his work on development? Was the Harrod-Domar model effective at predicting development outcomes?
The Harrod-Domar model is an economic model that states that capital and labor are critical to development. The model claims the two fundemental variables, capital and labor, are what a country needs for economic development. The Harrod-Domar model was ineffective at predicting development outcomes–as Barder showed with his Ghana-South Korea comparison. Walter Rostow was an economist who created a more influential development model.
What was the Robert Solow model and how did it address the limitations of the Harrod-Domar model? Was this model successful as predicting economic growth?
Robert Solow’s “neoclassical growth model” addressed the limitations of the Harrod-Domar model by adding a third variable called “technological change.” Although Barder says that the Robert Solow model is more applicable to the real world than the Harrod-Domar model, he states that it is still flawed as “technological change” is not clearly defeined. The Robert Solow model was not successful in predictiong economic growth and still failed to adress the Ghana South Korea comparison.
What was the Washington Consensus? How did it propose to improve upon models of economic growth?
The Washington consensus was a list of policies that aim to promote development that was created by the World Bank and the International Monetary Fund. It argued that policy reform is needed in developing countries so that they can progress and attain economic growth. The theory stems from the idea that inefficient governments are the primary factor limiting development. Although the Washington Consensus has existed for years and has led to political change, many economists believe that it is ineffective as a way of stimulating development.
What was the Ajaokuta Steel Works? How did it illustrate the transition from a focus on policies to institutions. How productive has the Nigerian steel works proven to be?
the Ajaokuta Steel Works is a mill in Nigeria that was the largest investment in steel of all time. It was widely believed that this extremely expensive investment would stimulate economic growth in Nigeria. However, despite having all the required capital, labor, and techonlogy, widespread curruption made it so that the mill was never operational and did not produce any steel. This lead to a shift in focus from policy guided change towards institutional change in order to promote development.
Who was Haile Sellasie? What is the significance of Kapuscinski’s book the Emperor? How did Ethiopia exemplify the suppression of emergent systemic change? Do you agree with Barder’s interpretation?
Haile Sellasie was the last emperor of feudal Ethiopia. Kapuscinski’s book provided an account of Sellasie’s currupt and opressive regime up untill he was overthrown and demonstrated how authoritarian rule suppresses development. Barder used this example to describe the “resource curse” where the ruling class abuses the lower classes in order to extort resources and money. I agree with Barder’s interpretation of this example.
Who was Steve Jones? What did he do at Uni-Lever? Was he successful? How significant were his results?
Steve Jones is an evolutionary biologist that was tasked with creating a better nozzle for making soap powder. Instead of using traditional methods and models that previous engineers attempted and failed with, Jones randomly created 10 designs for the nozzle and picked the most effective design and made 10 random variations continuing to select the design that worked best. His results were highly significant in showing the importance of complex and adaptve change.
What is the significance of Schumpeter’s idea of creative destruction? How does it relate to firms and industries?
Schumpeter’s idea of creative destruction states fro porgress to occur, entities that fail to adapt to the current environment become obsolete while new and improved entities are created and thrive. THe idea relates to firms and industries because companies that fail to adapt to the changes of industries in the status quo fail while new companies innovate and improve industries.
Why does Barder recommend resisting engineering as a policy implication? Does he suggest a different approach? What did he mean by his use of the term, iso-morphic mimicry?
Barder recommends resisting engineering as a policy implication because he states that it is practically impossible to measure and predict specific developmental outcomes because development is too complex and consists of too many variables. Instead he suggests a different approach when he states that people should implement solutions in an evolutionary and apative way similar to how Steve Jones solved his soap nozzle problem. Barder uses the term Iso-morphic mimicry, a biology term that typically describes a non-poisonous organism mimicing one that is poisonous, to warn against creating instituions that look benevolent but provide no protection to a country’s citizens.
What did Barder mean by “resist fatalism”? Who was Norman Borlaug and what is the green revolution?
When Barder says that people should “resist fatalism” he is saying that people should not simply accept evolution, but should direct it and expidite it. Norman Borlaug is a scientists who genetically engineered better high-yield, disease resistant wheat crops. This led to the green revolution–a movement where crops seletively bred to have the most desirible qualities. This is an example of resisting fatalism.