Archive - Aug 2009
August 28th
Farming Boom Goes Bust
After two boom years, The Wall Street Journal reports that the U.S. agricultural sector is expecting this year's profits to be below the 10-year average.
August 27th
Obama's Sunny Stimulus Succeeds
Slate Magazine's The Big Money recently profiled Namaste Solar, a Colorado-based solar panel company that is experiencing a nice boost from the Obama administration's economic stimulus. The company is one of many alternative energy businesses that received generous tax cuts and government stipends as stipulated by the stimulus package.
Thanks to these eco-friendly economic benefits, Namaste has been able to make solar paneling — an expensive venture for any family or business — more affordable for both the company and its patrons. The details of the stimulus are extremely complex, but essentially, tax breaks allow for the cost of going solar to compete with it's traditionally cheaper rival, natural gas.
The impact of the economic stimulus has yet to be determined, but Blake Jones, the head of Namaste, predicts that success in the field of alternative energy will be it's proudest achievement.
Jones patiently talked me through the stimulus' solar treatment for an hour and a half, and he couldn't say enough good things about it. If the solar industry ever fulfills its potential as a national energy source, the stimulus will deserve the credit. It could become one of the bill's chief legacies.
August 26th
Fight Global Warming: Ditch Your Keys and TIe Up Your Shoes

Does your neighborhood influence your driving habits?
A University of California at Davis study has found that neighborhoods boasting corner stores, restaurants, coffee shops, hardware stores and other small businesses inadvertently encourage residents to run their errands by foot, rather then by car. About 87 percent of respondents that live less than .5 miles from a grocery store said that they chose to walk instead of drive about six times a month. In contrast, about a third or respondents from less walk-friendly neighborhoods said they walked to complete a single errand in a month's time.
When you add it all up, people living withing walking distance of stores end up driving 42 percent fewer miles than their car-dependent counterparts. Grist points out the importance of this reduction on a global scale. If more people lived in walk-friendly neighborhoods, they would drive fewer miles, and thus, reduce carbon emissions.
August 25th
Young Americans Look To China For Employment
Countries: China, United States

How far from home will you go for a job? For some people, the answer is "pretty far."
The New York Times reports a rise in the number of recent college graduates traveling from the U.S. to China in search of a decent job.
According to a recent New York Times article, "they are lured by China’s surging economy, the lower cost of living and a chance to bypass some of the dues-paying that is common to first jobs in the United States.”
In the current job market, these graduates would be lucky to and a entry-level job in the U.S., but in China they stand a shot at higher-level jobs. Some more entrepreneurial types are starting their own businesses. And Chinese businesses seem to be quite pleased they're coming. Not only do they value their English language skills, but they also appreciate their general knowledge of Western culture.
August 24th
Indian Girls Throw Punches at Poverty
Countries: India

An article in Friday's Wall Street Journal looks at how boxing is giving Muslim girls in India an alternative to their "practically scripted" life.
For many of these girls, the Wall Street Journal says life goes like this: "they stay home, help their mothers, and get married so they aren't a burden to their families anymore."
Sabihal Hussain, a women's studies professor at a New Delhi university explains how boxing is opening up new doors for the girls.
They find (boxing) as a way of coming out from conservativeness. They have very limited role — poor Muslim women — in the public sphere. So thes women, these boxers, they find a way to come out and this is an outlet for them to fight poverty.
The boxers train hard and those that are good enough to compete internationally, fight for cash prizes. But for many girls, boxing can be a gateway into a job with the the police or land them a college scholarship for a spot on the university sports team.
August 21st
Another try at reducing the Afghan poppy trade

The United States is dropping the stick and picking up the carrot in combating the Afghan poppy trade. The new anti-drug policy ends the effort to eradicate poppy fields and will now focus on giving farmers financial and technical aid to help them replant their poppy fields with wheat and other food crops, according to the Wall Street Journal.
Past efforts to reduce the number of poppies, the basis for opium and heroin production, used a mix of incentives, but consisted primarily of eradication programs, like the cutting and burning of poppy plants. Richard Holbrooke, the senior American official for Afghanistan policy, tells the Wall Street Journal. "All we did was alienate poppy farmers," he said. "We were driving people into the hands of the Taliban."
While eradication campaigns may have made life tough for farmers, they did not materially impact the drug trade. Over the past decade, Afghanistan's share of global poppy production has grown from about a tenth to over 90 percent of the world total, according to an article in the Wall Street Journal.
Holbrooke bluntly informed the New York Times that "[t]he Western policies against the opium crop, the poppy crop, have been a failure". The new policy of crop substitution, while laudable, faces many of the same challenges that derailed the earlier plans.
Switching from poppies to other crops isn't a simple task. One of the reasons that poppy production is so profitable is that drug traffickers pick up the poppies at the farms. If they grow a food crop, farmers must build storage buildings and get the crops to often distant markets. While bearing these higher costs, they must also contend with prices both lower and less predictable than poppy prices. Even if they can subsist on the less profitable food crops, they have to deal with threats of violence from the Taliban, which opposes any switch to non-poppy crops.
What's more, the Afghan political elite has a vested interest in the poppy crop. The United States intelligence community estimates that only $70 million out of $3 billion dollars of drug receipts go to the Taliban, according to the Senate Foreign Relations Committee. In a Committee report, officials related that many of the recipients are U.S. allies and members of the government.
"These warlords later traded on their stature as U.S. allies to take senior positions in the new Afghan government, laying the groundwork for the corrupt nexus between drugs and authority that pervades the power structure today."
Most business owners wouldn't invest in a high-risk product with low returns. So it's understandable that Afghani farmers aren't making the switch from poppies to wheat in droves. There are likely to be some parts of the country with sufficient security and strong enough markets for the program to succeed, as Ganesh Sitaraman, a lawyer for the Counterinsurgency Training Center Afghanistan, notes in a New York Times op-ed.
The U.S. is to be applauded for switching from a destructive, ineffective policy to a constructive, potentially effective policy. This new policy will only be part of a larger effort, that will have to include greater security for farmers, to reduce the scale of the Afghan poppy crop.
August 20th
Sister(city)hood Goes Beyond Cultural Exchange
Countries: China, Russia, United States
Four years ago, a petrochemical plant on the border of China and Russia spilled 100 metric tons of the toxic chemicals into a tributary of the Amur River. The river is the main drinking supply for a town in Russia named Khabarovsk, and it put hundreds of thousands of lives at risk.
Naturally, Khabarovsk turned to Moscow for help. But they also contacted a group of friends in Portland — including my dad.
My dad, Thomas Benke, has been involved in the Portland-Khabarovsk Sister-City Association, or PKSCA, for many years. And his actions after the toxic spill showed me that sister-city associations can be a means for not only cultural exchange but also serious global cooperation.
PKSCA implements a wide reach of humanitarian programs in Khabarovsk that include solid-waste management, emergency services, educational exchanges, hospitals, orphanages, and village schools. And it, along with Oregon Fujian Sister State Association (OFSSA), has responded to disasters such as chemical spills and earthquakes. My dad has volunteered for both. One of his main motivators has been to help preserve the environment. (He holds degrees in chemical engineering and environmental law.)
There is an undeniable synergy between a clean environment and economic development. The old idea that there must be some trade-off between economic development and environmental protection in developing economies is gradually being replaced by the realization that the foundation of economic development — a healthy workforce — thrives on clean air, clean water and an unpolluted landscape.
My father explained to me that soon after the spill in Khabarovsk, he traveled there to deliver and introduce a Gas Chromatograph, a device for testing drinking water in disaster areas. The device was purchased by the City of Portland. In May 2007, PKSCA followed up by inviting two chemists from the Vodokanal (Khabarovsk Water Bureau) to work with the Portland Water Bureau and the Oregon Department of Environmental Quality. Most importantly, PKSCA set up a training session at SRI Instruments in Los Angeles — the company that built the Gas Chromatograph. SRI Instruments' contribution was substantial — they built a specialized device that could detect the contaminants in the Amur River and provided free repair for the device.
Not only did PKSCA quickly respond to the water crisis in Khabarovsk, but by providing further training sessions in the United States, they also sustained and fostered a stronger more informative relationship between Portland and Khabarovsk officials, as well as sister-city board members.
On May 12, 2008, an 7.9 magnitude earthquake struck China’s Sichuan Province, killing tens of thousands of people and displacing nearly five million. Immediately, Fujian Province requested assistance from its Sister State, Oregon, for whatever aid they could provide. Below, Thomas described the international and OFSSA response to the crisis.
The world responded with cash and supplies. The people of Oregon donated cash generously through several local and international non-profit organizations. The Oregon-Fujian Sister State Association, because of its unique relationship with Fujian Province, resolved to do more — to donate emergency response tools that would leverage Sichuan Province’s capacity to respond.
The pre-existing relationship of trust between the two jurisdictions allowed Fujian province to request help from Oregon. The Sister-Province relationship made all the difference — we were able to overcome the cultural issues of pride and face that might have otherwise required Fujian province to decline aid. It's all about overcoming the formidable cultural barriers, and I think that that's the key.
It's the difference between your neighbor, somebody in your community coming in and offering help as opposed to a stranger from someplace you know nothing about.
When my dad first explained sister city associations right after the toxic spill four years ago, I thought he was obsessed with his involvement in both organizations. Now about to graduate from college, I plan to follow his lead and hope to work internationally for an NGO.
August 19th
The Poisoned Waters of Chesapeake Bay

The Chesapeake Bay and Puget Sound are so polluted that they should be "put in the intensive care unit," according to a recent Frontline episode.
Poisoned Waters reveals that immense amounts of pollution have affected the ecosystems of both estuaries in their most basic capacities. On the surface, Puget Sound and Chesapeake Bay may look pristine and beautiful — but underneath, the effects of toxic waters are visible and disturbing.
In Chesapeake Bay, the once-thriving oyster industry has practically disappeared, although the state government recently developed a plan to revitalize the oyster population. Frontline reports that the crab industry is headed towards the same fate. David Kirwar, a Chesapeake Bay crabber, says that he only catches about half of what he did 25 years ago, describing the situation as a "tragedy." Local journalist Tom Horton said that overall "you're talking about billions of dollars of economic impact with oysters, crabs, shad, striped bass; the decline in the fisheries have just been dramatic."
Frontline says pollution caused by urban sprawl, agriculture, animal farms, and industrial sites are just some of many factors that are "slowly eating away" the bay. Jay Manning, Director of Ecology for Washington State, tells Frontline, "It's about the way we all live. And unfortunately, we are all polluters. I am; you are; all of us are."
August 17th
Got an idea for African farmers? Post it.

Do you have ideas that might help African farmers be more successful?
If so, a new Peace Corps initiative called African Rural Connect, or ARC, wants to know about it.
Through its website, ARC hopes to connect people with ideas to the development community and even the farmers themselves. The site is relatively new, but a solar-powered irrigation system and an easy-to-build and inexpensive grain silo are just two examples of recent ideas.
ARC explains:
The humblest farmer can have the idea with the greatest impact. We believe there is untapped collective wisdom that just needs a space to ignite. This is a growing movement... No idea is too grand — no contribution is too small. Share your story — we will hear you.
It's ideas like these that fit the bill for the grassroots approach U.S. Secretary of State Hillary Clinton hopes will help African farmers improve their agricultural capacity, according to the Christian Science Monitor.
To help kick things off, ARC is offering a contest for the best idea. The winner gets $20,000 — and some help from development experts — to put their idea into practice.
August 15th
Employment for Rural Chinese Migrants on the Rise

More than 97 percent of China's 150 million rural migrant workers have found jobs in cities, according to a recent Wall Street Journal article. This is remarkable considering that eight months ago, 18 to 25 million migrant workers were unemployed.
The newly reemployed migrants should boost China's struggling economy. "Itinerant rural workers are the backbone of China's manufacturing and construction industries, with tens of millions crossing the country every year for work," reports the Wall Street Journal. But conditions aren't as good as before the economic crisis. It's reported that many of these migrants are being paid lower wages and the risk for unemployment is still high.
August 14th
The World's Next Breadbasket
Could Africa be the world's next breadbasket?
Elizabeth Chiles Shelburne of The Atlantic seems to think it's a real possibility if African farmers adopted more modern farming technology and used better-quality seeds and fertilizers. And the payoff for agricultural investment would make a huge difference for poor African countries.
Agricultural investment in Africa — and in a few other high-potential places such as Ukraine and Russia — may be the world’s best bet for keeping food plentiful and cheap. This investment could bring other benefits too; the World Bank estimates that agricultural development is twice as effective at reducing poverty as other sources of growth. In Asia, as cereal yields rose, poverty rates plummeted. Investment in Africa’s agriculture — by donors, farmers, and African governments — may allow the continent to feed the world and save itself.
Economic Improvements in West Bank = Political Gains for Palestinians?
Countries: Israel, Palestine

Since Israel relaxed West Bank checkpoints in June, there's been a newfound sense of both security and economic freedom for the struggling Palestinian territory, according to the New York Times' Thomas Friedman.
Friedman says the economic improvement is largely a result of reformed police tactics and increased trade:
For Palestinians, long trapped between burgeoning Israeli settlements and an Israeli occupation army, subject to lawlessness in their own cities and the fecklessness of their own political leadership, life has clearly started to improve a bit, thanks to a new virtuous cycle: improved Palestinian policing that has led to more Palestinian investment and trade that has led to the Israeli Army dismantling more checkpoints in the West Bank that has led to more Palestinian travel and commerce.
Recent statistics for the West Bank support the claim that things are getting better. The International Monetary Fund is forecasting 7 percent growth, and construction is about to begin on the first new town in decades, according to a New York Times account.
Friedman is hopeful that economic improvements could lead to political gains:
Make no mistake: Palestinians still want the Israeli occupation to end, and their own state to emerge, tomorrow. That is not going to happen. But for the first time since [the collapse of the 2000 Oslo peace accords], there is an economic-security dynamic emerging on the ground in the West Bank that has the potential — the potential — to give the post-Yasir Arafat Palestinians another chance to build the sort of self-governing authority, army and economy that are prerequisites for securing their own independent state. A Palestinian peace partner for Israel may be taking shape again.
August 13th
Amidst Falling Oil and Remittances, Soccer Saves the Day in Mexico

Mexico's finance secretary recently warned that falling oil prices and production may lead to the nation's worst recession in 30 years.
But on Wednesday, economic worries took a backseat to Mexico's World Cup qualifying match against the United States, which many Mexicans viewed as more than just a soccer match.
“This was life or death for the whole country,” Kurt Vogt, a Mexican supporter, told The New York Times, which headlined their article about Mexico's 2-1 victory, "Mexico Restores Order to Its Universe."
Not only did Mexico's World Cup 2010 hopes rest on the outcome of the match, as well as an impressive home unbeaten streak — they're 23-0-1 against the U.S. at Azteca Stadium — but the country's hard-hit ego and slumping economy stood to gain substantially as well.
“It's incredible how it effects our emotions and our economy — one game,” said Eliseo “Papo” Santos, a former professional player and coach told Mark Zeigler of The San Diego Union-Tribune. “Not qualifying for the World Cup, it would be devastating for us. It'll bring your country down big time.”
This isn't just a gut feeling — it's "soccernomics." The Union-Tribune's Zeigler points out that after Italy won the World Cup in 2006 its gross domestic product grew by 2 percent, after two years of zero growth.
No wonder both Mexico and the U.S. played their recent World Cup qualifier as if it was the championship match.
August 12th
Fortifying Foods To Fight Malnutrition in Africa
Humanitarian agencies have long been using protein and energy bars filled with nutrients and vitamins when responding to food emergencies. Though these "ready-to-use foods" are seen everywhere on grocery shelves in the West, they're often viewed as lifesavers when food crises strike the developing world.
BBC News recently highlighted the efforts of two British doctors, Steve Collins and Alistair Hallam, who saw the great results these easily accessible foods can have on malnourished populations. The doctors have taken the idea of ready-to-use foods even further with their company, Valid Nutrition, which manufactures foods supplemented with important nutrients found in meat and vegetables — foods most Africans can’t afford. While majority of emergency food packets contain high sugar concentrations and supplements that help in emergency relief areas, Valid Nutrition's products contain nutrients that are important in a person's daily diet and are sold at an affordable price. The company has opened manufacturing factories in various African countries, creating jobs for locals and helping the economy by using local crops.
Instead of only using these foods during emergency relief situations, the doctors want to help treat severe acute malnutrition, where a person's weight for height measurement is 70 percent below the median range due to food shortage and/or illness, according to the World Health Organization.
"The idea is to target people suffering from a less acute, but more widespread form of malnutrition that affects a staggering two billion people worldwide," reports BBC News.
Fortification of food for the developing world is not a new idea. Other companies such as Global Alliance for Improved Nutrition, a Swiss nonprofit, has programs in various developing countries providing food for the poor. In fact, Gain is trying to put more market pressure on firms to “develop new, affordable nutritious foods by convincing business it is missing a vast untapped market.”
Bamboo Bikes

Families in poor countries can save up to 30 percent of their transportation costs by doing one simple thing: buying a bicycle. World Bicycle Relief, a U.S. organization whose mission is to provide third world countries with bikes, notes that sustainable transportation is absolutely essential to disaster and poverty relief. Bikes help people access health care, schools and get to work.
Recognizing this, two guys from California teamed up with two Zambians to start Zambikes in Lusaka, Zambia. The for-profit company is putting a twist on the bicycle as we know it. Zambikes look like regular bicycles but instead of using metal, Zambikes are made by locals out of Bamboo. Not only is Bamboo cheaper then metal, it's also very strong and light-weight, and its vibration-dampening properties work well for the rough roads of Zambia.
The company also makes a cargo bike, a bike trailer ("Zamcarts") and a bike-drawn ambulance ("Zambulance") which is used in 10 area clinics — out of bamboo (check out more photos here). So far 1,200 bicycles and 153 "Zamcarts" and "Zambulances" have been sold. The company has also started teaching bicycle mechanic classes.


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