
During a wider discussion on whether corruption can ever be excused, or even in the case of corrupt cop versus “rich suv driving ass” it’s fair to make the cop the hero, the above tweet was tweeted.
It absolutely stopped me in my tracks.
Alanna Shaikh is no slouch – her own Twitter bio reads:
International development optimist and skeptic, Change.org global health blogger, writer for UN Dispatch
Certainly on the kudos count I’m not even coming close. I can also add to that how engaging I find her writing on development and her on-going thoughts via Twitter.
In which case, it is reasonable to believe her take on corruption is also held by many within international development communities.
But here’s the thing – I live in Cameroon. A country where it’s hard to see a single cause of the awful poverty that isn’t directly related to corruption. That mantra again – Cameroon has had no recent wars, no famine, no natural disasters etc etc and yet..this is how it is.
I’ve been mulling that Tweet over in my head for some days now. It was hard to come up with a response that wasn’t “…but…but… but just look at THIS and THIS and THIS etc.”
And then, I picked up The Undercover Economist a book that I had been wading through for sometime. I started a new chapter entitled “Why Poor Countries are Poor”. Within two seconds I noted with surprise that it was specifically about Cameroon – within four I realised I had read it before.
I’d read it online, way back before I even set foot in the country. Back then I thought I had lived in countries where corruption was a major issue – Vietnam and Nicaragua. I thought I knew corruption. But I have seen nothing like this. I’ve never seen a country so absolutely stifled – not just financially or in terms of infrastructure but also in terms of sheer hope and optimism.
Anyway, I read it again and found the article on line once more. It’s an excellent piece and you can read it in full here. I’ve cut and pasted the summing up below which best outlines how this country has been systematically wrecked and how, despite Alanna’s statement, corruption is not only *A* significant barrier to growth – it’s *THE* barrier.
Does Development Have a Chance?
Development specialists often focus on helping poor countries become richer by improving primary education and infrastructure such as roads and telephones. That’s surely sensible. Unfortunately, it’s only a small part of the problem.
Economists who have pulled apart the statistics, or studied unusual data such as the earnings of Cameroonians in Cameroon and the earnings of Cameroonians who immigrate to the United States, have found that education, infrastructure, and factories only begin to explain the gap between rich and poor.
Because of its lousy education system, Cameroon is perhaps twice as poor as it could be. Because of its terrible infrastructure, it’s roughly twice as poor again. So we would expect Cameroon to be four times poorer than the United States. But it is 50 times poorer.
More important, why can’t the Cameroonian people seem to do anything about it? Couldn’t Cameroonian communities improve their schools? Wouldn’t the benefits easily outweigh the costs? Couldn’t Cameroonian businessmen build factories, license technology, seek foreign partners, and make a fortune?
Evidently not…. Having a thief for president doesn’t necessarily spell doom; the president might prefer to boost the economy and then take a slice of a bigger pie. But in general, looting will be widespread either because the dictator is not confident of his tenure or because he needs to allow others to steal in order to keep their support.
The rot starts with government, but it afflicts the entire society. There’s no point investing in a business because the government will not protect you against thieves. (So you might as well become a thief yourself.) There’s no point in paying your phone bill because no court can make you pay. (So there’s no point being a phone company.) There’s no point setting up an import business because the customs officers will be the ones to benefit. (So the customs office is underfunded and looks even harder for bribes.) There’s no point getting an education because jobs are not handed out on merit. (And in any case, you can’t borrow money for school fees because the bank can’t collect on the loan.)
It is not news that corruption and perverse incentives matter. But perhaps it is news that the problem of twisted rules and institutions explains not just a little bit of the gap between Cameroon and rich countries but almost all of the gap.
Countries like Cameroon fall far below their potential even considering their poor infrastructure, low investment, and minimal education. Worse, the web of corruption foils every effort to improve the infrastructure, attract investment, and raise educational standards.
We still don’t have a good word to describe what is missing in Cameroon and in poor countries across the world. But we are starting to understand what it is. Some people call it “social capital,” or maybe “trust.” Others call it “the rule of law,” or “institutions.” But these are just labels. The problem is that Cameroon, like other poor countries, is a topsy-turvy place where it’s in most people’s interest to take actions that directly or indirectly damage everyone else. The incentives to create wealth are turned on their heads…
Some more reading?
Try this – a more practical demonstration of how corruption is strangling Cameroon.