The Great Escape

Angus Deaton

6 ideas

  1. Progress Creates Inequality As It Spreads

    Every escape from deprivation starts with some people or places getting out first, so progress opens gaps before it closes them. New knowledge, technologies and institutions reach the educated, rich and well-placed before everyone else, which means rising inequality is often a symptom of improvement rather than a sign that things are getting worse.

  2. Knowledge Not Income Drives Health Gains

    Life expectancy has risen at almost every level of national income. That points to cheaper and better knowledge as the main engine of longer lives, not rising income alone: germ theory, sanitation, vaccines, oral rehydration and public health practice. Countries today live longer than rich countries did at the same income decades ago because the know-how has moved even where wealth has not.

  3. The Aid Illusion and Institutional Corrosion

    Large aid flows free governments from depending on taxing their own citizens. That weakens the accountability link between rulers and the ruled, and it can entrench bad regimes. Because aid-dependent governments answer to donors instead of their populations, big transfers can undermine the very institutions a country needs to escape poverty.

  4. Inequality Can Capture Politics and Choke Growth

    Some inequality is an incentive and a byproduct of innovation. But when the winners use their wealth to shape rules, regulations and political access in their favor, inequality becomes self-reinforcing. Rent-seeking by the already-successful can pull up the ladder behind them and stall the process that created their success.

  5. Measuring Poverty Shapes What We See

    Global poverty counts rest on fragile choices: price comparisons across countries (PPP), household survey methods, and where the poverty line is drawn. Headline poverty figures should be read as constructed estimates, not direct observations.

  6. Help Indirectly: Do No Harm Abroad

    Rich countries should stop trying to engineer development through direct transfers and instead change their own policies that affect poor countries. That means funding research on neglected diseases, reforming trade and agricultural subsidies, curbing arms sales, and supporting fairer global rules. Outsiders help most by removing barriers and producing global public goods, not by running other countries' development.

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