Re: USA Africa Dialogue Series - WHAT MAKES AMERICA GREAT? PLEASE, EDUCATE US.

Professor Emeagwali:

I am sorry, but I must disagree with your assessment of the U.S. economy. While there are many reasons for my disagreement, I will mention only a few. 

First, there is a saying among economists that "if you torture data enough, it would confess to anything." Politicians, especially those running for public office, are adept at "tortured" interpretations of data. Hence, I would not base my assessment of the strength and viability of the U.S. economy on interpretations presented by Mr. Trump and Senator Saunders, individuals who are currently in the process of seeking the position of the President of the United States. Politicians are most likely to provide simplistic and quite often, distorted views of the economy, in an effort to appeal to prospective groups of voters.

Second, a country's outstanding debt alone does not determine its economic viability or prowess. One must also seek information on the level of the assets whose earnings are used to service this debt. Perhaps, more important is the question as to what this debt was used for. Was it used just for consumption or was it invested in wealth-creating structures (e.g., social overhead capital, including educational institutions, bridges, roads/highways/airports/seaports, hospitals and health clinics, sewage treatment and disposal plants, etc.)? These structures include legal mechanisms for the peaceful and effective resolution of the conflict that arises from trade and other forms of exchange.  In other words, was the debt used to build a strong foundation for the creation of wealth? If yes, then, the level of the debt in itself is not an indication of massive economic distress--either in the long- or short-term. One need not be an economist to recognize the strong foundation on which the U.S. economy is built.

Third, while income inequality is a universal problem, one has to be careful about how the statistics on inequality are interpreted. The critical issue is not the nature or level of inequality in the economy in question, but what is being done (by both the public and private sectors)  to deal with existing inequality and whether the methodologies chosen by the government to deal with this issue are sustainable. The two most important ways to deal with income inequality are (i) income redistribution through tax policy; and/or (ii) the provision, usually by the government, of opportunities for low-income earners to develop higher skills and competences that can allow them to participate at higher and more gainful levels in the economy. Both approaches require higher marginal tax rates. Using the first method (i), the government can transfer income directly from higher-income earners to lower- or non-income earners. This approach has several weaknesses, the most important of which are that it creates perverse economic incentives and discourages the poor from making the necessary investments in human capital development and, at the same time, may discourage productivity in income earners. In fact, high marginal tax rates, to enhance transfers to the poor, have been determined to have a negative impact on entrepreneurial activities. Finally, the first method is not sustainable since, as transfers increase, the GDP is likely to grow smaller and smaller and in the long run, such regressive growth would create significant problems for the government's ability to sustain public expenditure programs. The second method is the more sustainable one but has one major problem--it requires a lot of initiative on the part of the poor. 

Fourth, there is abundant evidence to show that countries that have based their economic policies on forced equality in the distribution of income (that is, efforts to achieve equality are based exclusively on income redistribution through taxation) have either remained economically stagnant or have actually suffered from economic collapse. 

Fifth, inequality in the distribution of income has its benefits--it provides the impetus for a lot of entrepreneurial activities, many of which have produced some of today's most important products. The question to ask is: Does the economy, as currently structured, provide the poor with opportunities to acquire the skills that they need to participate fully and effectively in and benefit from economic growth and wealth creation?

Sixth, many surveys of poor people across the globe and across many time periods have shown that many of them would rather live in a country with significant inequalities in income distribution but which offers reasonable opportunities for upward mobility--this is the reason why the United States is so attractive to the poor from virtually all countries in the world. Hence, despite its shortcomings, the United States economy remains the economy of choice for both the poor and rich of the world--note the massive transfers of investment resources from China (PRC) and several other emerging economies to the United States during the last ten years, even as officials in these countries continue to claim that the United States is in decline, both economically and politically. 

Seventh, during the last 30 years, I have studied, researched, and lived in the world's top 5 economies. Given the opportunity, I still prefer the United States. It is true that racism is a problem in the United States--things are not that better in other countries, especially for non-white peoples. However, as a black man and one well informed about both the economic and legal systems of the United States, I still prefer living and working  in the United States than in many of the other countries around the world. It is always possible, especially given the relatively easy access to public information in the United States, for one to come up with statistics, as well as incidences, that portray the country in negative light. Yes, the United States has its shortcomings, but when compared to other alternatives, the evidence points to the United States as the world's strongest and most sustainable economy.

Eighth, the American Republic is a work-in-progress. Despite its tortured history, even minorities, including many Africans who came to this country just a few years ago, are contributing positively to the continued restructuring of the country's institutions to bring about a more enabling environment for growth and development. In other words, what the country ultimately becomes is still being worked on and written and Africans, as well as other immigrants, are actually contributing to that process of  nation-building. 

Finally, and on a personal note, when I came to this country several years ago as a student, I was not provided financial assistance by my country of origin. Even after many requests to the embassy, I was not granted any financial assistance. I was lucky enough to go to a college that had an extensive and well-structured work/study program. It was this program that financed my undergraduate studies. The only form of financial assistance that I had was a merit-based graduate fellowship (which required that I teach introductory classes in economics) for the PhD program. I am not one of those on this list who received a free education.

Emeagwali

On Fri, May 13, 2016 at 2:52 PM, Emeagwali, Gloria (History) <emeagwali@ccsu.edu> wrote:

America is not great, economically. I tend to agree with both Trump and Sanders on this.

A country in debt to the tune of 19 trillion dollars with massive wealth disparities that are

almost as bad as South Africa's cannot be considered an economic  role model  - by any stretch of the

imagination.  The Gini index for  the USA is 41.1. The best scenario is 1.

Most Americans live on credit card debt and engage in deficit financing,

as does the government itself. The government runs on borrowed money. Is this an enviable model of

economic governance? 

Students emerge from College owing as many as 250, 000 dollars,

if they were law students, or about one quarter of that if they were in the arts and sciences.

Theirs is a life of misery when they don't find that well-paid job.

Many of us on this list  are doing quite fine economically. We probably did not inherit student debt and  probably got free education

from some other country, but that should not cloud our judgment.

Lawyers should be bothered  by the high rate of incarceration in the United States, or the disproportionate

percentage of Blacks in American jails. Human rights advocates should feel dissatisfied by incidents of

police brutality and the reality that there are political prisoners in the prison system.

Peltier, the activist from AIM has been in jail for 40 years.

 Having said that,  let me state that America's greatness  lies in politics and

 governance.

The US seems to have the magic formula to keep the military directly from power. There are a few rigged elections

 here and there,  and  bouts of jerrymandering, but  generally, so far, the US  can claim high marks in electioneering,

 electoral politics and about thirty years of participatory government  - beginning  from the 1965

 Voting  Rights Act.

 It is still too costly to be  a  political candidate but you can follow the Obama/Sanders

model and get small contributions from the public and run in elections.

The  United States is the greatest country in the world if you ignore the high levels of poverty,

high numbers of homeless people  on the streets, police brutality,  extra-judicial use of drones; NSA espionage on citizens

and so on.

 You can be on safer ground, though, if you recognize its great strength politically in terms of

 the structures of governance - although  they led us down the path to gridlock these past few years, unfortunately.

 There is much to be learnt from the political successes of the USA. 

We are witnessing a great transformation  right now, and  we  are  all holding our breath. Even so,  no matter the outcome,

we are witnessing democracy in action. The Bush dynasty has  been challenged; the Tea party thrown into disarray;

Ted Cruz, the   Taliban Conquistador, muffled. We are also witnessing the emergence of  neo-fascist tendencies in some

quarters  but hopefully those would  be  eradicated in this  complicated mix of honey and gall.

Professor Gloria Emeagwali
History Department
CCSU. New Britain. CT 06050
africahistory.net

vimeo.com/user5946750/videos
Gloria Emeagwali's Documentaries on

Africa and the African Diaspora

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From: usaafricadialogue@googlegroups.com <usaafricadialogue@googlegroups.com> on behalf of kenneth harrow <harrow@msu.edu>
Sent: Thursday, May 12, 2016 1:06 PM
To: usaafricadialogue@googlegroups.com
Subject: Re: USA Africa Dialogue Series - WHAT MAKES AMERICA GREAT? PLEASE, EDUCATE US.

 

hi john, et al
when i criticize africa, i look over my shoulder. although there is much to criticize, i don't think it is "africa" i am criticizing; it isn't "africans" i am criticizing. it is bad people doing bad things in a location that happens to be on the continent. when i meet a congolese, i don't think, you are terrible because mobutu ruined your country. i think, mobutu did bad things, with the help of lots of bad actors at home and abroad, and some people really got screwed because of that. but the person i meet has his or her own life, people, accomplishments, or failures. not mobutu's.
that said, my right to be critical is somehow marked by my life, citizenship, residence, etc. which makes no sense, but nonetheless is how people will respond.

i don't feel "proud" of my country, the u.s., because there are some institutions, like universities, that have some good sides to them. there are also negative sides to our institutions, which are unenviable. there are horrible sides to our society, and i don't look over my shoulder when i accuse trump of being a fascist, or having enormous numbers of supporters whose views i find execrable. i don't feel proud because there is a decent candidate running for the president.

i don't want to conflate the institutions that work here with my country. i am happy to praise wonderful things and people, but why extend this to the nation itself? and if i do, then how do i understand that praise in the same breath that i use to criticize the really had sides to our country?

i know that you, john, understand what works and what doesn't work. should we be giving a country credit for what works, while not simultaneously denigrating it for what doesn't work?

there is a bottom line to all this. we erect structures of exclusion once we construct the nation-state as the site for identifying ourselves or others. there is a real cost to nationalism, which, at least at certain historical moments--most in fact--includes a great deal of bellicosity and xenophobia. a very heavy price to pay for saying, well, we are "the greatest."  and in fact, one of those prices happens to be extreme-nationalist positions that harmonize with neofascist tendencies.

ken

On 5/12/16 12:46 PM, John Mbaku wrote:

I have been doing this for more than 25 years and this has included not just writing and publishing pieces in both academic and popular journals, but also engaging various stakeholders on the continent. Unfortunately, few them seem to be genuinely interested in learning about the American experience in political and economic governance. Many of the African leaders that I have talked to and worked with are quite aware of the American experience--some of them actually studied and lived in the United States for many years before returning home to work in government or currently work closely with or have access to advisors that are quite knowledgeable in the American experience. Yet, few of them are willing to do what is necessary to establish the type of institutional arrangements that form the foundation for the American success in many fields of endeavor. 

On Wed, May 11, 2016 at 7:45 PM, Kayode J. Fakinlede <jfakinlede@gmail.com> wrote:

For many an African, there is a burning desire to live in America. There is a perception that indeed, America is the greatest country in the world.

We look at almost all areas of human endeavor, we see America in a position of leadership. Be it in the sciences, technology, arts or sheer physical exertion, America occupies either the top of the totem pole or quite near the top. All in all, America is a country that by and large, is the envy of the world.

Try as we may, not all Africans will ever have a chance to live in America. And even for some, a visit to this great land almost never affords the opportunity to see the internal dynamics of America to decipher what is responsible for its greatness.

However, for some of us, we have been privileged to be part of this society and some of us for decades. We consider ourselves Americans, by the privilege of being naturalized citizens. We also participate in the running of the country in one way or another. In other words, we individually consider ourselves as part of the engine that makes this engine move.

Nevertheless, we know that inside us, we are still Africans. We long for the day African countries will be as 'advanced' as America. For many, we may have lost the hope of coming back to live in Africa because we cannot leave the comfort of a smooth running society for where things just 'do not work'.  We miss the accoutrements that our great continent offers: friends, family, the weather, the food, etc.

However, to personalize the song of the great Neil Diamond 'I am, I said', America is fine, but it ain't home; Africa is home but it ain't ours no more. We are now lost between two shores.  What we do in some instances, is make blistering condemnations, sometimes justifiably, of those left at home, blaming them for our own malaise. But do we ever reason that these people just do not know how to do things right?

And there comes America to our rescue. We now have that great communications gear called the internet. This medium gives us the solace that we can live away from the continent and still be part of it. We know what is happening in as much as we care to know.

ALL I ASK: PLEASE EDUCATE US

Please take a few minutes of your time, reflect on what you have learned in America that makes it a great country; And, without any urge to criticize any African government, educate us.

We should be able to have some good materials coming from this exercise that our leaders can now use to educate themselves. 

FAKINLEDE

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--   kenneth w. harrow   professor of english  michigan state university  department of english  619 red cedar road  room C-614 wells hall  east lansing, mi 48824  ph. 517 803 8839  harrow@msu.edu

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JOHN MUKUM MBAKU, ESQ.
J.D. (Law), Ph.D. (Economics)
Graduate Certificate in Environmental and Natural Resources Law
Nonresident Senior Fellow, The Brookings Institution
Attorney & Counselor at Law (Licensed in Utah)
Brady Presidential Distinguished Professor of Economics &  John S. Hinckley Fellow
Department of Economics
Weber State University
1337 Edvalson Street, Dept. 3807
Ogden, UT 84408-3807, USA
(801) 626-7442 Phone
(801) 626-7423 Fax

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