One of my favorites, passed out by our business school professor Dr. Jones Christensen to the entire class on the last day of “Introduction to Sustainable Enterprise.”

The Development Set
by Ross Coggins (1976)

‘Excuse me, friends, I must catch my jet
I’m off to join the Development Set;
My bags are packed, and I’ve had all my shots
I have traveller’s checks and pills for the trots!

The Development Set is bright and noble
Our thoughts are deep and our vision global;
Although we move with the better classes
Our thoughts are always with the masses.

In Sheraton Hotels in scattered nations
We damn multi-national corporations;
injustice seems easy to protest
In such seething hotbeds of social rest.

We discuss malnutrition over steaks
And plan hunger talks during coffee breaks.
Whether Asian floods or African drought,
We face each issue with open mouth.

We bring in consultants whose circumlocution
Raises difficulties for every solution –
Thus guaranteeing continued good eating
By showing the need for another meeting.

The language of the Development Set
Stretches the English alphabet;
We use swell words like “epigenetic”
“Micro”, “macro”, and “logarithmetic”

It pleasures us to be esoteric –
It’s so intellectually atmospheric!
And although establishments may be unmoved,
Our vocabularies are much improved.

When the talk gets deep and you’re feeling numb,
You can keep your shame to a minimum:
To show that you, too, are intelligent
Smugly ask, “Is it really development?”

Or say, “That’s fine in practice, but don’t you see:
It doesn’t work out in theory!”
A few may find this incomprehensible,
But most will admire you as deep and sensible.

Development set homes are extremely chic,
Full of carvings, curios, and draped with batik.
Eye-level photographs subtly assure
That your host is at home with the great and the poor.

Enough of these verses – on with the mission!
Our task is as broad as the human condition!
Just pray god the biblical promise is true:
The poor ye shall always have with you.’

Similarly, who is “poor?”  A person living in a remote Ethiopian village where everyone makes $2 a day (using purchasing power parity exchange rates), or someone living in a Chicago housing development with an annual income of $5,000?

“Well…” says Mr. A, the inexperienced economics student, “both their incomes are above their respective poverty thresholds, so they should have enough for life-sustaining goods. But the person making $2 a day is closer to that threshold, so he must be poorer.”

Dr. Goldberg, the economist counters, “Actually, the Ethiopian is surrounded by people making the same income and the person living in Chicago has an income far below the average national per capita income, so the latter, from a relative perspective, is poorer.”

The capriciousness of absolute and relative poverty in the developing world has captured much attention within the last century.  Through empirical work and countless trial and error, economists have developed strong summary measurements of poverty, such as those below:

Poverty gap index: Economists use this model to measure how much income is needed to bring the population under the poverty line above it.

Gini coefficient: A widely used ratio statistic that measures the relative degree of income equality between countries or areas.

Foster-Greer-Thorbecke index: A popular model used to measure the degree of income inequality among the poor. It was considered such a strong measurement of poverty that it is included in the Mexican constitution.

In contrast to these dry quantitative theories put forward by economists, Nobel Laureate Amartya Sen has developed a far more qualitative, human-based approach to measuring poverty.  In his book “Development as Freedom,” Sen outlines his idea of how economics could be broadened to better measure people’s well-being.  As Sen explains, “focusing on human freedoms contrasts with narrower views of development, such as identifying development with the growth of gross national product.”  In particular, Sen examines the ways in which expanding people’s freedoms can be both a viable means to economic growth and a desirable end.  His unique approach suggests that poverty is far more complicated than a simple lack of income and should in fact be measured by the “capabilities” people have to live the type of life they desire.  This broadens the term “poverty” to take into account the education, political freedoms, and health services available to people.

Sen’s principles were a major influence in the formulation of the Human Development Index, a powerful method of comparing social well-being across countries. The Index takes into account life expectancy at birth, level of education and standard of living to give an overall measure of a country’s well-being.

So, if asked which person was poorer (the Ethiopian or the person living in a housing development in Chicago), Sen would consider any answer incomplete that doesn’t account for social, political, and institutional circumstances.

The mutatis mutandis assumption strikes back!

1. Population, Poverty and Economic Growth

The interconnectedness between these three drivers and their impact on global development, brought to you by my favorite think tank- the Center for Global Development.

2. Opening Trade Barriers in Haiti

Another article from the Center for Global Development, that focuses on the parallel between development strategies deployed in Africa and new mechanisms that could be deployed in Haiti.

3. Channel 19: A Global Social Media Network

WOW! A collaboration between two organizations (Video Volunteers from the US, and Drishti from India)that  incorporates social media, video, and the internet to bring community-based stories and videography to life around the globe.

Re-Vision Labs has partnered with the innovative interdisciplinary program Three Degrees for the Digital Media and Learning Competition supported by the MacArthur Foundation.  If the joint proposal is successful in securing a grant, Re-Vision Labs will create a participatory online platform to connect Three Degree’s interdisciplinary Climate Justice Seminar with host community partners in the high-Andes and other climate vulnerable communities around the globe.  Please check out the entire proposal here—we are looking to find additional innovative and established partners within the competition to see whether our collaboration can be strengthened further.

Three Degrees, which is comprised of 25 graduate students from 15 different departments at the University of Washington, is researching how communities in the high-Andean regions of Ecuador will adapt to glacier retreat.  At the completion of the 5-month seminar the graduate students will create climate adaptation assessments focusing upon 5-issue areas:  health, food & water, security, equity, and justice.  Currently, the seminar is in its first phase as pilot project.

Read more of this >>

In 2001, Washington experienced a 6.8 magnitude earthquake. Although some infrastructure and buildings required extensive repairs, not a single life was lost. When compared to the tens of thousands of lives lost in the 7.0 magnitude quake in Haiti, it is clear that poverty was a key factor.

Already one of the poorest countries in the world, our neighbors in Haiti need our help.  They have lost their government, their roads, their homes, and – I would imagine – their hope.  And we can do something for them.

Seattle Greendrinks, SeaMo, Re-Vision Labs, and Global Washington have joined together to co-host “Washington for Haiti” in recognition of the urgent need for support.

Some may ask why it is necessary to hold an event, rather than just encouraging direct donations. We agree that direct donations are critically important, but we feel compelled to provide an opportunity for the Seattle community to gather and learn from experts and witnesses, since the more we know about the tragedy, the more likely we are to commit to supporting the long term changes needed to ensure that a disaster of this magnitude never happens again.

Please Join Us

When: Thursday, 28 January 2010, 6pm-9pm

Where: Pike Brewery, 1415 First Ave Seattle WA

What: A Benefit to support the work of one of Haiti’s most well-established economic development organizations, as they play a key role in emergency relief and long term reconstruction efforts.

Who: Hear from speakers representing Fonkoze and other organizations working on the ground in Haiti, as well as live music from Sunday Evening Whiskey Club.

Cost: $20 suggested donation at the door, with all proceeds going directly to Fonkoze.

Read more of this >>

Last week, on a dreary, rainy Seattle night, 500-600 people walked through a door in the Fremont neighborhood of Seattle.

Inside, they mingled. The room was filled with conversation about sustainability, about ambitious goals, and about fundamental world change.

Terry Provance and Re-Vision Labs gave everyone something new to think about: how our money can change the world. And not with donations, with real investments in people.

Join The Movement

The economics of the past clearly haven’t worked, as we have seen over the past several years, but particularly in the last year. The economic norms don’t have humanity in mind, they are not for the good of the people, they are for the good of the few. The rich few.

Money is one of the things that makes the world go round, there’s no denying it – when the economy goes south, we all feel it.  However, I firmly believe individual actions make a difference. I believe each of our actions together can change the world.

So let’s redefine finance, change how money works or doesn’t in our world. Let’s put our money where our passion is and truly, completely, invest in our future.

How Does This Movement Work?

Instead of investing your money in a money market fund, or keeping it in a savings account, you put it into a microfinance fund like Oikocredit. That fund is used to provide loans and business services to people in the developing world who cannot obtain a bank loan for their business plan (because they are poor and have no collateral or previous credit history). These loans have a 95-99% success rate – much higher than typical small business loans. And in 35 years, Oikocredit has repaid every single lender with their money plus interest.

It is a strategy for bringing people out of poverty by helping them become self-sufficient. And it is a strategy for changing the world by changing what we do with our investments: why give our savings to a big bank who cares nothing about you, your money, or the greater good of the world? You can do more with your money.

How Is That A Movement?

Because we can only change the world if we all do it together.  So that requires each of us to take a few moments and literally join the movement – not just invest, but spread our excitement and encourage our friends and families to invest in people.

Who Does It Help?

Here is a bit I wrote on the Oikocredit website about a woman named Flora:

Flora lives in a region of Kenya where 90% of people in the area live below the poverty line on less than $2 a day. When Flora’s husband was killed and their cattle stolen in 2001, she cried, feeling helpless and hopeless. But with four young children to support, she desperately needed to rebuild her life. With a series of loans – and a lot of hard work – she was able to re-establish her herd and eventually open a small grocery store. Little by little Flora started thinking big again and taking control of her life.

Flora has never forgotten her own struggle and is devoted to helping others in her community. She offers fair credit in her shop to customers who need it. In addition to a home for her family, she has also built rooms to rent out. This housing means others can live affordably and benefit like she has from the town’s growth. Today, she not only feeds and clothes her family; she pays school fees for her two brothers and plans to send her own children to college. Her future dreams include opening another business. Not only does Flora have improved her own life, but she has also become the inspiration for other single women in her community. Photography: Samburu Teachers Sacco

But quite honestly, it doesn’t just help Flora.  It helps you, and me, and our friends, our families, our neighborhoods, and our world. I firmly believe that part of living in a sustainable world is helping our neighbors, helping spread the wealth and happiness to other communities, and being there when others need us most.  Sometimes the best thing we can do for the planet – and for ourselves – is to help others.

Why am I so excited about creating a movement with our partners at Oikocredit?

The founders of Re-Vision Labs set out to change the world as a business, and we don’t choose our clients lightly.  Oikocredit has been around for 35 years, with an amazing mission and truly selfless people working together. They also take huge strides to make sure their work is socially, environmentally, and economically sustainable.  They want to improve the world just as much as we do, and they believe, as I do, that we can change the world by changing what we do with our money.  Learn more at the new interactive website we’ve created with Oikocredit.

There are other great microfinance organizations as well.  If you want to look around at other microfinance organizations to pick which one works best for you, just make sure you investigate them as we did with Oikocredit.  Make sure they are offering loans at reasonable rates to people in the developing world, and that they offer services beyond loans – support services like courses in creating a business plan, accounting, marketing, etc – these things are what make the biggest difference.

Thank You For Joining Us

Last week we gathered 144 names of people interested in becoming a part of the movement in microfinance.  We gathered $1,000 in donations to the Seattle Greendrinks Oikocredit investment fund.  We gathered a lot of excitement and interest in a new way of investing.

And this is just the beginning.  This is just Phase 1, the pilot project. We will be expanding this movement around the country, and eventually around the world. So if you know anyone who may be interested in helping us champion this cause, PLEASE let us know! Leave a comment, send us an email, give us a ring. Thank you for helping us truly make a difference in the world.

We thank our community so much for joining us, and for having open ears and warm hearts. Together we can change the world.

We had a wonderful event last night, which we’ll share with you soon.  But we wanted to write a quick note about Haiti.

For those who have never been to the island of Hispanola, half of the island is the Dominican Republic and the other half is Haiti.  I have spent some time in the Dominican Republic, and have seen the devastation that occurred there from a tropical storm two years ago.  Because the country has such extreme poverty, many structures are less sound, incomes less resilient, and farms less supported by government help in these times.  It was a devastating blow to the country’s poor.

Haiti is much more impoverished.  I met several Haitian refugees in the DR, who worked in the sugar cane fields.  Without potable water nor proper sanitation and barely roofs over their heads, they were still better off in the DR than they would have been in Haiti.  And they had dreams, just like the rest of us, of good jobs and education for their children, as well as hopes for simple, basic human rights and dignity.

Last night there was a devastating earthquake with its epicenter near the capitol, Port-au-Prince.  I can only imagine what a severe earthquake could do to the people of Haiti.  Already more than 50% of Haitians live on less than a dollar a day.  The full effect of the 7.0 earthquake will not be known for a while, but the Red Cross has estimated it to have affected upwards of 3 million people.  That is one-third of the population of the country.

Across the country, Parliament, hospitals, businesses, homes, and schools have collapsed.  Our hearts are with the people of Haiti today.

What You Can Do

Donate Funds

The Haiti Relief Fund has a list of organizations accepting donations.

UPDATE: From your cell phone, simply text “Haiti” to 90999, and it will automatically donate $10 to the American Red Cross (how easy is that?  Your phone company takes care of the rest – and takes no $$ from the transaction) or donate directly via Google to the charity of your choice.

Invest In the Future of Haiti

We are working with our partner, Oikocredit, to find out where you can invest there.  While donations are incredibly important right now, investments in the future of Haitian businesses – to help them rebuild in the aftermath – is going to be incredibly important as well.  We’ll let you know as soon as we find out how to do this. UPDATE: You can make an investment to Oikocredit’s funds in Haiti directly here.