development in southern sudan

Blattman stresses the importance of security, stability and predictability over other forms of intervention.

States, like people, have attention problems, only more extreme. The new government may only accomplish one or two big things in their first five years. If, fifty years hence, we want the poor of South Sudan to prosper, paradoxically the last thing we need to do is push for the Millennium Development Goals today.

give every incentive for elites, especially the ones apt to war, to invest in fixed assets whose value depends on stability and growth. Make them entrepreneurs. Oil rigs don’t count. Property in Juba does. So do plantations and small factories, even if they need subsidies to operate at first. This is hard, and will require attention and dedication.

With these accomplished, I’d next aim for economic growth. Which may or may not involve pro-poor transfers. Given the choice between three big resource firms and 1000 microenterprises, I’d choose the firms. (And remember: I work on fostering post-conflict microenterprises for a living.)

My two cents on this:

This is absolutely right. But with the caveat that the security hawks should be watched. They tend to overstay their welcome. Rwanda, Uganda and Ethiopia needed security more than a decade ago. Now their saviors, Kagame, Museveni and Zenawi, respectively, are quickly turning into latter day Bokassas.

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One thought on “development in southern sudan

  1. Pingback: What should South Sudan do? | Kantoos Economics

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