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December 29, 2006

A Populist’s War on the Poor

As if rigging election, torturing and killing political opposition, and driving Zimbabwe’s economy into the ground were not enough, Zimbabwe’s Robert Mugabe (a self-proclaimed socialist) is now back to destroying the homes of the poor in addition to taking away their sole means of livelihood.

And there is no relief in sight. Mugabe announced earlier this month that he has extended his term that began in 1980 to 2010.

Zimbabwe holds 16,000 over mining

Police in Zimbabwe are reported to have arrested more than 16,000 people as part of a government drive to curb illegal mining.
The three-week-long campaign targeted settlements around the mining fields and seized large quantities of gold and diamonds, state media said.
During the raids, police officers burnt temporary homes used by panners.
"The unemployment rate is above 80%. Also the manufacturing sector has shrunk by 60%. Zimbabwe is in its worst economic recession so everybody will do anything to survive," Brian Hungwe said.
As well as chronic unemployment, Zimbabwe has the world's lowest life expectancy and highest inflation rate.
Mr Mugabe says he is the victim of a Western plot to bring him down because of opposition to his seizure of white-owned land.

Posted by Peter Mork at 9:54 AM | Comments | TrackBack

December 20, 2006

Enforcing Mixed-Use Zoning Laws in Delhi

Shikha Dalmia explains the consequences on the op-ed pages of the WSJ:

India's Supreme Court earlier this year ordered an extraordinary campaign to close all businesses in the residential areas of New Delhi because they violate the city's zoning laws against mixed use. But if the court proceeds with this misguided crusade, India's capital may never attain its "world class city" aspirations. This is the lesson from America, where similar laws contributed to the decay of once-vital core cities and created anemic, sterile suburbs…
The Confederation of All India Traders maintains that enforcing this plan could potentially shutter 500,000 businesses and render nearly 2.5 million people unemployed. It is hardly surprising then that the initial round of business closings ordered by the court triggered massive protests that caused four deaths and forced authorities to call in paramilitary units. The drive was subsequently suspended until Jan. 31. But the question remains: Will inflicting all this pain and suffering on businesses actually produce a better New Delhi?
Some of the businesses might be able to pay the exorbitant rents of newly constructed, Western-style malls and relocate, as the court wants. But the vast majority won't be able to move, notes Parth Shah, founder of the Center for Civil Society, a Hauz Khas-based think tank that he created by carving out office space in his flat. This is not only a matter of expense; rather, many of these businesses depend on their communities and can't be transplanted elsewhere. For instance, neighborhood grocery stores will lose their function if they are relocated to a strip mall a mile away. Women who have to balance work with household chores will be unable to stay in business. The upshot will be a net attrition of the economy.

This article has all the more meaning as I met with Dr. Shah in his Hauz Khas-based office when we were in Delhi last April.

It is also interesting to note that although Wal-Mart is currently barred from setting up shop in India, when they do gain entry into the country enforcing these laws will benefit them enormously. Meanwhile, here in the U.S. we’re banning Wal-Marts under the premise of making our cities more like Delhi (i.e. “walkable, livable communities, not big, megastructures that inhibit people’s lives.”)

Of course, leaving it up to people to voluntarily decide where to shop is, in both countries, always out of the question.

Posted by Peter Mork at 7:33 AM | Comments | TrackBack