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The Earth Times | Posted September 4, 2002



Sustainable Development
World Bank's Wolfensohn says that poverty and inequality are at the root of global ills

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BY ROBERT E. SULLIVAN

Copyright © 2002 by The Earth Times. All rights reserved


AMSTERDAM--Grappling with the very difficult question of "why," a somber James D. Wolfensohn, president of the World Bank, surprised many people on Sunday by bringing up the subject of world poverty.

Pressed by veteran BBC host Sir David Frost, who was digging deep for root causes of the tragedy faced by the world community in the wake of the World Trade Center attacks, Wolfensohn brought up the theme of "inequality" in the world that he said the bank had been fighting for years.

"We have three billion people that live under $2 a day and a billion two hundred million that live under $1 a day," he said. "We have to fight that poverty."

He said the new world is one in which "a few people can do what armies used to do" in the old world.

Frost cut off Wolfensohn because of television's time restraints, but Wolfensohn was not, in fact, making news. Last year he told an international banking meeting in this city that inequality and disruptions of peace are interrelated:

  • It is a very split globe between developed and developing, and that within countries you have very considerable inequities.
  • It really is an issue of peace, because it is unlikely that you will have stability, in a world of inequity. People who have nothing, or have little, or no place to go or no opportunity, react like you or I would react. You want to protect your kids. You want to create a life. So you react.
  • Now you need to ask yourself the question: Why is this of any concern to me? Why, if you live in Holland or the United States or Europe, is this a relevant consideration? And the answer is that we are in a world that is very different to the world that we knew 20 or 30 years ago. It is different because the pace of change and the pace of globalization is accelerating more rapidly than ever in history. And instead of there being two worlds of this developed and that developing world, everything is pushing us together.
  • Interconnectedness in trade, finance, health, migration, drugs, crime, war--interconnectedness of all types -- is making this world, instead of two worlds, one world.
  • And all the academic analysis indicates that within countries the cause of crime and distress is frequently associated with poverty, and the extension of that to the international condition is that if you have instability and inequity, then you lack peace
  • So at its simplest, the issue which is of concern to me and of concern to my colleagues is the issue of equity, of social justice or, if you look at it beyond that, the issue of peace.
  • If you want your kids to live in a peaceful world in the next 25 years, then you better be interested in the question of poverty."
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