There is very little that a shirtless can produce. If they were useful, they wouldn’t be without shirts in the first place. There’s no poor people who did not deserve the fate of being poor. There’s no hard working and quick learner that you can look and say: “That is an unjust fate. Being so hard working, quick learning and being poor”. Nope. Economy rewards working and knowledge. The good ones are being rewarded. Useless ones are shirtless.
Not to allow people to end up being poor there is a mechanism provided by government called education. You throw the guy inside a room at an early age and drum on him some values and some skills, betaing him occasionally also helped. Then he comes out of school at the age between 15 and 22 and he does something about himself and won’t become poor. But of course this costs a lot. It is a huge investment into the potential shirtless to get him to a stage where he can buy shirts.
Human beings reacted to that “education as a mean of getting a shirt” by thinking: It is just enough to seat inside the room, listen to the teacher and shirts are on the way. Thus you may invest and still do not get the result you want. Therefore you get schooled guys who are useless and cannot operate on a modern economy. (For simplicity we leave criminals out)
A nation populated by a huge amount fo shirtless, has only one chance to come out of that poverty: having less number of them. They are a drag. You can calibrate the number of shirtless for a given amount fo resources and the aoutn of capable people and you get a Canada or an Australia. (They limited immigrants). If you get a shirtlessland such as Brazil, you will only be able to get enough capable people who can do something useful, and make a difference, once the number of shirtless being born goes down. Only demographic window can provide that opportunity.
Let’s say in Brazil you get 7 million people who can operate, productively, in a modern economy. There are fucking 177million who cannot. Thus the only way the economy can grow is finding how it can, with only 7 million people -out of 184 million- create wealth. That’s is easy: planting food and doing mining. How about the service economy? you may ask. How can you operate the service economy with arms legs who has less training and brains? You know that the service economy underlies the farming and mining sectors. That is easy! Computer technology enabled the service economy to be operate by a person with very little skills. Skills found in India and the Philippines by the bus load as outsourcing shows. For example: you don’t need capable people doing banking, you use ATM’s. Get rid of the need for usefull people. You can extend the bank example to the whole economy… Although Elroy won’t get the picture.
Now you can see how, although it cannot aerodinamically fly, the Brazilian bug is flying: huge amount of resources, which doesn’t need a lot of capable people and the service economy that can be operated by little brain on top of a pair of legs. Capital loves that. Capital doesn’t ask for diplomas or for pedigree. Only return. So Elroy can forget about nice neighborhood as capital attractive.
The side effect is guys in developed countries lost a huge amount of world income. Before, they could concentrate whole industries inside their borders because they had 30 million people and 7million could operate in a modern economy. Thus they got rich by taking all the raw materials, from the God Forsaken countries, carting them away to their countries producing goods and then exporting at a high valued added. Now this is no longer possible. The value of the people who can operate in a modern economy there –in rich countries- now is low. You can operate with little skills and they lost their leverage. As a result, you can move Ford and GM to Brazil and operate from there. You can operate a mobile network by a chimp. OPEX costs down you can sell mobile services to the shirtless. Before you need brains and capabilities to operate such complex systems. Lots of expatriates brough in to help. No need anymore.
Then you have those anomalies who, not only understands the system inner workings, but also can use it to his own advantage. And on top of all that, can articulate it. My competitivity weapon?
EXPLAIN COMPLEX STUFF IN SIMPLE TERMS THAT THE IDIOTS IN THOSE COUNTRIES I WORK CAN UNDERSTAND Therefore helping people with little to show up to produce something useful. |