How do you overcome poverty? This guy makes toys
Owen Strachan posts at thoughtlife about how the workings of the free market hold much greater potential for positive long-term improvement in the lives of people in poverty.
In Honduras, where 64% of the population lives below the poverty line, a for-profit business, Tegu Toys, is improving the quality of its employees’ lives, creating more jobs as it grows, and giving families a vision of a new and better future.
Chris Haughey, co-founder of the company, says the real solution to poverty is to launch many small engines of economic growth that affect not just a few people for a little while, but entire communities — with the potential to permanently change an entire society for the better.
“You think the solution to poverty is more aid or more charitable giving, but those are only short-term, stopgap solutions. If you care about the poor, then you are going to seek out ways to create new economic opportunities for them,” Haughey says in the 3-minute video posted at the site. “… What we really need to address issues of poverty is economic growth through for-profit mechanisms that create sustainable opportunities for people.”
Strachan points out that “Bono (who famously campaigned for debt forgiveness) recently acknowledged this” and notes a Yale University study that showed “the stunning effects of the free market upon the global populace.”