Banker to the Poor
 

by Mohammed Yuunus, is inspiring and helps me rethink positions on poverty about how we can make a difference.

http://www.amazon.com/Banker-Poor-Mi.../dp/1891620118

For those who read it when it came out, I apologize for being late to the party, but it is eye-opening for a lifelong American who looked at poverty from our eyes. Those with a conservative political philosophy should read it, and I believe you'll find it a religious experience to view it through his eyes.

Does anybody know this book?

http://www.amazon.com/Fortune-Bottom...T4RBYVK19HT0Z6

Of course every idea must be critisized.

http://www.mises.org/freemarket_detail.aspx?control=215

The complaints are as follows: it's not entirely commercially viable in the opinions of some observers because it relies upon subsidies, and arbitrage of low interest money, it's social engineering because of the fiver borrower cell and 16 points of agreement, and it can't solve all aspects of poverty.

I migth add it assumes the poor wish to work and have some skill to market.

I have a good friend heavily involved in microfinance. He used to work for www.themix.org I think he took a job with some machinery company that helps farmers and soil in Salt Lake so he could move back to the motherland.

What was your impression of it all?

A couple of years ago when we were driving back to DC from the North Carolina Utah FB game he espoused the gospel to me. In theory I think its great. The problems you run into especially in foreign countries is the principle of "you can't sue a rock" IE If they default you never see that money again and its difficult to collect.

microlending is very similar to person to person lending

http://en.wikipedia.org/wiki/Person-to-person_lending

The problem is the these poor entrepeneurs are hamstrung by their governments so even if they have finances the barriers to entry are extremely difficult.

In short good concept but real world problems make it difficult