SELECTIVE CONSUMPTION
to END POVERTY
By Dan Jeune
1 Half the world — nearly three billion people — live on less than two dollars a day.(Ramonet, 1998)
2 The GDP (Gross Domestic Product) of the poorest 48 nations (i.e. a quarter of the world’s countries) is less than the wealth of the world’s three richest people combined. (Chris Brazier, 1997)
3 The total wealth of the top 8.3 million people around the world “rose 8.2 percent to $30.8 trillion in 2004, giving them control of nearly a quarter of the world’s financial assets.” In other words, about 0.13% of the world’s population controlled 25% of the world’s assets in 2004.
4 Less than one per cent of what the world spent every year on weapons was needed to put every child into school by the year 2000 and yet it didn’t happen. (Chris Brazier, 1997)
5 1 billion children live in poverty (1 in 2 children in the world). 640 million live without adequate shelter, 400 million have no access to safe water, and 270 million have no access to health services. 10.6 million died in 2003 before they reached the age of 5 (or roughly 29,000 children per day).
Selective Consumption is a progressive movement that promotes the consumption of selected items that will be a way to redistributing wealth amongst the people of the world. It is a movement that attempts to empower all people through economic exchange and fair trade possibilities.
The way money is dispersed around the world reflects unequal access to necessities people need to survive. Poverty is at an all-time high, and most monetary resources circulate through few hands. In order to counteract the global epidemic of poverty, capital must be re-circulated to offer individuals and communities an opportunity to thrive.
The objective of the Movement is to create a system that will allow the funds and resources of the world to be better balanced out amongst the people that will better create economic equality between the peoples of the world. We believe that everyone should have the opportunity to work and pursue entrepreneurship by living in an environment that will permit an individual to do so. We believe in free trade where the rules of the game are fair to all and do not cater to certain groups while making it near impossible for those who need it most to prosper. We believe and find it possible that all people of the earth have access to clean water and sanitation. We believe and find it possible to have basic education for all. We know that there is more than enough food on the planet to feed all human beings. Therefore, we believe that it is cruel, unusual, unjust, and evil to find it normal that even one human die due to lack of food. We believe it to be true that all human beings should have access to the basic human necessities of food, water, shelter, and the pursuit of greater things.
Many may disagree with creating a fair system. Some feel that the work and sacrifices they have made result in large annual salaries and other incentives. However, our goal in not to undertake those who have put their blood, sweat, and tears into making comfortable livings for themselves. Our goal is to encourage selective consumption so as to foster a re-circulation of capital to the poorest regions of the world. Selective Consumption is not a charity handout that would baby groups of people, but allow others to produce and compete in a truly fair market.
We are not the first nor shall we be the last to attempt to make a difference. In the past and present many good-hearted people of the rich or those who have enough, have tried many things to make a difference and perhaps put these beliefs that we have into action and make them real. Generation after generation the rich has reached out to the poor. I personally have had numerous experiences of this kind. However, an analysis of long-term trends shows the distance between the richest and poorest countries was about:
o 3 to 1 in 1820
o 11 to 1 in 1913
o 35 to 1 in 1950
o 44 to 1 in 1973
72 to 1 in 1992
The gap between the rich and the poor is steadily getting wider. Are the rich not giving enough? Are the poor not using these funds wisely? Are the poor simply incapable of holding a decent economy on their own? Are those who give wasting their time? The studies have shown us that the situation the poor is not improving. Yet, we believe that if the gap can widen then it can also become smaller.
After much studying, researching, and traveling around the world and living amongst the rich and the poor, it is my conclusion that the reason that the poor remain poor is due to a system that has been created many years ago and for many centuries, that favors the rich and is a disadvantage to a peoples that have not been part of the creation of this system which did not include them as those who benefit from this system. This system, which is currently ‘the system’ all over the world, is of a great disadvantage to many groups of peoples who within the past 1000 years have been enslaved, colonized, or manipulated for the last 200 to 600 years.
For example entities such as the World Bank, the United Nations, and the world powers mask their indifference to human suffering, and unjust economic system creating barriers for the poor to rise, with seemingly charitable and humanitarian aid. The World Banks loans large sums of money to poor nations but with restrictions on how these funds are spent, which usually is at the benefit of nations know as the world powers. The UN created by the rich (United States President Roosevelt in October 1945), is not an organization that unites nations through equality. The United Nations does not treat all nations equally. Many issues as nuclear weapons possession, consequences for violating UN regulations, war crimes, and other issues have not been addressed fairly amongst the nations. For example the United States Presidents have never been prosecuted for war crimes and other presidents whose armies have not done crimes at a greater disservice to humanity as the United States. The United Nation supports International laws that restrict the development of nuclear weapons in most nations while allowing the world powers to continue testing their arsenal of more advanced nuclear weapons. These are only a few examples of unjust and unfair inequality.
Let us call this system the ‘Current System’. This system is obviously not a system that values human life above all. This system allows children and their families to suffer and die of hunger while others throw away food without any notion of the wrong they are doing.
Here are some facts of the current system:
Consider the global priorities in spending in 1998. (Consumerism, Volunteer Now!) (undated)
Global Priority $U.S. Billions
Cosmetics in the United States 8
Ice cream in Europe 11
Perfumes in Europe and the United States 12
Pet foods in Europe and the United States 17
Business entertainment in Japan 35
Cigarettes in Europe 50
Alcoholic drinks in Europe 105
Narcotics drugs in the world 400
Military spending in the world 780
And compare that to what was estimated as additional costs to achieve universal access to basic social services in all developing countries:
Global Priority $U.S. Billions
Basic education for all 6
Water and sanitation for all 9
Reproductive health for all women 12
Basic health and nutrition 13
The problem is that the amount of money spent on luxuries exceeds the amount spent on providing basic human needs such as water and health care for individuals on a global scale.
This movement attempts to create a new system that is not political, nor religious, nor a business, nor an attack on anyone or groups of people. Nevertheless, the new system will be used in all these fields and more, because the movement will infiltrate into all parts of society. The current system has overtaken all aspects of the human life on earth today; therefore it will not be an easy transition. One thing which must be agreed upon is whether the masses or the people of the world like the Current system or is the majority ready for a change?
I would find it hard to believe or comprehend if the majority of humans today did not want a change, since only a few benefit greatly from this system. The richest 50 million people in Europe and North America have the same income as 2.7 billion poor people. “The slice of the cake taken by 1% is the same size as that handed to the poorest 57%.” 20% of the population in the developed nations consume 86% of the world’s goods. The top fifth of the world’s people in the richest countries enjoy 82% of the expanding export trade and 68% of foreign direct investment — the bottom fifth, barely more than 1%. (1998 Human Development Report,)
In 1960, the 20% of the world’s people in the richest countries had 30 times the income of the poorest 20% — in 1997, 74 times as much. A mere 12 percent of the world’s population uses 85 percent of its water, and these 12 percent do not live in the Third World. (1999 Human Development Report.)
Therefore the new system has great potential to be strong in numbers because the majority of humanity want change.
To understand what must be done to counter the Current System let us briefly explain what in going on in simple terms.
Without going too much into the history of how the rich got rich, we see that the countries that got a head start in human research and studies as science, economics, politics, and war have gotten the upper-hand on the other countries or peoples and had an opportunity to control and have power over the late bloomers. Countries mainly in Europe and North America (United States and Canada) have been able to concentrate or dominate most of the world’s most valuable resources. These countries have been about modernizing and building great civilizations and creating systems that would favor them to be rulers over the other nations. Examples of this can be found in the history of the genocide of Native Americans and the domination in South Africa, as well as the enslavement of millions of Africans brought to America in chains of steel.
We do not attempt to criticize except for the fact that many of the nations that have been ruled by these great nations, have billions of innocent people who die due to lack of resourses while the rulers have so much that they waste. To make matters even more difficult on the poor countries is that the rich own a lot of the recourses and land that was formerly owned by the poor. If it was difficult for the poor to develop when they owned their own land and country, now it is near impossible for the poor to develop. Although many countries run by the poor have their own government, a big part of their economy is still controlled and ruled by the rich.
Today the rich live a life a privilege and luxury while the poor do not have the basic need of the human existence.
The Rich control the Poor through and economic system that was created by the rich nations. Today, there is less need for strong countries to invade with strong military force for control or dominance, although this remains a reality today. Through economic control, strong nations can demand control and influence over a nation’s policies through the exchange of humanitarian or economic aid.
This movement is a movement for economic equality and to shorten the gap between the Rich and the Poor. Within a nation there will always be those who have more than others, but is best if the opportunity of circulation of funds is more equal throughout the world.
The Selective Consumption movement does not need to be a government effort to work. In 2006, the US government donated 1% of its annual income to countries in a humanitarian relief effort. Sadly enough, much of that money never reaches the people who are in extreme poverty. Too often money given to governments in very poor countries evaporates through corruption of leadership and a ‘family first’ mentality and the funds eventually end up back in the USA through the personal spendings of individual leaders.
In the same way, when an individual receive a donation to better himself it is used in such a personal way that he benefits only for a short amount of time because the rest of his surroundings do not complement this short time aid. And of course there is no growth or production of this fund. For example, if I handed $1000 to a Haitian living in poverty, how long would it take for that same money to be back in the US if his first instinct is to purchase new American clothing, shoes, and other products that benefit American companies? The $1000 does not circulate in Haiti, therefore Haiti does not benefit. That individual benefits and the American companies of which he buys his products. The real problem is the way one consumes and the real solution is to domesticate the funds, that it may continue being extra and available for the people in Haiti.
HOW DO WE ACCOMPLISH THIS?
Change and improvement can happen only through collectiveness and collaboration within a system that involves a conscience effort to go against a system that took many centuries to create. Participation is required from all people and eventually, depending on how quickly it is accepted and practiced, the movement can better balance the economic weight of the world.
The role of business owners and consumers is important in the goals of the movement. The project outcomes are:
a. An increase in profit and wealth of business owners who support the movement of Selective Consumption and who have a direct and positive effect on the growth of the poor.
b. An increase of production in products from countries that have been unproductive and unfruitful due to a rise in demand and pride of products designed to uplift the poor.
c. Gradual buildup of wealth in poor nations through creation of employment, the rise in exports over imports, and the growth of the Selective Consumption movement around the world.
Businesses will behave in a way that directly affects the masses by encouraging selective consumption. This can be any business, but mainly businesses of developing countries or those that affect the poor directly. Businesses that are part of the Selective Consumption (SCM) system will continue selling to anyone or whomever it pleases in an open market. Therefore, the business is not at risk in joining the movement, because their profits can only increase is no potential consumers are excluded. However, there must be a conscience effort to select who and where the profits are spent on. It will prioritize it’s spending by buying in a way that best enables that money to eventually come back through his business and through the masses. In order for this to work and reduce poverty, the business owner must agree to buy products unfavorable to the movement only if it is not available in the poor country he’s selling to.
For example, a businessman’s company sells Haitian soft drinks to the nation. After gaining much or little wealth, it is not fair if he in return goes and buys Coca-cola or spends his profits that came from the poor to now go enrich the Rich. The money must remain inland.
The other major player in the system is the consumers and laborers. Laborers may work for whomever and try to earn the maximum of funds in any legal method, but for the system to work, laborers and consumers must be selective of how and what they consume. With a known and public agreement to better their nation, the consumer will prefer to consume and enrich a company within his own land than a company that is far away. If the company does this than it will also benefit both the consumer and the laborer. The company will expand and be able to hire more laborers and make more and better products, which will enable the company to have more consumers that take part in a positive cycle. This will grow as long as there is not a deliberate violation in the agreement to domesticate the funds while doing everything possible to acquire business and funds from the outside world. It make take years, but when the businesses within a country can sustain the people than that will only be half the battle. It will be a good sign when the country does much business outside his borders while continuing to domesticate the profits into its own economy.
In 1993 the Haitian economy exported $88.30 million worth or goods to the USA while importing $181.50 million worth of US goods. This was before a US embargo lasting several years nearly crippled the nation leaving its effect still today. But even before the embargo Haiti was buying from the outside more than it was selling to the outside world. Haiti consumes more than it produces. This is a sure formula to poverty. To spend more than you make is the true root of never-ending poverty in Haiti and in other nations.
People must be willing to try another way of consuming. The steps for creating a selective consumption economy is
a. An agreement of business owners to join the movement and promote their products as products that will alter the way wealth is distributed in the world.
b. Start a campaign that teaches the masses of the principles of SCM. The campaign will involve seminars, rallies, events, and teachings in the educational system. Groups will be formed and trained on SCM and sent out throughout a nation to educate the masses.
c. An increase in production to satisfy the demand of domestic products.
d. Changes in government policies that give higher priority to SCM.
e. A large amount of exported goods by private businesses to be sold outside the country to bring more profit and funds into the country which will be reinvested domestically through SCM.
THE CONCEPT is quite simple: Bring money in through business transactions, circulate the funds within a community, and drastically slow down the speed at which it leaves the poor country through consumption. The Rich got rich through business, which means through business the poor may also better their situations.
How will it start?
This will not be an overnight healing and there are no short cuts. It will take much sacrifice and effort as well as dedication and perseverance. But slowly it will grow and show impact as more people try it. One thing we do know is that the current system doesn’t work. The current system helps individuals but as a whole it does not uplift the people even after generations of receiving funds and donations. Donations help on a smaller scale. This new system will aide on a much larger scale.
First the business owner must join in the fight to elevate the poor. Once the business is on our side and agrees to do his best to domesticate the funds of the poor, we will then begin a campaign that will target the consumers and laborers and encourage them to consume through businesses that are part of the movement. The consumer benefits because he has a better chance of his money coming back to him in a positive way. A long process of educating the poor will be needed within the schools, churches, government workers, and entrepreneurs. The educator’s role is vital for the development and life of the movement.
Next, we will provide to all people, even the rich to be part of the movement of selective consumption. Products produced by the poor will be made available to people all around the world that want to help. Most of the world’s money is in the hands of the rich. It would be foolish not to do business with the rich. A new campaign of aide will be launched with the theme that if people really want to help the poor instead of giving one-time or multiple donations, they should consider consuming products that bring funds to the poor in a much more positive manner that will help that countries economy. This will encourage the poor to make better products and to produce more, which will create more jobs and opportunities.
Who will be directly affected?
In the beginning, the domestic businessman and companies may see an increase in sales once the educational part of the movement is under way. We will encourage companies to advertise the movement, which will bring immediate profits to them. Companies will be encouraged to go public with their commitment to better their country through economic growth and by not wasting their profits on foreign consumption.
In the long run, the people will see an increase of jobs as the productivity of companies grow and other businesses are created. A business’s goal will be to not only sell to its own people but to sell to the rich or other countries. Other companies will develop and the country’s general productivity will rise. Poverty will be reduced and a system will be in place to shorten the margin year after year, and decade after decade.
In the long run, middle class Americans will benefit from this movement. Middle class America is the largest part of the Rich, but 20% of the population in the developed nations consume 86% of the world’s goods. With changes made in the economy middle-class Americans may actually benefit the most. As situations improve around the world and more jobs become available amongst the poor, there will be a decrease in immagration and influx in the amount of illegal activity surrounding the poor flooding into rich countries. This will benefit Americans because more jobs will be available. Another way Americans will benefit is if there is increase in products made by developing countries. For example, the American company NIKE sells it’s tennis shoes for about $125, while it cost the company about $5 per shoe. These same shoes, which are produced in poor countries, can be produced on another name and sold for $20 around the world. If there is increase in sales of the $20 shoe than NIKE will have no option but to lower its prices. Right now the rich control the economy and many industries and only compete within their own borders. They can sell at whatever prices they want because no one else is producing the same thing at the same rate. Once people around the world start consuming products from the poor, that contain the same quality, than high prices in America would drop.
Not only simple products as footwear, textiles, or spirits will be affected, but even the cost of living would drop in America if more and more Americans with foreign backgrounds were to go back to their home countries to work as more jobs were created in their own countries. The price of an apartment or home would drop drastically. The price of food would drop in order to compete in a fairer global economic structure.
This movement of economic equality is not a threat to the rich, yet benefits the poor greatly. The USA alone produces enough food to feed the every human on the planet. We know that in the end, 25% of food produced by the US goes to waste. Let’s keep it simple and not get into the amount of money and recourses that this 25% represents, or what other resources such as cloths, electronic devices, shoes, homes, cars, and other things money can buy, that are wasting each year at a very high percentage.
The movement will not negatively affect the Rich. Yes, as more and more money filters out from the rich, America will produce less food, which will still provide more than enough for Americans, but will decrease the amount of wasted food or other products for that matter. And of course there will be less people to feed.
How can the Rich participate and accelerate this Movement?
The same formula of Selective Consumption can be used no matter where one lives. The change is for economic equality around the world. Businesses or business people can also make a commitment to consume more products that are helping the movement. Of course grants and donations will still be highly welcomed, but this time there will be less chance of their donated money coming back to them. They of course get tax-write-offs from the government, which enable the process.
As consumers and laborers, Americans can choose to consume in a way that favors the movement. As the movement grows we will make products of the movement available to those who wish to purchase them. There will be a list of companies and products that are part of the movement. This list will be made known to the public via Internet and advertising and marketing. People who wish to make a REAL difference can select wisely who to buy from.
The two deciding factors of the success of the movement is the leadership within the campaign through partnership of the developing country and business owners in developed countries, and the personal decision of individuals to foster change within their own environment. A worldwide campaign will focus on getting leaders involved to advocate change in their own respective domains. Artist, performers, religious leaders, politicians, business owners, educators, doctors, lawyers, and other members of a society who have influence, will be leaders of the movement. If they embrace the movement, the people will follow. In the beginning, presentations and education of the movement will need to be allowed by these leaders into their communities.
Individuals will have to buy into the philosophies of the movement. Everyone is free to consume as he or she wishes, but he should know the short-term and long-term affects of his consumption.
How will we deal with corruption?
Eliminating corruption is more difficult then eliminating poverty. There may be corruption on a business and political level, but we believe that the power is with the consumers and therefore not depending on a small group of people to determine the life of the movement. It is not to the benefit of the businessman to be openly corrupt if the movement helps him make more money. Corrupt businesses or leaders will be removed from the list of businesses to buy from if it is clear that the people are not benefiting from their business.
The movement will be of partnership of economic value, which will be united under one league, system, federation, or movement. There will be conditions and expectations to be part of the movement. There may be a symbol or logo on products that benefit the movement.
How can other organizations be involved?
There is little, but very vital humanitarian effort from the rich nations. This must continue and perhaps grow. The movement will bring back better results to donors and sponsors. Organization will be encouraged to have more developmental projects that will allow the poor an avenue to not be dependent on sponsors or donations after a certain point.
All communities and countries all over the world may and will be involved in this movement to end poverty. It is a fact that there is enough in the world for everyone. Obviously, we do not know how to share very well, therefore, through my studies and experience living in many different environments, it is my belief that we can spread the wealth through economic developments.
IN CONCLUSION
The proposed plan is to foster a movement that will bring about activism and change around the world.
First, we must agree that the current economic system does not benefit the majority of mankind and that this system is unfair and unequal in its nature. We must agree that change is needed and possible.
Second, we must attempt to impliment a plan that will change the course of the worlds econmic structure. We must understand that our actions do bring upon change and have impact in the future. Our plan is to consume and produce in a manner that is in favor to the elevation of the human race and not only beneficial to a very small potion of humanity.
Let us never give up hope, for we know that any system that is man made can be altered or abolished. Just as slavery seemed to be invisible, and civil rights seemed to be a pipe dream, so too will the decrease of world poverty seem hopeless. However, history is on our side and the future belongs to those who believe in the beauty of a better and fairer world.
Citation
1. Ramonet, Ignacio, The Politics of Hunger, Le Monde diplomatique, November 1998
2. Top 200: The Rise of Corporate Global Power, by Sarah Anderson and John Cavanagh, Institute for Policy Studies, November 2000
3. 1999 Human Development Report, United Nations Development Programme
4. Global Development Finance, World Bank, 1999
5. Eileen Alt Powell, Some 600,000 join millionaire ranks in 2004, Associate Press, June 9, 2005
6. Maude Barlow, Water as Commodity - The Wrong Prescription, The Institute for Food and Development Policy, Backgrounder, Summer 2001, Vol. 7,
