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Full text PDF - International Policy Network

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32 Fighting the Diseases of Povertycapital. Wealthy countries have the best education. An informalsurvey of fellow immigrants suggests that many of the mosttalented people from poorer countries end up in the universities andresearch establishments of the richer nations not only because theyexpect a higher quality of education but because they anticipate jobopportunities that will better use their education and talents. In1993, for instance, ten of the richest (and most well-educated) countriesaccounted for 84 per cent of global research and developmentand controlled more than 80 per cent of the patents acquired in theUnited States and in developing countries (UNDP, 1999).Freer trade contributes directly to greater economic growth,helps disseminate new technologies, and creates competitive pressuresto invent and innovate (Goklany, 1995). As an example, tradeaccelerated the cleanup of automobile emissions in the UnitedStates because the threat of cleaner cars from imports advanced theintroduction of catalytic converters in the 1970s (Barbour, 1980;Seskin, 1978).By expanding competition, trade helps contain the costs of basicinfrastructure, including water supply and sanitation systems. Avivid example of the importance of trade in improving human wellbeingcomes from Iraq. Because of trade sanctions, it was unable toproperly operate and maintain its water, sanitation, and electricitysystems, resulting in significant public health problems (UnitedNations, 200?).Trade also helps augment food supplies. In fact, between 2000and 2002, international trade allowed developing countries toenhance their grain supplies by 11.6 per cent (FAO, 2005). 21 The correspondingfigure for Sub-Saharan Africa was 23.5 per cent. Thus, inthe absence of trade, food prices would have been higher (whichwould have priced more poor people out of the market), and hungerand malnutrition would have been more prevalent in developingcountries. Also, cultivation of marginal lands would probably haveincreased to narrow the shortfall between food supply and demand.In terms of income alone, trade raises incomes for both the poorand the rich (Dollar & Kraay, 2000; Frankel & Romer, 1999). Dollar

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