Economics

Development Delusions ← Series Home The Product Development Compulsion and the Chronic Problem of Donor Overload The preceding posts established the foreign aid industry’s overriding need to perpetually spend allocated funds, or the “imperative to spend” (MMS). This necessity is directly linked to another core competence of donor agencies: product development. This refers to the constant, relentless search for new ways and sectors to spend money, creating a proliferation of diverse and complex interventions that touch almost every area of human endeavor in developing countries. ...

Development Delusions ← Series Home The Money Moving Syndrome and the Institutional Drive for Disbursement Over Development Among professionals familiar with the international development sector, the obsession of donor agencies with spending allocated funds—spending quickly, and spending ever increasing amounts—is a pervasive and continuous feature. This phenomenon, often dubbed the Money Moving Syndrome (MMS), overshadows all other goals and ultimately serves as the primary starting point for analyzing the pathologies of the aid industry. David Sims argues that this compulsion to move the money (MMS) is so profound that it leads to perverse incentives and structural failures, often pushing the entire development effort to the “absurd point where the donor has a greater need for giving the aid than the recipient has for taking it”. ...

Development Delusions ← Series Home A Sketch of the Development Industry and Its Self-Perpetuating Structure The global machinery dedicated to international development cooperation, often affectionately termed the “development community” to give it a “cuddly glow,” is more accurately described as a massive, complex, and little understood industry. This classification is not merely semantic; David Sims asserts that understanding the foreign aid ecosystem requires recognizing it as a business enterprise defined by quantifiable financial flows, a vast workforce, fierce competition for funds, and an overriding obsession with self-perpetuation. ...

Development Delusions ← Series Home A 10-Part Series Examining the Global Development Sector Through the 50-Year Lens of David Sims The foreign aid industry, frequently referred to as the “development community” to impart a “cuddly glow”, is a complex global behemoth that warrants comprehensive investigation. This 10-part series draws upon the critical insights presented by economist and urban development specialist David Sims in his book, Development Delusions and Contradictions: An Anatomy of the Foreign Aid Industry. Sims’ analysis, forged over 50 years of direct professional experience in the field, aims to expose the entrenched contradictions and systemic pathologies that render international development cooperation profoundly ineffective, and often, actively counterproductive. ...

Key Takeaways Unified Market: For the first time, a single political authority controlled trade from Korea to Poland. Standardized Systems: Common laws, protected routes, and consistent administration enabled commerce. Technology Transfer: Printing, gunpowder, and navigation tools moved from East to West. Cultural Exchange: Ideas, religions, and people crossed continents as never before. Unintended Consequence: The same routes that carried silk also carried the Black Death. In 1245, Pope Innocent IV sent an envoy named Giovanni de Plano Carpini to the Mongol court. His journey took two years and covered over 10,000 km through territories no European had crossed in centuries. ...

Key Takeaways Paper Money: The Mongols implemented history's first continental paper currency system. Passports: The *paiza* tablet system was the direct ancestor of modern passports. Postal Service: The Yam created the model for national postal systems. Diplomatic Immunity: The inviolability of ambassadors became Mongol (and international) law. Census & Taxation: Systematic data collection enabled efficient governance. When you use a credit card, you’re relying on a concept the Mongols helped pioneer: money that doesn’t require physical precious metals. When you show a passport at a border, you’re using a system the Mongols formalized. When you receive mail, you benefit from postal principles the Mongols established. ...

The White Gold Standard: A World History of Salt 1 The White Gold Standard: A World History of Salt - Part 1: The Mandate of Salt 2 The White Gold Standard: A World History of Salt - Part 2: The Garum Grid: Salt, Sex, and Power in the Roman World 3 The White Gold Standard: A World History of Salt - Part 3: The Adriatic Empire: Venice, Salt Monopoly, and the Spice Trade 4 The White Gold Standard: A World History of Salt - Part 4: Friday’s Treasure: Cod, Herring, and the Northern Salt Wars 5 The White Gold Standard: A World History of Salt - Part 5: Liberté, Egalité, Tax Breaks: The Gabelle, Contraband, and Revolution 6 The White Gold Standard: A World History of Salt - Part 6: The Rock and the Soul: Gandhi’s March to End an Imperial Tax 7 The White Gold Standard: A World History of Salt - Part 7: Sodium’s Perfect Marriage: When Chemistry Dethroned the Miner 8 The White Gold Standard: A World History of Salt - Part 8: Big Salt, Little Salt: The Global Corporation and the Gourmet Revival 9 The White Gold Standard: A World History of Salt - Intro: The Rock That Built Civilizations ← Series Home Act I: The Rise and Branding of Big Salt The foundation of American Big Salt was built on strategic transportation advantage. The Morton Salt Company was founded in 1880 by Joy Morton, a Detroit-born former railroad employee. Morton began working for E. I. Wheeler and Company in Chicago, which acted as an agent for Onondaga salt companies, selling their product in the Midwest. Morton invested his entire savings of $10,000 and acquired a fleet of lake boats to deliver a year’s supply of salt inexpensively to midwestern centers during the ice-free summer months, giving his company a competitive advantage in the expanding market. ...

The White Gold Standard: A World History of Salt 1 The White Gold Standard: A World History of Salt - Part 1: The Mandate of Salt 2 The White Gold Standard: A World History of Salt - Part 2: The Garum Grid: Salt, Sex, and Power in the Roman World 3 The White Gold Standard: A World History of Salt - Part 3: The Adriatic Empire: Venice, Salt Monopoly, and the Spice Trade 4 The White Gold Standard: A World History of Salt - Part 4: Friday’s Treasure: Cod, Herring, and the Northern Salt Wars 5 The White Gold Standard: A World History of Salt - Part 5: Liberté, Egalité, Tax Breaks: The Gabelle, Contraband, and Revolution 6 The White Gold Standard: A World History of Salt - Part 6: The Rock and the Soul: Gandhi’s March to End an Imperial Tax 7 The White Gold Standard: A World History of Salt - Part 7: Sodium’s Perfect Marriage: When Chemistry Dethroned the Miner 8 The White Gold Standard: A World History of Salt - Part 8: Big Salt, Little Salt: The Global Corporation and the Gourmet Revival 9 The White Gold Standard: A World History of Salt - Intro: The Rock That Built Civilizations ← Series Home For millennia, the value of salt derived from its preserving power and its rarity in certain regions. Yet, by the end of the eighteenth century, the rise of chemistry began to dismantle this ancient economic structure. This new field of science, which became an independent field of research in the late 1600s, finally revealed the true nature of salt, confirming that common table salt was merely one component of a larger, complex family of substances. ...

The White Gold Standard: A World History of Salt 1 The White Gold Standard: A World History of Salt - Part 1: The Mandate of Salt 2 The White Gold Standard: A World History of Salt - Part 2: The Garum Grid: Salt, Sex, and Power in the Roman World 3 The White Gold Standard: A World History of Salt - Part 3: The Adriatic Empire: Venice, Salt Monopoly, and the Spice Trade 4 The White Gold Standard: A World History of Salt - Part 4: Friday’s Treasure: Cod, Herring, and the Northern Salt Wars 5 The White Gold Standard: A World History of Salt - Part 5: Liberté, Egalité, Tax Breaks: The Gabelle, Contraband, and Revolution 6 The White Gold Standard: A World History of Salt - Part 6: The Rock and the Soul: Gandhi’s March to End an Imperial Tax 7 The White Gold Standard: A World History of Salt - Part 7: Sodium’s Perfect Marriage: When Chemistry Dethroned the Miner 8 The White Gold Standard: A World History of Salt - Part 8: Big Salt, Little Salt: The Global Corporation and the Gourmet Revival 9 The White Gold Standard: A World History of Salt - Intro: The Rock That Built Civilizations ← Series Home The British Empire’s administration of India during the twentieth century operated under economic principles that favored Great Britain. The Indian economy existed largely for the enrichment of the mother country, with Indian salt explicitly managed for the benefit of Cheshire, England. ...

The White Gold Standard: A World History of Salt 1 The White Gold Standard: A World History of Salt - Part 1: The Mandate of Salt 2 The White Gold Standard: A World History of Salt - Part 2: The Garum Grid: Salt, Sex, and Power in the Roman World 3 The White Gold Standard: A World History of Salt - Part 3: The Adriatic Empire: Venice, Salt Monopoly, and the Spice Trade 4 The White Gold Standard: A World History of Salt - Part 4: Friday’s Treasure: Cod, Herring, and the Northern Salt Wars 5 The White Gold Standard: A World History of Salt - Part 5: Liberté, Egalité, Tax Breaks: The Gabelle, Contraband, and Revolution 6 The White Gold Standard: A World History of Salt - Part 6: The Rock and the Soul: Gandhi’s March to End an Imperial Tax 7 The White Gold Standard: A World History of Salt - Part 7: Sodium’s Perfect Marriage: When Chemistry Dethroned the Miner 8 The White Gold Standard: A World History of Salt - Part 8: Big Salt, Little Salt: The Global Corporation and the Gourmet Revival 9 The White Gold Standard: A World History of Salt - Intro: The Rock That Built Civilizations ← Series Home The Crown’s Salty Start: From Crusade to Code The idea of the French Crown controlling salt production for royal revenue began modestly on the Mediterranean coast. In 1246, Louis IX established a sea-salt pond in the estuary of the Rhône—a marshy area known as the Camargue—to raise money for his planned Crusade to the Middle East. ...