The Institute for SocioEconomic Studies is a private operating foundation that examines issues relating to economic development, poverty, health care reform and the quality of life

Economic Diversity Is Only Part of the Story

    Published  in Business Week -- November 26, 2001

    The Ross study's effort to link a lack of human development to countries'  overreliance on commodity exports overlooks the more important relationship  between freedom (both political and economic) and human development. An analysis of these same countries that incorporates freedom reveals that the nations that are both politically and economically free fare best in terms of human development. Those that lack both kinds of freedom do worst. Economic diversity is not the most effective solution for overcoming poor countries' challenges. Rather, a combination of political and economic freedom offers them their best chance for improving their human development situation.

    Donald J. Sutherland
    Institute for SocioEconomic Studies
    White Plains, NY