How To Eradicate Poverty

Originally Posted by Ankesh

Millions of people didn't GET poor. They were BORN poor.

How would you go about teaching them to become productive?

Great question Ankesh!

I'm not sure what the best way to do that would be but I recall reading in the book "INFLUENCER - The Power To Change Anything"
about someone in India who started to give out micro loans to poor people so they could start businesses.

And the success rate of those he helps is very high!

Some people just need a hand up - not a hand out.

Cheers,
Steve Shulenski

[Ankesh]

Thanks Steve.

That someone is Muhammad Yunus. He is from Bangladesh. He started the Grameen Bank. Which has been modeled by a lot of other countries now.

And the bank had 98% rate of loan payback because Muhammad gave out loans only when people who wanted money grouped together.

The groups added to peer pressure - the groups made sure that each member paid their loans on time. And each person worked hard. The group also worked as a mastermind - helping a member with difficulties.

So it wasn't just micro-financing. It was micro-financing + groups that did that trick.

Ankesh,

I was going to mention micro-financing!

I think that is a great way to give a hand up and not a hand out.

I am wanting to invest in micro-financing.

A question for everyone. Which organization should be invested in? Which is on the level with the money going to help the people and mot the administration? Which helps the most people? Where would my money do the most good?

OK. It was more than one question but you get my drift.

Thanks,
Ken

[Ankesh]

http://www.kiva.org is a good bet. (No personal experience though - but have heard good things.)

Thanks, I have heard of them. I was looking at World Vision. Do you know anything about them?

Ken