Post by Olivia Gilmore
Yesterday
I ventured out of RioCentro and over to Athletes Park, a separate
collection of pavilions and individual country centers with a much
more casual feel. What brought me there was an event entitled Making
Population Matter: The Demographic Dividend and Sustainable
Development, hosted by USAID, The Aspen Institute, and the Center for
Population and the Environment. It took place in the U.S. Center, a
drab navy box lacking the flair and style of the Italian Center or
United Arab Emirates, but which was compensated for by the genuinely
interesting dialogue among the panelists and audience.
Panelists
included Cassio M Turra, Professor of Demography, Carmen Barroso,
Regional Director of the International Planned Parenthood Federation,
Susan Reichle of USAID’s bureau of Policy, Planning, and Learning,
and Eliya Msiyaphazi Zulu, Executive Director of the African
Institute for Development Policy. The Aspen Institute’s Peggy
Clark acted as moderator; closing remarks were given by USAID’s
Deputy Administrator Donald Steinberg.
The
event began with an explanation of the demographic dividend, which
for those of us that are unfamiliar with the term, generally refers
to the economic growth a country with a large youth population can
realize if it invests in the following four things: child survival,
access to reproductive health, increased access to education, and job
creation. If these things can all happen together then exceptional
growth can be achieved.
Cassio
Turra went on to explain that the economic benefits that the
demographic dividend relates a change in age structure during
demographic transition to economic growth. However, it is important
to note that this growth is not automatic. It is more like an
opportunity, an opportunity that can be missed if countries do not
have the right policies.
Brazil
is often cited in relation to the demographic dividend, with huge
leaps in women’s education and empowerment leading to smaller
family sizes. The “Asian Tigers”, such as Taiwan and South Korea
were also mentioned.
However,
where this opportunity is missed the social and economic realities
are particularly devastating. Speaking to this point, Deputy
Steinberg referenced Robert Kaplan’s famous article in the
Atlantic, The Coming Anarchy,
which made quite a stir in the early 90’s of the Clinton
Administration. When the article showed up on his desk with a giant
question mark on the top put there by the President himself as if to
ask “Is this true?”, Steinberg’s response was “Maybe”.
Whether this gloom and doom outlook is true or not depends on if we
are dealing with the demographic transition or a youth bulge. A
youth bulge is a threat to security, drag on the economy, and a
situation which breeds gender and domestic violence and social
unrest. The demographic dividend means a positive use of a nation’s
human capital and unprecedented social and economic growth. As
Steinberg pointed out, the youth bulge is seen in the people in IDP
camps we don’t reach. The demographic dividend is represented by
the young boy, who after receiving the Ambassador’s tie, is
inspired to further his education and better his life.
At
the end of the session I asked a somewhat pointed question. The
phrase “integrated approach for sustainable development” was
thrown around a lot, but without any explanation as to how exactly
the demographic dividend is achieved without further environmental
degradation. After all, rapid economic development is typically
anything but sustainable. I directed my question to Susan Reichle,
asking her to please speak to how the policy, planning, and learning
bureau of USAID works with environmental concerns and natural
resource management in countries where the demographic dividend is
possible. I cited Nigeria as an example where oil has been a
resource curse for the population, causing violence, corruption, and
terrible pollution, often at the hand of U.S. companies. Oil…
conflict… environment… U.S. interests… not surprisingly my
question was conveniently sidestepped with a diplomatic response –
something to the effect of “USAID considers social and
environmental concerns when implementing all projects… ”.
Good article. I would like to say that dividend yield is key criteria for investors.
ReplyDeleteThanks
ex dividend