Aid has made no benefit

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The End of Poverty: Economic Possibilities for Our Time by Jeffrey Sachs was an ambitious book that called for immediate action to rescue people in the underdeveloped and devolving world from extreme poverty-people living on less than one dollar a day, as defined by the World Bank. From 2002 to 2006, the American-economist Sachs, was the Director of the UN Millennium Project and Special Advisor to then Secretary-General Kofi Annan on the Millennium Development Goals. He was an economics professor at Harvard University and is now Director of The Earth Institute at Columbia University.

In 2005, he published The End of Poverty in which he analogized the need for poor nations to be treated with “medicine” just like patients, to rescue them from the vicious cycle of extreme poverty. His approach- as he dubbed- was called “clinical economics”. This development tool assumed economies were just like individuals that had unique complex systems and that complexity-just like each individual person- required a different diagnosis, and therefore set of prescriptions.

Instead of the panacea that the IMF and World Bank had consistently injected poor economies with, the so-called “structural adjustments”-which was heavily influenced by the “Washington Consensus- that were prerequisites to loans and aid, that only impoverished those nations further, that Sachs was critical of. His case studies were ci the Bolivian, Polish, and Russian economies to demonstrate the solutions and effects those prescriptions had on those economies.

In able to prove to his readers that extreme poverty can be and should be eliminated by 2025, instead of just halved as what the MDGs call for by 2015, he supports his thesis with various historical experiences of countries through which he emphasized the factors that were similar to what he was calling for.

Sachs, in the first chapter of his book
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