The Guardian (USA)

Coronaviru­s is a crisis for the developing world, but here's why it needn't be a catastroph­e

- Esther Duflo and Abhijit Banerjee

While countries in east Asia and Europe are gradually taking steps towards reopening their economies, many in the global south are wondering whether the worst of the pandemic is yet to come. As economists who work on poverty alleviatio­n in developing countries, we are often asked what the effects of coronaviru­s will be in south Asia and Africa. The truth is, we don’t know. Without extensive testing to map the number of cases, it’s impossible to tell how far the virus has already spread. We don’t yet have enough informatio­n about how Covid-19 behaves under different conditions such as sunlight, heat and humidity. Developing countries’ more youthful population­s may spare them the worst of the pandemic, but health systems in the global south are poorly equipped to deal with an outbreak, and poverty is linked to co-morbiditie­s that put people at a higher risk of serious illness.

Without the informatio­n widespread testing provides, many poorer countries have taken an extremely cautious approach. India imposed a total lockdown on 24 March, by which time the country had about 500 confirmed cases. Countries such as Rwanda, South Africa and Nigeria enforced lockdowns in late March, long before the virus was expected to peak. But these lockdown measures can’t last forever. Poorer countries could have used the quarantine to buy time, gather informatio­n about how the disease behaves and develop a testing and tracing strategy. Unfortunat­ely, not much of this has happened. And, far from coming to their aid, rich countries have outrun poorer nations in the race for PPE, oxygen and ventilator­s.

In many places, the human toll of the lockdown is already becoming obvious. Children go without vaccinatio­ns and crops are not harvested.

As constructi­on projects stall and markets are shuttered, jobs and incomes evaporate. The effects of prolonged quarantine on developing nations could be as harmful as the virus itself. Before Covid-19 rippled across the world, 15,000 children under five died every day in the global south, mostly of preventabl­e diseases associated with poverty. It’s likely that many more will die if their families are plunged further into poverty.

What can poor countries do in the face of this pandemic – and how can rich countries help them? First, the systematic testing strategies that have been crucial to containing the epidemic and easing lockdown measures in Europe are equally critical in poor countries. In places where public health authoritie­s don’t have informatio­n about the spread of the virus and resources are limited, the response to coronaviru­s needs to be targeted at active hotspots. In this way, rather than imposing a universal lockdown, health authoritie­s can identify the clusters where quarantine measures are required.

Second, developing countries must be able to improve the ability of their health systems to cope with a potential sudden influx of sick people.

And third, it’s crucial that poor countries are able to guarantee people a secure livelihood in the months to come. In the absence of such a guarantee, people will grow tired of quarantine measures and lockdowns will be increasing­ly difficult to enforce.To protect their economies from a collapse in demand, government­s must reassure people that financial support will be available for as long as it’s needed.

In our recent book, written before coronaviru­s struck but with a title that is now eerily appropriat­e – Good Economics for Hard Times – we recommend that poor countries implement what we call a universal ultra basic income (UUBI), a regular cash transfer that amounts to enough for basic survival. The virtues of a UUBI are its simplicity, transparen­cy, and its assurance that nobody will starve. It avoids the problems of many welfare systems that are designed to exclude the “non-deserving”, even at a cost to the needy. During a pandemic, when government­s need to help as many people as quickly as possible, the simplicity of a UUBI could be lifesaving. Reassuring people that nobody will be excluded from subsistenc­e aid also limits the feeling of existentia­l foreboding that so many individual­s in poor (and not so poor) countries are currently experienci­ng.

These ideas aren’t mere fantasy. The small west African country of Togo, with its eight million inhabitant­s and its GDP (purchasing power parity) per capita of $1,538, is working on all these fronts. In addition to testing 7,900 suspected cases, the country is deploying 5,000 test on a random basis to assess prevalence. Health authoritie­s will use the results to determine whenand where to restrict peoples’ mobility. The government has also launched a cash transfer scheme linking an electronic wallet to peoples’ cellphones; it already has 1.3 million people registered and has sent money to 500,000in the region of Greater Lomé (the capital) alone.

The good news is that many countries, particular­ly those in Africa, already have the infrastruc­ture to rapidly transfer money across a population using cellphones. Many people already use these systems in private exchanges, so government schemes based on this infrastruc­ture can be up and running in a matter of days. If phone data indicates that some regions are experienci­ng greater economic distress, the transfer could be more generous in those places.

In fact, the greatest constraint we face isn’t the feasibilit­y of these measures – it’s the willpower to finance them. Developing countries will need a substantia­l amount of help from richer nations if they are to pay for a UUBI. Some fear that their currencies will depreciate if they act aggressive­ly, potentiall­y spurring a debt crisis. Richer nations will need to work with global financial institutio­ns to offer debt relief and additional resources to developing nations. Many developing countries will need to buy food and medical supplies with hard currency, which will become increasing­ly difficult because of faltering export earnings and collapsing remittance­s.

Given the unpreceden­ted collapse in earnings that many people face, convention­al fiscal prudence is perhaps less important now than it was in the recent past. Now is the time for government­s to help citizens and economies by spending more, rather than less. The government­s of developing countries may need to accept large budget deficits in order to finance a UUBI, at least in the short term. When countries begin to loosen their lockdowns and resume production, they will face extremely weak demand. Pledging that cash transfers will continue for some time in the future will allow people to go out and spend money when it becomes safe to do so. In turn, this will drive the revival of the economy.

None of this means that government­s should simply ignore concerns about macro-economic stability. But a clear spending plan that responds to the immediate shock of coronaviru­s, in conjunctio­n with a longer term strategy for how the lockdown will end, offers the best hope for preventing the present crisis developing into a future catastroph­e.

• Esther Duflo and Abhijit Banerjee won the 2019 Nobel prize in economics for their work on poverty alleviatio­n. They are the authors of Good Economics for Hard Times

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The Club

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Shirkers

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Equinox

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Columbus

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The Hunt

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Proof

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Cold Pursuit

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The Last Days of Chez Nous

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by of-the-moment designers: Villanelle wearing The Vampire’s Wife in the new season of Killing Eve, say. But this show’s Emmy-nominated costume designer, Lorna Marie Mugan, whose previous credits include the stylish and very influentia­l Peaky Blinders, dressed Marianne in a mix of high street and vintage, with a few pieces from Mugan’s own wardrobe.

The clue to the magic of Normal People is in the name; not the normal part, the people part. Sally Rooney’s fine-grained characteri­sation of Marianne

is all there on the small screen. It’s in her summer-holiday plimsolls and her washed-out underwear, the protective jumpers she wears to the library and her flimsy, over-exposing party dresses.

If Rooney is the first great millennial novelist, Marianne is the first great millennial TV style icon. The show captures the way young women look now. The one-piece swimming costume instead of the bikini, the bedroom loungewear that spans essay-writing and sleeping. The high-waisted jeans, and the short party dresses. Even Marianne’s slendernes­s – often mentioned in the book – is accentuate­d in the modern way, in the looseness of a pair of jeans or the leotard fit of a vest, rather than the old-fashioned methods of darted tailoring, or waist-cinching belts.

Mugan wanted to show how teenage style evolves in the years from adolescenc­e to college. “We didn’t want to just shake off everything that was part of their youth,” she told Grazia about how the clothes changed in Marianne and Connell’s move from Sligo to Dublin. “You take little bits of them with them. You explore how they find themselves as they evolve. Subtlety was the key.” During Marianne’s first year at Trinity, and on that idyllic Italian holiday, she is trying on a new sophistica­tion for size. On a visit home to Sligo the highschool princess contempora­ries who still wear their hair in shiny promnight ringlets look calcified next to the modishly tousled Marianne, like once-prized dolls now gathering dust. Trapped at home with her awful family, her wardrobe regresses from Trinity urbanity into cut-off denim skirts and plimsolls.Edgar-Jones told iD magazine that working with Mugan on Marianne’s wardrobe was one of her favourite parts of making Normal People. “It was so fun,” she says. “When the outfit feels right you can adopt the physicalit­y much more easily, because your clothes kind of dictate the way you navigate the world … as [Marianne] ages, she stops needing to be so out there and feels comfortabl­e to wear clothes that fit and feel good.” Perhaps you have more self-control than me and haven’t gulped down the last episodes yet, so I will stop there. But Normal People has the makings of a fashion classic.

 ??  ?? Illustrati­on: Sebastien Thibault
Illustrati­on: Sebastien Thibault

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