2004-11-21
I'm Gwen Outen with the VOA Special English Development Report.
There is an economic theory that says the best way to help those
without money is to help those with money. Economic growth would
then act like water moving slowly from a higher place to a lower
one. It would "trickle down" through society in the form of more
jobs, for example, and less need for public aid.
Not everyone believes in trickle down economics. An international
organization based in New York calls itself the Trickle Up Program.
This group is celebrating twenty-five years of work directly with
very poor people to help them set up businesses.
The Trickle Up Program receives money from large companies and
agencies that provide aid. Then it gives this money away, usually in
two payments of fifty dollars each. This is called "seed capital."
First a family or small group of people has to write a business
plan. Trickle Up provides training to help them do this. If the plan
is approved, the first payment of fifty dollars is given to start
the business. Then, after about three months, if the business is
operating, the second payment is made.
Money from the Trickle Up Program does not have to be paid back.
This is different from the idea of micro-credit, or very small
loans. Trickle Up officials say micro-credit programs often do not
reach the poorest of the poor.
The Trickle Up Program says it has helped to build more than one
hundred twenty thousand small businesses around the world. It says
more than five hundred thousand people have been assisted over the
last twenty-five years.
One of the stories told on its Web site is that of Dona Bernarda
in a small town in Nicaragua. She is described as a survivor of the
severe storm Hurricane Mitch in nineteen ninety-eight. She has had
some health training, and provides free medical tests for malaria
and dengue fever.
Trickle Up says Dona Bernarda wanted to do more to help her
community. So she started a small store. At first she sold only ten
food products and simple health supplies.
Then she received money from the program. Now, it says, Dona
Bernarda sells thirty-four different products and hopes her store
will become a center of the community. You can learn more about the
Trickle Up Program at trickleup.org.
This VOA Special English Development Report was written by Gary
Garriott. I'm Gwen Outen.