Income inequality and political stability

Certainly no one can ignore the relationship between income inequality and long term political stability in nations (Kenya: New report shows huge inequalities in income, welfare [http://www.irinnews.org/report.asp?ReportID=43877]). Crimes in the inner cities of the US and in Brazil and increasing crimes in both urban and rural Kenya are symptoms of income inequality.

The first study on income inequality in Kenya was carried out by ILO in 1972 and a report was published. Like other important documents this one gathers dust in the archives. This issue of economic disparity has a relationship with race and ethnicity. In the US the Republicans stand for 'merit' and the Democrats stand for 'welfare state' - maybe through their words not in action. The Scandinavian welfare state model is despised in the US.

What kind of model do we want for Kenya? Is it not time to reduce government's role in economic development so that we can embrace a private lead economic growth that does not fall prey to the politics of ethnicity, religion and regionalism? The state should provide basic infrastructure and create a suitable environment for entrepreneurs to thrive. It should not be the role of the state to channel resources to some favoured regions. This is a political decision that often incubates political upheaval.

I have not read the whole document but I hope the researchers investigated not merely regional disparities which are misleading, but the petty bourgeoisie in Kenyatta's and Moi's administration, the capture of Kenyan strategic economic sectors such as banking and finance by British investors, capital flight, fall of the coffee, tea, tobacco and cotton industries and the role of ethnic conflict in development.

Blind statistics taken by a 'non partisan' party may be a 'convenient weapon' of a 'learned' politician who wants to unfairly direct national resources to his region. No wonder the report fits well with views of some Kenyan politicians. Moi had the same conclusions and his solution was to strangle Kikuyu entrepreneurs so that the rest of Kenya could catch up with them. He introduced a quota system to limit the number of qualified Kikuyus going for higher education. This was very punitive to people who had no understanding of why their hard work has anything to do with other peoples failures. This is very political research and I hope the researchers understand the 'implied' message in their 'authentic' conclusions. One must consider history, culture, politics and accessibility to resources before deriving some convenient blueprint conclusions about development in the 'only stable' country in strife torn Africa.