[colorado tanker]

Well, that's absolutely correct. The third world doesn't just need political reform, but legal reform. People need enforceable titles to property and courts that enforce contracts, otherwise farmers can't borrow to buy seed and tools, shopkeepers can't borrow to buy their stock and businesses can't do deals with anyone they don't know very well.

I saw a fascinating study a few years ago of a large urban area in S.A., Buenos Aires IIRC. In the 70's some lefties organized squatters to seize this then open land, which the government let them stay on. Turned out there was no one owner and about half eventually got title and about half never have. The half that owned their land today have nice houses, many own businesses and they are better educated. The other half still live in shanties. They all started out the same, the only difference being whether or not they owned their lot.

[LS]

Yep. There is a good PBS series (I know, oxymoron) called “The Commanding Heights,” and they actually have De Soto in several episodes about how property rights are critical to help the POOR. It was a stunning production for PBS.