Unconventional

In the comments to this recent post I somewhat defended my ideas around business and geopolitics as unconventional. I happen to think it’s necessary to challenge the ways of the 20th century and the groupthink of the rich old men in suits who run the world.

Take for example this US government mortgage calculator, it won’t accept a negative value for home value increase. Hmm…

idiot mortgage calculator

idiot mortgage calculator

Chullo tip to the always excellent Rolfe Winkler.

BTW – I think home values in Peru are a bit safer than in the US, since banks in Peru have stuck to conservative loan values (typically requiring 20% down on mortgages) and the demographics in Peru bode well for economic growth in the long term. That said, in areas such as Cusco real estate prices have skyrocketed in recent years, and home prices are entirely out of line with personal incomes.

Best charitable giving in Peru

DISCLAIMER: no offense is intended

Earlier this year one of our best friends in the US asked me if I knew of any good charities in Peru. He had set aside some cash and was looking for a good way to make a donation. Patricia and I have talked about charitable giving in Peru, and since the holidays will be upon us in a few months I decided to write this post as food for thought, so to speak.

If you want to make a charitable contribution in Peru, or a corporate charitable event, what do you do?

In a nutshell, after spending time in Peru I no longer believe in the US/European concept of charitable giving. Big charities, churches and NGOs may have good intentions but often appear culturally disconnected at best or self-serving at worst, with charitable giving an extension of foreign policy or corporate strategy.

Look beyond the idea of selecting a better charity. While writing a check to your favorite charity is certainly a very kind and honorable thing to do, sealing that envelope as you’re sitting safely behind a desk only reinforces ideas that you are already comfortable with: that the big white man can make everything all better for little brown people, that countries like Peru need the US to improve their way of life.

Only, it hasn’t worked in the past 500 years or so and it won’t work any time soon.

No offense, Peruvians LOVE gringos, but we gringos typically go down to Latin America with preconceived notions of how our money, influence and business will make life better, which is practically akin to the Prime Minister of India coming down to Texas and “saving” all the ranchers there by educating them on how sacreligious it is to eat steak.

If you’re already convinced that Latin America needs the US, you will by definition be insensitive to its real needs.

I experienced a great way to do charitable giving in Peru during Christmas of 2007: the office where Patricia worked took a trip to a poor, rural village and handed out Christmas presents to the kids there, served hot cocoa and Panettone (pictures below). In my opinion, the only way to do charitable giving in Peru is to fly down to Peru and do something nice yourself. Take a bus to a small rural town, hand out some toys to kids who have none, or build a library or a medical clinic if you have the resources. You know that warm fuzzy feeling you get when your kids open their presents on Christmas day? A US company or philanthropist can easily fly down to Peru and get the same warm fuzzy feeling 100 times over 2 weeks before Christmas, then go home and do it all over again.

Don’t take my word for it, come see for yourself.

Priceless

Priceless

Schoolkids in rural Peru

Schoolkids in rural Peru

Poor rural children in Peru

Poor rural children in Peru

Handing out Christmas gifts

Handing out Christmas gifts

Otto agrees

Adding on to my recent post about LatAm media coverage, where I said:

“…Hugo and Evo are hugely popular in Latin America because they’re good for Latin America”

Apparently Otto agrees in his recent post about the Bolivian economy, saying:

“A once and future coca leaf grower runs countries better than teams of dumbasses in suits (you know them by the name ‘economists’) with multisquillon dollar eddycations…”

My only issue with that is that Otto narrowed it down to economists, instead of the more general rich old guys in suits. Whether it’s Alan Garcia or Jack Welch or Al Gore, be leary of rich old guys in suits who profess to know what’s good for average Joe. Far too often said rich old guys in suits have made big bucks robbing said average Joe blind.

Critics march against Chavez…

Read the rubbish from AP on the front page of Yahoo!

Critics march against Chavez

Critics march against Chavez

English language media coverage of Latin America is such a joke. Have a handful of people turn out in an anti-Chavez demonstration led by none other than Roberto Micheletti, right-wing leader of a military coup, and it makes the front page of Yahoo! Never mind Hugo Chavez’ approval rating is higher than, you know, that of the leader of the free world.

Ever read about Hugo Chavez’ approval rating in the media? Or about Evo Morales re-election prospects? Or about the massive anti-Micheletti sentiment in Honduras?

The truth is Hugo and Evo are hugely popular in Latin America because they’re good for Latin America – or at least, exponentially better than the alternative. But you wouldn’t know by reading English language media.