Do we have to learn to live with slums?

This extraordinary video was filmed in the Philippine shanty towns. The initial feelings of sympathy and even revulsion make way for admiration. Current Economic specifications have squeezed Economic Development as a topic area which is a shame. Future economists will need to deal with the huge disparities between and within countries. There are many economic concepts in this 15 minute video.

There are introductory economic concepts relating to scarcity and wants but the wider concept of globalisation is the main theme. There are also interesting issues regarding the importance of social interaction. With the recent rioting in London, Birmingham and Manchester being blamed on lack of opportunities and relative poverty amongst some sections of society, I wonder if the point is being missed by some commentators. The slum dwellers live next door to the wealth and opportunities of the rest of Philippine society yet they are very protective of what they have. The social cohesion with generations of families living in the shanty towns has created a society and economy of its own. Enterprise thrives in the shanty towns and families live peacefully despite the cramped conditions and the open sewer running through the middle. Videos like this always provoke interesting discussions and challenge our perceptions. They also illustrate the difficulties for economists of dealing with complex societies.