Why Trade Matters

Resource for Grades 9-12

WNET: Wide Angle
Why Trade Matters

Media Type:
Video

Running Time: 2m 54s
Size: 8.2 MB

or


Source: Wide Angle: "The Market Maker"

Learn more about the Wide Angle film "The Market Maker."

Resource Produced by:

WNET

Collection Developed by:

WNET

Collection Funded by:

This Wide Angle Educational Resource was produced with the support of The Overbrook Foundation.

Wide Angle: "The Market Maker" provides an introduction to the challenges faced by the developing Ethiopian economy and the tragic consequences of its collapse in 1984. Ethiopian market reformer Eleni Gabre-Madhins discusses Ethiopia’s new nationwide agricultural commodities trading system and its vital importance not only to the nation’s economy, but also to the very survival of a population which relies on trade to distribute food from where it is stockpiled to where it is needed.

Supplemental Media Available:

Why Trade Matters Transcript (Document)

open Discussion Questions

  • What challenges does Ethiopia’s archaic agricultural commodities trading system face?
  • Why do so many Ethiopians only trade with people they know? Is this a good thing for the national economy? Why or why not?
  • What causes famine? Is it always a case of insufficient food supply? Was food shortage the cause of the Ethiopian famine of 1984?

open Transcript

ELENI GABRE-MADHIN (VO) If you look back at how economies have grown, you can almost trace their take off as a society directly to a time where they were able to establish a functioning, reliable trading mechanism. Trade is always a central part of economic development.

NARRATION: IT IS ALSO A CENTRAL PART OF FEEDING PEOPLE; MAKING SURE THAT THEY HAVE FOOD TO PURCHASE WHEN THEY NEED IT.

NARRATION: BUT ETHIOPIA’S TRADING SYSTEM IS ARCHAIC. THERE ARE NO QUALITY CONTROL STANDARDS.

CORN BUYER (SUBTITLES – AMHARIC) This one is full of dirt.

NARRATION: SELLERS ARE NOT ASSURED OF GETTING PAID.

ELENI GABRE-MADHIN (SUBTITLES – AMHARIC) Who are you going to sell this sorghum to?

TRADER (SUBTITLES – AMHARIC) - To traders.

ELENI GABRE-MADHIN (SUBTITLES – AMHARIC) Is it difficult finding a person you can trust?

TRADER (SUBTITLES – AMHARIC) The only way we can know how a person is trustworthy is by word of mouth.

NARRATION: AND WHILE ONLY TRADING WITH PEOPLE YOU KNOW YOU CAN RELY ON MIGHT SOUND LIKE A GOOD THING, IT IS NO WAY TO RUN A MODERN ECONOMY. IMAGINE HAVING TO ACTUALLY FIND A BUYER EVERY TIME YOU WANTED TO SELL A STOCK. TRADING GRINDS TO A HALT, AND IN ETHIOPIA THAT HAS DEVASTATING CONSEQUENCES.

NARRATION: FAMINE IS A VERY REAL AND PRESENT THREAT TO MILLIONS OF ETHIOPIANS.

MEKONEN MOTBAYNOR (SUBTITLES – AMHARIC) Drought occurs almost every three years. And when that happens it’s inevitable that everyone will starve.

NARRATION: THE MOST HORRIFIC DROUGHT IN RECENT MEMORY WAS 1984. NEARLY A MILLION PEOPLE STARVED TO DEATH.

MEKONEN MOTBAYNOR (SUBTITLES – AMHARIC) 1984 was a very hard time. There was a very intense drought. Everything was completely destroyed. If there is no rain, then there is nothing. Fleeing the area was the only option.

NARRATION: THE STARTLING REALITY OF '84 IS THAT THERE WAS AVAILABLE FOOD IN THE SOUTHERN PART OF THE COUNTRY.

ELENI GABRE-MADHIN (VO) To think that in that year where one million people died of famine, and Bob Geldof and everybody else was helping Ethiopia beg for food, there actually was available food.

NARRATION: BUT ETHIOPIA'S BROKEN TRADING SYSTEM FAILED TO DELIVER THE FOOD TO WHERE IT WAS SO DESPERATELY NEEDED.

ELENI GABRE-MADHIN (VO) If we produced it why couldn’t we get it to where people were needing it? That was must mind-blowing. Then I started reading about the nature of famines and I realized that famine is not so much about a lack of production, but lack of entitlement, lack of access.


open Standards

 
to:

Loading Content Loading Standards

PBS LearningMedia
Teachers' Domain is moving to PBS LearningMedia on October 15, 2013. On that date you will be automatically redirected to PBS LearningMedia when visiting Teachers' Domain.
Close PBS LearningMedia PBS LearningMedia Login