THE PENELOPE'S SHROUD DILEMMA Carlos Vainer - Global

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URBAN DEVELOPMENT POLICIES AND ANTI-POVERTY POLICIES – THE PENELOPE’S SHROUD DILEMMA Carlos Vainer PLENARY 4: URBANIZATION AND POVERTY

ETTERN / IPPUR / UFRJ Laboratory State, Labor, Territory and Nature Institute of Urban and Regional Planning and Research Universidade Federal do Rio de Janeiro [email protected]

URBAN POVERTY  The statistic ritual on urban poverty  World Bank, PNUD, UN-Habitat, Cities Alliance, IDB, ADB  Who the poor are? Where the poor live? How the poor survive? “Urban poverty can be defined with different facets, income poverty – urban poor living on less than a dollar per day; and urban hunger, malnutrition and the issue of food security, which is more serious among the urban poor than the rural. Furthermore, informal sector employment and underemployment, informal settlements with inadequate facilities and absence of land entitlement, quality of services below desired standards and at relatively high cost along with exclusionary provisioning of services have aggravated urban poverty.”

FOCUSING POLICIES, FOCUSING RESEARCH - WHAT WE NEED TO KNOW?  Research responds to issues raised by political agenda  The fiscal and ideological crisis of the welfare state  Criticism against the welfare state and its universal social policies  Inefficiency - ineffectiveness  Dispersion - misuse of resources  Decrease of individual competitiveness and entrepreneurialism  New guidelines: social policies and anti-poverty policies must focus  Despite the huge mass of information, this approach continuously asks for more empirical data, more detailed information: “a crucial part of study on urban poverty is first to identify the poor and then to determine the dynamics of poverty”

 The poverty line - obsession to define exactly who is poor remembers the Poor Laws in early 19th century  These kind of research respond to a specific conception of what poverty is and how poverty should be politically addressed  Focused social and anti-poverty policies  The crisis of Welfare State  The rise of:  the criticism against universal social rights  the alternative - focused social and anti-poverty policies  The neo-liberal criticism against universal social policies  Reaganomics  Thatcherism

20 YEARS OF URBAN POVERTY RESEARCH AND POLICIES  In the last 20-25 years reports brought information on urban poverty in the South, underdeveloped, on way to development, 3rd world countries  In the last 20-25 years World Bank, Un Habitat, PNUD, etc, proposed and/or imposed focused social policies The results are quite deceiving and the perspectives are pessimistic “With continued urbanization, the numbers of the urban poor are predicted to rise”  We can’t go further in the same directions: more focused researches to see where exactly is the poverty line, how many new poor exactly appear in the last two years, how many new slums blossomed here and there  This is unuselles knowledge if we are not able to understand the mechanism of production and reproduction of urban poverty

POVERTY ALLEVIATION POLICIES  Since the Washington Consensus and the neo-liberal turn of the main governments in the North and consequently of Multilateral Agencies and International Financial Institutions, we can identify two moments in the main stream urban policies  Focus on structural adjustment, privatization of public services – late 1980s to 1990s + focused poverty alleviation social policies  poverty increased  Focus on urban economic growth, urban productivity and competitiveness – strategic planning + focused poverty alleviation social policies  inequality increased

THE DIAGNOSIS OF URBAN POVERTY AND INEQUALITY  What is the problem with the diagnosis of urban poverty and urban inequality?

 Why focused policies are not able to reduce, not even stop the increasing of urban poverty and inequality?

THE PENELOPE SHROUD DILEMA  Focused policies can in some circumstances succeed locally and in very specific contexts, and improve the livelihood of focused populations... but urban dynamics and other urban policies produce and reproduce poverty in large scale  Cities are seen as corporations to be ruled by strategic, entrepreneurial planning, looking to become competitive in the global market of cities  Cities must compete to attract capital, tourists, events, megaevents

STRATEGIC AND ENTREPRENEURIAL URBAN PLANNING  “As market liberalization drives the development on the global economy and privatization and capital markets financing become routine cities will need to: - Compete for the investment of capital, technology and management expertise; - Compete in attracting new industries and businesses; - Be competitive in the pricing and quality of services; - Compete in attracting an appropriately educated labor-force” (World Economic Development Congress & The World Bank, 1998, p. 2).

THE CORPORATE CITY  Conclusions of a World Bank Conference: “A key message from this conference was that while the private sector should take the lead in local economic strategies, a facilitating agency (government or public-private commission) was needed to provide information and foster dialogue among private entrepreneurs, the educationtraining institutions, service providers (infrastructure and financial sector), and the government itself” (Urban Partnership & The TWU Urban Division, 1998, p. 4).

CATALANS CONSULTANTS IN LATIN AMERICA AND BRAZIL  In 1996 two Catalan planners and consultants were invited to prepare the report of the UN Habitat Conference held in Istanbul, June 1996 – Title: Local & Global: management of cities in information age, by Manuels Castels and Jordi Borja.  Catalans consultants in Latin-America  “articulación público-privada tanto en la definición de los objetivos y programas como en la ejecución de lineas de acción y de proyectos y en la gestión de los servicios” (Borja & Forn, 1996, p. 46).  “El Plan Estratégico es seguramente la formalización más acabada de la cooperación público-privada” (Borja, 1995, p. 16).  Castells y Borja proponen la superación de la “ separación rígida entre el sector público y el privado” (Castells & Borja 1996, p. 159).

PUBLIC-PRIVATE PARTNERSHIP AND LARGE URBAN PROJECTS MASTER PLAN – OLD (modern) FASHION PLAN

MASTER PROJECT – STRATEGIC PLAN

Rigid, bureaucratic

flexible, managerial, entrepreneurial

State, state oriented

private – public partnership, market oriented, market friendly

utopic

realistic

inefficiency

productivity, competitiveness

MEGAEVENTS IN BRAZIL – AN ILLUSTRATION  In 1993, TUBSA (Tecnologías Urbanas Barcelona AS) was hired as advisor for the conception of Rio de Janeiro’s Strategic Plan – Rio Always Rio  “The sporting tradition of Rio and its natural and human resources allow to submit its candidacy to host the 2004 Olympic Games with good chances to succeed.” (Prefeitura da Cidade do Rio de Janeiro, 1996:52)  After 3 attempts, Rio will host the Olympic Games in 2016

 FIFA World Cup 2014

NEW LAWS – THE CITY OF EXCEPTION  Exceptional rules in favor of promoters, hotels, tourism industry, etc.  Master plans are not considered  Flexibility  Public-private partnership  No public participation in the debate of the rules, projects, etc.  FIFA and IOC, and their corporate partners, rule the city

THE PLACE OF THE POOR IN THE CORPORATE OLYMPIC CITY  170,000 to 200,000 forced evictions  The United Nations Special Rapporteur on the Right to Adequate Housing, Raquel Rolnik reported about human rights violations  The National Network of the People Committees of World Cup and Olympic Games issued a large report on Megaevents and Human Rights Violations in Brazil  The Brazilian Council of Defense of the Rights of Human Being created a special Working Group to investigate violations to the right to adequate housing  Many communities resist to forced evictions  Besides forced evictions, local governments (FIFA and IOC conditionalities) are reducing the spaces occupied by street informal vendors – criminalization of informal workers

MINHA CASA, MINHA VIDA – MY HOURE, MY LIFE  The Federal Government Housing Program – Minha Casa, Minha Vida – is funding the evictions and resettlement  Large areas occupied by poor communities are being delivered to promoters and real state speculation  Reinforcing the Brazilian cities tradition of urban social and ethnic segregation, the evicted are resettled in the distant frontiers of urban fabric, far from labor market and urban services

FORCED EVICTIONS: THIS IS NOT A METAPHOR! http://www.youtube.com/watch?v=R3T9c0fNBP0

ISTO É HABITAÇÃO... MAS ISTO É CIDADE?

produção atual de habitação de interesse social

MINHA CASA, MINHA VIDA

CRÍTICA

produção de habitação de interesse social da decada de 70 CONJUNTOS BNH _VILA KENNEDY E BANGU - RIO DE JANEIRO

FINAL REMARKS  The Penelope´s shroud dilemma: there is a basic contradiction opposing Pro-growth urban policies / strategic urban planning X Just cities  Prof. Saskia Sassen: “cities today make visible the making of inequality”  Prof. Susan Fainstein - Just City  EQUITY – City of citadels (the walled city) – Gentrification + Ghettoization  DIVERSITY – Poverty is not democratically distributed: poverty is colored, ethnical and gendered – Under these conditions, diversity becomes discrimination, segregation  DEMOCRACY – The private-public partnership became the new model of urban governance – City of exception, city of ad hoc projects – direct democracy of corporations, instead of citizens.

CONCLUSION  It is not possible to reduce poverty and inequality in the cities without addressing the Penelope shroud challenge  Current poverty alleviation policies promoted and diffused by World Bank, Cities Alliances, UNDP, UN-Habitat and other multilateral agencies address the social, economic, and cultural consequences of urban dynamics and structure  New policies must address the causes of inequality and poverty, i.e. the urban dynamics and structure and the pro-growth and competitive strategic choices

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THE PENELOPE'S SHROUD DILEMMA Carlos Vainer - Global

URBAN DEVELOPMENT POLICIES AND ANTI-POVERTY POLICIES – THE PENELOPE’S SHROUD DILEMMA Carlos Vainer PLENARY 4: URBANIZATION AND POVERTY ETTERN / IPPUR...

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