From: tcmay@got.net (Timothy C. May)
Date: Thu, 27 Jun 1996 06:54:01 +0800
To: cypherpunks@toad.com
Subject: Re: RFD: Developing Nations and crypto (based on excertp from Edupag
Message-ID: <adf6b50a0602100412c8@[205.199.118.202]>
MIME-Version: 1.0
Content-Type: text/plain


At 3:57 AM 6/26/96, Deranged Mutant wrote:
>An interesting possibility: information tech expands and 'centers' in
>third-world/developing countries, since (1) they need to skip
>industrial techs to catch up to N.America, Europe, etc. (2) they
>aren't bogged down in older ways of doing business, communicating,
>etc. (3) 'emerging democracies' might embrace crypto tech as a
>safeguard against Orwellian practices, to use digital authentication
>to protect from fraud, etc. (4) cheaper costs for rent, wages, etc.
>[though in many cases exploitavily cheap] may outweigh building an
>infrastructure from scratch, (5) building an infrastructure from
>scratch has advantages of building in flexibility towards uses that
>were not built into older structures in N.Am, Eur., etc. (6) desire
>for investment (7) desire for skills or tech to drive education etc.
>in region

Sadly, most developing countries (Third World, LDCs, whatever) have
repressive governments of various stripes...few are libertarian. Several
have embraced computer technology, but primarily as an instrument of social
control.

Singapore is an example of a country that jumped from former colonial
status, surrounded by relatively poor (GNP) countries, to the "Information
Age." And what is the result? What our own Sandy Sandfort dubbed
"Disneyland with a Death Penalty." No spitting, no cursing, no long hair,
no "Wall Street Journal," no pornography, no Internet free access, no
dissension. And smartcards track the movements of all Citizen-Units. Not an
encouraging example.

As for the comment that "they aren't bogged down in older ways of doing
business, communicating, etc." Well, some of these "older ways" include:

- concepts about the ownership of property and transfers of title

- contracts, and the ability to make and enforce them

- understanding of the Uniform Commercial Code (the descendent of the "Law
Merchant" which Western societies have embraced for centuries)

- a stable middle class, solid educational facilities, and a tradition of
business and technical achievement

(These are all things which are missing in many Third World countries, for
whatever reasons. Even in many Second World countries, such as the former
U.S.S.R., and these lacks are making the development of modern economic
systems problematic.)

Certainly some small nations--perhaps island nations--can essentially jump
directly to an "information based economy." The Cayman Islands and several
other examples come to mind.

I find it harder to believe that a _large_ nation is likely to make such a
transition.

--Tim May

Boycott "Big Brother Inside" software!
We got computers, we're tapping phone lines, we know that that ain't allowed.
---------:---------:---------:---------:---------:---------:---------:----
Timothy C. May              | Crypto Anarchy: encryption, digital money,
tcmay@got.net  408-728-0152 | anonymous networks, digital pseudonyms, zero
W.A.S.T.E.: Corralitos, CA  | knowledge, reputations, information markets,
Licensed Ontologist         | black markets, collapse of governments.
"National borders aren't even speed bumps on the information superhighway."