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Used anthropology to predict the financial crisis

She spent a year in Tajikistan during her PhD, looking after goats. Two years ago, she predicted the current financial crisis. “I happen to think anthropology is a brilliant background for looking at finance,” anthropologist Gillian Tett, assistant editor at the Financial Times, says in an interview with The Guardian:

Firstly, you’re trained to look at how societies or cultures operate holistically, so you look at how all the bits move together. And most people in the City (financial district of London) don’t do that. They are so specialised, so busy, that they just look at their own little silos. And one of the reasons we got into the mess we are in is because they were all so busy looking at their own little bit that they totally failed to understand how it interacted with the rest of society.

But the other thing is, if you come from an anthropology background, you also try and put finance in a cultural context. Bankers like to imagine that money and the profit motive is as universal as gravity. They think it’s basically a given and they think it’s completely apersonal. And it’s not. What they do in finance is all about culture and interaction.
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“(Anthropology is) a weird background to have. But it’s helped me in covering the financial crisis. Having seen the Japanese financial crisis, I’ve always known that banks can fall apart. We never imagined that the Soviet Union would break up. And then in Tajikistan there was a horrific civil war. So that whole experience taught me that extraordinarily unexpected things can happen.

Tett was Japan correspondent for the Financial Times during the country’s financial collapse, and wrote a book about it, “Saving the Sun”:

The behaviour and the psychological mood of the markets in late July was almost identical to what happened in the autumn of 1997 in Japan. I was busy cancelling holidays and things. But it came out of the blue for many people – investors, policymakers, bankers, our readers were suddenly completely at sea, at a loss to make sense of it. The financial system is so dysfunctional, so tribal, that people just don’t communicate with each other.

More non-economics should be interested in finance, she says:

People who come from a background of arts and humanities and social studies tend to think that money and the City is boring and somehow dirty. But if you don’t look at how money goes round the world you don’t actually understand the world at all. When you try and join up the dots about how money can be linked to politics, can be linked to culture, then it’s electrifying.

>> read the whole interview in The Guardian

>> Gillian Tett’s articles in the Financial Times

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Anthropologist Gillian Tett finds insight into Japan’s bad-loan crisis

She spent a year in Tajikistan during her PhD, looking after goats. Two years ago, she predicted the current financial crisis. "I happen to think anthropology is a brilliant background for looking at finance," anthropologist Gillian Tett, assistant editor at…

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How the Human Terrain System people think

“They’re natural born killers. They’re good, they’re lethal, they’re fantastic. I love working with them”, says Major Robert Holbert. He was part of the first Human Terrain Team in Afghanistan in 2007 and tells his story in a fascinating interview with Lisa Wynn at Culture Matters.

The interview gives insight in the way HTS-people (“cultural advisors” for the US-army) think. And it uncovers that their way of thinking only works within their own cosmology – only as long as you accept that it is okay to colonize / occupy Afghanistan or Iraq:

Lisa Wynn: OK, well let me ask a hard question, the kind of question I can imagine opponents of HTS posing. Yes, you’re saying this saves lives, and probably that’s true. But at the same time, it facilitates a military occupation of another country. You say it’s about winning a war. But talking about winning, it takes the war for granted. In the end, you’re facilitating the U.S. occupation of another country. How would you answer that?

Robert Holbert: [sighs] I’m not going to completely disagree, it’s not… God. It is what it is. OK, you say we’re an occupying army, we’re an occupying army. If that’s how you look at it, that’s how it is. What else do you call it when you’re not from the country and you’re in it? But if you’re going to fight it, then you’re there. This is an opportunity to change the culture of the military, this is our golden hour as progressives, and yeah, we’re in a country, we’re occupying it, but I’m trying to work myself out of a job, you know.

>> continue reading at Culture Matters

It reminds me of what Kerim Friedman wrote three month ago in his post The Myth of Cultural Miscommunication (Savage Minds, 26.6.08):

Treating the military’s lack of respect for local cultural knowledge as a cultural problem which can be solved by hiring anthropologists ignores the very real ways in which the military itself operates as a system for producing knowledge about the world, and the role of local knowledge in that system.

I haven’t written about military stuff recently, so in case you’ve missed some earlier posts on this issue in the anthrosphere, you might be interested in reading that The Human Terrain System spreads to Africa, Latin America, and the Caribbean (Open Anthropology, 7.9.08) , about resistance against Pentagon’s Minerva project (military-social science partnership) (Culture Matters 5.8.08) and a review of an article by embedded journalist Steve Featherstone about the HTS entitled “Human Quicksand” (Culture Matters 29.8.08). Culture Matters provides also an annotated bibliography on HTS, Minerva, and PRISP

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Anthropology and CIA: “We need more awareness of the political nature and uses of our work”

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"They’re natural born killers. They’re good, they’re lethal, they’re fantastic. I love working with them", says Major Robert Holbert. He was part of the first Human Terrain Team in Afghanistan in 2007 and tells his story in a fascinating interview…

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Development anthropology via the mobile phone

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With mobile banking taking off around much of the developing world, how long will it be before international aid is delivered electronically, asks anthropologist Ken Banks in PC World.

Banks is the founder of kiwanja, an organisation, that helps non-profit organisations to make better use of information and communications technology in their work – of course with an anthropological perspective. “Anthropology is interestingly the area which raises the most eyebrows among delegates at conferences”, he writes on his website.

phone user

He writes:

As our ever-expanding digital world slowly reaches some of the poorest and marginalized members of society, opportunities to deliver financial aid to them electronically becomes less myth and more reality.

Mobile phone users in a growing number of developing countries can already pay for goods and services wirelessly through their mobile phones, and there are few technical challenges in allowing someone in the U.K., for example, to make a direct donation to a user in Kenya by way of airtime credit to their phone.

Just as the Internet redefined the way we shop, the mobile phone will likely end up doing the same for international aid.

>> read the whole article in PC World.

There’s a lot to explore on Kiwanja’s website and elsewhere on the web . Some weeks ago he wrote the article Anthropology’s Technology-driven Renaissance (PC World), Africa’s grassroots mobile revolution – a traveller’s perspective (Vodafone Retriever). And his projects were presented by the BBC (Mobile development rings true), Global Voices (Zimbabwe: Using New Technologies to Fight for Democracy) and Mongabay.com (Cell phones, text-messaging revolutionalize conservation approaches – An interview with IT conservation expert Ken Banks)

Some of you might remember an related article in the New York Times by ethnographer Jan Chipchase Can the Cellphone Help End Global Poverty?.

(Image courtesy of www.kiwanja.net)

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Mobile phone company Vodafone gets inspired by traditional Kula exchange system

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With mobile banking taking off around much of the developing world, how long will it be before international aid is delivered electronically, asks anthropologist Ken Banks in PC World.

Banks is the founder of kiwanja, an organisation, that helps…

Read more

Motorola anthropologists develop social TV

Some years ago, the researchers observed how people talked on the phone while watching the same TV show. Now Motorola-anthropologist Crysta Metcalf and her team are designing a Social TV, the Chicago Tribune reports.

The researchers designed a prototype and recruited friends of friends for the first phase of testing. “It looked like a PC attached to a television with a big microphone on a coffee table,” Metcalf says.

>> read the whole story

There are several publications by her and her team online, among others Ambient social tv: drawing people into a shared experience. There is also a pdf of a presentation at a conference by the Society of Applied Anthropology Investigating the Sharing Practices of Family & Friends to Inform Communication Technology Innovations

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“The science of ethnography is an ideal tool to designing mobile phones”

Some years ago, the researchers observed how people talked on the phone while watching the same TV show. Now Motorola-anthropologist Crysta Metcalf and her team are designing a Social TV, the Chicago Tribune reports.

The researchers designed a prototype and recruited…

Read more

The resurgence of African anthropology

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What is the state of anthropology at African universities? African anthropology is interdisciplinary and focuses on solving problems like poverty, diseases and violence, Paul Nchoji Nkwi writes in the book World Anthropologies (download the book):

The West invented anthropology to study the “Other” and it defined the canons. But in developing economies, where resources are scarce, science has to be either useful or be gone.

In his very interesting text that is available online (Word-document), he describes the recent developments of our discipline in Africa and calls for a better cooperation between anthropologists in Africa with anthropologists in other parts of the world:

The European and American traditions of the discipline are distinct and the discipline surely deserves an African twist as well. It is time for the social sciences, including anthropology, across Africa to regroup and to face the challenges that confront us as a continent and as part of the human family: Disease, hunger, HIV/AIDS, ethnic wars, poverty … We need to look for answers to these scourges. It will be salutary for Africans to bring their own particular perspectives to all the social sciences, including anthropology

It is the applied option that dominates anthropology in Africa. Applied anthropology as the focus of academic work rehabilitated the discipline that has been discredited in post-colonial Africa because of its history as the handmaiden of colonialism:

African anthropologists grew up in societies that were either colonized or recently decolonized. Westerners initially controlled the production of anthropological knowledge and the result was functionalist studies. These studies were explicitly ahistorical and often myopic about colonialism. After the colonial period, the new nations of Africa dismissed anthropology both as a cultivation of primitivism and as an apologetic for colonialism.

Throughout the 1960s and 1970s African and Africanist anthropologists found it difficult to practice their profession openly, Paul Nchoji Nkwi writes. Anthropology took cover within African Studies programs, or anthropology institutes disappeared into sociology departments.

Some African anthropologists like Kwesi Prah (papers), Godwin Nukunya, Harris Memel-Fotê and Théophile Obenga, remained in Africa, while others like Adam Kuper, John Comaroff and Brian du Toit, Archie Mafeje, and Maxwell Owusu, left their countries “in search of more conducive environments”.

But by the 1980s, there was more and more demand for anthropological knowledge – mainly regarding development projects. Many projects had failed due to their top-down approach. A perspective from below was needed – an anthropological perspective. Also, a shift from hospital-centered to people-centered health care gave medical anthropologists a window of opportunity.

In 1987, the Pan African Anthropological Association (PAAA) was established. This was another event in the late 1980s and early 1990s that helped integrate anthropology into the discourse of development in Africa.

Anthropology, Paul Nchoji Nkwi writes, had to rediscover itself as a discipline that could help to solve problems:

During the first PAAA conference in 1989, many participants argued that addressing important human issues, such as the need for health care, the spread of famine, rapid population growth, environmental degradation, discrimination and violence against women, poverty, and ethnic violence would enhance the discipline’s tarnished image.
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Since 1989, the PAAA has organized twelve annual conferences and a series of training workshops for junior anthropologists. The association has also worked hard to bring the discipline closer to other social sciences. The future of anthropology depends, we feel, on how well the discipline integrates with the other social sciences. For anthropology to attract funds it must take on, and bring a unique perspective to, research problems that are common to other social sciences.
(…)
Over the years, African anthropologists have worked closely with environmental biologists, organic chemists, economists, demographers, health providers, and others. This experience showed that multi-disciplinary work is mutually enriching since each discipline draws on its unique insights to attain a common goal.

At the University of Yaoundé, there were 525 students majoring in anthropology in the 2002-2003 academic year, the same number of students took it as their minor. Paul Nchoji Nkwi witnessed an “increased involvement of the social sciences in health, agriculture, animal, environmental, and population research programs funded by the government”:

Targeting critical areas such as general health, reproductive health, population growth, the environment, and agricultural development led to the design of courses in medical anthropology, development anthropology, and environmental impact assessment. Today, the University of Yaoundé-I has one of the most active and dynamic departments of anthropology in Central Africa, attracting students from the entire region.

African anthropologists want opportunities to work and earn their way – in partnership with their colleagues all over the world, he stresses:

To bring this about requires a series of small but doable changes in the formal academic training programs, grant administration procedures, and grant requirements to promote better partnership arrangements.
(…)
Strengthening the ability of Africans to organize and develop their own professional associations is a way to address all of these issues at once. Truly professional associations will link Northern and African anthropologists in a single intellectual, publishing, and teaching endeavor on a more equal footing.

>> read the whole text “Anthropology in a Post-Colonial Africa – The Survival Debate” by Paul Nchoji Nkwi (Word-document)

SOME LINKS RELATED TO AFRICAN ANTHROPOLOGY:

Pan African Anthropological Association (PAAA) (no updates since 2005!)

African Anthropologist (Journal of the Pan African Anthropological Association)

Etho-Net Africa (the new website of this network is no longer available)

African e-Journals Project

Nordic Journal of African Studies

African Studies Quarterly

African Journal on Conflict Resolution

JENdA: A Journal of Culture and African Women Studies

Afrikanistik online

Africa Writes

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How can we create a more plural anthropological community?

Book and papers online: Working towards a global community of anthropologists

cover

What is the state of anthropology at African universities? African anthropology is interdisciplinary and focuses on solving problems like poverty, diseases and violence, Paul Nchoji Nkwi writes in the book World Anthropologies (download the book):

The West invented anthropology to…

Read more