GRAMEEN

I went to a talk on campus yesterday by the CEO of the GRAMEEN Foundation. GRAMEEN was the organization begun by Dr. Mohammad Yunus to provide micro-finance loans to primarily women in 3rd world countries.

 
 

The approach was groundbreaking and innovative, in that it involved lending small sums to individuals, and not large sums to governments. Furthermore, accountability to repay the loan was guaranteed by a group of women, and not just the individual.

 
 

I've always thought that the "group dynamic" facet was the most intriguing. It seems like peer pressure has always gotten a bad wrap! Think kids smoking, making bad decisions, etc. But so often, the gentle (or not so gentle) persuasion of a peer group can really make a positive impact.

 
 

It makes me think of other applications in modern-day life. Admittedly, as an American, I hold a pretty high regard for the individual. However, I could see interesting applications of this positive social pressure in a number of areas, from driving the speed limit to going to the gym. The challenge is of course, one of economics and incentives. How to provide the right impetus to "do the right thing."

 
 

Not a whole lot of answers, but it does raise up a number of good questions...