You guys seem to be discussing this in the context of our society, but what about a 3rd world country? Say, Haiti, for example. I'm talking like, bringing some of the poorest people in the world out of poverty. Prosperity doesn't just come out of thin air, and i'm just saying - would the same principle still apply? Would you say the best way to help these millions of people would be to just leave them alone and let the market work? Just let private charities help them?
What would you do if you were the newly-elected president of Haiti (or a similar country)? What would be your plan of action?
Haiti, right now, does not have any sort of economy to speak of. There are few trees. One of the big cities was just pretty much turned to dust a little over a year ago. The nation cannot help itself right at this moment.
Now, should other nations force their citizens to pay for that? No. Other nations, however, do have charities that swarm to the place. Even before the earthquake, there were numerous charities trying to make a difference in mortality and standard of living. It's very difficult, though, because of Haiti's UNSTABLE GOVERNMENT. It's obvious the island can sustain a fairly healthy nation (one need only look next door). It's obvious that other nations are fine with voluntarily helping.
If I were the new President of Haiti, I'd be very likely a corrupt individual with the health and wealth of the nation very low on my list of priorities. That's the sort of person who generally wins. However, taking your hypothetical in good faith, I would seek to promote the island as a good place to set up shop. Puerto Rico recently made itself more business-hostile, and Haiti's location is not bad. There are a lot of opportunities to ship from there to other islands, the US, Mexico, and South America. With so much land pretty much cleared of people and trees, it'd be a matter of one or two developers creating their own little "city" somewhere. The local folks would, of course, be employed in building these new structures and staffing the simpler things. People who've left the island would be urged to come back and staff the jobs which require more education. I would speak to universities, especially in the SE USA, about sending doctors to Haiti to gain experience and awarding credit to such programs. I would reach out to the Little Haiti community churches, and beyond, and talk to them about stewardship and missions to the island. I would beseech charities to visit the island and set up shop, and provide support to them in any way possible. I would consult with people who have great experience in civil engineering and city design, and see what could be done to take this opportunity to start from the mud and build upward.
All of that can be done without taxing other nations for my rebuilding project.
