Poverty's chains.

A new report gives governments some facts to ponder about economic development. For a better understanding of the plight of the world's poor, the protestors against capitalism who descended on the World Trade Organisation's meeting in Cancún last month ought perhaps to have gone to Haiti instead. In Haiti, one of the world's poorest countries, prospective business people have to wait an average of 203 days for permission to start trading. Then they have to pay registration costs and satisfy minimum capital requirements of around four times the average Haitian's annual income. The juxtaposition of stifling bureaucracy and abject poverty is no coincidence, argues a new report, "Doing Business in 2004", by the World Bank. It offers one of the first consistent, rigorous portraits of the costs of business regulations in poor countries. These often concern macroeconomic questions such as monetary policy and fiscal discipline, and the means of globalisation, such as free trade and foreign investment. Countries such as Haiti which, through colonialism, inherited laws from the French legal system are especially prone to red tape.