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ACEMOGLU, DARON, ROBINSON, JAMES (2010) Why is Africa poor?, Economic History of Developing Regions, 25 (1):21-50.
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AIMS
Explain why African institutions take such a shape not conducive to development
Explain when and why African institutions diverged from the rest of the world (particularly Europe)
The fact that institutions matter for development is taken for granted (Acemoglu and Robinson, 2001, 2002, 2005); geographic and cultural explanations also left aside
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CONCLUSIONS
African
poverty is the result of institutions, which do not provide incentives for politicians to deliver public goods and citizens to save and invest
And
State formation in Africa took place later with respect to Eurasia. Technological backwardness also relevant. State institutions were born absolutist and patrimonial External shocks (slave trade and colonialism) did not correct this and instead reinforced it
ii. iii.
iv.
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METHODOLOGY
v.
vi.
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On technological backwardness:
Conventional explanations:
Draught animals not available due to tse-tse fly made wheeled transportation uneconomical (McPhee, 1926) African soils not suitable for plow
On technological backwardness:
An explanation is lacking, though some hints:
Farmers in Kongo kingdom (17th century) reluctant to adopt better technology due to insecurity in property and human rights Kongolese moved their villages far away from roads to avoid extraction, enslaving and violence from army and slave-traders
etiope@gmail.com @africanstates
etiope@gmail.com @africanstates
Absolutist institutions create conflicts over rents at the center which can destroy the state
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Africa the source of slaves well before (1000 years) the Atlantic trade
Slave trade led to intensification of warfare and consolidation of states devoted to slave exportation (Kongo, Oyo, Dahomey, Asante) Demographic impact made population decline by Impact also causing lawlessness and arbitrariety Impacts in society and institutions continued after abolition of slave trade through legitimate commerce: large plantations of agricultural products for exportation cultivated by slaves Slavery persistent well into the 20th century
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Southern Africa, with large settler communities, the extreme case of extractive colonial institutions causing the underdevelopment of African communities
Case: Introduction of private property of land in Transkei until 1913, and Native Act converting Africans into cheap labor for mining sector
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Ghanaian Cocoa Farmers: an example of the colonial state discouraging indigenous capitalist activity
Boom in cocoa in late 18th century led to land being sold by traditional chiefs to families
No help of any sort from British authorities; cocoa farmers even built their own roads to reach Accra
British government responded by setting the Cocoa Marketing Board, a compulsory monopsony which payed farmers well below world prices
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Also, set up a Marketing Board oriented towards extraction; over-valued exchange rate in order to create artificial resources to be distributed among supporters
Polarization in African countries (Esteban and Ray, 1994) made politics a winner takes all game, leading to instability and conflict
etiope@gmail.com @africanstates
etiope@gmail.com @africanstates