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The african continent and poverty economics


The African continent is home to the most valuable of natural resources on earth yet terribly poverty stricken and economically incapacitated. This has gone on for decades and even though currently there are glimpses of hope there still exists a notion that it is predefined. However, the economic underdevelopment did not emerge out of the blues there are reasons that have been key in creating the phenomena. The African states have lacked appropriate political leadership for years and this has its obvious effects on the economic development. The key to economic development is the ability for a region to continually attract investment. Consistency is important and can only be guaranteed by maintaining a stable environment that will ensure good returns. More over, the continent is disadvantaged in respect to the colonization that left cultures of trades that were improper and gross inequalities in distribution of resources. This fact coupled by the inability of the postcolonial political leaderships to adjust unto better practices has led to the situation aggravating. The current global trend has the African continent placed as a market for secondary products and it being the exporter of primary products. The disadvantage creeps in where the primary products are priced less to secondary products and they are more likely to fluctuate in production. The GNP percentage per capita of the Sub- Saharan Africa is 10% in 1999 and its percentage change in GNP per capita from 1960 to1999 is -47%. This is a cause for concern.

Causes of African economic underdevelopment

The issue of underdevelopment in the African countries has usually perplexed the entire world. There are many reasons that can account for the underdevelopment in the African continent and they are usually grouped into four. The first being the colonialism effect, the second being the unfavorable labor logistics, third being the political governance and lastly the debt crisis.

i. The colonialism effect

There are conspicuous underlying economic effects that arose from the African colonial experience. Every colonial country went ahead to introduce their own economic policies that were geared to transform the economic nature of the countries from that of reliance on subsistence trading to that of a monetary nature. Initially the aim was to be a trustee of the vast resources bestowed on the continent (Bakut & Dutt 2000). This meant that the colonial countries would play the role of a trustee. However, the colonial countries left a pattern of trade that is known as the colonial trade pattern that has contributed to the African countries lagging behind in terms of economic growth. This is typical of most Sub Saharan countries, which are net exporters of raw materials while they import a bulk of finished goods from the developed nations that were their former colonial masters. Examples include Uganda, Tanzania and Kenya in the East African 论文英语论文网提供整理,提供论文代写英语论文代写代写论文代写英语论文代写留学生论文代写英文论文留学生论文代写相关核心关键词搜索。

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