African EconomicsAfrican Economicsor or

Why Africa is poorWhy Africa is poor

Geographic Pros & ConsGeographic Pros & Cons

Most of Africa’s Most of Africa’s major rivers are not major rivers are not navigablenavigable due to due to rapid changes in rapid changes in elevationelevation

About About ²/²/33 of Africa is of Africa is either desert or either desert or tropical rainforest, tropical rainforest, i.e. not i.e. not arablearable

Africa does have Africa does have many natural many natural resources & natural resources & natural wonderswonders

ColonialismColonialism Africa was colonized late Africa was colonized late

by European countries. by European countries.

The Berlin Conference of The Berlin Conference of 1884 divided up Africa 1884 divided up Africa amongst the major amongst the major European powers with European powers with no consideration for the no consideration for the cultural boundaries cultural boundaries already in place.already in place.

This would lead to great This would lead to great political instability later.political instability later.

EthnocracyEthnocracy A government where one A government where one

ethnic group holds most ethnic group holds most government positions.government positions.

The dominant group The dominant group uses that power to uses that power to advance its position over advance its position over other ethnic groups. other ethnic groups.

This has resulted in This has resulted in ethnic conflicts and in ethnic conflicts and in some cases, genocide.some cases, genocide.

Colonial EconomiesColonial Economies The main purpose of The main purpose of

colonies were to colonies were to provide raw materials provide raw materials for the home country to for the home country to process into finished process into finished products.products.

European powers never European powers never focused on building focused on building factories or economic factories or economic infrastructure infrastructure in Africa. in Africa.

What problems do you What problems do you think this might cause?think this might cause?

Primary ActivitiesPrimary Activities Most African countries Most African countries

have continued the same have continued the same economic course set by economic course set by Europeans. Europeans.

This leaves most African This leaves most African countries stuck in the countries stuck in the primary stage of primary stage of economics. economics.

It’s difficult for African It’s difficult for African nations to make the jump nations to make the jump to the next level because to the next level because of political instability and of political instability and the lack of capital the lack of capital resources. resources.

Primary ProblematicsPrimary Problematics

Many African nations Many African nations rely on a single crop or rely on a single crop or raw material as their raw material as their main export.main export.

1.1. Extracting raw Extracting raw materials doesn’t bring materials doesn’t bring in as much money as in as much money as producing goods & producing goods & services.services.

2.2. Due to the lack of Due to the lack of diversity, economies diversity, economies based on primary based on primary activities are much activities are much more vulnerable to more vulnerable to changes in demand & changes in demand & prices.prices.