Working Paper: NBER ID: w12610
Authors: Robert H. Bates; John H. Coatsworth; Jeffrey G. Williamson
Abstract: Africa and Latin America secured their independence from European colonial rule a century and half apart: most of Latin America after 1820 and most of Africa after 1960. Despite the distance in time and space, they share important similarities. In each case independence was followed by political instability, violent conflict and economic stagnation lasting for about a half-century (lost decades). The parallels suggest that Africa might be exiting from a period of post-imperial collapse and entering a period of relative political stability and economic growth, as did Latin America a century and a half earlier.
Keywords: Latin America; Africa; Postindependence; Economic growth; Political instability
JEL Codes: N00; O10; O54; O55
Edges that are evidenced by causal inference methods are in orange, and the rest are in light blue.
| Cause | Effect |
|---|---|
| political instability (O17) | economic stagnation (P27) |
| violent conflict (D74) | economic stagnation (P27) |
| violent conflict (D74) | capital formation (E22) |
| violent conflict (D74) | investments from fixed to liquid assets (G11) |
| civil war (D74) | economic growth (O49) |
| violent conflict (D74) | capital flight (F21) |
| historical experiences (B15) | current economic outcomes (E66) |