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Economic Development

This interview with Cameroonian rap-reggae artist, Soumalek of the group Sumanja, shows how Cameroonian rap provides critical insights into the lived experiences of the global capitalism of uneven development in urban Cameroon.

In 1955 G.A. Campbell wrote ‘[s]o long as officials obtained the whole or part of their income from fees, the total cost of the Service remained hidden. Parliament needed to provide no money at all for salaries in some departments, and where revenue did not balance expenditure it voted only for the difference. Under the new arrangements [after 1837] Parliament saw for the first time the wages bill of the public administration. The cost seemed to members of both Houses to be enormous. […]  There has never since been a time when Parliament has not thought the Civil Service to be too costly and sought, more or less urgently, for economies in administration.’ (The Civil Service in Britain, Penguin, p. …

Bestselling author, financial economist (and Oxford alumnus) Dambisa Moyo argues in her new book that the rise of China is generating unanticipated consequences for the international system and that no one — bar the Chinese Communist Party — is actively thinking about how to handle the long term fallout of these seismic shifts. I debated some of these ideas with her on Radio 4’s Today Programme a couple of days ago. One of Moyo’s controversial arguments is that China’s ascendency doesn’t just put tremendous pressure on commodity markets, but is likely to represent such a big demand shock that supply of key resources simply can’t keep up. The consequence, for Moyo, is then that as countries — and the planet …

Last week, Foreign Policy and the Fund for Peace released their annual ranking of the world’s failed states. The list is based on indicators of 12 different measures of state failure, ranging across social, economic, political, and military factors. This year 34 countries fall into the “Alert” category, denoting those in the worst shape. Somalia and DRC lead the way; the bottom five countries are all in sub-Saharan Africa. What I think is most interesting about this year’s list is the fact that 12 of the “Alert” states – over a third – are middle-income countries. This is a new high, and indeed the emergence of failed middle income states is a relatively new phenomenon; back in 2006 there were only …

I was recently traveling in Dakar, Senegal. I was there visiting an American friend, I will call her A, who has been teaching English language at a local high school for three years. One evening we were hailing a taxi across town, accompanied by a friend of A who is also an American and a high school teacher in the city; I will call her B. My friend negotiated the price of the taxi prior to our taking a seat, as is the custom in Senegal. The taxi man insisted that the price was 2,500 CFA (500 CFA: $1US: £0.62BPS) and A insisted that we pay 2,000 CFA, the price that the Senegalese routinely pay to get across town. The …

Shortly after my post on Romania’s paradox of plenty, the recently appointed Romanian Prime Minister came out with another mind-boggling announcement: the government had secretly sold Cupru Min, Romania’s largest copper mine, possessing over 60 percent of the country’s copper resources, to Roman Copper Corp., a Canadian Company, for a mere $200m (US). Quite pleased with the deal, the Prime Minister emphasised that the copper mine had been a black hole for the government, which it finally managed to sell for four times its value. These are misleading overstatements. While the precise value of Cupru Min is unclear, its worth is estimated to be between $6b and $14b (US), whilst the agreed profit sharing deal with Roman Copper only gives …

Many people instantly associate the ‘resource curse’ with images of African blood diamonds and mining-induced population displacement in Latin America. Few think Western countries are susceptible to such problems. But Romania, and other countries in Eastern Europe, are experiencing their own form of the paradox of plenty. Since the fall of communism Romania remains economically weak. Severely affected by the global economic crisis, its GDP fell more than 7% in 2009, forcing the Romanian government to request a $26 billion IMF emergency assistance package. Following this, the Romanian government adopted drastic austerity measures, resulting in a further 1.3% GDP contraction in 2010. Things are looking better since then; the economy strengthened in 2011. But Romania still lags behind its more …

As the most high profile ouster in the Chinese Communist Party (CCP) since 1989, the departure of Bo Xilai, a high-level Party official, illustrates two matters. First, it demonstrates that the consensus of collective leadership and demand for Party unity remains very strong. But second, it reflects the increasing strain on the Chinese political system and casts doubt on its capacity for change. A bit of background. After 1978, the CCP embarked on a political strategy to consolidate its hold on power that was based on collective leadership. This choice was informed foremost by the necessity to prevent the rise of another Mao-like autocrat; but a second key principle insisted on keeping leadership divisions out of public view. This policy …