The Political Economy of Long Run Growth in Angola - Everyone Wants Oil and Diamonds but They Can Make Life Difficult
AbstractOil and diamond money are at the same time the biggest economic opportunity for Angola as well as being the biggest economic problem. Angola suffers from an extreme case of “Dutch Disease”, the common name for the constellation of distortions and problems that often plague oil-rich low income countries, and it is tempting to view its prospects for future development solely through this lens. However, the details of the Angolan case are of particular importance since the interaction of oil and diamond money with existing political and regional divisions in the country magnifies the difficulties of resolving either the economic or the political problems that have prevented progress for the past several decades. This paper discusses the ways in which mineral income not only distorts the economy, but reinforces political divides that have existed for centuries. It is argued that a durable solution to Angola’s conflicts requires addressing all of these issues simultaneously since they all contribute to the current problems and line up precisely the same groups in opposition to each other. These “axes of polarization” include coastal vs. interior, rural vs. urban/industrial, Mbundu/mestiHo vs. Ovimbundu and MPLA vs. UNITA. This discussion sets the stage for consideration of proposals for a way to overcome these problems and achieve sustained long term growth.
Download InfoIf you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
Bibliographic InfoPaper provided by Cornell University, Department of Applied Economics and Management in its series Working Papers with number 127278.
Date of creation: 11 Jul 2012
Date of revision:
This paper has been announced in the following NEP Reports:
You can help add them by filling out this form.
reading list or among the top items on IDEAS.Access and download statisticsgeneral information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (AgEcon Search).
If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.
If references are entirely missing, you can add them using this form.
If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.
If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.
Please note that corrections may take a couple of weeks to filter through the various RePEc services.