We investigate the impact of 20th--century European colonization on growth in Africa. We find that in the 1960--88 period growth has been faster for dependencies than for colonies; for British and French colonies than for Portuguese, Belgian and Italian ones; and for countries with less economic penetration during the colonial period. On average, African growth accelerates after decolonization. Proxies for colonial heritage add explanatory power to growth regressions and make indicators for human capital, political and ethnic instability lose significance. Colonial variables capture the same effects of a sub--Saharan dummy and reduce its significance when jointly included in a cross sectional regression with 98 countries.
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Paper provided by Department of Economics and Business, Universitat Pompeu Fabra in its series Economics Working Papers with number
202.
Find related papers by JEL classification: E00 - Macroeconomics and Monetary Economics - - General - - - General O40 - Economic Development, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - General Q32 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Nonrenewable Resources and Conservation - - - Exhaustible Resources and Economic Development N10 - Economic History - - Macroeconomics and Monetary Economics; Growth and Fluctuations - - - General, International, or Comparative
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Sebnem Kalemli-Ozcan & Bent E. Sørensen & Ariell Reshef & Oved Yosha, 2005.
"Why Does Capital Flow to Rich States?,"
Working Papers
2005-04, Department of Economics, University of Houston.
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