The Political Economy of Policy Making in Africa

This paper offers a new theory of 'the political economy of reform, based on an analysis of transition in economic and political cultural values, attitudes, and practices. It argues that a modern version of administered trade emerged in twentieth century Africa, as well as in Russia, China, and other previously hierarchical and only partially monetized societies. Accelerating monetization of economies is forcing a paradigm shift, which imposes a new way of thinking about economies. In the meantime, African leaders still operate in cultures in which most people view economic management quite differently from market economists.