They said they would leave the union
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While the rest of the world's economy grew at an annual rate of close to 2 percent from 1960 to 2002, growth performance in Africa has been dismal. From 1974 through the mid-1990s, growth was negative, reaching negative 1.5 percent in 1990-4. As a consequence, hundreds of millions of African citizens have become poor: one half of the African continent lives below the poverty line. In sub-Saharan Africa, per capita GDP is now less than it was in 1974, having declined over 11 percent. In 1970, one in ten poor citizens in the world lived in Africa; by 2000, the number was closer to one in two. That trend translates into 360 million poor Africans in 2000, compared to 140 million in 1975.
In The Economic Tragedy of the XXth Century: Growth in Africa (NBER Working Paper No. 9865), authors Elsa Artadi and Xavier Sala-i-Martin review both the deteriorating economic status of the African continent and the ways in which rich nations, as well as the African nations themselves, might help the poor nations of the continent.
Using the robust econometric determinants of economic growth in a cross-section of countries, the authors pinpoint the most important factors behind the tragedy. The first culprit has been the lack of investment. Over the past 40 years the investment rate in Africa has fallen. Since 1975 the investment rate has declined to 8.5 percent for the whole continent, compared to investment rates for the average-performing OECD economy of between 20 and 25 percent, and for East-Asian economies of 30 percent. Furthermore, most of the investment was skewed in the direction of the inefficient public sector. Recent reforms in Africa have raised the investment rate, but only slightly.Explanation:
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A. It was a highly influential abolitionist newspaper.
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