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,APC2602 POLITICAL ECONOMY OF AFRICA EXAM PACK
Political Economy of Africa
I. Introduction
A. Definition of Political Economy:
• Political economy refers to the interplay between politics and economics,
examining how political institutions and processes influence economic
outcomes.
B. Historical Context:
• Africa's political economy shaped by historical factors, including colonization,
independence movements, and global power dynamics.
II. Economic Structures
A. Dependency Theory:
• Many African nations experience economic dependency, relying on foreign
aid and exports of raw materials.
• Historical legacies contribute to economic imbalances.
B. Agriculture and Resource Extraction:
• Agriculture remains a significant economic sector.
• Resource extraction (minerals, oil) impacts economic development and
governance.
III. Political Institutions
A. Governance and Corruption:
• Governance challenges contribute to corruption.
• Corruption hampers economic development and social progress.
B. Political Stability:
• Political stability is crucial for economic growth.
• Instances of political instability affect investment and development.
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,IV. International Relations
A. Global Power Dynamics:
• Africa's political economy influenced by global powers.
• International trade agreements, debt, and aid play key roles.
B. China-Africa Relations:
• China's increasing economic presence in Africa.
• Impact on infrastructure development, trade, and geopolitical dynamics.
V. Economic Policies
A. Structural Adjustment Programs:
• Implementation in the late 20th century.
• Mixed results, with both successes and criticisms.
B. Regional Economic Communities:
• Efforts to enhance economic cooperation among African nations.
• Examples: African Union, ECOWAS.
VI. Social and Environmental Impacts
A. Inequality and Poverty:
• Economic disparities contribute to social inequality.
• Poverty remains a significant challenge.
B. Environmental Sustainability:
• Extractive industries impact the environment.
• Balancing economic development with environmental conservation.
VII. Case Studies
A. Economic Success Stories:
• Highlighting nations with successful economic transformations.
• Examples: Botswana's diamond industry, Rwanda's post-conflict recovery.
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, B. Challenges in Specific Regions:
• Examining economic challenges in specific African regions.
• Factors such as conflict, disease, and governance issues.
VIII. Questions and Answers
1. Q: What is the political economy of Africa?
• A: The political economy of Africa explores the interaction between
political and economic systems, examining how political institutions
influence economic outcomes.
2. Q: How does historical context impact Africa's political economy?
• A: Historical factors like colonization, independence movements, and
global power dynamics have shaped Africa's economic and political
structures.
3. Q: What is the role of dependency theory in understanding Africa's
economic situation?
• A: Dependency theory highlights how many African nations are
economically dependent, relying on foreign aid and exports of raw
materials, with historical legacies contributing to imbalances.
4. Q: How does political stability influence economic development in
Africa?
• A: Political stability is crucial for economic growth, as instances of
instability can affect investment, development projects, and overall
economic progress.
5. Q: What are the challenges associated with corruption in Africa's political
economy?
• A: Corruption hampers economic development and social progress,
leading to governance challenges and impacting foreign investments.
6. Q: How do international relations, especially with China, influence
Africa's political economy?
• A: China's increasing economic presence in Africa affects infrastructure
development, trade dynamics, and geopolitical relationships,
showcasing the global influences on Africa's political economy.
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