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SUB-SAHARAN AFRICA

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ART IS BY : balaclava, avatar.
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MessageSam 10 Juin - 17:33

Import substitution industrialization (ISI) is a theory of economics typically utilized by developing countries or emerging market nations seeking to decrease dependence on developed countries and to increase self-sufficiency.

28.    Describe the history of development in Sub-Saharan Africa from independence to the early 2000s (ISI policies, structural adjustment and neoliberalism).
DECOLONIZATION.
= poor education and infrastructure
= lack of technology and entrepreneurship
= undiversified economies, commodity dependence.
= starting from a very low base of development
1960-1975: SSA grows together with other regions

DECLINE FROM AROUND 1975
= higher oil prices
= rising import prices, lower commodity prices (the developed world moves towards less resource-intensive production).
= growing external indebtedness (cheap dollar loans become very expensive after volcker shock of 1979)
= political instability and civil wars
Africa misses the chance to join GVC's(global value chains)

IMPORT SUBSTITUTING INDUSTRIALIZATION POLICY
= removing colonial structural dependence
= central role for the state as provider of infrastructural development and social services
= centrality of industrialization
= growth is the goal of development
https://prezi.com/ugtpcmiyxgih/sub-saharan-africa-and-development/?utm_campaign=share&utm_medium=copy

29.    What are the current and persistent challenges facing Sub-Saharan Africa’s economies?

persistent challenges :
= lack of infrastructure and education
= weak and inadequate institutions
= brain-drain: emigration of skilled labour
= commodity dependence : 70% of exports accounted for top 3 produtcs (dutch disease)
= violent conflicts (civil wars)
= infectious diseases (malaria, aids)
= inadequate business climate

current challenges :
= fast rate of urbanization
= climate change and population pressure and water and land
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