I understand the fact that the slave trade and colonisation highly affected the continent, but fact is African countries weren’t the only ones affected by that so it still puzzles me as to why African nations have failed to spring up like the Super power nations we have today
In: Economics
Two children, Jack and Amy, are given a school business project to make $100.
Jack already has $50. He buys a $50 lemonade stand. He sells the lemonade at $2 a glass. After selling twenty-five cups, he’s made back the $50 he spent originally. After selling fifty more, he’s completed his assignment. It wasn’t really that difficult.
Jack is representative of a rich country.
Amy has no money. What can she do? She can’t start a lemonade stand. She doesn’t have the money to buy materials. She could borrow some money, but no bank wants to lend someone who initially has no money. Like, if you want a mortgage, you need a down-payment. Amy can’t do that. She has no assets to sell or use as collateral because some robbers came and stole everything she once owned. Also, since Amy’s brother is also poor and hungry, the little money she does somehow make, he steals because he needs it. Even after he’s bought his food, he keeps stealing from Amy. After all, poor, little, scared Amy can’t fight back.
The banks who won’t give loans are investors who fear instability and poor returns. The robbers were the European empires. And the brother is a corrupt despot dictator, the African elite.
Amy is the African masses.
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