Posts Tagged Karol Boudreaux
According to Easterly and Freschi, there have been some recent signs of success:
In any other country, such progress might seem ordinary or mundane, but as you probably know, Rwanda has had its fair share of economic turmoil. Most are familiar with the tragic genocide that rocked Rwanda in 1994, but Rwanda’s socio-economic woes have roots that go back much further.
When it comes to the country’s coffee industry, Easterly and Freschi provide a brief history:
The history of coffee in Rwanda is intertwined with the country’s political fortunes, and stretches back to the 1930s when the Belgian colonial government required Rwandan farmers to plant coffee trees, while setting price restrictions and high export taxes, and controlling which firms could purchase coffee. These policies helped create a “low-quality/low-price trap” that would bedevil the post-colonial governments that continued similarly heavy-handed policies.
This poor foundation held the country down for most of the century, but it reached its inevitable collapse after the Read the rest of this entry »