Acemoglu, Johnson and Robinson have dramatically challenged the tendency of economists to confine their empirical search for the causes of economic growth to the recent past. They argue that the kind of institutions established by European colonialists, either protecting private property or extracting rents, resulted in the poorer parts of the pre-colonial world becoming some of the richest economies of today; while transforming some of the more prosperous parts of the non-European world of 1500 into the poorest economies today. This view has been further elaborated for Africa by Nunn, with reference to slave trading. Drawing on African and comparative economic historiography, the present paper endorses the importance of examining growth theories against long-term history: revealing relationships that recur because the situations are similar, as well as because of path dependence as such. But it also argues that the causal relationships involved are more differentiated than is recognised in AJR's formulations. By compressing different historical periods and paths, the 'reversal' thesis over-simplifies the causation. Relatively low labour productivity was a premise of the external slave trades; though the latter greatly reinforced the relative poverty of many Sub-Saharan economies. Again, it is important to distinguish settler and non-settler economies within colonial Africa itself. In the latter case it was in the interests of colonial regimes to support, rather than simply extract from, African economic enterprise. Finally, economic rent and economic growth have often been joint products, including in pre-colonial and colonial Africa; the kinds of institutions that favoured economic growth in certain historical contexts were not necessarily optimal for that purpose in others. AJR have done much to bring development economics and economic history together. The next step is a more flexible

This article seeks to revise and re‐apply the factor endowments perspective on African history. The propositions that sub‐Saharan Africa was characterized historically by land abundance and labour scarcity, and that the natural environment posed severe constraints on the exploitation of the land surplus, are broadly upheld. Important alterations are suggested, however, centred on the seasonality of labour supply, Ruf's concept of ‘forest rent’, and, for precolonial economies, the role of fixed capital. This revised endowments framework is then applied in order to explore the long‐term dynamics of economic development in Africa, focusing on how the economic strategies of producers and political authorities created specific paths of change which shifted the production possibility frontiers of the economies concerned, and ultimately altered the very factor ratios to which the strategies had been responses.

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The Second Industrial Revolution created markets for new products for Ghana, rubber and then cocoa beans. Mechanised transport spurred the spread of cocoa planting. The paper estimates the resultant shift in factor ratios, and synthesises the data for prices of landuse rights and wages as the economy moved from land abundance to localised land scarcity. The consequences for factor markets were institutional rather than simply quantitative. For the first time markets in land use rights became widespread, while hired labour and farm pledging replaced slavery and debt bondage, as cocoa income made it possible for farmers to offer labourers sufficient inducement to enter the labour market.JEL categories: N37, N57, N77, J43, F54

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The notion of capitalist relations in Ghanaian cocoa-farming is familiar, yet their development has been relatively little studied. In Amansie district, Asante, capitalist relations of production developed as a result rather than as a cause of the cocoa ‘take-off’, c. 1900–16. This paper examines their emergence, which occurred largely during the subsequent period of much slower growth and generally lower prices. The introduction and spread of regular wage-labour, the widening and deepening burden of rent on ‘stranger’ cocoa farms, the proliferation of ‘advances’, and the introduction of farm mortgaging are described, together with the accompanying decline of slavery, pawning, and other non-wage forms of labour. Colonial officials ineffectually deplored the growth of money-lending and, to a lesser extent, that of wage-labour. From the mid-1930s, however, the tendency towards greater separation of labour from control of the farm was partly reversed by a new insistence by northern labourers on the replacement of annual wage contracts by a managerial form of share-cropping. This demand was sustained against the opposition of farmowners and despite persistent unemployment, an achievement made possible by the migrants continued foothold in subsistence agriculture in their home areas. This case of migrant labourers successfully challenging the extension of wage relations raises questions concerning the relationships between commercial agriculture and ‘precapitalist’ social relations of production in Africa generally.

This article suggests that the business history of emerging markets should be seen as an alternative business history, rather than merely adding new settings to explore established core debates. The discipline of business history evolved around the corporate strategies and structures of developed economies. The growing literature on the business history of emerging markets addresses contexts that are different from those of developed markets. These regions had long eras of foreign domination, had extensive state intervention, faced institutional inefficiencies, and experienced extended turbulence. This article suggests that this context drove different business responses than are found in the developed world. Entrepreneurs counted more than managerial hierarchies; immigrants and diaspora were critical sources of entrepreneurship; illegal and informal forms of business were common; diversified business groups rather than the M-form became the major form of large-scale business; corporate strategies to deal with turbulence were essential; and radical corporate social-responsibility concepts were pursued by some firms.

SummaryThis article argues that the greatest economic and social transformations of the early colonial period in West Africa, the “cash-crop revolution”, and “the slow death of slavery” and debt bondage, had stronger and more varied causal connections than previously realized. The economic circumstances of late nineteenth and early twentieth-century West Africa delayed and diluted abolitionist measures. Indeed, the coercion of labour, through the exercise of property rights in people, contributed to the speed with which the cash-crop economies developed. Conversely, however, the scale and composition of cash-crop expansion did much to determine that the slave trade and pawning would be replaced by a consensual labour market. They also shaped the possibilities for peasant versus larger-scale organization of production, and the distribution of income by gender and between communities.