Palgrave Studies in African and Development Economics: Overcoming Resource Dependence, Underdevelopment and Dysfunctional Capitalism

Gossel, Sean

This book explores the developmental prospects, risks, and implications of foreign direct investment (FDI) in sub-Saharan African (SSA). Despite the region’s significant potential, it continues to face complex challenges and significant capital shortages. In theory, FDI could promote development by supplementing domestic savings, enhancing financial systems, and promoting global integration, but it can also weaken the balance of payments and undermine domestic investment. In addition, SSA’s weak institutions and poor governance means that FDI may also contribute to dysfunctional capitalism and tax evasion.

This book argues that colonial legacies and flawed policy choices have entrenched institutional weaknesses and socio-economic outcomes that deter diversified FDI and attract extractive FDI, leading to underdevelopment and resource dependency while undermining industrialization and diversification. This book will be relevant to students, researchers, and policymakers interested in development economics and the political economy of SSA.

Details

Published by: Palgrave Macmillan

Publication Date: 2025-10-02

Format: Hardcover

ISBN-13: 9783032013194

DOI: 10.1007/978-3-032-01320-0

Dimensions: 210cm x148cm

Pages: 327