Africa's Woes
28 October 2006
Editor, The Washington Post
1150 15th St., NW
Washington, DC 20071
Dear Editor:
Senegal's president, Abdoulaye Wade, mistakenly blames much of sub-Saharan Africa's woes on high oil prices ("Africa Over a Barrel," Oct. 28). He then asks oil companies "to chip in from recent windfall profits to reduce the increase in oil prices that has taken place since 2003."
The real problem in these countries isn't oil prices that are too high; it's economic freedom that is too low. In the latest Cato Institute Economic Freedom of the World index, Mr. Wade's own country is ranked 90th. (For comparison, Hong Kong is ranked first, the United States third, and Zimbabwe last at 130.) Property rights in Senegal are insecure. Also, Senegalese citizens enjoy little freedom to trade and are forced to endure especially burdensome regulations and unsound money. The same sad story holds throughout most of sub-Saharan Africa.
Africans don't need oil-company subsidies and more foreign aid. They need economic freedom.
Sincerely,
Donald J. Boudreaux
Chairman, Department of Economics
George Mason University
Editor, The Washington Post
1150 15th St., NW
Washington, DC 20071
Dear Editor:
Senegal's president, Abdoulaye Wade, mistakenly blames much of sub-Saharan Africa's woes on high oil prices ("Africa Over a Barrel," Oct. 28). He then asks oil companies "to chip in from recent windfall profits to reduce the increase in oil prices that has taken place since 2003."
The real problem in these countries isn't oil prices that are too high; it's economic freedom that is too low. In the latest Cato Institute Economic Freedom of the World index, Mr. Wade's own country is ranked 90th. (For comparison, Hong Kong is ranked first, the United States third, and Zimbabwe last at 130.) Property rights in Senegal are insecure. Also, Senegalese citizens enjoy little freedom to trade and are forced to endure especially burdensome regulations and unsound money. The same sad story holds throughout most of sub-Saharan Africa.
Africans don't need oil-company subsidies and more foreign aid. They need economic freedom.
Sincerely,
Donald J. Boudreaux
Chairman, Department of Economics
George Mason University
Posted by Don Boudreaux on
Friday June 8, 2007 at 2:42pm