Is Africa as poor as we think it is?
How many times have you come across these type of pictures where children are starving to death?
That's common, isn't it? You see them in advertisements , tv, through the internet , magazines, everywhere.
It is true, poverty is a feature which may characterize this continent
and there are few countries in it which have a developed middle class.
In fact In poor countries it is more likely to be either poor or rich
that to fall and fit in between.
Unemployment in some African countries is widespread.
Let's take Zimbabwean unemployment rate: Forbes may 5th 2017
95%!!
then how come they are not dead by the end of the week?
How do they survive? Have they access to food and services that can provide them for surviving?
Recently, on Quora (link below in the description)
I found this story, about a Ugandan man
Don't you know where Uganda is located?
It is here, the African heart-shaped country.
The author of this short story, tells about his grandfather.
And he states that:''
He then says that his grandfather lives by what his lands produce,
he has tonnes and tonnes of food,
he went to school and learnt to read and write
and he sold some of his farm animals to send his children to school too.
When there is a surplus of vegetables or fruits
he sells them to the market in exchange for some money
that he then uses to buy things that are not directly producible by farming
He had eleven children and without a cash flow, eventually did it. Some of them graduated too.
The author of this short story then states that
But, is this story believable or just an isolated case?
Well, let's investigate a bit more
In this case, I'm going to use 'The World Factbook' CIA's data
We could use also IMF or UN data
Now, let's take a well known developed country: the Netherlands.
The Netherlands is one of the most advanced countries on earth in terms of precision agriculture.
In this country, 1.2% of the inhabitants work in the primary sector producing 1.6% of the annual GDP.
The GDP per capita in the Netherlands proves that the Dutch are anything but poor
A Dutch person's income is more or less 45.000 US$ per year.
Pay attention this does not mean that all of them earns 45.000$ per year
this is just an average of their incomes and not of their salaries.
In Germany, 1.4% of the population works in the primary sector.
and this accounts for 0.6% of the annual GDP
The GDP per capita in Germany is 42000
In Italy, this reaches 3.9%.
and accounts for 2.1% of the GDP
The GDP per capita in Italy is 31.000
Now, we notice that there's a trend here.
All these countries have something in common.
The more developed they are, the fewer people they need in the primary sector.
Therefore the use of advanced technological equipment requires fewer people.
The use of pesticides and fertilisers increases the rate of production.
this means again: we need fewer and fewer people in this sector
therefore they are employed in the secondary or tertiary sector
which is by far more productive in terms of income
Now, let's analyse some African countries.
The first is Uganda, as it is the main protagonist of this short story:
The GDP per capita in Uganda reaches 600 dollars
Yet they are not dying!
On the contrary!
See this, 3.3% of annual population growth rate each year
and by the year 2100, they will grow from 42 million to 200 million people
By occupation in Uganda, 72% of the population works in the primary sector
producing only a quarter of the annual GDP of the country.
4.4% of the population works in the industry, accounting for a similar amount of annual earnings
Amazing isn't it?!
But is this only related to Uganda?
Not at all!
In Kenya is around 61%, Kenyan GDP per capita is 1.500 US$
in Nigeria, 70%, Nigerian GDP per capita is 2200 US$
Up north, Niger records 87%: GDP per capita is 350 US$
And a mind-boggling 90% in Burkina Faso. GDP per capita is 650 US$
And here is Egypt, not as developed as western countries
but more developed than the ones listed above. GDP per capita is 3.500 US$
So here we get to the conclusion
In these countries, there is a traditional subsistence agriculture
destined to satisfy the food needs of peasant families.
When there is a surplus, it is sold to the market to gather some money
and to spend it on things that are not directly producible by farming.
Of course, not all families live like that
those in the areas closest to the desert, struggle way more
but in general
land becomes a substitute for money
and consequently
they live a different lifestyle!
That's all for today!
BYE!
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