The Settler Economies

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The Settler Economies THE SETTLER ECONOMIES AFRICAN STUDIES SERIES 35 Editorial Board John Dunn, Reader in Politics and Fellow of King's College, Cambridge J.M. Lonsdale, Lecturer in History and Fellow of Trinity College, Cambridge David M.G. Newbery, Lecturer in Economics and Fellow of Churchill College, Cambridge A.F. Robertson, Assistant Director of Development Studies and Fellow of Darwin College, Cambridge The African Studies Series is a collection of monographs and general studies that reflect the interdisciplinary interests of the African Studies Centre at Cambridge. Volumes to date have combined historical, anthropological, economic, political and other perspectives. Each contribution has assumed that such broad approaches can contribute much to our understanding of Africa, and that this may in turn be of advantage to specific disciplines. OTHER BOOKS IN THE SERIES 3 Land Policy in Buganda Henry W. West 4 The Nigerian Military: A Sociological Analysis of Authority and Revolt 1960-1967 Robin Luckham 5 The Ghanaian Factory Worker: Industrial Man in Africa Margaret Peil 6 Labour in the South African Gold Mines, 1911-1969 Francis Wilson 7 The Price of Liberty: Personality and Politics in Colonial Nigeria Kenneth J. Post and George D. Jenkins 9 Dependence and Opportunity: Political Change in Ahafo John Dunn and A.F. Robertson 10 African Railwaymen: Solidarity and Opposition in an East African Labour Force R.D. Grillo 11 Islam and Tribal Art in West Africa Rene A. Bravmann 12 Modern and Traditional Elites in the Politics of Lagos P.D. Cole 13 Asante in the Nineteenth Century: The Structure and Evolution of a Political Order Ivor Wilks 14 Culture, Tradition and Society in the West African Novel Emmanuel Obiechina 15 Saints and Politicians: Essays in the Organisation of a Senegalese Peasant Society Donal B. Cruise O'Brien 16 The Lions of Dagbon: Political Change in Northern Ghana Martin Staniland 17 Politics of Decolonization: Kenya Europeans and the Land Issue 1960-1965 Gary Wasserman 18 Muslim Brotherhoods in Nineteenth-Century Africa B.G. Martin 19 Warfare in the Sokoto Caliphate: Historical and Sociological Perspectives Joseph P. Smaldone 20 Liberia and Sierra Leone: An Essay in Comparative Politics Christopher Clapham 21 Adam Kok's Griquas: A Study in the Development of Stratification in South Africa Robert Ross 22 Class, Power and Ideology in Ghana: The Railwaymen of Sekondi Richard Jeffries 23 West African States: Failure and Promise: A Study in Comparative Politics John Dunn 24 Afrikaners of the Kalahari: White Minority in a Black State Margo Russell and Martin Russell 25 A Modern History of Tanganyika John Iliffe 26 A History of African Christianity 1950-1975 Adrian Hastings 27 Slaves, Peasants and Capitalists in Southern Angola 1840-1926 W.G. Clarence-Smith 28 The Hidden Hippopotamus: Reappraisal in African History: The Early Colonial Experience in Western Zambia Gwyn Prins 29 Families Divided: The Impact of Migrant Labour in Lesotho Colin Murray 30 Slavery, Colonialism and Economic Growth in Dahomey 1640-1960 Patrick Manning 31 Kings, Commoners and Concessionaires: The Evolution and Dissolution of the Nineteenth-Century Swazi State Philip Bonner 32 Oral Poetry and Somali Nationalism: The Case of Sayyid Mahammad 'Abdille Hasan Said S. Samatar 33 The Political Economy of Pondoland 1860-1930: Production, Labour, Migrancy and Chiefs in Rural South Africa William Beinart 34 Volkskapitalisme: Class, Capital and Ideology in the Development of Afrikaner Nationalism 1934-1948 Dan O'Meara THE SETTLER ECONOMIES Studies in the economic history of Kenya and Southern Rhodesia 1900-1963 PAUL MOSLEY Lecturer in Economics, University of Bath CAMBRIDGE UNIVERSITY PRESS CAMBRIDGE LONDON NEW YORK NEW ROCHELLE MELBOURNE SYDNEY CAMBRIDGE UNIVERSITY PRESS Cambridge, New York, Melbourne, Madrid, Cape Town, Singapore, Sao Paulo, Delhi Cambridge University Press The Edinburgh Building, Cambridge CB2 8RU, UK Published in the United States of America by Cambridge University Press, New York www. Cambridge. org Information on this title: www.cambridge.org/9780521102452 © Cambridge University Press 1983 This publication is in copyright. Subject to statutory exception and to the provisions of relevant collective licensing agreements, no reproduction of any part may take place without the written permission of Cambridge University Press. First published 1983 This digitally printed version 2009 A catalogue record for this publication is available from the British Library Library of Congress Catalogue Card Number: 82-12896 ISBN 978-0-521-24339-1 hardback ISBN 978-0-521-10245-2 paperback Contents List of maps page vii List of tables vii List of figures x Preface xi A note on currency xii Abbreviations xiii 1 Introduction 1 1 Scope and methods 1 2 Background data 4 2 The political constraints on economic behaviour 10 1 Introduction: the concept of 'extra-market operations' 10 2 The evolution of government policy in input markets: three case studies 13 3 Conclusion: scope and determinants of extra-market operations 64 Appendix 1: A 'stimulus-response' model of government economic policy response in settler economies 68 3 African agricultural development 71 1 Introduction: a theoretical perspective 71 2 Long-period change among crop producers 76 3 Short-period response 1: the supply responses of maize producers 90 4 Short-period response 2: the case of African beef cattle 101 Appendix 2: A note on the data for Chapter 3 109 4 The labour market 114 1 Introduction and background data 114 2 The market for unskilled labour in mines and plantations 119 Contents Appendix 3: A note on the data for Chapter 4 143 Appendix 4'- Detailed time series on wages and employment: Kenya and Southern Rhodesia 1905-63 148 Appendix 5 : The African informal sector 166 5 European agriculture 170 1 Introduction 170 2 Economic performance 172 3 Factor proportions and their relationship to policy 183 Appendix 6 : A note on the data for Chapter 5 193 6 Secondary industry 195 1 Introduction: the problem to be resolved 195 2 Industries producing for final demand: income inequality and industrial development 197 3 Industrial development and the market of neighbouring countries 208 Appendix 7: A comparison of earnings and industrial structure in the settler economies and three non-settler economies in the early 1960s 216 Appendix 8: Income inequality and the demand for manufactures (after Pearson and others) 232 7 Conclusions 234 Notes 237 Bibliography 271 Index 286 VI Maps Kenya and Southern Rhodesia: principal place names xiv 1.1 Africa: 'settler economies', rain-sufficient regions, and land over 3000 feet above sea level 6 2.1 Kenya and Southern Rhodesia: disposition of African reserves, by Kenyan District Commissioners to 1915 and by Southern Rhodesian Native Commissioners to 1910 22 2.2 Kenya and Southern Rhodesia: boundaries of African and European area, as established by (Kenya) Highlands Order in Council 1939 and (Southern Rhodesia) Land Apportionment Act 1930 23 2.3a Conflict over branch railway lines, Southern Rhodesia, 1920s 35 2.3b Alternative routes for Uasin Gishu Railway, Kenya, 1914-24 35 Tables 1.1 'Settler economies' 1960: population, land and European representation on legislative body 7 2.1 'Extra-market operations': objectives, strategies and resulting policies 12 2.2 Kenya and Southern Rhodesia: some important land concessions before 1914 15 2.3 Kenya and Southern Rhodesia: prices of land in European areas, 1906-55 17 2.4 Kenya and Southern Rhodesia: distribution of African population by type of land tenure, 1922-51 26 2.5 Rail rates for carriage of freight a Kenya and Uganda Railway, 1914-59 31 b Rhodesia Railways, 1905-58 32 2.6 Kenya, Southern Rhodesia and Nigeria: railway rates, 1920 33 2.7 Kenya and Southern Rhodesia: ratios of average rail rates on 'representa- tive baskets' of goods consumed by Africans and Europeans, 1914-59 39 vii Tables 2.8 Southern Rhodesia: operation of maize market under Maize Control Amendment Act 1934 48 2.9 Kenya 1942: price structure for maize 51 2.10 Prices paid for African cattle, 1938 a Southern Rhodesia 55 b Kenya 56 2.11 Southern Rhodesia and Kenya: guaranteed prices for cattle per 100 lb liveweight, 1948 58 2.12 Kenya and Southern Rhodesia: price structures for maize, evolution early 1940s to late 1950s 60 2.13 Hypothetical profits on local sales of beef by Southern Rhodesia Cold Storage Commission, 1961/2 buying season 63 2.14 Kenya and Southern Rhodesia: economic stimuli and political responses, 1903-60 65 3.1 Kenya and Southern Rhodesia: African agricultural development, a general overview 72 3.2 Kenya and Southern Rhodesia: African marketed crop production, shares of grain and 'pure cash-crops' 74 3.3 Kenya and Southern Rhodesia: African population densities 78 3.4 Kenya, principal African districts: sales of agricultural produce outside the district 86 3.5 Kenya, principal African districts: population density, absenteeism and cash-crop sales, 1929, 1945 and 1961 88 3.6 Maize exports, sales and price a Southern Rhodesia, 1930-61 92 b Kenya, 1929-63 94 3.7 Results of regression analysis relating maize deliveries to price offered and other variables a Southern Rhodesia 98 b Kenya 99 3.8 Sales of cattle and certain possible explanatory variables a Kenya, Masai districts, 1924-52 102 b Southern Rhodesia, 1918-40 104 3.9 Kenya and Southern Rhodesia: deliveries of African-owned cattle to statutory board, 1941-63 108 3.10 Southern Rhodesia: frequency distribution of population/taxpayer ratios 111 3.11 Kenya and Southern Rhodesia: estimates
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