Dear Editor,
The awarding of the 2024 Nobel Prize in Economics to Daron Acemoglu, Simon Johnson, and James A. Robinson for their research into global wealth disparities, focusing on the role of historical institutions. Their analysis emphasizes how colonial legacies have shaped economic outcomes, offering insight into regions like the Caribbean and Guyana, which exemplify how colonial strategies produced enduring institutional structures.
In the Caribbean and Guyana, the institutional frameworks imposed during European colonization—such as plantation economies dependent on enslaved labour—set the stage for uneven development. These colonial systems fostered extractive economies focused on exports, leaving little room for diversified, sustainable growth. The legacy of these institutions has persisted, contributing to modern challenges like economic inequality and fragile governance.
For example, in Guyana, the plantation system introduced under British rule entrenched socio-economic divisions that are still visible today. Similarly, Caribbean islands such as Jamaica and Barbados were shaped by colonial economic models that focused on sugar exports, leading to economies that have struggled with diversification since independence. The Nobel laureates’ work helps explain how these historical paths still influence economic structures and growth potential in the region .
This research highlights the importance of institutional reforms aimed at overcoming the economic legacies of colonialism, which is crucial for addressing persistent poverty and fostering sustainable development in regions like the Caribbean and Guyana.
Sincerely,
Keith Bernard
