Monopolies and Underdevelopment

Monopolies and Underdevelopment

From Colonial Past to Global Reality

New Horizons in Competition Law and Economics series

Calixto Salomão Filho

This ambitious analysis is centered on the evolution of economic structures in colonized economies, showing the effects of these structures on today’s global reality for all economies, whether they are considered ‘developed’ or ‘underdeveloped.’ The result is an illuminating study of historical restriction and exploitation and its impact on present day markets around the world.

Introduction: From colonial past to global reality

Calixto Salomão Filho

Subjects: development studies, law and development, economics and finance, development economics, economic psychology, industrial organisation, law - academic, competition and antitrust law, law and development

Extract

One of the most striking features of our times is the ongoing presence of the past in economic and social matters. Nations grow and develop, but some of their main characteristics remain closely connected with their original economic and social formation. Even more striking, the characteristics of the areas or regions that suffered the consequences and felt the power of the most powerful economic structures tend to disseminate, affecting other regions and eventually the whole world. This kind of ‘adverse selection’ between countries and their economic structures, both developed and underdeveloped, is one of the main focuses of interest of this book. The countries in which economic power has been historically most concentrated and consolidated are former European colonies in South America and Asia. In those countries, economic power is a phenomenon that is historically part of society and, therefore, much easier to identify. This statement is not new, but its consequences for the economics and internal legal systems in place in developing countries were disregarded in the past and are still belittled.