During the interwar period, 1918-1935, the expanding state apparatus of the Ethiopian government exploited infrastructural improvements to extend and preserve relations of production that limited growth and stunted economic development. Claimants to the powers and privileges inherent in Ethiopian kingship vied over the proceeds of long-distance trade with an eye towards monopolization, not maximization.Growth and development also suffered from European efforts to fashion a suitable investment environment. Unable to dominate local economic affairs, England, France and Italy instead blocked the others from succeeding.The dissertation stresses ideology and superstructure because the most valued political and economic rewards within Ethiopia were philosophically prescribed, and because economic behavior and decision-making met conventional constraints upon behavior.The first four chapters examine chronologically Ethiopia’s interwar political economy. Contrary to continuing conventional belief, Ras Tafari overthrew Lij Iyasu, not because political-based rumors suggested that Iyasu exhibited Muslim tendencies, but rather to steer long-distance trade through Shoa. Tafari responded to a series of internal and external challenges to his authority. By 1930 and his coronation as Haile Selassie, an improving infrastructure permitted the Emperor to consolidate the transfer of provincial wealth to his capitol, and to maximize his control over the long-distance trade, predominately coffee and hides.Chapter five focuses upon European efforts to fashion a legal framework in order to succeed economically in Ethiopia, all in disregard of Ethiopia’s existing superstructure. Throughout, they ignored Ethiopia’s right to fiscal, legislative, and judicial affairs by establishing European controls over internal policy. The result was another brake upon Ethiopian development.The final chapter examines the main cause for the economic development that did occur. Indian and Arab merchants had long been willing to adapt to Ethiopia’s superstructural constraints. By accepting modest rates of return on their investments, these merchants successfully dominated local brokerage, marketing, and banking. Throughout the period, they worked harmoniously with the central government and kept their distance from the European powers. This chapter made use of a previously undiscovered resource, the 550 volumes of the Consular Court. These breakdowns in economic order provide an on-going record of how the economic order was meant to function.
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