Africa (and America) need free trade and deregulation, not generosity

Here is a letter I recently wrote to the Wall Street Journal.

Africa (and America) need Free Trade and Deregulation, not Generosity

Fridolin Ambongo argues that President Trump should continue aid to Africa to alleviate famine, poverty, and instability (“Africa Needs American Generosity,” op-ed, June 08). While many attribute corruption as aid’s major problem, African over-regulation and American protectionism cause even more damage.

American tariffs and farm subsidies from the US and Europe shut African farmers out of world markets. Africa would benefit more from the elimination of these anti-competitive policies than it would from trillions dollars of aid.

African economies rank among the lowest in economic freedom indexes, such as the one from the Fraser Institute. Countries that lack economic freedom lag behind their economically free counterparts in GDP per capita, literacy rates, and other quality of life indicators.

The solution is trade, not aid.

Ryan Hwang

Competitive Enterprise Institute

Washington, D.C.