ABSTRACT

After independence the government promised to restart the economy. But it espoused the principle that only complete, exclusive control of economic circuits can eliminate the exploitation of man by man, and therefore limited private initiative only to self-employment of peasants and artisans. Despite the country's wealth the Angolan ruling group had serious internal difficulties because of the war on several fronts and the lack of technicians. The total wages for the state sector exceed the value of the product. The volume of food products distributed by the state was only about a quarter that of the colonial period. Almost 60 percent came from individual peasants, 11 percent from the associations and cooperatives, 3 percent from the surviving Portuguese capitalist farms, and 27 percent from the state farms. In the economy of the African socialist regimes—like Angola and Ethiopia—Chayanov's solution was given a complementary role with respect to the state farms.