The Political Economy of Primary Railway Construction in the Rhodesias, 1890–1911

Datos Bibliográficos

ID8976598
AutoresJon Lunn (Creative Commons, autor de correspondencia)
Año1992
Volumen33
Número2
Páginas239-254
Fecha de publicación1992-07-01
Peer ReviewedSí
Open AccessSí
TipoARTICLE
RevistaThe Journal of African History (JOURNAL)
Identificadores de la revistaISSN: 0021-8537 • E-ISSN: 1469-5138
EditorialCambridge University Press (CUP) (PUBLISHER)
DOI10.1017/s0021853700032229
OpenAlexW2052610546
IdiomaEN
Citas recibidas6
Referencias citadas18

The main trunk lines of the Rhodesian railway system were built under the aegis of Cecil Rhodes' British South Africa Company (BSA Co.) between 1890 and 1911. This article begins with an analysis of the motivations behind railway construction during this period. It argues that interpretations which set up a dichotomy between ‘Rhodes-as-imperialist’ and ‘Rhodes-as-capitalist’ are misconceived. Nevertheless, it shows how the motivations behind railway development took on a more narrowly economic and financial character after the fiasco of the Jameson Raid in 1896 put paid to Rhodes' sub-imperial ambitions. There follows an analysis of the economic and financial foundations of the BSA Co.'s regional railway monopoly. The article charts how railway construction was sustained through the manipulation of the interlocking interests of the BSA Co. and the Witwatersrand; through the creation of a ‘group structure’ of railway companies; and through the triangular relationship which developed between the BSA Co., Paulings, the monopoly contractor, and d'Erlangers, the chief broker and underwriter of railway loan (debenture) capital. Finally, two fundamental allegations made by critics of the railway policy of the BSA Co. are assessed: firstly, that debenture finance was a means of distributing disguised dividends to itself and its friends; secondly, that these disguised dividends were paid for by the settlers through exorbitant railway rates. The nature of debt within the railway monopoly, the functions of debenture finance and the imperatives which shaped rating policy are discussed. The allegations are revealed to be ill-founded. It is argued that the tensions between the settlers and the BSA Co., their interdependence notwithstanding, were rooted in conflicting perceptions of what the priorities and parameters of economic development should be

Business · Capital (architecture · Debt · Dividend · Economics · Economy · Loan · Market economy · Monopoly · Political science · Politics · Underwriting · African history and culture studies · Finance · History · Law · South African History and Culture · Transport and Economic Policies