A recent report from Kristian Niemietz of the Institute of Economic Affairs challenges the notion that the British Empire and other European powers significantly benefited from slavery and colonialism. Niemietz argues that while some elite families may have profited, the overall impact on the economy was minimal. He highlights the exorbitant costs of maintaining colonies and the lack of significant macroeconomic effects from overseas engagement.
Niemietz also points out that countries like Germany and Japan were able to industrialize without extensive colonial holdings. He emphasizes the importance of economic policy and governance indicators in determining a country’s wealth today. The report also discusses the Belgian Congo as a rare profitable example of colonialism but notes its unusual circumstances.
While recognizing the negative long-term effects of colonialism on some regions, Niemietz asserts that it was not a zero-sum game that solely benefited colonizers. He argues that colonialism and slavery may have had a negative-sum effect, harming the colonized without providing significant benefits to the colonizers.
