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This chapter, which analyzes the evolutionary processes ignited by the colonial encounters of indigenous populations in Africa with European colonizers, examines the fundamental impact of slave trade in African economic and societies and argues that the slave trade can be viewed as a perverse instance of the “resource” curse. It first assesses the impact of the slave trade on Africa by looking at the empirical relationship between slave demand and slave exports. The chapter then describes the conditions under which the slave trade reduced the size of states, increased social and ethnic stratification, and created a reign of terror.
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