TY - JOUR AU - Nunn,Nathan AU - Puga,Diego TI - Ruggedness: The Blessing of Bad Geography in Africa JF - National Bureau of Economic Research Working Paper Series VL - No. 14918 PY - 2009 Y2 - April 2009 UR - http://www.nber.org/papers/w14918 L1 - http://www.nber.org/papers/w14918.pdf N1 - Author contact info: Nathan Nunn Department of Economics Harvard University 1805 Cambridge St Cambridge, MA 02138 Tel: 617/496-4958 Fax: 617/495-8570 E-Mail: nnunn@fas.harvard.edu Diego Puga Centro de Estudios Monetarios y Financieros (CEMFI Casado del Alisal 5, 28014 Madrid Spain Tel: +34918073355 Fax: NA E-Mail: diego.puga@cemfi.es AB - There is controversy about whether geography matters mainly because of its contemporaneous impact on economic outcomes or because of its interaction with historical events. Looking at terrain ruggedness, we are able to estimate the importance of these two channels. Because rugged terrain hinders trade and most productive activities, it has a negative direct effect on income. However, in Africa rugged terrain afforded protection to those being raided during the slave trades. Since the slave trades retarded subsequent economic development, in Africa ruggedness has also had a historical indirect positive effect on income. Studying all countries worldwide, we find that both effects are significant statistically and that for Africa the indirect positive effect dominates the direct negative effect. Looking within Africa, we also provide evidence that the indirect effect operates through the slave trades. ER -