Botswana and Zimbabwe

There is some debate as to why Botswana has prospered relative to its neighbors. Botswana has far fewer natural resources than any of its neighbors. In fact, a large portion of the country is uninhabitable desert. Conservatives in the U.S. would like to attribute Botswana's success to its implementation of the free market, while surrounding nations, such as Zimbabwe, have had large government interference. But does this line of reasoning hold up?

For starters, how free is Botswana's market? The Botswana government actually owns 50% of Debswana, the main diamond mining company. Diamonds of course are the backbone of the nation's economy.

Some have argued that the southern African state has profited from its low tax rates, which is attracting businesses and creating more jobs. Zimbabwe has gone in the other direction regarding tax rates. But numerous other factors have individually played a larger part than tax rates in the differing conditions of both nations.

Botswana was only classified as a protectorate under British authority and saw an influx of far fewer whites than the British colony of Rhodesia. This resulted in the natural progression of Botswana being allowed to continue without the violent cultural uprooting that Zimbabwe faced. One example comes in the form of Botswana's political system. Before independence, chiefs would hold a kgotla, a meeting where tribesmen would freely debate points of tribal policy, but where chiefs would still have the ultimate authority. The current political system is similar, featuring a strong presidency, but a cultural obligation for the president to account for a wide variety of opinions.

A few more important distinguishing factors include Rhodesia's unilateral declaration of independence, the long and devastating war of liberation in Zimbabwe, the 5th brigade's genocidal campaign into Zimbabwe's Matabeleland, Britain's inaction towards settling the land rights issue with whites, and the dictatorial disposition of Robert Mugabe.

Botswana's path to independence was peaceful. It is a far more homogeneous country than Zimbabwe. Again, Botswana's rather small white population helped it to avoid the land rights crisis that has come to a head in Zimbabawe. And finally, far from being a war commander, which Mugabe was, Seretse Khama came from the world of the relatively democratic kgotla.

Those factors, and not the difference in tax rates, played a defining role in determining the future for both countries.