Spatial and structural aspects of manufacturing industry in Liberia, 1944-1979

Abstract

The problem of planning industrial location at the regional level is particularly relevant in less developed countries because most of them are in the embryonic stage of development. In general, economists and other planners in Liberia have until recently, paid very little attention to the role of industrial location in the development of the industrial sector. This thesis examines the spatial and structural aspects of manufacturing industry in Liberia from 1944-1979, its impact on the national economy, and also attempts to evaluate the differential regional growth.

For the purpose of the study a sample survey of 100 firms formed the basis of fieldwork undertaken in Liberia, and information was collected by personal interviews and mail questionnaires. The questions were designed to investigate the possible major reasons for the location of each existing firm in the area, bearing in mind such major factors that are important to foreign companies which set up plants in developing countries. Accordingly, the questionnaire draws on theoretical and empirical contributions made to the study of industrial locations.

The ranking of the eight major location factors based on the number of times they were mentioned either as the sole factor, the major factor, or otherwise gives a clear evidence of the importance attached to individual location factors by the entrepreneurs. Using the number of employees as criterion, the spatial impact of manufacturing industry on the economy is analysed. Adopting the same employmentindicator as base, and with different indices of measurements, the comparative degree of manufacturing among the regions is assessed. The study shows that Montserrado County (especially Great Monrovia Region), has been the main focus of industrial concentration and diversification in the country. The thesis concludes by discussing the problems and prospects that are apparent, and suggestions toward a possible regional and industrial development strategy.