Market Structure and the Profits of the British African Trade in the Late Eighteenth Century

The pendulum of scholarship has swung too far towards the position that the profits from slaving were small. Thomas and Bean in concept and Anstey and Richardson in practice have reckoned them too small. The detailed accounts of several dozen ventures in the late eighteenth century show that the trade was difficult to enter, dominated by a few large merchants, and subject to long runs of high “short-run” profits, as in 1779–1788: The best firms earned upwards of 50 percent on their investments, well above the normal profits of an easy trade.