Corruption—especially in relation to the management of Liberia's natural resources—is widely recognized as having greatly contributed to the country's political instability and ensuing armed conflicts.
The answer to your question starts with the fact that Americo-Liberians (the ex-slave immigrants) were not coming back to uninhabited land, but to a populated area, and were established as an elite. Less than 5% of the population were Americo-Liberian, yet they owned around 50% of the income. The natives were exploited, with what was in effect a feudal system, with the True Whig party at the top.
Fast forward to the period of 1944 to 1971 - Under President William Tubman, things have got worse, with secret police, tribal chiefs being manipulated and controlled, rampant corruption (1% of the national budget was spent on his yacht). But he was militarily and financially propped up by the USA, as by providing them with things like refueling and landing rights, Liberia becomes a key ally in the fight against Communism in Africa.
His successor was William Tolbert, who may have tried a
superficial liberalization but would still do things like raise the price of
rice - the staple food in the impoverished country - and then shoot at the
protesters.
Inevitably, there was a power change, but it came in the form of the Liberian military, a brutal and corrupt institution who were key players in the suppression of the native peoples. Many of them had been trained by the USA, with the man who is about to step into our story being trained by Green Berets. But crucially, it was not just composed of Americo-Liberians, and gang culture based on ethnicity played a large part in the institution. This allowed Samuel Doe in 1980, a member of the minor Krahn ethnicity, to storm the Executive Mansion and take power.
Doe's rule was hardly better and arguably worse. Remaining a key ally to the United States to prop himself up, he did exactly what the Belgians did in Rwanda, what Mobutu did in Zaire and what the South African government did in their country too - he exploited and exacerbated ethnic tensions in a system of divide and rule. This is why 'tribal conflict' in regards to Africa is never a satisfying explanation. While Gios and Manos in Liberia fought each other regularly, they live in peace across the border. Doe was able to assure his own security in power not only by dividing any opposition but by also assuring that any ouster would mean that the Krahn ethnicity would appear inextricably tied to his crimes - thus meaning that they would have a vested interest in propping him up. Elections were rigged and violent (though the USA defended them, pointing to 'notable good points').
But it could not last. Previously a member of Doe's government, the Americo-Liberian Charles Taylor, escaped from the Boston prison where he had been locked up for embezzling funds during his tenure in Liberia (he had tried to escape to America but been apprehended there and then incarcerated). His escape was apparently with the help of the CIA, according to him. Certainly, they used him as an informant later. He returned to Liberia where he incited rebellion against Doe's rule, with the battlecry "kill the Krahn!" - again, exploiting ethnic tensions for power. The Liberian civil was a bloody and awful affair. It killed around 150,000, displaced millions, and starred such surreal characters as General Butt Naked. It started out as a fight for freedom, or appeared as such. It quickly descended into looting, raping (estimated at 25,000 rapes), murdering and torture. The infrastructure of the country was torn apart, and when Charles Taylor took power as yet another dictator, it was in a very bad way.
Liberia has made some good progress of development since then.
Charles Taylor lost power, though only through the Second Liberian Civil War
taking much of it and increased international pressure forcing him into exile
in Nigeria. Since then, he has been tried and found guilty for his crimes
(though focussed on his crimes during the Sierra Leone Civil War) , and Liberia
has experienced a little justice for what seems like the first time. But they
still wear the scars of the 20th Century which set them back a long, long way.
Sources: The Graves Are Not Yet Full,
by Bill Berkeley
Time
Magazine - 'Lies and Rumours': Liberia's Charles Taylor on the Stand
Taylor
Sierra Leone war crimes trial verdict welcomed
https://www.reddit.com/r/AskHistorians/comments/1hysb0/where_did_liberia_go_wrong/
Norb Leahy, Dunwoody GA Tea Party Leader
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