Agencies of Development Flashcards
What are the Agencies of Development?
States IGOs NGOs TNCs
Define STATES as an agency of development
Governments AND other institutions like the military, police, judicial/legal system, civil service
What is the NEOLIBERAL view of states as an agency of development?
- Favour a small state & limited economic interference-free market capitalism
- allow TNCs to be the driving force rather than states because they will make a profit
But…they do accept states have some responsibility in maintaining a stable & secure social situation (if a country can’t do this they’re ‘failed states’)
What view do DEPENDENCY THEORISTS hold of states as an agency of development? …evaluations?
- internal, state-led development is VITAL
- central state planning etc
^ Not always a good idea, state-led development led to China’s ‘great leap forward’ causing the largest famine in the world
Evaluations of the NEOLIBERAL perspective of states as an agency of development…
POSITIVE:
- has led to decent growth rates over the last 40 yrs
- rising living standards
- has lifted nations out of poverty (Since 1990, 1.2 billion have been lifted out of poverty)
NEGATIVE:
- widens inequality gap, ‘trickle down’ takes time
- severely negative effects of the environment
What view do MODERNISATION THEORISTS hold of states as an agency of development?
Like Neoliberals but less intense
- there is some role for the state in development but
Capitalism should do most the work
- evident via the ‘Asian Tigers’ where some state
interference generated wealth
What is a ‘development state’? (Leftwich, 1995)
A state which focuses on development goals and works closely with the private sector (promotes growth)
^ China is following this approach
What is a ‘predatory state’? (Evans, 1989)
A state which exploits its people for the profit of elites with the support from rich countries & the World Bank (discourages growth)
^ Mobutu’s Zaire (now DRC)
What are TNCs?
Corporations that have globalised operations, they produce & sell around the world with global supply chains and global employment.
What do some sociologists argue about the relationship between TNCs and States?
- As globalisation progresses, the power of TNCs will soon overtake that of states
- most countries today have smaller economies than large TNCs
- TNCs are quickly gaining enormous economic power
What are EPZs & why are they used?
EPZ = Export Planning Zones
^ Where TNCs can operate without restrictions
- Developing countries use them to seek investment from TNCs & hope their presence has benefits even if it initially appears as exploitation
What is the MODERNISATION THEORISTS/NEOLIBERALS view of TNCs as an agency of development?
- TNCs are essential for development
- Introduce modern/Western values which kickstart the economy
- although they have elements of exploitation the pain of Industrialisation is necessary
What is the DEPENDENCY THEORIST view of TNCs as an agency of development?
- presence of TNCs intensify dependency because it prevents local industry from growing
- ensures the country stays poor
- weaken workers & strengthens capitalism
What are the negatives of TNCs?
- The jobs created tend not to go to locals
- Profits do not remain in the developing country, they’re exported to the West
- Bio-piracy, TNCs are able to take traditional medicines, sources of food and make money from other resources as well as exploiting/ruining the environment
What are the positives of TNCs?
- Brings in investment regarding terms of money, resources & technology
- Because they need modern infrastructure, TNCs are often enough willing to pay for it
- They provide opportunities for all, western values allow women to work (perhaps on a lower wage though)