Agencies of Development: TNCs, IGOs, NGOs

Question 1

define what a TNC is

Answer 1

refers to corporaions that have globalised their operations; they have global supply chains

Question 2

how much power do TNCs have

Answer 2

TNCs are just as, if not miore important than nation states. their power is only curbed by IGOs such as the EU

Question 3

Explain 1 reason why Neoliberals prefer TNCs to have more influence than STATES

Answer 3

neoliberals favour the state having minimal influence whilst TNCs should have a growing role. this is preferred because TNCs can operate without the usual restrictions. this means that TNCs exist to make profits which in turn contributes to a countrys development.

Question 4

what do countries that set up EPZs believe that the presence will lead to

Answer 4

countries that set up epzs assume that the precense of tncs will eventually bring benefits even if it initially seems like exploitation.

Question 5

what do dependency theorists believe about the presence of tncs?

Answer 5

they believe that tncs are intensifying dependency, preventing the local industry from growing and ensuring the country stays poor.

Question 6

dependency theorists believe that the overall effect of TNCs has:

Answer 6

weakened workers whilst strengthening capitalism.

• for example if the workforce demands higher wages and better conditions, the company can relocate elsewhere. therefore, no matter the benefits TNCs may bring to poorer countries, this is always to a lesser extent than the developed countries.

Question 7

outline the neoliberal argument that there is an economic benefit of TNCs

Answer 7

TNCs bring in investment in terms of money resources and technology, often where local companies are unable to do this.

Question 8

outline the neoliberal argument that there is a cultural benefit of TNCs

Answer 8

TNCs bring modern values which may help development;
ideas about gender equality. this combined with the economic benefits of TNCs, therefore, provide job opportunities for women who may not have had them before, promoting gender equality

Question 9

explain one of the economic costs of TNCs

Answer 9

TNCs majorly exploit workers.

developing countries compete with each other to attract tncs. this is because tnc investment goes to those willing to accept the lowest wages and worst conditions.

Question 10

explain 2 reasons why host countries often do not benefit from tncs

Answer 10

because there are less restrictions on tncs, the tnc may avoid paying tax so the host country scarcely benefits financially.

products are for western countries so local people are unable to buy them.

Question 11

define what an NGO is

Answer 11

NGOs are non profit organisations that act together for humanitarian aid.

Question 12

outline 3 strengths of INGOs

Answer 12

• they’re smaller and more effective than large state bureaucracies
• they’re not driven by profit unlike tncs
• there’s continuity within the organisations unlike government aid which can be affected by elections

Question 13

outline 3 criticisms of NGOs

Answer 13

• some may work too closely with governments or rely too heavily on gov funds
• there can be inappropriate spending of funds
• some NGOs portray people in developing countries as victims and objects of pity.

Question 14

what institutions make up the state

Answer 14

the civils sevice
military
police and legal systems

Question 15

what do marxists and dependency theorys prefer development to be led by?

Answer 15

they prefer state-led development.

Question 16

in what decades did newly independent countries attempt state-led development?

–> what were these countries?

Answer 16

in the 1950s and 1960s the state played an essential role in industrialization and economic growth. for example japan and the rise of the 4 Asian tigers