Dependency Theory

Question 1

What is Dependency Theory?

Answer 1

Emerged in the 1970s as a response to modernisation theory
Influenced by socialist ideology, protest movements, Marxist ideology and radical theories
Looks at development from poor countries’ perspective

Question 2

What is “Underdevelopment” (Frank, 1969)?

Answer 2

Highlighted the exploitation encouraged and facilitated by modernisation theory
It was in the interests of rich capitalist countries to keep some other countries poor
This is a good idea for capitalism, because poor countries have low-value currency and cheap labour costs

Question 3

What evidence did Frank (1969) give for underdevelopment?

Answer 3

He claimed that TNCs have ever-increasing profits
Sweatshops make our clothes
Slaves grow our food
Political prisoners make our technology
Poor countries are forced to buy products made in the rich West using their own natural resources

Question 4

How do Dependency Theorists believe capitalism is a form of empire-building?

Answer 4

Dependency theorists believe the capitalist West underdeveloped deliberately
This creates a Marxist superstructure on a global scale

Question 5

What do Dependency Theorists mean by “neo-colonialism”?

Answer 5

The old empires practised colonialism
The new capitalist empire practised neo-colonialism

Question 6

How does underdevelopment “kick away the ladder” for LLEDCs (Chang, 2003)?

Answer 6

Rich countries keep some poor countries poor (underdevelopment) by “kicking away the ladder”

Question 7

What are Metropolis and Satellite states?

Answer 7

Metropolis states are rich countries that keep satellite states poor, in underdevelopment, for their own benefit

Question 8

What do Dependency Theorists identify as the three stages of economic history?

Answer 8

Stage 1: Mercantilism
Stage 2: Colonialism
Stage 3: Neo-colonialism