midterm Flashcards
sadness
Which database would you use to find a recent peer reviewed journal article on a policy issue related to one of the UN Sustainable Development Goals?
A. JSTOR
B. UN Sustainable Development website
C. UC Search
D. Nexis Uni
E. None of the above
C. UC Search
Are global poverty and global inequality related (based on Lockwood’s article, and your own assessment)?
A. Yes – in what ways?
B. No – why not?
A. Yes – in what ways?
Are sources of underdevelopment endogenous or exogenous for modernization theorists?
A. Endogenous (why?)
B. Exogenous (why?)
A. Endogenous (why?)
Are global poverty and global inequality related from a modernization theory perspective?
A. Yes – why?
B. No – why not?
A. Yes – why?
Dependency Theory: Causes of Underdevelopment?
A. Exogenous, why?
B. Endogenous, why?
A. Exogenous, why?
Are global poverty and global inequality related from a dependency theory perspective?
A. Yes - how?
B. No – why not?
A. Yes - how?
According to dependency theorists, which of the following were key obstacles to development?
A. Foreign debt and debt servicing
B. Lack of modern educational systems
C. Reliance on primary commodities
D. A and B
E. A and C
E. A and C
Which of the following best describe the implementation of Import Substitution Industrialization (ISI) in Latin America, as recommended by dependency theorists?
A. Increase imports of manufactured goods to meet consumer demand
B. Reduce imports to promote local industrialization
C. Subsidize emergent national industries
D. B and C
E. A and C
D. B and C
Which of the following are central features of early neoliberal policy?
A. Privatization of state-owned enterprises
B. Elimination of state subsidies for health and education
C. Liberalization of economies to attract foreign investment
D. A and C
E. All of the above are features of early neoliberal policy
E. All of the above are features of early neoliberal policy
Development as Freedom (lecture; Sen)
Define the concept clearly and precisely, demonstrating understanding (~1 paragraph)
According to Sen, the state of development in a nation is showcased through the amount of freedom the nation has (p4)
Sen further elaborates on the five types of freedoms that are linked together (Lecture 2 & 3)
Political freedoms
Economic freedoms/opportunities
Social freedoms/opportunities
Transparency guarantees
Protective security
Unfreedom, then, could be categorized as (Lecture 2 &3)
Poverty
Authoritarianism /Repression
Lack of economic opportunities
Social deprivation
Neglect of public facilities/ infrastructure
Intolerance
Lastly, Sen concludes by claiming that development should be measured in terms of the amount of freedom, as opposed to any numerical or economical ways (p.33).
Explain its relevance for the field of development, with depth and complexity (~1 paragraph)
Provided the groundwork for UNDP’s Human Development Reports (HDR), which utilizes a more comprehensive approach to understand the developments of nations (Lecture 3)
First published by Sen and Pakistani economist Mahbub ul Haq i 1990 (multidimensional poverty index report)
Commissioned by UN Development Program (UNDP)
Goal: Put people at center of development assessments and interventions & live healthy creative lives instead of focusing on money
Provide a fully developed empirical example (observable occurrence) of this relevance, based on course materials (~1 para)
Utilization of the inequality-adjusted Human Development Index (IHDI) as well as the Human Developmental Index to illustrate how developed different parts of the world are (Lecture 3)
Individual Freedom as a Social Commitment (lecture; Sen)
Define the concept clearly and precisely, demonstrating understanding (~1 paragraph)
Amartya Sen defines individual freedom as a social commitment by emphasizing that real freedom is not just about having choices, but about having the conditions that allow people to make meaningful choices. He argues that freedom is shaped by social, political, and economic opportunities, meaning that an individual’s ability to act freely is directly influenced by the structures around them. Development, according to Sen, is about removing “unfreedoms”—barriers like poverty, lack of education, and political repression—that prevent people from exercising their agency. Therefore, freedom is not just an individual concern but a collective responsibility, requiring policies and institutions that actively expand opportunities for all. (Class 1/09)
Types of Freedoms Identified by
Sen:
1. Political freedoms
2. Economic freedoms/opportunities
3. Social freedoms/opportunities
4. Transparency guarantees
5. Protective security
* Sen argues that these are inextricably interconnected. (class 1/09)
Explain its relevance for the field of development, with depth and complexity (~1 paragraph)
Moves beyond GDP to assess human well-being and capabilities.
Influenced the Human Development Index (HDI) and Inequality-Adjusted HDI (IHDI) by incorporating inequality into development measures.
Highlights that policies expanding education, healthcare, and political rights are essential for real freedom.
Argues that freedom is both the means and the goal of development. (Class 1/09)
Provide a fully developed empirical example (observable occurrence) of this relevance, based on course materials (~1 para)
Sen highlights that despite having significantly lower per capita incomes, men in China and Kerala outlive African American men in the United States. This demonstrates that economic wealth alone does not determine well being.. While African Americans have higher incomes, structural inequalities limit their ability to convert wealth into longer life expectancy.(Sen Pg 23-24)
Human Development Index (HDI) (lecture)
Define the concept clearly and precisely, demonstrating understanding (~1 paragraph)
A measurement of development potential based on the three factors of:
Life expectancy (health) index—life expectancy at birth
Education index
Average of 2 indices:
a) expected years schooling for school-age children and
b) Average years of schooling in the adult population
And Income index—Gross National Income (GNI) per capita
total income received by a country from its residents and businesses, regardless of where they are located in the world (within the country or abroad)
Compared to GDP, which is total goods and services produced within a country (including foreign companies in the country, and excluding national companies abroad)
It then scores nations and categorizes it into one of the four categories:
1. Very High Human Development
2. High Human Development
3. Medium Human Development
4. Low Human Development
(Lecture 3)
Explain its relevance for the field of development, with depth and complexity (~1 paragraph)
Coming from the brains of Sen and Mahbub, this index revolutionized the manner in which development is measured.
Utilizing a more multifaceted approach, such in the sense of life expectancy, education, and income, it measures concepts in a greater depth than the previous shallow measures of simply regarding the GDP.
Provide a fully developed empirical example (observable occurrence) of this relevance, based on course materials (~1 para)
World Map based on HDI (2022)
Gradient of how developed each nation is based on the map
Can see trends
South America, Sub-Saharan Africa are some places that are indicated as being less developed.
Inequality-Adjusted Human Development Index (IHDI)
Define the concept clearly and precisely, demonstrating understanding (~1 paragraph)
The Inequality-Adjusted Human Development Index (IHDI) is a modification of the Human Development Index (HDI) that accounts for inequalities in health, education, and income. While HDI provides an overall measure of a country’s development by averaging national indicators, IHDI adjusts these values downward when inequality is present. The greater the disparities in a country, the larger the difference between its HDI and IHDI. HDI represents a country’s potential for human development, while IHDI reflects the actual experience of its population. A nation with a high HDI but significant inequality will see its IHDI drop, revealing that development is not evenly distributed. (class 1/14)
Explain its relevance for the field of development, with depth and complexity (~1 paragraph)
IHDI is critical for assessing whether economic and social progress benefits all citizens or just a select few. Countries with high GDP and HDI rankings can still have major disparities in wealth, education, and healthcare access, meaning that many people do not experience the same level of well-being as the national average suggests. By incorporating inequality into development measurements, IHDI helps policymakers identify structural barriers that limit opportunities for certain groups and address them through more inclusive policies. In advanced economies, IHDI highlights racial, gender, and socioeconomic inequalities, prompting discussions about how growth can be more equitably distributed. (class 1/14)
Provide a fully developed empirical example (observable occurrence) of this relevance, based on course materials (~1 para)
The United States ranks high on the HDI, but its IHDI drops due to deep inequalities in wealth, education, and healthcare. For example, racial and geographic disparities impact life expectancy, with lower-income Black, Latino, and Indigenous communities facing worse healthcare access and environmental hazards. Similarly, public school funding tied to local taxes means wealthier areas have better resources, while poorer districts struggle, limiting economic mobility. The U.S. appears highly developed, but the IHDI exposes how inequality reduces real human development outcomes.
Sustainable Development (lecture; Sachs)
Define the concept clearly and precisely, demonstrating understanding (~1 paragraph)
Divided into two parts: Analytical and Normative
Analytical:
Examines interactions between 3 complex systems:
Global economy
Global society
Global physical environment
[4] Governance: Global, national, subnational, local levels
Normative:
Recommends set of goals to which the world should aspire: SDGs
Hence defined as “Socially inclusive and environmentally sustainable economic growth” (Sustainable development defined—Sachs, 2015, Page 3)
Explain its relevance for the field of development, with depth and complexity (~1 paragraph)
Brings in another factor of consideration to the field of development—we cannot be so focused on development that we ignore everything else, such as the environment (Lecture 3)
The need to address developmental challenges in a way that is environmentally sustainable. (lecture 3)
Led to the development of SDGs as well
Provide a fully developed empirical example (observable occurrence) of this relevance, based on course materials (~1 para)
10 Planetary Boundaries that humanity is in danger of exceeding (Sachs 2015, p.41)
Red and green both showcases how close humans are to exceeding planetary boundaries
Very Red: Climate change, Nitrogen cycle, Biodiversity loss
Green: everything else on the circle, including (but not limited to) ocean acidification, change in land use, global freshwater use
Global Inequality (lecture; Lockwood)
Define the concept clearly and precisely, demonstrating understanding (~1 paragraph)
The showcase and measurement of inequality between countries, within countries and among the world’s people
Between countries: Looking at both GDP as well as HDI to acquire comprehensive comparison
Within countries: Gini coefficient and World inequality Reports
Showcases the disparity between social groups
Ex. The US being really rich but there being a high Gini coefficient which shows high inequality
Among the world’s people: The difference between how rich or poor everyone is, and the distribution of wealth between the world’s people, showcased also through world inequality reports Lockwood (2021, 424)
(Lecture 5)
Explain its relevance for the field of development, with depth and complexity (~1 paragraph)
This phenomenon showcases the relationship between global poverty and global inequality (where people the world are poor because the world is not equal and the world is not equal because poor people exist) (Lecture 5)
Showcases a direction in which we should ideally develop towards, especially in IPE (International Political Economy) (Lockwood 439)
Provide a fully developed empirical example (observable occurrence) of this relevance, based on course materials (~1 para)
American wealth disparity
8 richest (men) in world (all american)= same wealth as poorest 50% globally (Lecture 5)
Also seen in the World Inequality Report, 2018, that the top 1% has much more of a share (7%) of national income than the bottom 50%
Modernization Theory (lecture; Cheibub and Vreeland)
Define the concept clearly and precisely, demonstrating understanding (~1 paragraph)
Policy prescriptions = promote capitalist economic development
through educational and economic reforms (1/28)
Modernization theory is the idea that as countries develop economically, they naturally move toward democracy. The theory suggests that when societies industrialize and educate their populations, people start demanding political rights, fair governance, and more participation in decision making. (Pg. 4)
Explain its relevance for the field of development, with depth and complexity (~1 paragraph)
Dominate U.S. foreign policy post WWII period ( Class 1/23-slide 34)
By developing economically these countries would eventually become democratic. (slide 34)
GDP growth would lead to social and political improvements.
Provide a fully developed empirical example (observable occurrence) of this relevance, based on course materials (~1 para)
Brazil’s development is a good example of modernization theory in action. The country shifted from a mostly agricultural economy to a major industrial player, with heavy government investment in infrastructure and foreign capital driving economic growth. As cities expanded and industry grew, a middle class emerged, which modernization theory sees as key to political and social change. Even though inequality and instability remained, Brazil followed the basic path that modernization theory predicts, moving from a traditional economy toward a more developed, industrialized society. ( Class 1/23)
Dependency Theory (lecture; Mahoney and Rodríguez-Franco; Dos Santos; Vanden and Prevost)
Define the concept clearly and precisely, demonstrating understanding (~1 paragraph)
Dependency theory-Response to perceived failure of modernization theories in
predicting development trajectories ( Class 1/28- slide 36)
basically argued that underdevelopment is the result of how the global economy is structured. Wealthy countries keep poorer nations dependent by controlling trade, finance, and production, making it nearly impossible for them to catch up. Dos Santos- A country’s economy is shaped by the needs of more powerful nations, limiting its ability to develop on its own. (pg.2)
A condition where a country’s economy is shaped and constrained by the growth and expansion of a more dominant economy to which it remains subordinate. (class 1/23-slide 38)
Global trade is rigged in favor of rich countries – Poorer nations export cheap raw materials and then buy back expensive finished goods, locking them in a cycle of economic disadvantage.
Multinational corporations and international banks call the shots – Foreign companies take profits out of developing countries, and global lenders push policies that often make inequality worse.
Poorer nations depend on foreign loans and aid, but those come with strings attached, forcing them to adopt policies that benefit wealthier countries
Explain its relevance for the field of development, with depth and complexity (~1 paragraph)
Relevance to Development:
Dependency theory completely changed the way people think about development, instead of blaming underdevelopment on things like corruption or lack of education, it shows how the global economic system itself keeps some countries rich and others poor
It influenced Latin America’s economic policies– Many governments nationalized industries, restricted foreign investment, and tried to develop their own technology to avoid being stuck as raw material exporters.
Provide a fully developed empirical example (observable occurrence) of this relevance, based on course materials (~1 para)
Empirical Example:
A strong example of dependency theory can be seen in Latin America’s experience with foreign investment and trade policies, particularly in Brazil.
Throughout the 20th century, Brazil attempted to industrialize but remained locked into an economic structure that prioritized raw material exports while relying on foreign companies for advanced manufacturing and technology. Multinational corporations, often based in wealthier countries, controlled key industries and extracted profits, limiting Brazil’s ability to reinvest in its own development. (Dos Santos Pg 3-4)
The country also became heavily dependent on international loans, which came with strict conditions that prioritized debt repayment over domestic growth. This cycle of dependence reinforced economic inequality and made it difficult for Brazil to transition into a fully self-sustaining industrial economy
Import Substitution Industrialization (Latin America: lecture; Vanden and Prevost)
Define the concept clearly and precisely, demonstrating understanding (~1 paragraph)
Goal: To reduce foreign economic dependence, region promote domestic industrialization via ISI (Import Substitution Industrialization) policies
Central Features of ISI:
State-directed development (national owned industries)
Protectionist policies to grow emergent/infant industries
Use of controlled exchange rates
Mostly to facilitate import of capital-intensive goods to build industrial sectors (so overvaluing of currencies)
But in some cases, currencies were devalued to facilitate exports
Impact: Latin America states begin domestic production of goods previously imported
Explain its relevance for the field of development, with depth and complexity (~1 paragraph)
Showcased an attempted strategy surrounding development during a span of 50 years. These efforts are divided into “easy” and “hard” ISIs
“Easy” ISI: 1930s-1950s
Production of non-durable consumer goods
Clothing/textiles, small appliances, TVs, etc.
This phase of ISI quite successful in many LA countries
Regional economic growth, esp. In immediate post-WWII period
Greater regional economic and political stability
Transitions to democracy in many LA countries, as military leaders forced to step down
As modernization theory would predict: Economic growth/development → political development/democratization
B. “Hard” ISI (1960s-1980s)
Production of:
durable consumer goods (large appliances, cars, etc.)
intermediate goods (steel, chemicals, etc.)
production equipment for industrialization
Key challenge of “hard” ISI:
Capital & Technology intensive
States lack capital
Heavy foreign borrowing (under adverse conditions)
Leads to debt crisis of 1970s
Durable consumer goods are also expensive to purchase
Domestic markets are small, most LA’s cannot afford goods
Market saturation
Development of MNCs/TNCs in Free Trade Zones/Export Processing Zone, late 1960s/1970s
Undermines domestic ownership and control to support domestic initiatives (e.g. tax free zones, low salaries, environmental protections)
Stagnation of ISI: 1960s-1980s
Failure to absorb surplus labor
Hard ISI is capital, not labor, intensive
LA’s comparative advantage is labor—not capital
Neglect of agricultural sector—taxed to support industrialization
Rural → Urban migration → high urban unemployment
Widespread labor strikes
Leftist uprisings in many countries
Chile, Bolivia, Arg. Urug., Brazil, Venezuela
Many inspired by Cuba’s revolution (1959)
LA region again turns to military leaders
Many take power with US polit, financial, & military backing
(Cold war politics—fear of communism)
(Lecture 7)
Provide a fully developed empirical example (observable occurrence) of this relevance, based on course materials (~1 para)
Given the finished and primary goods graph seen in Vanden & Provost p.156, Latin America had an unhealthy relationship with nations that produce finished goods, where LA countries grow at a much slower rate. This led to the initial motivation for LA countries to conduct import substitution industrialization
As a result of initial ISI, Vanden & Provost remarks that an increased amount of foreign investment into LA goods is also seen when ISI was switched on (p.160) This also led to sporadic industrialization in nations such as Mexico, Argentina, and Brazil (p.159)
Debt Crisis (Latin America: lecture; Vanden and Prevost; Greig et al.)
Define the concept clearly and precisely, demonstrating understanding (~1 paragraph)
The Latin American Debt Crisis of the 1980s was a financial catastrophe in which many Latin American nations became unable to repay their foreign debts due to rising interest rates and declining export revenues.
The crisis stemmed from heavy borrowing in the 1970s, when many Latin American governments took out large loans from foreign banks, assuming that continued economic growth and high commodity prices would allow them to repay the debt.
However, the 1973 oil crisis and subsequent rise in global interest rates drastically increased the cost of debt repayment, leading to widespread economic collapse across the region ( Class 1/30)
Explain its relevance for the field of development, with depth and complexity (~1 paragraph)
Countries were forced to implement Structural Adjustment Programs (SAPs) that prioritized debt repayment over domestic investment in education, healthcare, and social programs.(Greig 120)
These policies deepened poverty and inequality, as governments cut public spending and privatized state-owned enterprises, often leading to mass layoffs and reduced access to essential services.
The crisis exposed the vulnerability of Latin American economies, which had become dependent on external financing and exporting primary commodities instead of diversifying their economies (Greig 120)
Provide a fully developed empirical example (observable occurrence) of this relevance, based on course materials (~1 para)
By 1982, Latin America’s debt had exceeded $600 billion, with Mexico and Argentina defaulting on their repayments. However, the crisis was less about poor nations’ debt and more about Western banks, which had over-lent and were now at risk of collapse. To stabilize the situation and prevent global financial instability, international financial institutions (IFIs) like the IMF and World Bank stepped in. They went beyond their original role of stabilizing balance of payments and began enforcing strict loan conditions, prioritizing the concerns of global capital over the economic stability of indebted nations (Greig Pg 20)
