theories of development Flashcards
describe modernisation theory
- functionalist theory (1960’s)
- offers third world countries a way to develop through investment
what is the marshall plan
modernisation theory
- the usa offered loans to european countries devastated by ww2
- it tied european countries to the usa, making them dependent
- it ensured a captive market for US goods
what is the rostow model?
modernisation theory
- his staircase model describes how capitalism helps countries develop
- it was intended to draw countries away from communism and towards capitalism.
the stages:
- the traditional society
- pre conditions for take off
- take off
- drive to maturity
- high mass consumption
what is parson’s view on development?
modernisation theory
- he belived development was a forom of evolution
he listed some barriers to development:
- Traditional values and attitudes.
- Lacking a meritocratic drive.
- High birth rates.
- Lack of individuals’ desire to compete.
- Lack of modern technology.
how did modernisation happen?
Modernist theorists thought that the process made change necessary in a number of areas, if a country was to develop successfully:
- Technological
- Agricultural
- Industrial
- Geographical
- Political
- Social and Cultural
what is dependency theory?
- influenced by marxist and radical theories
- looks at development from poor countries perspectives
what is Franks underdevelopment?
dependency theory
- highlighted the exploitation encoraged and facilitated by modernisation theory
- it was in the interest of rich capitalist countries to keep other countries poor
- rich capitalist countries deliberately prevented and discouraged the development of some nations
- Good idea for capitalism because poor countries have low-value currency and cheap labour costs.
what is ‘a capitalist empire’?
dependecy theory
- Dependency theorists believe the capitalist west underdeveloped deliberately.
- This creates a marxist superstructure on a global scale.
- The bourgeoisie are now the capitalist western countries and the proletariat are now the poor non-capitalist countries.
what is Metropolis vs Satellite?
dependency theory
- In the modern world, economically “small” nations are poor as their talent is encouraged to leave for the rich country.
- Development theorists say this strips poor countries of value and keeps them dependent.
- This has been referred to as the metropolis and satellite chain.
what is undeveloped and underdeveloped?
dependecy theory
- There have always been less-developed countries (mercantile capitalists).
- Some didn’t develop because technology hadn’t been developed yet or social conditions kept them back (the colonial powers).
- Some didn’t develop because they were underdeveloped by empires even if they were wealthy beforehand (the ruled territories).
- This implies it’s not about the means; but also about deliberate action.
what is world systems theory?
- It is also often seen as the first theory of globalisation
- an adaption of dependency theory
what is wallersteins world system theory?
- He introduced a model that included the core, the semi-periphery and the periphery countries.
- The other key difference is that global areas are socially mobile.
- The core is able to benefit by exploiting both the semi-periphery and the periphery. For example, the USA exploits Bangladesh by using it for cheap labour as the “sweatshop” of the world.
- Because of the focus on one world, rather than different worlds or individual nations, Wallerstein’s theory is often thought of as a globalist theory.
- His theory was very critical of the capitalist world system and the global inequality and poverty it created.
what is neoliberalism?
- This is the term used to describe free market capitalism in its modern form. Eliminating price controls, deregulating capital markets, lowering trade barriers, etc are all crucial features. The main goal is to reduce State influence in the economy, especially through privatisation and cuts to public services.
- Neoliberalism is greatly influenced by New Right thinkers
- The aim is to create an environment where private enterprise can flourish and the wealth will “trickle down” and therefore benefit everyone.
what are the neoliberal policies?
- privitisation
- cut state spending
- cut taxes
- encourage free trade
- integrate into global economy
- cut subsidies
- Abolish Parastatal Institutions
