Dependency theory in developing countries

Dependency is an ongoing process: It was used to explain the causes of overurbanizationa theory that urbanization rates outpaced industrial growth in several developing countries. They argued that it allows for partial development or "dependent development"—development, but still under the control of outside decision makers.

Dependency theory

Most dependency theorists regard international capitalism as the motive force behind dependency relationships. Latin underdevelopment is the outcome of a particular series of relationships to the international system. The rise of one group of semi-peripheries tends to be at the cost of another group, but the unequal structure of the world economy based on unequal exchange tends to remain stable.

However, Marxists theorists viewed the persistent poverty as a consequence Dependency theory in developing countries capitalist exploitation. Dependency theory suggests that alternative uses of resources are preferable to the resource usage patterns imposed by dominant states.

Dependency theory repudiates the central distributive mechanism of the neoclassical model, what is usually called "trickle-down" economics. Pos-colonalists, however, argue that dependency theory is Eurocentric.

The Marxist theory of imperialism explains dominant state expansion while the dependency theory explains underdevelopment. They do make a very important distinction, however, between economic growth and economic development. Many dependency theorists would argue that those agricultural lands should be used for domestic food production in order to reduce the rates of malnutrition.

It is often under special tariff protection or other government concessions. Porter Sargent,p. Regression in both agriculture and small scale industry characterizes the period after the onslaught of foreign domination and colonialism Unequal international specialization of the periphery leads to the concentration of activities in export-oriented agriculture and or mining.

In short, dependency theory attempts to explain the present underdeveloped state of many nations in the world by examining the patterns of interactions among nations and by arguing that inequality among nations is an intrinsic part of those interactions.

Dependency theory does pay attention to its colonial origins. Baran noted two predominant kinds of economic activity in poor countries. The developing countries must budget and allocate resources from its own basket as opposed to that of the donor's. Marx spoke approvingly of British colonialism in India: Regression in both agriculture and small scale industry characterizes the period after the onslaught of foreign domination and colonialism Unequal international specialization of the periphery leads to the concentration of activities in export-oriented agriculture and or mining.

A repeat of those relationships is not now highly likely for the poor countries of the world. About this resource This Miscellaneous essay was submitted to us by a student in order to help you with your studies.

This is the only way we can totally de-link ourselves from the developed countries. In Africa, states which have emphasized import-substitution development, such as Zimbabwehave typically been among the worst performers, while the continent's most successful non-oil based economies, such as EgyptSouth Africaand Tunisiahave pursued trade-based development.

These countries are not "behind" or "catching up" to the richer countries of the world. The difference is significant. We have to sacrifice so that we have a better Africa.

After that, they demand more, where we, the owners of resources, can afford to buy them.Dependency theory highlights that due to colonial and post-colonial endeavors the countries at the periphery (or else the developing countries) are constantly exploited by those at the core (developed countries or else wealthy countries).

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Oct 28,  · Dependency theory is a theory of how developing and developed nations interact. It can be seen as an opposition theory to the popular free market theory of interaction.

What is Dependency Theory?

It can be seen as an opposition theory to the popular free market theory of interaction. Dependency theory is the notion that resources flow from a "periphery" of poor and underdeveloped states to a "core" of wealthy states, enriching the latter at the expense of the former.

a theory that urbanization rates outpaced industrial growth in several developing countries. Many leaders in African countries adopted dependency theory, arguing that and developing political movements that aimed to liberate Africa from western exploitation, stressing.

Dependency theory suggests that the success of the richer countries was a highly contingent and specific episode in global economic history, one dominated by the highly exploitative colonial relationships of the European powers.

dependency theory in developing country Dependency theory is a theory of how developing and developed nations interact. Dependency perspective focuses on reform efforts on inequalities in the international system rather than on domestic policy.

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Dependency theory in developing countries
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