Theories of Global

Stratification
Global Stratification
• One type of explanation takes an
individual approach by in effect
blaming the people in the poorest
nations for their own poverty, while a
second explanation takes a structural
approach in blaming the plight of
poor nations on their treatment by
the richest ones.
 Modernization Theory
The individual explanation is called modernization
theory (McClelland, 1967; Rostow, 1990). According to this
theory, rich nations became wealthy because early on they
were able to develop the “correct” beliefs, values, and
practices—in short, the correct culture—for trade,
industrialization, and rapid economic growth to occur. These
cultural traits include a willingness to work hard, to abandon
tradition in favor of new ways of thinking and doing things,
and to adopt a future orientation rather than one focused on
maintaining present conditions.
Modernization Theory
• To develop, countries must embrace new technologies and
market driven values. Poverty results from adherence to
traditional values and customs that prevent competition in a
modern global economy.
Dependency Theory

• The structural explanation for global stratification is

called dependency theory. Not surprisingly, this theory’s
views sharply challenge modernization theory’s assumptions
(Packenham, 1992). Whereas modernization theory
attributes global stratification to the “wrong” cultural values
and practices in poor nations, dependency theory blames
global stratification on the exploitation of these nations by
wealthy nations.
Dependency Theory
• Exploits the least powerful
nations to the benefit of
wealthier nations. Poverty of
low-income countries is a
direct result of their political
and economic dependence
on the wealthy countries.
• In dependency theory, low-income nations are viewed as
victims of exploitation. This exploitation is a result and a
continuation of colonialism. In a colonialist system, a wealthy
nation attempts to gain control over a poorer nation's resources
and labor, often through military force. Colonialism began to
disintegrate after World War I, with the process speeding up
after World War II. But colonialism was replaced by
neocolonialism, with powerful countries controlling weaker
nations through indirect means. Neocolonialism uses economic
and political power, rather than direct military power, to force a
colonial relationship.
Walt Rostows Stages of
Modernization Theory
Rostows theory of modernization
development
• Therefore Walt Rostow postulated a five stage model of development
that will be able to apply to all the countries. This model was vital in
the sense that it is concerned with the idea that a country is able to
develop economically by focusing on the resources that are in short
supply in
• order to expand beyond local industries to reach global market and
finance the country’
• s further development to bring about economic growth ( Todaro and
Smith,2003).
 Traditional society stage
• The first stage is known as the
Traditional Society which is
associated with the country that
has not yet developed but the
majority of the people are
engaged in subsistence
agriculture and more
investments are channeled in
services or activities such as
military and religion.
Economic Growth
• It is characterized by the
massive development of
mining industries, increase in
capital use in agriculture,
necessity of external funding
and some growth in savings
and investments.
Take off • It is characterized by
dynamic economic growth
which is due to sharp
stimulus of economic,
political or technological in
nature. The main focus of
this stage is the aspect of
selfsustained growth. It is
also referred to be an
interval when the old
blocks and resistance to
steady growth have been
removed (Rostow, 1953).
Drive to maturity • the drive to maturity which is
concerned with the extension of
modern technology over other
sectors of the economy or
society. Drive to maturity stage
refers to the period when a
country has affectively applied
the range of modern technology
to the bulk of its resources
(Rostow,1953).
High Mass Consumption
• it is characterized by an increase
in per capita income, changes in the structure
of the working force including those working in the
offices or factories and an increase in the desire to
benefit from the consumption fruits of a mature
economy.