Aramis Steininger November 19, 2020

ECO 305

Quiz

1.
a. Modernization theory explains the current state of undevelopment worldwide
through the idea of globalization. Modernization theory maintains that there is a
‘traditional’ element of society that prevents development, and that a relationship
to the developed world is necessary for development. Modernization of foriegn
countries seems helpful from an outside perspective, however, when you take a
closer look you can see the exploitation. World leaders wanted to ‘modernize’ the
third world, believing that innovation was required in these places to motivate
development; Hickels conception of underdevelopment differs. He argues that aid
distracts us from seeing the broader picture. It hides the patterns of extraction that
are actively causing the impoverishment of the Global South today and actively
impeding meaningful development. Hickel states this paradigm of generosity
obscures the real issues at stake. It makes it seem like the West is ‘developing’
the Global South, when in reality the opposite is true; “poor countries are
effectively developing rich countries”. Hickels conception is more centered
around the theme of exploitation of the Third World, while standard
modernization theory is the idea of a constantly moving process where innovation
is constant and necessary; any region that does not follow this ideal for society
will fall behind and end up in poverty.
b. Modernization theory assumes that the Global South adopts societal
characteristics from First World Countries. In order for modernization to happen,
underdeveloped countries must base their societies of countries like the US or
China. Modernization also assumes that there is a right way of living. The theory
brings up the ideas of traditional or pre-modern, which are relative in my opinion.
Modern could mean very different things depending on where you live. So
modernization also assumed that there is a global standard of living. Hickels
assumes that meaningful development is impossible due to exploitation by the
first world countries. Now it is true that NGO’ and other government/private
agencies interfering will make it very difficult for underdeveloped countries to
overhaul their country systematically. However, charity and aid can be used to
create better school systems in very poor countries. These school systems
provided by NGOs can lead better education which would effectively create
positive change that would be long lasting.

2. In order to move towards degrowth, privatization of social goods should be diminished.

The first policy I would implement would be to make education a public good and
available to all. This would get rid of student debt as well as cause degrowth. Another
policy I would enact is universal healthcare. This would take down big pharma, getting
rid of the healthcare monopoly and providing basic health needs to everybody who needs
it. The last policy I would create would be restricting the amount of commercial
advertisement. In order for companies to sell their products they must take out ads to get
the word out. If advertisements are capped, then this abundance of commercialism will
cease to exist and create a more balanced system.