Structuralism Theory

 In the late 1940s, Raúl Prebisch and Hans Singer argued that developing countries reliant
upon exports of primary commodities and imports of manufactured goods faced declining
terms of trade.
 Therefore, Third World countries would need to transform the structure of their economies
and develop the industrial sector relative to the primary sector. Third World states would
have to encourage industrialization.
 Based upon the notion that development should not be dictated by European models, but
instead should be geared to the realities on the ground within the developing world.

Dependency Theory

 While modernization theory depicted the First World as a benevolent force, dependency
theory depicted the First World as hindering development in the Third World.
 The capitalist states of the First World worked in alliance with Third World elites to maintain
the Third World in a subordinate position.
 The development of the rich world was achieved by exploitation of the developing world.
 That developing countries moved into production of cash crops (coffee, tea, cocoa) which
meant that they were no longer subsistent and actually dependent on developed countries
for food imports and food aid.
 That the development of many countries was slowed or stopped by the arrival of colonists.
He points out that many countries were richer before colonization than after.

It has gained popularity because

1. Many poor countries owe large debts to developed countries or international banks.

2. Developed countries tend to specialize in more value-added industries like banking and
manufacturing, widening the development gap even more. 

3. Many developing countries have now become reliant on NGO help.

4. Population growth is highest in developing countries so many are suffering from greater
overpopulation and are more dependent on foreign help.

Neoclassical Counterrevolution (Neoliberal)