Ds 102 Lecture 2021-2022-Latest Version-Final

THE
UNIVERSITY OF DODOMA

INSTITUTE OF DEVELOPMENT STUDIES

DEVELOPMENT PERSPECTIVES
DS 102

Course Instructor: Dr. Deborah Ngusa

(a) IntroducHon to Development
Studies

Why development studies?
²  It is over 55 years since most of African
countries aRained poliHcal independence.

²  Since then African poliHcal leaders and the
general public have made strenuous
efforts to overcome development
problems and challenges,but situaton is
sHll worse to some Countries.
11/8/2018 3

Development Discourse

²  There are three perspecHves which are
considered when we aRempt to define
development.

These are;
1. Economic perspecHve (economists views)
²  Look at indicators of development such as
economic growth of a parHcular naHon like
increasing of gross naHonal product (GDP).

Development Discourse Cont…
v  Increasing of foreign investments into

acHviHes such mining, industries,
infrastructure, banking etc.
v  High level of technology in a country
v  Increasing income among the household

PoliHcal perspecHve
Involves;
²  Availability of democracy, free and fair
elecHon, freedom of movement, speech,
assembling, worshiping, choosing leaders,
giving opinions etc.
²  Availability of human rights e.g. right to work,

marry, to educaHon, right to an adequate
standard of living like having appropriate
food, shelter, water medical care and Low
level of corrupHon in a country.
Social PerspecHve
Involves;
²  Availability of social services e.g. electricity,
houses, food, educaHon health, infrastructure
etc.

²  Increasing of life expectancy e.g. in developed
countries most people die within the range of
80 years and above , but developing countries
most of the people dying at ages below 45
years.
Social PerspecHve Cont…
²  Lack of diseases and low mortality rate

e.g. for infants, low rates of maternal
mortality rates etc.
²  Thus Development is a mulH-‐dimensional

concept, embracing all perspecHves:
poliHcal, social and economic
perspecHves.
Scholarly perspecHves
Buller and Wright (1990) conceptualized
development as an ongoing and intervenHonal
process of qualitaHve, quanHtaHve and/or
distribuHonal change leading to some degree of
beRerment for groups of people.

Mobugunje (1989) development is experienced
when poverty, unemployment and inequality
decline/alleviated from a given society.
Development (Cont…)
Todaro-‐ define it
²  as a mulHdimensional process,
²  involving changes in structures, abtudes

and insHtuHons, as well as
²  acceleraHon of economic growth,

eradicaHon of absolute poverty and
reducHon of inequality.

Development (cont…)

Classical economists including Adam Smith and
David Ricardo;
²  Consider development as rise in the:
o  per capita income,
o  Gross DomesHc Product (GDP),
o  increase in the level of investment, and
markets,
Thus, economic growth is the key indicator of
development.
What is Development (cont…)

Development and Modernity analysis;
They consider development in terms of,
o  producHon with a large amount of capital
investment,
o  a large amount of machinery and
o  using advanced techniques
o  human & other resources are employed to
the maximum;
o  consequently, the producHon efficiency is
very high leading to high per capita incomes.

²  Others consider development as a process of
class struggle.
o  Freedom form enslavement,
o  Freedom from lord and serf system,
o  From oppressor and oppressed

Thus, stood in constant opposiHon to one
another ended, either in a revoluHonary
reconstrucHon of society or class struggle.

²  Others-‐development in terms of poliHcs:
Democracy and freedom of the individual to
parHcipate in poliHcs
o  As a fundamental cornerstone of
development

²  Others-‐ emphasize the social aspect of
development, view the process of
development as a process of human
development/progress.

²  Development is a mulH-‐dimensional concept.
²  One has to deal with development in a wider
sense, including;
o  economic
o  social
o  cultural
o  environment
o  security and
o  poliHcal aspects
INDICATORS OF DEVELOPMENT
i)  Income (Income per capital & GDP, GNP);

²  GDP –The sum total of the market value of
all goods and services produced within the
geographical boundary of the naHon in a
given year

INDICATORS OF DEVELOPMENT (CONT…)
²  GNP-‐ market value of all goods and

services produced by the country ciHzens
irrespecHve of geographical locaHon
(Excluding the income earned by foreign

ciJzens and companies within the country)
INDICATORS OF DEVELOPMENT (CONT…)
ii) Food security,
iii) health services,
iv) educaHon services,
v) social dimensions (gender equality and
equity),
vi) poliHcal (democracy and good governance),
(vii) life expectancy,
viii) water supply,
(ix) adequate infrastructures etc.
Sustainable development
Meets the needs of the present generaHon without
affecHng the ability of future generaHons to meet
their own needs.
Needs
Referred to the social and economic services
Development
Not only confined to quan?ta?ve expansion of the
economic system, but also to qualita?ve
improvement of cultural, social and economic
seDngs
²  Future/New Genera5ons
Are the world inhabitants who have the same
rights to obtain sufficient life suppor?ng systems
Economic Growth

Economic growth is the increase in the capital
stock, advances in technology, and
improvement in the quality and level of literacy
are considered to be the principal causes of
economic growth

StaHsHcians convenHonally measure such
growth as the percent rate of increase in real
gross domesHc product, or real GDP.

Human Development

Human Development is the process characterized
by the variaHon of the material condiHons that
most influence the possibiliHes of saHsfying needs
and desires and to explore and realize the physical
and psychic, biological and cultural, individual and
social potenHals of each person.

Development studies
²  Development studies are a mulHdisciplinary
branch of social science which addresses
issues of concern to developing countries.

²  It has historically placed a parHcular focus on
issues related to social an economic
development, and
²  Its relevance extended to communiHes and

regions outside of the developing world.
Development studies (cont…)
²  Addresses the numerous global challenges
that are faced in the developing world and
idenHfies the possible soluHons
Useful for:
o  the policy makers and the strategic managers
o  personnel officers in the private and the public
sectors at local, provincial and naHonal levels
o  create "new professionalism”
o  give context and understanding for the person
not directly involved in development

Who benefit from Development Studies?

²  Graduates typically find work

o  in NGOs, charitable insHtuHons,
o  local or internaHonal government,
o  research, teaching and
o  various advisory organizaHons.
The boundaries of Development Studies

²  Has a shared interest in mulH-‐disciplinarily
concern.
²  Teaching and research since the late 1970s,
parHcular since the 1990, UNDP emphasized
the wide range of disciplinary perspecHves
involving;
development issues, theories, across economics,
sociology, anthropology, ethics, poliJcs,
geography, etc.
The history of Development Studies

²  Emerged as an academic discipline in the second
half of the 20th century due to increasing concern
about economic prospects for the third world
aler decolonizaHon.

²  By the 1960s, number of development
economists felt that economics alone could not
fully address issues e.g. poliHcal effecHveness
and educaHonal provision
²  Development studies arose as a to integrate

ideas of poliHcs and economics

The history of Development Studies
(cont..)
²  Since 1960s, it has become an increasingly

inter-‐ and mulH-‐disciplinary subject,
encompassing a variety of social scienHfic
fields by taking an interest in lessons of past
development experiences of Western
countries
The history of DS(cont..)
²  Recently, emergence of human security -‐ a
new, people-‐oriented approach to
understanding and addressing global security
threats
o  has led to a growing recogniHon of a
relaHonship between security and
development.
o  inequaliHes and insecurity in one state or
region have consequences for global
security
The history of DS in Tanzania

²  When Government decided to introduce
naHonal service, to prepare educated
youths to serve the naHon in 1966,
o  The intenHon was to build a socialist
state, ujamaa .
o  At the beginning the course had no
defined structures
The history of DS in Tanzania (cont..)
²  1970-‐ DS was introduced in the faculty of
Social Sciences
²  It was structured in the two-‐year
compulsory course.
²  1973 the InsHtute of Development Studies
was established at the University of Dar-‐es-‐
Salaam
²  Then, one year compulsory DS course was
implemented
Relevance of DS in Tanzania
i.  Studying DS give you the necessary background
for a large range of high-‐level career
ii.  Understanding challenges of development of

third world countries before and aler
independence
iii.  Understanding our road map to development
iv.  Students of these subjects learn about topics

that can be applied to many careers ahead.
The criHques of Development Studies

²  The neo-‐colonial or post-‐
development criHque: Development
Studies is a neocolonial discourse which
frames, shapes, and controls the Third
World .
In summary
²  We need to develop a clear understanding

of the development process in order
formulate concrete policies and strategies
that will address the above situaHon and
propel these countries towards sustainable
development.

Problems of Development in Africa

“Human-‐made problems”
o  wars, refugees, and displaced people,
o  poverty, unemployment, the brain drain,
o  external debt, corrupHon and fraud,
o  greed and selfishness,
o  tribalism and ethnocentrism,
o  Are historical, structural, and ideological
reasons contributed to the current state of
”maldevelopment" in Africa
Africa is underdeveloped’ due to
o  tribalism
o  supersHHon
o  gender inequality
o  Poor educaHon system
o  poverty
o  lack of self-‐confidence
o  economic dependence
o  corrupt leadership, disease and lack of health
care, misappropriaHon of public funds
Africa is underdeveloped” due to (Cont…)
o  MisappropriaHon of public funds
o  colonialism and neo-‐colonialism
o  religion
o  selfishness
o  Genocide and wars, arms and militarism
o  ethnic cleansing
o  lack of idenHty
o  inferiority complex

Overview and Remarks
²  There is no way that whoever deals with DS
can not shy from understanding what
poverty and development and theories of
development are and their dynamics
²  Development in the Third World Countries

remains problemaHc as many of these
countries making liRle or no progress
towards improving the quality of life.

DS 102
TheoreHcal perspecHves of
development and
underdevelopment

Meaning of the word Theory
²  A theory can be said to be a statement or

group of statements established by
reasoned argument intended to explain a
parHcular fact or event.

²  It is a formal idea or set of ideas that
intended to explain something.

Why do we need theories?
Theory provides;

²  Concepts/proposiHons/assumpHons/beliefs
that are used by professionals to understand
and interpret issues around them.
²  Each theory has a historical background,
insHtuHonal and structural context for
seeking to understand a context-‐specific
problem/phenomenon.
²  There are no universal truths of all social
theories.
²  Body of knowledge keeps changing, due to
the fact that society accumulate more new
informaHon through observaHons,
interacHons, experimentaHons, and/or
through try-‐and-‐error processes.
²  Thus provide room for new theories to

emerge


²  Theories are used as an important tool for
controlling and/ or liberaHng society of their
world and their problems and, eventually
condiHons the behavior of their leaders.
²  For instance, civilizing mission of the

colonial conquest or neo liberal theory
jusHfying the liberal economy and
corporaHons dominated globalizaHon.
Theory of social development
²  It is a set of working assumpHons that guide

us on understanding the dynamics of social
development and underdevelopment

²  Theories of social development therefore
offer arguments that aRempt to explain the
process of social development.
Categories of social development
theories
a)  PoliHcal economic models
b)  ModernizaHon and
c)  Dependency theories

POLITICAL ECONOMY THEORY OF
MARXISM/MARXIST
Historical background:
²  Marxist is one of the leading theories that
aRempt to provide a criHcal analysis of the
development process.
²  The founder of this theory was Karl Marx, a

German philosopher who lived during the
19th C in Europe.
POLITICAL ECONOMY THEORY OF MARXISM/
MARXIST CONT…

²  Marx lived during the Hme of Industrial
RevoluHon in Europe where majority lived in
poor condiHon and failed to sustain their
daily lives
²  This was the Hme where mass poverty

existed in Europe.

POLITICAL ECONOMY THEORY OF
MARXISM/MARXIST CONT…

²  Two antagonisHc classes emerge the class of
have not (proletariats) and the rich class
(bourgeoisie) who owned the means of
producJon.
²  Those who owned and controlled the

factories and other means of producHon
exploited the masses that worked for them.
MARXIST CONT…

²  The poor (working class) exploited in
the following scenarios;
o  They worked 12 hours a day at the

machines, six/seven days a week
and received only a subsistence
wages. (Received only money to
keep them alive)
MARXIST CONT…

²  They also worked in poor working environment
²  The owners of the means of producHon

possessed great wealth, power and presHge
²  So Marx wanted to study what contributed to

such dispariHes among the socieHes and to
propose for lasHng soluHons for those changes.
Fundamentals within Marxism
²  Classes are authority relaHonships

and based on property ownership.
²  A class defines groups of

individuals with shared life
situaHons and interests.
Fundamentals within Marxism Cont…
²  Classes are naturally antagonisHc by

virtue of their interests.
²  PoliHcal organizaHon and power is

an instrument of class struggle, and
supremacy ideas are its reflecHon.
²  Structural change is a consequence of

the class struggle.
²  Struggle over equal distribuHon of the

social product.

²  Marxists believe that a socialist society
is both the necessary and desirable end
of historical development
²  A socialist society will be achieved

through overthrow of the ruling class
and establish the authority of the
working class.
²  Marx held that a revoluHonary

situaHon occurs when an exisHng
mode of producHon reaches the
limits of its contradicHons
²  The key contradicHons are economic
contradicHons that develop between
the social forces and the social relaHons
of producHon.
²  Marxist theory strongly suggested that

revoluHons should occur first in the
most economically advanced social
formaHons of a given mode of
producHon.

Marx’s main arguments

(i) Class struggle:
He argues that;
²  Within socieHes, class struggle is very
necessary in producing posiHve changes.
²  He further believed that, in order for the

society to develop, there must be a class
struggle rather than being negaHve or
passive.
Marx’s main arguments Cont…
(ii) Class conflict:

²  Development in the society normally
depends on class conflict, so he views
class conflict in a posiHve manner.
Marx’s main arguments Cont…
²  Therefore to understand the process

of class struggle and class conflict in
the socieHes, he idenHfied five main
stages of human development
Marx s Stages of Social Development
1. PrimiJve accumulaJon:

²  This was iniHal stage of human
development
²  ProducHve forces were very poor e.g.
sHcks and stones.
²  Ownership of the means of producHon was
communal.

Marx s Stages of Social Development Cont…

²  RelaHons of producHon were collecHve.

²  There was no antagonisHc class (no
exploitaHon of one by another).
²  The instruments of labour were crude

and underdeveloped.


²  Labour producHvity was low with no
surplus and there was equal distribuHon
of the products.
²  As people struggled on technological

improvement managed to transform into
other stage.
2. Feudalism:
²  At this stage there were some improvement of
producHve forces.
²  Its where now classes emerged, two

antagonisHc classes : the class of serfs and
landlords.
²  Serfs were largely exploited by land lords in

terms of rent in kind/ money.

²  Private ownership started and it was based
on private property in land

²  Emergence of surplus producHon
²  This led to class conflict which led to the
fall of the mode and lead into the rise of
another mode of producHon.
3. Capitalism:
²  Two antagonisHc classes emerge, the class of
bourgeoisie/capitalists, and proletariat
(working class).
²  The major means of producHon were

primarily controlled by bourgeoisie
²  The bourgeoisie paid proletariats a liRle wage

which did not sustain their lives.
²  Capitalism led to the emergence of

commodity producHon.
²  Human labour also became a commodity.
²  Private ownership of means of producHon

remained as a basic characterisHc of
capitalism mode of producHon.
Capitalism…

²  RelaHons of producHon was exploitaHve in
nature
²  The working class was exploited by selling
their labour power.
²  Capitalist economies expand through capital
export
²  Due to class conflict in the society this led to
change the mode to another mode.
4. Socialism:
²  According to Marx, this was the higher stage
of development and it had no antagonisHc
classes.
²  The working class (proletariats) took over

control of the major means of producHon.
²  No exploitaHon, all people work according to

their abiliHes and were remunerated
according to their needs.
5. Communism

²  This is the highest stage of social
development.
²  There was no exploitaHon of man by man.
²  The level of investments and producHon

were primarily determined by naHonal plans.
CriHcism of the Marxist Theory of
Development
²  Marxist theory is olen criHcized by Modern
theorists for concentraHng too much on
conflict -‐ class struggle and change
²  Also concentraHng too liRle on what

produces stable society.
²  They are also criHcized for being too

ideologically based.
CriHcism of the Marxist Theory of
Development Cont…
²  Those who put forward this argument

however fail to refute the existence of
classes, class conflicts and class struggle in
the society.

²  Also the reality that conflicts and class
struggles characterize the development
process.
Criticism of the Marxist Theory of
Development Cont…
²  Bourgeoisie criHcizes Marx that his

arguments of class struggle and class
conflict are too ideological which cannot
be successfully implemented in the
society.
²  That the society can never develop

without classes.
Development Cont…
²  Marx believed on working class as an

instrument of leading real revoluHon in the
society but this is not true because real
revoluHon should come in collaboraHon
between workers and peasants.
Development Cont…

²  Workers alone can never bring real
revoluHon in the society.
²  (May be he was right at that Hme: but a
theory has to hold truth for all Hmes!).
Development Cont…
²  Marx believed on class conflict as important
aspect for development but he is
contradicHng himself because in socialism
and communalism modes there is no class
conflict so the quesHon comes:
²  how could socialism and communalism

emerge as the highest stage of human
development without existence of classes?
Strength of the Marxist Theory
²  Marxist theory remain as dominant

doctrine which predicted real social life.

²  It has provided a descripHve picture of
socio-‐economic formaHons, parHcularly
that of the capitalist economic system.
Strength of the Marxist Theory Cont…
²  Its main strength lies in its analysis of social
relaHons that arise in the process of
producHon.
²  Also the conflicHng social classes are

eventually the moHve force of development.
²  Marxist theory remains significant because of

its ability to highlight the exploitaHve nature of
the capitalist economic system
²  Also to highlight how this kind of

exploitaHon gives rise to classes/social
divisions and conflicts even in the
contemporary producHon process under
liberalized economy.
²  The Marxist theory is a revoluHonary

theory as it advocates change.
²  A change for the beRer; away from

exploitaHon, injusHce and inequality.
²  Changes for emancipaHon.

Impact of Marxist theory on Contemporary
Theories of Social Development

²  Marxist theory of social change had a huge
impact on the pracHce and the analysis of
social movements

²  Marxism arose from an analysis of
movements structured by conflicts

²  conflicts between industrial workers and their
capitalist employers in the 19th
Theories of Social Development Cont…
²  In the 20th century a variety of neo-‐Marxist

theories have been emerged

²  The neo-‐Marxist have added quesHons of race,
ethnicity and gender inequality .
²  Marxist approaches remained influenHal ways

of understanding the role of poliHcal economy.
Impact of Marxist theory on
Contemporary Theories of Social
Development Cont…
²  Also understanding class differences remain

as key forces in many historical and current
social movements

²  However, Hme and history have invalidated
many of Marx s assumpHons and
predicHons.
Theories of Social Development Cont…
²  The Most important is, Marx ideology of class

conflict and strike between workers and
capitalist has been insJtuJonalized through
workers union and workers parJes even in
the contemporary social life.
=============END===============

Bourgeoisie/ModernizaHon Theories
of Development

Historical back ground of the theory and general
overview;

²  The modernizaHon theories emerged aler
the Second World War (1939 to 1945).

The theories tried to answer the following
quesHons:-‐

(1) Why Europe/North America is more
developed or advanced than Third World?

(2)  Why today there is a wide gap among these
countries?
(4)  What contributes to these differences?

²  Basically this school emerge as a criHc to
suggesHons of Marxism understanding of
social development which lies on class
struggle and class conflict as an opHon to
development of a given society.

TheoreHcal claims of
modernizaHon theories
² 

Concern of the modernizaHon theory seeks
to describe and explain the processes of
social transformaHon from tradiHonal
socieHes and systems to modern ones
²  This was following the path that the Western

Europe and North America followed from
the 15th century to the present.

Underlying assumpHons of

(i) That modernizaHon is a phased, stage-‐by-‐
stage linear social development process
and that all socieHes have to go through
the same path as was the case with
Western Europe, the USA and Japan

Underlying assumpHons of
(ii)

ModernizaHon can only take place within a
capitalist framework (not applicable to
socialist/communism manifesto)

(iii) That modernizaHon inputs includes
presence of (strong insHtuHons, technology,
experHse, capital and markets)
Underlying assumpHons of modernizaHon
theories Cont…
(iv)  For modernizaHon to take place tradiHonal
structures and values must give way to modern
ones
These include: more achievement oriented; more

recepHve to change; more technologically-‐
oriented; more parHcipatory decision-‐making,
poliHcal parHes, parliaments and;
industrializaHon, urbanizaHon, money economy,
technical upgrading of producHon and service
etc
Underlying assumpHons of modernizaHon
theories Cont…
(v)  The state of underdevelopment that the
developing countries are experiencing to
day is the results of their internal factors,
not external linkage as how other scholars
jusHfying.
(vi) One key factor of ModernizaHon theory is

the belief that development requires the
assistance of developed countries to aid
development processes in countries.
ModernizaHon Spheres

Therefore in order for development to take
place the developing countries should
modernize their poliHcal, economic, social,
cultural and psychological spheres.

(a) PoliHcal modernizaHon should involve key
poliHcal insHtuHons changes such as poliHcal
system, parliamentalism, open governance
and the adherence of human rights etc.
ModernizaHon Spheres Cont…

(b)  Economic modernizaHon should involve an
increasing division of labor, modern
management methods, technological change
industrializaHon and market enlargement.

(c)  Social modernizaHon should involve
increased literacy level, increasing
urbanizaHon, decline of tradiHonal authority
and stay away from outdated culture.

ModernizaHon Spheres Cont…
(d) Cultural modernizaHon involves increasing
secularizaHon of the society

(e) Psychological modernizaHon involves
people s change from tradiHonal to
modern ways of thinking and their
behavior.

Rostow s Five stages of human
Development: (1950)
(American economist)

²  The theory tries to explain the long-‐term
processes of economic development from
the point of view of economic history by
describing five ideal types of stages
through which all socieHes pass.
Five stages of human development…

²  Walt William Rostow s Stages-‐of-‐
Growth Model uses the analogy of an
airplane moving along the runway unHl it
reaches the take-‐off stage then soaring
into the sky.
Five stages of human development…
•  He views development as a process that follows
a linear path starHng from lower to higher by
passing through five stages of development.
•  Each stage of human development should be

fulfilled clearly in order to allow the society to
undergo the next stage of human development.
•  According to Rostow, development passes in

five main stages as follows:

1. TradiHonal stage:

This is the first stage whereby, the society is
characterized by the following;

²  Agricultural sector is dominant in the
society,75%.
²  Low producHvity because of poor methods

of farming.

1. TradiHonal stage: Cont…

²  Low level of technology, mostly depending
on technology imported from elsewhere
not local.
²  High mortality rate e.g. especially of infants

between ages 0-‐5 years.
²  High ferHlity rate.
•  Extended family and clan alliances.


²  LiRle social mobility-‐or no movement at all.
²  Poor poliHcal organizaHon characterized by
conflicts and non consensus, e.g. what we are
observing in Somalia, Congo DRC, Southern
Sudan etc.
²  No serious development that can be achieved
in such scenarios in the said countries.
²  Persistence of diseases and immoral local
beliefs

In summary: tradiHonal society s stage is pre-‐

scienHfic, low producHvity, family and clan
alliances, undifferenHated social roles,
investment in security and religion, feudal
land ownerships

2. TransiHonal Stage: (pre-‐
condiHon for take-‐off stage)
²  at internaHonal and
Expansion of trade both
naHonal level.
²  Increase of external influence from outside of

the country/society.
²  IntroducHon of modern methods of producHon

in both in agriculture and industrial sctrors.

TransiHonal Stage Cont…
²  NaHonal investments being raised to 5% of the
naHonal income to sustain economic growth.
²  Willingness of people to change their values
e.g. borrowing/lending money for
investments.
²  High level of entrepreneurship and the society
being innovaHve and creaHve.
²  Level of science and technology being raised
in order to bring innovaHon.
TransiHonal Stage Cont…

In summary: pre-‐condiHon for the Take-‐off
stage (emphasis on the role of the state,
educaHon, technology and capital….savings
and investment above populaHon growth
rates, naHonal-‐level organizaHons and
insHtuHons, new elites, integraHon in world
economy, diffusion of Western science and
technology etc.)

3. Take off stage:

•  Na?onal investments level should rise to 10%.
•  Increasing produc?vity in agriculture,
industries, mining and fishing.
•  Strong poli?cal organiza?on-‐high level of
democracy , there is a consensus and hand
shaking whenever one wins the elec?on and
the loser not op?ng to figh?ng.
3. Take off stage:
²  Agricultural sector is mechanized,
²  Science and technology is higher.

In summary: The Take-‐Off Stage (same as
above….investment and savings above 5 to
10% of naHonal income, substanHal
manufacturing, appropriate insHtuHons, more
integraHon in world economy).
4. Drive to Maturity Stage:
² 

Emergence of industrialized society.
²  TransportaHon and communicaHon are more
complex.
²  Science and technology is at higher stage.
²  The old industries are now replaced by new
ones with new advancement methods of
producHon.
²  High poliHcal organizaHon, high level of
democracy, free and fair elecHons, good
governance and observance of human rights.
4. Drive to Maturity Stage:

In summary: The Drive to Maturity Stage (same
as above…technology use throughout the
economy and society, investment and saving
10-‐20 % of naHonal income, new sectors of
economy, efficient insHtuHons)
5. High Mass consumpHon:
²  The society here is too matured in all
aspects of human life: poliHcally, socially,
economically and culturally.
²  There are Strong poliHcal organizaHon, high

level of democracy, free and fair elecHons,
good governance and human rights.

5. High Mass consumpHon:
²  Technology is highly advanced and

economic growth is virtually automaHc

²  Much of what is produced is just the
purplus.

Proposed Policy IntervenHons/
LimitaHons
of the theories

²  The promises of modernizaHon failed to
occur to the large to most of developing
countries:

²  Because most of aid, technology and loans
received increased Africa s indebtedness

Proposed Policy IntervenHons/LimitaHons
of the theories Cont…
²  EducaHon system remained Western in
outlook, exclusive in character, fostering
hosHlity.
²  Few could aRain it.
²  Western social value systems have own

historical specificiHes and could not be
transplanted everywhere and anywhere.
²  The modernizaHon theory is clearly
concentrate on economic growth not
development per se.
²  There are more than one path to

development with different end-‐points
²  Development could take place outside the

capitalist system.
²  Rostow's model assumes that present-‐day
developed countries were once
underdeveloped and that all countries
move through all these stages of growth.
²  But he hide the truth that, the so-‐called

developed countries established the basis
for their take-‐off on the basis of looJng and
stealing from overseas

²  slave trade, colonialism and by imperialists

expansion.
²  Africa appears to be moving backwards or

developing in a zigzag manner and not in
the linear form that Rostow suggests
²  For African countries, underdevelopment is
not a natural stage of human development.

²  Rostow does not take into serious
consideraHon the historical experience of
the underdeveloped countries, Or the
conHnues exploitaHon of these countries by
ruthless mulHnaHonal/transnaHonal
companies
²  Generally Rostow s theory assumes that, the
condiHons that the Western Countries allowed
to develop (industrialized) would be relevant
to young independent States this might be
yes/no.
²  Much of Rostow s stages of economic growth

have liRle similarity to Africa and other third
World Countries development processes.
Importance/contribuHon of Rostow s
theory

²  However, Rostow offers some extremely
valuable insights into the development
process,
²  The assumpHon that the developing countries

will follow a similar path of stages cannot be
easily discarded,

Importance/contribuHon of Rostow s
theory Cont…
in raising the rate
E.g. the role of investment
of economic growth in contemporary
development processes of developing
Countries.
²  Rostow has aroused theoreHcal interest in

the history and causes of the growth of the
wealth of naHons.
Vicious Circle of Poverty theory,
by Nurkses (1907-‐1959)
(Swtzerland economist)
²  Ragnar Nurkse was a prominent economist
Professor who aRempted to examine
problems of capital formaHon in
underdeveloped countries.
²  In other words he aRempted to determine the
causes of poverty in underdeveloped
countries.
²  He is one of the founding father of social
economy.
Main arguments
²  If a society is poor that society will conHnue
to be poor and poor forever

²  We are poor because we are poor , and
therefore; we shall conHnue to be poor all
the Hme.
Do you subscribe to Nurkes s theory?

Main arguments
²  A society with low income has both low levels
of savings and low levels of consumpHon.
²  The low level of savings means that low

investment,
²  While the low levels of consumpHon means

no enough market to induce investments
²  Even if the capital for investment were

available.
Nurkse Poverty circle

Policy implicaHon out of poverty
circle according to Nurkse

(i) Capital maximizaHon for widens industrial
sector
(ii) Massive investments programs for balancing
growth
(iii) Agricultural transformaHons
(iv) Widening markets (markets enlargement)
(v) Socio-‐cultural and poliHcal modernizaHon
In summary,
²  Nurkse s summarizes that, for Third World
countries to achieve development they are
supposed to receive external push (big push)
from outside.
²  The push should range from financial to other

social assistances.
(We have had IMF, World Bank and so many Foreign
Direct Investments-‐grants, loans etc.
Question, Have all these helped countries in Africa?).

LIMITATIONS OF
THEORY

► Nurkse

s theory fails to tell us the root
causes of underdevelopment of Third World
countries; rather it tells us the outcomes of
underdevelopment which could be a result
of external forces for example the rise of
capitalism in Europe and its impact in Africa
(Rodney Walter 1970)

LIMITATIONS OF THEORY Cont…

²  Secondly, He fails to show how did
European countries managed to break the
circle of poverty if formerly all countries
lived in the same circle of poverty.
²  The theory also did not give us the realisHc
way out of this circle of poverty among
these Countries (e.g. capital formaHon).

LIMITATIONS OF THEORY Cont…

²  The theory also ignore to explain the reality
that, underdeveloped Countries are also
conHnue to remain in poverty due to
dependency economy as far as increase of
global dependency and debt burden are
concerned which undermine their iniHaHves
to create an environment for massive
investment and balance of growth

Relevance of the Theory

²  There is a very liRle doubt that, Nurkses
has managed to clearly show that Third
World Countries parHcularly those in Africa
are locked in a vicious circle of poverty.
Thus Nurkse's theory, only succeeds in

indicaHng the extent of poverty or
backwardness of the underdeveloped
countries

Relevance of the Theory Cont…

²  Also the theory concentrated on capital
formaHon as its main argument for a country
to take off, to most cases this is applicable to
many policy decision of countries in African
and Tanzania in parHcular
²  Also capturing of markets of goods and

services (local and External )markets is highly
implemented to many policy decision of
developing Countries.


²  Technological transfer is also major
concern to policy decision of many
investments made in developing countries.
²  Also massive investments programs for

balancing growth are the major prioriHes of
many developing countries toward naHonal
economic development.


² Generally, we can conclude that, Nurkses
Theory like other Bourgeoisie scholars only
succeeded in indicaHng the extent of poverty/
backwardness of the underdeveloped
countries.
² It shows very liRle understanding on the real
causes of poverty/backwardness in these
countries.
² However the theory also provided potenHal
opHons which are to some extent relevant to
alleviate poverty if can be well addressed.
General criHcism to modernizaHon
theory
(i)  All theories assumpHon that all change
inevitably must follows the Western models.
This might be wrong,

Development comes from different shape and
forms, we cannot generalize about transiHons
from one type of society to another with
different geographical sebng, culture and
interests.
General criHcism to modernizaHon theory Cont..
(ii) ModernizaHon also ignores the poliHcal

implicaHons of growth on the micro level. it
assumes that once economic growth has been
aRained, the whole populaHon will harvest the
benefits, This might someHmes bring wrong
assumpHon.

(iii) Anthropologists criHcs. CommuniHes is not
homogeneous as most of modernizaHon
theorists believe, and the benefit of economic
growth to most cases is not equally shared even in
the developed naHons.
(iv) The most fundamental criHcism of theories of
modernizaHon emerge from neo-‐marxist
theorists who advocate dependency(Prebish,
Cardoso and Valenza, O'Donnell and Frank G)

²  They argue that modernizaHon theories fail/
ignore to understand the real causes of
underdevelopment and poverty of developing
countries.
²  By presenHng all countries as being on the same
linear path, they completely neglect historical and
poliHcal factors that have made these countries
to be in such state.
E.g. ExploitaJon during mercanJlism, slave trade,
colonialism and contemporary move of
globalizaJon and libel economy conJnue to
vicJmize the economy of these countries.

Thus, industrialized countries were developed at
the expense of poorer naHons, and they were
not interested in providing equal opportuniHes
for development of their counterparts
(Valenzuela,1978)
==================END==================
Task for individual deeper reading
on modernizaHon theories
Schumpeter s Theory of MoHve Force, Process
and Goal and
J. K. Galbraith theory -‐ Concept of Countervailing

Power
(i)
Outline their strengths on policy
implicaHon on development process of
third Worlds and
(ii) limitaHons
(c) Dependency Theories of
Development and Under
Development
(Neo-‐ marxist)
Main scholars of the theory
²  The main advocates of Dependency Theory
includes:-‐ Hans Singer and Raul Prebisc
(1949),Andre Gunder Frank (1960s ), Osvaldo
Dos Santos, Osvaldo Sunkel (1969), Celso
Furtado, Rodolfo Stavenhagen, Euzo Falleto and
Frantz Fanon, Palma (1978), Evans (1979),
Szentes (1970), (Wallerstein, 1970s), Gilbert
and Haralambidis (1973),
Dependency Theories:
Neo-‐Marxists:
²  These are scholars who wrote aler Marx
They borrowed some arguments of Marx
to propound their views
²  The dependence school of thought was
mostly advocated by The LaHn America s
scholars
²  Developed during early 1960 s
Dependency Theories:
²  It was a response to the failure of the

Bourgeoisie s theory to answer some
prevailing quesHons of development failure in
developing countries.
²  The school assumes that underdevelopment

in developing countries can be understood in
connecHon with the world poliHcal economic
system.
Dependency Theories Cont…
The central argument of dependency theory is
that, poor states are impoverished and rich ones
enriched by the way poor states are integrated
into the "world system.
•  T h e t h e o r y a r o s e a s a r e a c ? o n t o
moderniza?on theory, which argued that, all
socieJes progress through similar stages of
development, and today's underdeveloped
areas are thus in a similar situaJon to that of
today's developed areas at some Jme in the
past .

T h e r e f o r e , t h e t a s k o f h e l p i n g t h e
underdeveloped areas out of poverty is to
accelerate them along this path of
development, by various means such as
investment, capital, technology transfers, and
closer integra?on into the world market.
Dependency theory rejected this view, arguing
that underdeveloped countries are not merely
primi?ve of developed Countries.

The Intellectual origin of Dependency
Theory

(a) "ECLA Manifesto, by Raul Prebisch (1949)
He was an Argen?ne economist at the
United Na?ons Commission for La?n America.
(UNCLA) Cri?cizes the outdated scheme of the
interna?onal trade systems.
•  Under such scheme, La?n America was tasked
to conJnue producing food and raw
materials for the great industrial centers, and
in return, LaJn America would purchase
industrial goods from these centers.
•  To Prebisch, this scheme was at the roots of
the developmental problem of La?n America.
Reliance on exports of food and raw
materials would inevitably lead to a
deterioraJon of LaJn America's terms of
trade, which would further affect its domesJc
accumulaJon of capital.
•  Prebisch proposes that the one-‐sided
interna?onal division of labor had to be
stopped, and La?n America had to undergo
industrializa?on.
•  To him underdeveloped na?ons were suppose
to employ some degree of protec?onism in
trade if they were to enter a self-‐sustaining
development path.
•  H e f u r t h e r a r g u e d t h a t
import-‐subs?tu?on industrialisa?on (ISI)is the
best strategy for underdeveloped Countries,
not a trade-‐and-‐export orienta?on.
•  The proponents of moderniza?on theory
claimed that underdeveloped countries were
held back by certain cultural characteris?cs, or
their lack of adherence to specific economic
policies of their own by followed given
stages of growth .
•  To most cases this interac?on subject many
C o u n t r i e s o f t h e S o u t h i n t o
underdevelopment.
Basic features of underdevelopment
(Gunder Frank (1969), Palma (1978), Evans
(1979), Szentes (1970), Gilbert and
Haralambidis (1973)
i)  Economic system of the underdevlp countries
is dependent upon foreign trade & investment
ii)  Dependency on imported technology and
finance
iii)  Expression of exploitative nature of
dependency relationship: of one country by
another
What is dependence?
•  A conditioning situation in which the
economies of one group of countries are
conditioned by the devlp and expansion of
others.
●Interdependence between two or more
economies & the world trading system
becomes a dependent relationship when:-
some countries expand/grow as a results of
exploiting others, a situation which may have
negative outcome to those exploited.
Dependence (cont…)
•  Thus, Dependency theorists are concerned
with the rela?onship between advanced and
third world countries.
•  The dependent rela?onship is exhibited in
economic, as well as cultural features of third
world countries
•  The dependent rela?onship saturate even in
poli?cal ins?tu?ons and poli?cal decision
making which also affects the developmnt
policies.
•  As a result many third world countries are
incapable of following an alterna?ve path.
•  Because the
-‐cultural,
-‐psychological and
-‐economic
pressures of the dependent rela?onship have
condi?oned decision-‐makers in third world
countries.
•  Dependency theorists concentrate on
explaining the fundamental specific flows of
moderniza?on approaches

•  They agree that some effort within developing
countries must be made to break the cycle of
economic and poli?cal reliance on dominant
capitalist na?ons.

TheoreHcal Claims of the
dependency theory
•
•  According to dependency theory, the cause of

underdevelopment is the dependence on
industrialized countries while internal factors
of developing countries are considered merely
or seen as symptoms and consequences of
dependency.

•  Poor countries are poor and underdeveloped
not because they lagged behind the scien?fic
transforma?on and innova?on, rather they
were coercively integrated into the European
economic system wherein they are
economically exploited, socially oppressed
and poliJcally dominated.

Underlying theoreHcal
assumpHons

•  There are two sets of states:
•  Metropolitan na?on-‐states and peripheral
na?on-‐states as parts of the global capitalist
structure.
•  Interac?ons between two sets are unequal,
exploita?ve in nature and largely beneficial to
metropolitan na?on-‐states.( Gunder AF,
1960S )

•  External forces through:-‐
Mul?na?onal Companies and Mul?na?onal
F i n a n c i a l I n s ? t u ? o n s , i n t e r n a ? o n a l
commodity markets, mul?lateral and bilateral
agencies, and cultural ins?tu?ons are
nega?vely impac?ng peripheral socie?es
economies.
•  Thus, cause of underdevelopment is the
dependency on industrialized countries and
developing countries are dependent countries

•  The economic and poli?cal interests of
i n d u s t r i a l i z e d c o u n t r i e s d e t e r m i n e
development processes of the periphery
countries
•  Walter Rodney(1970s ) once argued that,
the intervenJon of European powers in
African social, economic and poliJcal
processes throughout the 19th C created a
situaJon of dependency and led to the
impoverishment of African people .

● A c c o r d i n g t o G u n d e r F r a n k ,
underdevelopment was not an original stage,
but rather a created condi?on.

•  Gunder Frank in his thesis, points some
examples:
-‐  the Bri?sh de-‐industrializa?on of India,
-‐  the destruc?ve effects of the slave trade on
African socie?es and
-‐  the destruc?on of the Indian civiliza?ons in
central and South America
-‐  A c c o r d i n g t o G u n d e r F r a n k ,
underdevelopment was not an original
stage, but rather a created condiJon
Types of dependency
•  Economic Imbalances : Unequal trade,

investment, technology and debt

•  PoliHcal dependency based on marginaliza?on
and social domina?on

Types of dependence

•  Dependent development: Growth can happen
even with exploita?on by the core capitalists
but it is not self sustaining and does not lead
to independence.
•  ExploitaHon: Where core countries advances
at the costs of periphery

Policy opHon out of poverty and
dependency relaHonship

(i)  Total disengagement on dependent rela?ons
with capitalist systems.
(ii)  Establishment of import-‐subs?tu?on
industrialisa?on (ISI) through local investors.

(iii) Strategic par?cipa?on in the global capitalist
markets via trade, investment and
technology transfer
(iv) Promo?on of South-‐South coopera?on
(v) Promote regional coopera?on and
integra?on to widen markets
(vi) Development of na?onal economies via
developmental states to regulate trade,
investment and technology transfer and
sa?sfy domes?c demands and improve the
social welfare of majority.

(vii) Restructure society to struggle for socialism
and self-‐reliance.

(viii) Increasing efforts of third world countries
to revive their economies through local
ini?a?ve.(economic revolu?on)

CriHque of Dependency Theory:
•  Many cri?cism came from moderniza?on and ,
world-‐systems/new World order (Wallerstein
1970),
(i) Under-‐development has been also the product
of some wrong decisions and policies of several
underdeveloped countries:
Eg. its par?al industrializa?on and failure of the
under-‐developed countries to formulate and
follow properly conceived and coordinated
industrial policies.

(ii) The under-‐developed countries have
themselves failed to exploit fully their
resources, both material and manpower.
(iii) The theory has not been successful to

objec?vely analyze the nature, scope and
reasons of under-‐development as well as the
possible remedies for overcoming or
overthrowing the status of dependency
(iv) Some scholars are Advocacy of Radicalism
and others advocate of revoluHonary
Socialism.
Scholars varied in their insight. Some of them
are socialis?c na?onalists,(Furtado and
Sunkel) others are radicalists/orthodox
marxism (Dos Santos),(emmuel Wallerstein,
and others are revolu?onary socialists (A.G.
Frank)

(v) No clear definiHon of Dependency.
The dependency theorists fail to clearly and
categorically define and explain dependence
and underdevelopment. They offer no
acceptable standard for dis?nguishing
between dependent and non-‐dependent
countries.
(vi) Sustainability of investments.
Reliance on State controlled economy on
industries and support may not be sustainable
for very long, particularly in poorer countries
whereby by their budgets are largely rely from
foreign assistence.
(vii) Domestic opportunity costs
Higher prices caused by tariffs and restrictions
on imports require the people either to forgone
those goods or buy them at higher prices.

(viii) Fail to encompass different factors of
Under-‐development
Eg. When analyzing the nature of
underdevelopment of several Third World
countries, find that it differs from country to
country and con?nent to con?nent.
If the interna?onal expansion of the World
Capitalist System is the sources of
underdevelopment why nature of under-‐
development in La?n America has been
different from the underdevelopment of Asia
and Africa?

(ix) Failure of Socialist SoluHons and Systems:
•  The failure of the socialist system of
development in the previous Soviet Union and
the Eastern European states tends to
demonstrate that dependency cannot be
overthrown by a socialist revolu?on or
socialism.
Strengths and relevance
(i) The theory has clearly managed to illustrate
the unevenness of the distribution of wealth
between core and periphery which continue to
exist in a contemporary World economic
systems.
(ii) It provided alternative perspective to
development and act as a catalyst in the
development theory which is taking shape at
the present.

(iii) It has been successful in iden?fying and
describing the symptoms and evil effects of
under-‐development. It provides a set of
descrip?ve characteris?cs of dependence as
well as its counter factual.
GENERAL VISION OF DEPENDENCY
SCHOOL
•  The major factor preven?ng development

according to dependency school,
•  is the structural phenomenon of dependence
-‐whereby "the economy of certain countries is
condi?oned by the develp and
-‐expansion of another economy to which the
former is subjected."

•  U n d e r d e v e l o p m e n t i s t h e h i s t o r i c a l
consequence of dependence rela?onship:
☻poor countries are "underdeveloped"
because they have been colonized
☻development is impossible for a country
whose economy is dependent upon the
economy of another( core-‐ country).

☻The only way out of this structural stagna?on
that limits economic growth and socio-‐economic
development is:
A revoluJon that would bring an end of private
ownership of capital, and create a socialist state
that would foster central planning of the
economy.

Food for thought

Ques?on
Does Socialism policy ever exist
in Tanzania? If not, what is
wrong with the policy and its
pracJces?

World Systems Theory:
(By Wallenstein, Orthodox Marxism)

•  Put forward by Emmanuel Wallenstein in
1970s
•  The world-‐systems theory is also known as the
world-‐systems analysis is a mul?disciplinary,
macro-‐scale approach to world history and
social change.

•  The theory centered on world-‐systems as a
unit of analysis and not na?on states as put
forward by other scholars.
Also the theory centered on believe that the
world is divided into three parts, the core,
semi-‐periphery and periphery.
•  The core na?ons such as USA, Japan,
Germany, dominate the system at the
expense of the semi-‐peripheral and
peripheral. The peripheral are the poor and
weak na?ons of third world while the semi-‐
periphery consists of na?ons which have both
the characteris?cs of the core and peripheral
e.g. South Africa, Egypt, some countries in
La?n America and Middle east, etc.
Features of Core countries
•  They are industrialized
•  Have highly integrated economies
•  Manifest high level of produc?vity
•  Have skilled labour
•  Are democra?c
The Semi Periphery countries
•  The intermediary countries that can fall back
to the periphery or can leap to the core
•  Dynamic economies with rigid but nego?able
wages
•  Countries that use capitalism as their mode of
produc?on
The Periphery countries
•  Poli?cally undemocra?c
•  Ver?cally integrated with the core countries
•  Have peasantry economies
•  Wallerstein traces the rise of the world system
to 15th century, when European feudal
e c o n o my s u ff er e d a cri s i s a n d w a s
transformed into a capitalist one.
•  Further, Europe (the West) u?lized its
advantages and gained control over most of
the world economy and took over the task to
spread industrializa?on and capitalism
economy in the World scale, but indirectly
resulted to unequal development (Barfield,
1997).
•  T h e t h e o r y a i m e d t o r e p l a c e t h e
moderniza?on theory due to the weaknesses
of moderniza?on theory seemed to focus on
the naJon-‐state as the only unit of analysis,
with assump?on that there is only a single
path of evoluJonary development for all
countries and disregard of transna?onal
structures that constrain local and na?onal
development (Mar?nez-‐Vela, 2003).

AssumpHons of the theory

•  The world system consists of a single market
and its unit of analysis is the world market
•  There are series of state structures which exist
as subsets of the global market
•  The world is capitalis?c in nature, no
communal property ownership.
•  The world is in hierarchically structured with
the core countries at the center, semi-‐
periphery in the middle and periphery
countries at the booom who depend each
other.
•  In economic perspecHves, this rela?onship
e x h i b i t h u g e fl o w o f fi n a n c i a l a n d
technological penetra?on of the periphery
and semi-‐periphery countries by the core
capitalist countries.
•  This produces an unbalanced economic
structure within the peripheral socie?es, thus
leads to limita?ons upon self-‐ sustained
growth in the periphery
•  In social perspecHves Proponents of world-‐
systems analysis see the world stra?fica?on
into core, semi periphery and periphery the
same way Karl Marx viewed classes
(ownership versus non-‐ownership of the
means of produc?on)
•  The core na?ons primarily own and control
the major means of produc?on in the world
and perform the higher-‐level produc?on tasks.
•  The periphery na?ons own very liole of the

world's means of produc?on (even when they
are located in periphery na?ons) and provide
less-‐skilled labor
•  The core na?ons receive the greatest share of
surplus produc?on, and periphery na?ons
receive the least.
•  Furthermore, core na?ons are usually able to
purchase raw materials and other goods from
noncore na?ons at low prices, while
demanding higher prices for their exports to
noncore na?ons (Chirot, 1986).
How World looked as a system
•  The world-‐systems theory pay aoen?on that the
world is a system which is connected ,not in
segments, therefore it is a sign of basic unit of
social development.
•  World-‐system theory contend that the World is

divided into three major parts;-‐
(i)  Core countries, (ii) semi-‐periphery countries
and the (iii) periphery countries).
These global parts depend and feed each other
on development journey, but in that
interdependent rela?onship some countries are
12/18/21
benefi?ng much while others are exploited. 194
•  Core countries focus on higher skill and
capital-‐intensive in produc?on such as USA,
Europe, Japan and Germany who dominate
the system at the expense of the semi-‐
peripheral and peripheral.
(ii) The peripheral are the poor and weak
na?ons of third world economy while
(iii) Semi-‐periphery consists of na?ons which
have both the characteris?cs of the core and
peripheral eg South Africa, Egypt, China, etc.
12/18/21 195

Their soluHons to these problems:
•  1. Socialism:
•  The World System school provides the
socialis?c solu?on to the underdevelopment
of Africa, thus; socialism should be adopted
by all African states but, the ques?on is,
•  Is it true that socialism provides a becer
chance of development for African states?
•  Taking Tanzania since Independence we
adopted socialism, did we developed? Where
are we now in poliJcal economy of state?
2. Zonal economic integraHon:
e.g. ECOWAS, SADCC, PTA, COMESA, East
African States. But will this truly lead to real
development?
•  3. To cut off the exis?ng rela?onship with the
core/Powerful states,
is it possible to cut off relaJonship with the
core who we call them our development
partners?

CriHcs of the theory

(i) World system theory looks things globally
instead of individual state/country. It
generalizes the economy of the country into
Growth Na?onal Product (GNP) and ignores
individual income growth.
This inhibits social interac?on, because of
exis?ng social class among the people and
state to state.
12/18/21 198
(ii) In poliHcal ground, leaders from peripheral
countries under current globalized world
have been forced to implement policies
which are developed from core countries.
These policies does not favor the peripheral
countries and some ?me not working , as a
result there tremendous increase of poverty
among the people in peripheral countries
12/18/21 199
(iii) More over poliHcally core countries
influence poli?cal conflicts in peripheral
countries under the umbrella of globaliza?on.
Through conflicts the core and semi-‐
peripheral states in one side take an
advantage through provision of weapons.
Finally these peripheral countries remain in
economic tortured and big poverty among
their people prevail.
12/18/21 200
Conclusion and Way Forward

•  From the above discussion, it can be concluded
that the developing countries are suffering from
exploita?on done by core and semi-‐peripheral
countries. Moderniza?on theory has impacted
the developing countries nega?vely.
•  The imbalance of economic, poliHcal and social
power between the core, semi-‐peripheral and
peripheral countries is very high.
•  Therefore it is recommended that, these
require modifica?ons in the role of the state
to guarantee the func?oning of the economy
and the poli?cal expression of a society, away
from structural imbalance.
=================END==============
SimilariHes between modernizaHon and
dependency theories
was introduced to
²  Since Dependency theory
challenge ModernizaHons theory, many would
think that there were to be hardly any
similariHes between these two groups of
theories.
²  Perhaps many would think at first sight that

the only similarity is that both groups of
theories aRempt to explain why so many Third
World naHons remain poor.
dependency theories
²  In actual fact, much a s modernizaHon and
dependency theories are poliHcally polar
opposites (one liberal and the other radical),
they have a surprising amount in common.
1.  Both are essenHally evoluHonary, assuming

that countries progress in a linear fashion and
that it is capitalism which push them from one
stage to the next.
dependency theories

2. Both assume that change comes from the

top down: from the state they ignore the
ways in which people negoHate these
changes and, indeed, iniHate their own.

dependency theories

3. OpHon given from both ModernizaHon

theorists and dependency school mostly
radical change are olen hardly to
achieve.

Differences between ModernisaJon
and Dependency theories
1.  The unit of analysis f or ModernizaHon theory
is the individual naHon state whereas
Dependency theory focuses on the unequal

relaHonships between rich, powerful naHons
and poor, weak naHons within a global capitalist
economic system (in the case of World-‐Systems
Analysis, the unit of analysis is the whole world).

Differences between ModernisaJon

2. According to ModernizaHon theory, some
naHons are poor because of their tradiHonal
culture, values and abtudes hinder economic
development.

Therefore, these have to be changed to modern
ones.

Differences between ModernizaJon

o  Dependency theory argues that this is not so.
o  The Third World is poor because of unequal and

exploitaHve relaHons between powerful naHons
and weak naHons.

and Dependency theories Cont…

²  The economic difference between the core and
the periphery is increasing.
²  IniHally, the difference was small, but by

exploiHng the relaHonship through trade of
expensive manufactured goods and for cheap
primary products from the periphery, the core
certainly expands the gap.

and Dependency theories Cont…
²  In the world system theory, it is argued that
the core countries will conHnuously maintain
the 'uneven development’
²  Therefore it is recommended that, these

require modificaHons in the role of the state
to guarantee the funcHoning of the economy
and the poliHcal arHculaHon of a society
Relevance of these theories

²  All the above theories contribute to the
debate on development
²  But fail to provide a more criHcal

understanding of the development
processes in Africa.
²  More important they fail to provide

alternaHve development strategies to
address development problems in the LDCs
Local models of development
These are the models developed by Tanzanians
E.g. Nyerere development model.

According to him development is the funcHon of:
²  Availability of land

²  Availability of human resource
²  Appropriate policy
²  Sound leadership

Is sustainable development in Africa
in the 21st Possible?
²  As recent experiences in Africa indicate that it
is not easy to break the chains of dependency
and iniHate a process of self-‐reliant
²  The growing influence of the World Bank, the

IMF and mulHnaHonal companies indicate a
growing tendency towards increased
dependency
²  This is parHcularly in the economic arena.

²  Development efforts are presently channeled
towards economic growth
²  The introducHon of a free market economy,
trade LiberalizaHon and privaHzaHon of key
industries that is going on in many of the
African countries,
²  all point to the need for a new theoreHcal
perspecHve to examine the process of
underdevelopment/development in these
countries.
²  To understand the process of development it
must be dealt within a historical context.
²  The historical experience will condiHon the

stage in which a country finds itself and the
degree to which its development has
unfolded.
o  For example the different historical

background of Europe and Africa have shaped
the degree and direcHon of development in
these two regions
Summary of main issues and
conclusion
²  Neither the ModernizaHon nor the Marxist
theory sufficiently explains
underdevelopment and thus come up with
tentaHve suggesHons on eradicaHng it.
²  The ModernizaHon theorists successfully
depict the exisHng situaHon of
underdevelopment in developing countries.
²  But they do not give reasons for the
emergence of underdevelopment nor its
persistence.
conclusion
²  The Marxists aRempted to explain the causes of
underdevelopment but they do not come up with
substanHve suggesHons of eliminaHng it.
²  The Dependency theorists also contribute

significantly to the general debate of
underdevelopment
²  ParHcularly the external relaHons between

developing countries and the developed
countries.
conclusion
²  The most appropriate theory is one, which in a
realisHc and balanced way addresses both the
problems of inadequate internal economic
structures and the unfavorable and unfair
external economic relaHons.
²  According to the theoreHcal perspecHves

development is a mulHdimensional process
that involves:
ü Major changes in the social structures popular

abtudes, and naHonal insHtuHons

ClassificaHon of world
development

INTERNATIONAL ORGANIZATIONS COUNTRY
CLASSIFICATION SYSTEMS
²  Basically there are three systems used in
classifying development:
a) UNDP’s country classificaHon system
(launched 1990)
b) World bank classificaHon system
c) IMF classificaHon system
UNDP classificaHon system:
²  Is build upon the Human Development Index
(HDI)
²  HDI is a staHsHcal tool used to measure a

country's overall achievement in its social
and economic dimensions.
²  It measures countries achievements in

longevity, educaHon, and income.
UNDP classificaHon system…
²  Other aspects of development—such as
poliHcal freedom and personal security—were
also recognized as important, but the lack of
data prevented their inclusion into the HDI.
²  Longevity is measured by life expectancy at

birth.
²  For educaHon, a proxy is constructed by

combining measures of actual and expected
years of schooling.
UNDP classificaHon system…
²  During the 1990 HDR countries were divided
into low, medium, and high-‐human
development countries using threshold values
0.5 and 0.8. TZ had 0.3 HDI in the same year
²  Within the same HDR countries were

described as either industrial or developing
(at Hmes the terminology of north and
south was used as well).
The World Bank s Country
ClassificaHon Systems
For operaHonal and analyHcal purposes the

World Bank s main criterion for classifying
economies is gross naHonal income (GNI) per
capita (calculated using the World Bank WB)
Atlas method).

The World Bank s Country
ClassificaHon Systems

GNI is the total domesHc and foreign output
claimed by residents of a country, consisHng of
gross domesHc product (GDP) plus income
earned by diasporas, minus income earned in
the domesHc economy by nonresidents
•  GDP is an aggregate measure of producHon
equal to the sum of the gross values added of
all resident insHtuHonal units engaged in
producHon (plus any taxes, and minus any
subsidies, on products not included in the
value of their outputs).
•  Because GNI per capita changes over Hme,

the country composiHon of income groups
may change from one ediHon of World
Development Indicators to the next.
WB classified the countries into:
ü  Lower income economies
ü  Middle income
ü  Lower and upper middle income

economies
ü  Higher income economies

² Low-‐income economies are those with a GNI
per capita of $1,035 or less in 2012.

² Middle-‐income economies are those with a
GNI per capita of more than $1,035 but less
than $12,616.

² Lower middle-‐income and upper middle-‐
income economies are separated at a GNI
per capita of $4,085.
²  High-‐income economies are those with a
GNI per capita of $12,616 or more.
²  The 18 parHcipaHng member countries of

the euro area are presented as a
subgroup under high income economies.
²  The classificaHon systems in the World
Bank are uHlized both for operaHonal and
analyHcal purposes.
²  The operaHonal country classificaHon

system preceded the analyHcal
classificaHon system, which draws upon
the operaHonal system.
The IMF classificaHon
²  Similar to the World Bank, the classificaHon
systems in the Fund are used for both
operaHonal and analyHcal purposes.
OperaHonal classificaHon
²  In 1986, the Fund established the Structural
Adjustment Facility to make concessional
resources available by recycling resources lent
under the Trust Fund.
AnalyHcal classificaHons
²  Member countries of the IMF are obligated
to provide economic and financial data to
the Fund, which in turn is charged with
acHng as a center for the collecHon and
exchange for informaHon.
²  The first classificaHon system divided
countries into:
(1) industrial countries,
(2) other high-‐income countries, and
(3) less-‐developed countries
===================END=================

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THE

UNIVERSITY OF DODOMA

v Increasing of foreign investments into

v High level of technology in a country

v Increasing income among the household

² Availability of human rights e.g. right to work,

² Lack of diseases and low mortality rate

² Thus Development is a mulH-­‐dimensional

² involving changes in structures, abtudes

² acceleraHon of economic growth,

i) Income (Income per capital & GDP, GNP);

² GNP-­‐ market value of all goods and

(Excluding the income earned by foreign

² Its relevance extended to communiHes and

² Graduates typically ﬁnd work

² Development studies arose as a to integrate

² Since 1960s, it has become an increasingly

ii. Understanding challenges of development of

iii. Understanding our road map to development

iv. Students of these subjects learn about topics

² We need to develop a clear understanding

² Development in the Third World Countries

² A theory can be said to be a statement or

² Thus provide room for new theories to

² For instance, civilizing mission of the

² It is a set of working assumpHons that guide

a) PoliHcal economic models

b) ModernizaHon and

c) Dependency theories

² The founder of this theory was Karl Marx, a

² This was the Hme where mass poverty

² Those who owned and controlled the

o They worked 12 hours a day at the

² The owners of the means of producHon

² So Marx wanted to study what contributed to

² Classes are authority relaHonships

² A class deﬁnes groups of

² Classes are naturally antagonisHc by

² PoliHcal organizaHon and power is

² Structural change is a consequence of

² Struggle over equal distribuHon of the

² A socialist society will be achieved

² Marx held that a revoluHonary

² Marxist theory strongly suggested that

² He further believed that, in order for the

(ii) Class conﬂict:

² Therefore to understand the process

² The instruments of labour were crude

² As people struggled on technological

² Its where now classes emerged, two

² Serfs were largely exploited by land lords in

² The major means of producHon were

² The bourgeoisie paid proletariats a liRle wage

² Capitalism led to the emergence of

² Human labour also became a commodity.

² Private ownership of means of producHon

² The working class (proletariats) took over

v  Increasing of foreign investments into

v  High level of technology in a country

v  Increasing income among the household

²  Availability of human rights e.g. right to work,

²  Lack of diseases and low mortality rate

²  Thus Development is a mulH-‐dimensional

²  involving changes in structures, abtudes

²  acceleraHon of economic growth,

i)  Income (Income per capital & GDP, GNP);

²  GNP-‐ market value of all goods and

²  Its relevance extended to communiHes and

²  Graduates typically ﬁnd work

²  Development studies arose as a to integrate

²  Since 1960s, it has become an increasingly

ii.  Understanding challenges of development of

iii.  Understanding our road map to development

iv.  Students of these subjects learn about topics

²  We need to develop a clear understanding

²  Development in the Third World Countries

²  A theory can be said to be a statement or

²  Thus provide room for new theories to

²  For instance, civilizing mission of the

²  It is a set of working assumpHons that guide

a)  PoliHcal economic models

b)  ModernizaHon and

c)  Dependency theories

²  The founder of this theory was Karl Marx, a

²  This was the Hme where mass poverty

²  Those who owned and controlled the

o  They worked 12 hours a day at the

²  The owners of the means of producHon

²  So Marx wanted to study what contributed to

²  Classes are authority relaHonships

²  A class deﬁnes groups of

²  Classes are naturally antagonisHc by

²  PoliHcal organizaHon and power is

²  Structural change is a consequence of

²  Struggle over equal distribuHon of the

²  A socialist society will be achieved

²  Marx held that a revoluHonary

²  Marxist theory strongly suggested that

²  He further believed that, in order for the

²  Therefore to understand the process

²  The instruments of labour were crude

²  As people struggled on technological

²  Its where now classes emerged, two

²  Serfs were largely exploited by land lords in

²  The major means of producHon were

²  The bourgeoisie paid proletariats a liRle wage

²  Capitalism led to the emergence of

²  Human labour also became a commodity.

²  Private ownership of means of producHon

²  The working class (proletariats) took over

²  No exploitaHon, all people work according to

²  There was no exploitaHon of man by man.

²  The level of investments and producHon

²  Also concentraHng too liRle on what

²  They are also criHcized for being too

²  Those who put forward this argument

²  Bourgeoisie criHcizes Marx that his

²  That the society can never develop

²  Marx believed on working class as an

²  how could socialism and communalism

²  Marxist theory remain as dominant

²  Also the conﬂicHng social classes are

²  Marxist theory remains signiﬁcant because of

²  Also to highlight how this kind of

²  The Marxist theory is a revoluHonary

²  A change for the beRer; away from

²  Changes for emancipaHon.

²  In the 20th century a variety of neo-‐Marxist

²  Marxist approaches remained inﬂuenHal ways

²  Also understanding class diﬀerences remain

²  The Most important is, Marx ideology of class

(4)  What contributes to these diﬀerences?

²  This was following the path that the Western

•  Each stage of human development should be

•  According to Rostow, development passes in

²  Low producHvity because of poor methods

²  High mortality rate e.g. especially of infants