GROUP 3

TOPICS:
Theories of global stratification
Modernization theory
Walt Rostow’s 4 (four) stages of
modernization
Dependency Theory
Structuralist Approach
Modern World-System
INDUSTRIAL
REVOLUTION
 INDUSTRIAL REVOLUTION
The second historical event is the INDUSTRIAL REVOLUTION in the 18th-
19th centuries. This is when new technologies, like steam power and
mechanization, allowed countries to replace human labor with machines
and increase productivity. The INDUSTRIAL REVOLUTION at first, only
benefitted the wealthy in Western Countries. Industrial technology was
very productive that it gradually began to improve standards of living for
everyone. Countries that industrialized in the 18th-19th centuries saw
massive improvements in their standard of living and countries that did not
industrialize lag behind.
 INDUSTRIAL REVOLUTION
Modernization theory rests on the idea that affluence could be attained
by anyone. But why did the Industrialize Revolution not take hold
everywhere? Modernization Theory argues that the tension between
tradition and technological change is the biggest barrier to growth. A
society that is more steeped in family systems and traditions may be less
willing to adopt new technologies and the new social system that often
accompany them.
COLUMBIAN
EXCHANGE
 COLUMBIAN EXCHANGE
The first event is known as the COLUMBIAN EXCHANGE. This refers to the spread of
goods, technology, education, and diseases between the Americas and Europe after
Christopher Columbus’s so-called “discovery of the Americas.” This exchange worked
out well for the European countries. They gained agricultural staples, like potatoes and
tomatoes, which contributed to population growth and provided new opportunities for
trade, while also strengthening the power of the merchant class.

The COLUMBIAN EXCHANGE worked out much less well, however, for Native
Americans whose populations were ravaged by diseases brought from Europe. It is
estimated that in the 150 years following Columbus’ first trip, over 80% of the Native
American population died due to diseases such as smallpox and measles.
WALT ROSTOW’S
4 STAGES OF
MODERNIZATION
 TRADITIONAL SOCIETY
In this stage, societies are structured around small, local communities,
and production typically occurs within family settings.
 PRECONDITIONS FOR
TAKE-OFF
Certain conditions must be met for economic growth to begin. These
include improvements in infrastructure, education, and technology.
 TAKE-OFF
During this phase, a country experiences rapid economic growth, often
driven by specific sectors. Investment and innovation play a crucial role.
 DRIVE TO MATURITY
The economy continues to grow, diversifying across various sectors.
Institutions and infrastructure become more robust.
 DEPENDENCY THEORY
The Dependency Theory posits that global satisfaction is influenced by the
structural inequalities and dependencies between developed and
developing nations. In this theory, satisfaction is viewed as a result of
economic, political, and social relationships characterized by domination and
exploitation. Developed countries, often referred to as the "core," benefit
from the resources and labor of developing countries, or the "periphery,"
leading to disparities in wealth, power, and well-being. Therefore, global
satisfaction is contingent on addressing these unequal power dynamics and
promoting equitable development on a global scale.
THE STRUCTURALIST APPROACH
The STRUCTURALIST APPROACH, developed by Latin American
scientists, attributed Latin American underdevelopment to excessive
reliance on primary commodity exports. This led to fluctuating prices
and a decline in relative value. Prebitch, head of the UN's Economic
Commission for Latin America, influenced Latin American countries to
adopt strategies for autonomous development, such as diversifying
exports and reducing dependence on foreign manufacturers.
 THE MODERN WORLD-SYSTEM
This history of colonialism inspired American sociologist Immanuel Wallerstein’s
model of what he called the capitalist world economy. Wallerstein described
high-income nations as the “core” of the world economy. This core is the
manufacturing base of the planet where resources funnel in to become the
technology and wealth enjoyed by the Western world today. Low-income
countries, meanwhile, are what Wallerstein called the “periphery,” whose natural
resources and labor support the wealthier countries, first as colonies, and now by
working for multinational corporations under neocolonialism. Middle-income
countries, such as India or Brazil, are considered the semi-periphery due to their
closer ties to the global economic core.
CRITICS OF MODERNIZATION
THEORY
 CRITICS OF MODERNIZATION
THEORY
Critics of modernization theory argue that, in many ways, it is just a new name for the idea that
capitalism is the only way for a country to develop. These critics point out that even as technology
has improved throughout the world, a lot of countries have been left behind. They also argue that
modernization theory sweeps a lot of historical factors under the rug when it explains European and
North American progress. Countries like the United States and the United Kingdom industrialized from
a position of global strength during a period when there was no laws against slavery or concerns
about natural resource depletion. Some critics also point out that Rostow’s markers are inherently
Eurocentric, putting an emphasis on economic progress, even though that is not necessarily the only
standard to aspire by every nation. Afterall, economic progress often includes downsides, like the
environmental damage done by industrialization and the exploitation of cheap or free labor. Finally,
critics of modernization theory also see it as blaming the victim. In this view, the theory essentially
blames poor countries for not being willing to accept change, putting the fault on their cultural values
and traditions rather than acknowledging that outside forces might be holding back those countries.
This is where the second theory of global stratification comes in.
THANK YOU