Social & Economic Geography of the Third World 25/07/06 Theories of Development: Historical...

Social & Economic Geography of the Third World

25/07/06

Theories of Development: Historical Perspective; Colonialism

What does this map show?

It shows the total number of shipping containers being loaded

and unloaded worldwide.

Of the 10 largest shipping container ports in the world : 7 are in China and 9 are in Asia. Only one is in Europe.

U.S. Trade in billions and percent by nation

Historical Context

Post WWII– Emerging of new fields of development in late

1940s, 1950s– the Great Depression and the monetary devaluation – World was divided into two political camps

(cold war: communism vs capitalism (1947-1991, iron curtain)

– US was dominant economically/politically

Post WWII World

Theories and Strategies

• Bretton Woods Conference- representative of the countries of the world – main concern was international economic development and matters of international money and finance vital for peace and prosperity – the creation of a favourable international trading environment.- Marshall Plan – aimed at the reconstruction of the developed world.- Formation of the International Monetary Fund (IMF) & World Bank- Consolidation of the Soviet block which did not join the economic order prescribed at Bretton Woods

Decolonisation

– Fight for independence and decolonization of many countries

– Post WWII struggle to recover followed by many colonies gaining their independence

– Period of war reparation as major powers concentrated on their own recovery

– Recognition of the need for a holistic approach for recovery and global economic development.

Decolonisation

• Newly emerging independent countries, much concern on;- protection of independence- economic development- lack of resources- low standard of living - look up to the former coloniser for assistance in development- struggle under great pressure for development and improvement of living standard.

Colonial World

Development Thinking• Development strategies - to stimulate change

through various agendas and different ideologies.

• Development thinking characterized by evolutionary rather than revolutionary change.

• Four approaches to development thinking Classical - traditional approach

Historical – empirical approachRadical – political economy – dependence approachAlternative & bottom up approach

Classical-Traditional Approaches

Early views from the developed world before 1914:

Eco. Growth = Growth of world trade post 1945: liberating world trade = growth & dev.• Developing World – Dualistic Structure• Fundamental Dualism:

backward, barbarian, traditional, indigenous and underdeveloped VS modern, developed & western.

• The West was willing to assist the developing world to modernize

Polarization

• Growth Poles – early stages of development where investment concentrates on a particular sector of the economy (ie. Mining), creating demand for other sectors (related manufacturing)

• ‘Chain of Disequilibria will lead to growth’• Trickle Down Effect on the backward regions

without government intervention – letting the market grow.

• Urban based industrial growth• Later referred to as Polarization Reverse.

Modernization

• Diffusion of modernity- diffusion downwards- hierarchical diffusion- contagious diffusion

• The unequal, uneven growth, modernization, urban industrialization and diffusion of innovations, hierarchical patterns and growth poles – elements of the top-down paradigm of development: TRICKLE DOWN EFFECTS

Diffusion of Modernization

Diffusion of ideas, products, technology, culture, money and wealth, as well as individual companies and branch plant companies.

They all spread but HOW they spread can happen in different ways OR not at all if barriers are set up.

Development Theory

• Rostow (1960s) five stages of development offering a chance for all countries to develop.

• Stages: traditional society, pre-condition to take off, take off, drive to maturity, mass production.

• Based on economic development, manufacturing and consumption

• Largest barrier to development in low-income nations was traditional cultural values, particularly fatalistic beliefs

Critiques of Rostow’s Theory

• Developing countries have in fact not been seen to pass through these stages.

• The stages fail to recognize the larger geographic context within which developing countries find themselves. (such as location, culture, religion, traditions, resources available, access to markets etc)

• With a change from traditional ways of thinking, acting, and doing, a country would develop

Modernization Theory

• Societies must adopt modern social institutions to develop.

• Modern institutions are based on:– Differentiated, specialized professions

• (instead of jacks-of-all-trades)– Impersonal rules (e.g. bureaucracy)

• (rather than personalized relationships)– Scientific laws and rational logic

• (rather than religion or “superstition”)– Formal organizations

• (rather than informal relationships)

Development and Modernization Theories

• Consensual goals for a “modern” nation; a modern nation is an industrial nation

• National dev’t is linear, with a common path through stages

• National dev’t requires nation building (political & economic unification; reduction in cultural variability)

• State has leading role in planning or fostering market forces

• The North can help the South, especially in meeting capital & technical skill shortages