MOSHI UNIVERSITY COLLEGE OF CO-OPERATIVE AND BUSINESS STUDIES

(MUCCoBS)

FACULTY OF COOPERATIVE AND COMMUNITY DEVELOPMENT STUDIES

PROGRAMME : MASTER OF ARTS IN COOPERATIVE AND

COMMUNITY DEVELOPMENT

COURSE : CONTEMPORARY CHALLENGES TO

DEVELOPMENT

COURSE ANTE : CDM 657

YEAR OF STUDY : 2012/2013

CANDIDATE : ERICK HUMPHREY KIMAMBO

REGISTRATION NUMBER : MA-CCD/HD/106/12

TASK : WRITING TERM PAPER

COURSE INSTRUCTORS : KIBWANA (MR.) AND KIMARIO (DR.)

SUBMISSION DATE : 7TH FEBRUARY2013

Contents

Contents....................................................................................................................................................... ii

1.0 BACKGROUND INFORMATION............................................................................................- 1 -

2.0 THEORETICAL UNDERPINNING...........................................................................................- 3 -

2.1 Economic development...........................................................................................................- 3 -

2.2 Human development................................................................................................................- 3 -

2.3 Political Development.............................................................................................................- 3 -

2.4 Social Development.................................................................................................................- 4 -

2.5 Development indicators...........................................................................................................- 5 -

3.0 THEORIES..................................................................................................................................- 5 -

3.1 Marxist theories.......................................................................................................................- 5 -

3.2 Orthodox theories....................................................................................................................- 6 -

3.3 Dependence theories................................................................................................................- 6 -

4.0 METHODOLOGY OF DATA COLLECTION..........................................................................- 7 -

5.0 FINDINGS AND DISCUSSION.................................................................................................- 7 -

5.1 SOCIAL DEVELOPMENT....................................................................................................- 7 -

5.2 ECONOMIC DEVELOPMENT..............................................................................................- 8 -

5.3 POLITICAL DEVELOPMENT..............................................................................................- 8 -

5.4 HUMAN DEVELOPMENT....................................................................................................- 9 -

5.4.1 Public Expenditures.........................................................................................................- 9 -

5.4.2 Donor Resources..............................................................................................................- 9 -

5.4.3 The Formal Education Sector..........................................................................................- 9 -

5.4.4 Vocational Education and Training.................................................................................- 9 -

6.0 CONCLUSION AND WAY FORWARD.................................................................................- 10 -

REFERENCE........................................................................................................................................ - 11 -

Assessing Tanzania’s performance in addressing the four major aspects of development:

Identifying the relevant indicators for each aspect

By Erick Humphrey kimambo

Moshi University College of Cooperative and Business Studies (A Constitute college of

Sokoine University of Agriculture), Department of Cooperative Development and

Management P. O. BOX 474 Moshi Kilimanjaro-Tanzania.

1.0 BACKGROUND INFORMATION

An important feature of development is when goods and services enter into markets. For

example, we know that people have always eaten, but as they have meals away from home and

pay for restaurant services, a restaurant sector grows up. This sector, in turn, is measured as part

of the gross domestic product (GDP, the total of all goods and services produced within a

country). The process of development includes this kind of specialization, also known as the

“division of labor.” As people take on specialized economic functions, the scale of production

increases and the output of each person rise. This type of organizational change is as important a

part of development and technological progress as mechanical invention or scientific discovery.

Another key feature of development is poverty. Entire economies can be poor, or they can grow

but still leave large sections of their people in poverty. In the second half of the 20th century,

economists became acutely aware of the difficulties of a large number of countries in the

developing world, most of them former colonies of the industrialized nations. Development

economics became more or less synonymous with the study of how these countries could

progress out of poverty. Likewise, economic historians, who had long examined how the

industrialized countries achieved their material advances, appreciated that these countries too

were once “underdeveloped.” As a result, much of economic history became the study of

economic development.

The countries of the Third World, containing some two-thirds of the world's population, are

located in Latin America, Africa, and Asia. Politically, they are generally non-aligned. Some are

moving out of their previous situation and may soon join the ranks of industrialized countries.

Others, with economies considered intrinsically incapable of development, are at times lumped

together as forming a “fourth world.”

Political instability caused by precarious economic situations is widespread in the Third World.

Democracy in the Western meaning of the term is almost completely absent. Both the Western

and the former Soviet blocs have tried to entice the Third World to follow their own examples,

but the countries concerned generally prefer to create their own institutions based on indigenous

traditions, needs, and aspirations; most choose pragmatism over ideology. It is debated whether

China is part of the Third World, with which it once identified itself on racial, cultural, and

developmental grounds, proclaiming that the exploited countries should unite against imperialist

forces, both Western and Soviet. After the death of Mao Zedong (Mao Tse-tung) in 1976,

however, the Chinese attitude moderated.

The Third World displays little homogeneity; it is divided by race, religion, culture, and

geography, as well as frequently opposite interests. It generally sees world politics in terms of a

global struggle between rich and poor countries the industrialized North against the backward

South. Some nations, such as those of the Organization of Petroleum Exporting Countries

(OPEC), have found ways to assert their economic importance as sources of raw materials

indispensable to advanced societies, and others may follow suit. Widely advocated within the

Third World is a so-called New Economic Order, which through a combination of aid and trade

agreements would transfer wealth from the developed to the developing nations

In Tanzania the countries development is said to rise in approximately 6% per year yet it is

evident that the lives of the Tanzanians have not changed. The social development of the

Tanzanians has steal been low since the people do not have voice. Economically the Tanzanian

economy is said to rise yet it has not rise in the lives of the people.

To assess the social, economic, human and political development in Tanzania; and to determine

the indicators of development

2.0 THEORETICAL UNDERPINNING

2.1 Economic development

Generally refers to the sustained, concerted actions of policymaker and communities that

promote the standard of living and economic health of a specific area. Economic development

can also be referred to as the quantitative and qualitative changes in the economy. Such actions

can involve multiple areas including development of human capital, critical infrastructure,

regional competitiveness, environmental sustainability, social inclusion, health, safety, literacy,

and other initiatives.

2.2 Human development

Is a concept within the scope of the study of the human condition, specifically international

development, relating to international and economic development? This concept of a broader

human development was first laid out by Amartya Sen, a 1998 Nobel laureate, and expanded

upon by Martha Nussbaum, Sabina Alkire, Ingrid Robeyns, and others. Human development

encompasses more than just the rise or fall of national incomes. Development is thus about

expanding the choices people have, to lead lives that they value, and improving the human

condition so that people have the chance to lead full lives. Thus, human development is about

much more than economic growth, which is only a means of enlarging people’s choices.

Fundamental to enlarging these choices is building human capabilitiesthe range of things that

people can do or be in life. Capabilities are "the substantive freedoms [a person] enjoys to lead

the kind of life [they have] reason to value." Human development disperses the concentration of

the distribution of goods and services that underprivileged people need and center its ideas on

human decisions.

2.3 Political Development

Can be traced to 1950's when a large number of American political scientists were attempting to

study the political dynamics of the newly emerging countries of Asia, Africa and Latin America.

Huge amounts of statistical and quantitative data on the social, political, economic and

demographic aspects of these nations were collected to analyze their attitudes, values and

behavior patterns. However, the term is still in the process of evolution and there is hardly any

unanimity among the scholars on the constituent of political development. Such inconsistency is

partly on account of inter-disciplinary focus and partly a manifestation of ethnocentric bases.

2.4 Social Development

Is a broad term that describes actions that are taken to build positive outcomes and prevent

negative social outcomes that can adversely affect a community. These outcomes include issues

ranging from crime, poverty, gang activity, school disengagement, teen pregnancy, addictions

and substance abuse, obesity, and poor health. The aim of social development is to improve the

availability of support systems in the community that prevent negative outcomes before they

occur or buffer (lessen) their impact. For example, rather than reacting to a crime after it has

already happened, measures are taken within the community that prevent crime from ever

occurring.

The objectives of social development can be summarized as ensuring poverty eradication, full

employment, and social integration. With these three main pillars, social development evolves to

include the following 10 commitments of the Social Summit:

1. Creating an economic, political, social, cultural and legal environment to enable social

development

2. Eradicating poverty in the world

3. Promoting full employment

4. Promoting social integration based on protection of human rights, non-discrimination,

and participation of all people

5. Equity between women and men

6. Universal education, health; respecting and promoting our common and particular

cultures; preserving the essential bases of people-centered sustainable development; and

contributing to the full development of human resources to social development. The

purpose of these activities is to eradicate poverty, promote full and productive

employment and foster social integration

7. Accelerating the economic, social and human resource development of Africa and the

least developed countries

8. Ensure structural adjustment programme to include social development goals, in

particular eradicating poverty, promoting full employment, and enhancing social

integration

9. Increase resources allocated to social development

10. Improved framework for international, regional and sub-regional cooperation for social

development

(United Nations 1995, pp. 8- 21)

2.5 Development indicatorsAre parameters (measures) that can be used to assess whether there is development in a given

area at a particular time and whether this development is increasing, stagnant or decreasing over

time. Such indicators include macro-economic variables like Gross Domestic Product (GDP);

Gross National Product (GNP); inflation rate; levels of investment and national debt. They also

include birth and death rates (measured by infant and maternal mortality rates); morbidity

(measured by specific causes of deaths); education levels attained (measured by literacy and

numeracy rates and life skills in a population); housing (measured by the material used for

roofing); availability of and accessibility to social services and amenities like hospitals, health

facilities, safe and clean drinking water, school etc (measured by the distance from human

settlements to the place where these are found); availability of and accessibility to infrastructure

– both hard (traditional) like roads, railways, ports, airports, harbors and telecommunication and

soft (modern) like Internet; and life expectancy (measured by number of years that one expects

to live from time of birth). Applicability and interpretation of the indicators will differ from place

to place and time to time. (Ngowi, 2007)

3.0 THEORIES

3.1 Marxist theories

The German political economist and philosopher Karl Marx wrote little that touched directly on

development, but he was certainly an influence on thinking about it—although only through

some of what he wrote. Marx held that capitalism would help development by breaking down the

obstructive pre-capitalist “modes of production,” which he believed prevailed in the colonies.

This was part of his stage theory, in which economies inevitably progressed from capitalism to

socialism to communism. More influential in development thinking were his views on class

relations and exploitation, particularly the extraction of surplus value, or profits, from the labor

of workers and the importance of this surplus value to the accumulation of capital.

3.2 Orthodox theories

Quite opposed to these ideas were the standard, or orthodox, views of most Western economists.

They believed free, unregulated markets played a mainly positive role in development and

argued that developing countries’ policies of interfering with free markets were largely self-

defeating. In particular, they argued that attempts to hold agricultural prices down and force

savings out of farmers (surplus extraction) were destructive of agricultural growth. Orthodox

economists pointed to economic history to show that agricultural growth was important for

industrialization.

Furthermore they argued that governments in the developing countries were often incapable of

the tasks they took on. In their view foreign investment helped growth and the transfer of

technology, and foreign aid supplied the additional savings and foreign exchange that poor

countries could not generate themselves.

3.3 Dependence theories

There were also less Marxist but still radical views known as “dependency” theories, which were

particularly prominent in Latin America. Dependency theorists stressed how markets favored

industrialized countries, which received raw materials cheaply from the developing world. In

addition, industrialized countries owned the technology that developing countries needed and

had the economic power to admit exports from developing countries only when it suited them.

Such views gave a strong bias in the developing world to a belief in the virtues of autonomous

(self-sufficient) development. According to the dependency theorists, developing countries could

only grow behind protective trade barriers that kept out exports from the industrialized world.

Dependency theorists also believed that investment by Western multinational corporations would

mainly harm developing countries and so regarded such investment with suspicion. Since free

markets alone could not generate adequate growth and structural change, governments had to

have a major hand in planning and promoting the economy, including public sector enterprises to

undertake the investments that the market would not provide, for some dependency thinkers even

foreign aid was suspect, seen by some as a “neocolonial” instrument to preserve the dominance

of the industrial countries and make the world safe for capitalism.

4.0 EMPIRICAL REVIEWThe author makes a critical examination of the contribution of political leadership in the

economic development and change of Tanzania since her 1961 political independence from

Britain. He divides the country’s economic development and change into three more or less

discrete time epochs. The first epoch is the period from independence to 1967; the second is

from the 1967 Arusha Declaration to the mid-1980s and the third is from the mid-1980s reforms

to the present time (2007). The outstanding general economic developments and change in each

epoch are identified. A critical analysis on the extent to which the developments and change in

each epoch can be attributed to the political leadership of the time or even of the past is made. It

is found in the work that, the economic developments and change in Tanzania can be highly

attributed to political leadership. Interestingly and contrary to the orthodox understanding and

narrow scope of some analyses, both the political leadership of the day and that of the past are

found to be responsible for economic developments and change in a particular epoch.

Interestingly also, it is found that political leadership outside Tanzania, especially among its

neighbors, trade partners and the donor community, has far-reaching impacts in the country’s

economic development and change. It is concluded in the paper that political leadership is an

important factor in a country’s development and change. It is recommended that policy and

decision makers should facilitate a process where adequate political leadership for good

development and change is established, improved and maintained. Recommendations for further

studies include the need to review this work over time and conduct similar ones in other

countries for the purpose of, inter-alia, comparisons and learning lessons.

5.0 METHODOLOGY OF DATA COLLECTION

The information collected was qualitative data. The term paper was conducted by reviewing

different documents and reports on social, economic, political and human development. This

went hand in hand with review of the different plans on the development of the country. The

method used is documentary review. The method used was chosen because the time was limited

to go and choose a case study areas and conduct a formal search of information; thus using

documentary review.

6.0 FINDINGS AND DISCUSSION

Through the collapse of social and politicalsystems in many poor countries can beattributed to

ethnic tensions, politicalrivalries and egregious colonial legacies,the fundamental cause in most

instances hasbeen the failure to provide the majority ofcitizens with even a modicum of hope

thattheir lives will improve, that intense andpervasive poverty can be lifted, thatopportunities to

learn bankable skills canand will be made available for childreneager for a better tomorrow, and

thatgovernment is a just and honest steward.Building human capacity, therefore, shouldbe seen

as the foundation of nation’s future.

5.1 SOCIAL DEVELOPMENT

Despite a rapidly growing population, Tanzania is exactly 2.5 times larger in size than Japan but,

with a population of around 33 million in 2000, has only 26% of Japan’s population. Tanzania

has more than three times as much cropland per capita as Japan, a higher percentage of the

country is arable and there are few earthquakes and no winters. Tanzania’s birth rate is projected

to decline from 3.1% from 1975-1997 to 2.3% from 1997-2015 so by that date the population

will have reached about 47 million compared to 126 million in Japan today.(UNDP, 2000)

5.2 ECONOMIC DEVELOPMENT

The economic developments and change in Tanzania can be highly attributed to political

leadership. Interestingly and contrary to the orthodox understanding and narrow scope of some

analyses, both the political leadership of the day and that of the past are found to be responsible

for economic developments and change in a particular epoch. Interestingly also, it is found that

political leadership outside.

Countries can progress and reduce the gap between them and more developed countries through

more rapid economic growth and HRD. As noted in the Tanzania Social Sector Review, a six

year old Tanzanian child today could, upon retirement at age 56, live in an upper middle income

country with a per capita GDP of US$5,891 if growth could be sustained at 7% per annum.

Tanzania, especially among its neighbors, trade partners and the donor community, has far-

reaching impacts in the country’s economic development and change. After independence,

Tanzania concentrated on building an independent nation. The economy continued to be mainly

within the hands of the British colonial masters and Asians. Industries, plantations, mines and

relatively large commercial activities continued to be under the British and Asians. The economy

continued to be basically a market oriented one with private sector capitalism dominating.

According to Kaiser (1996), after Tanganyika’s independence, efforts were made to implement a

programme which depended on foreign investment to support massive, capital-intensive

industrialization and agricultural development projects.

5.3 POLITICAL DEVELOPMENT

The role of the political leadership factor in economic development and change in countries

should receive the attention it deserves in the policy and decision making process. Understanding

that political decision within a country are likely to impact other countries’ economic

development and change both in the long and short run is essential. The need to cooperate and

coordinate relevant political decisions among countries cannot be overemphasized. (Ngowi,

2007)

Tanzania has experienced three major epochs in its economic development and change process

from the 1961 independence to 2007. Political leadership has been the key factor in creation of

the epochs. It has been the main defining factor of the nature and paths of economic development

and change in each of the epochs. Contrary to the generally held and simplified views, it is more

than the political leadership and decisions in Tanzania that have impacted and influenced

economic development and change in the country. In this work, some political leadership and

decisions outside and inside Tanzania have been identified as among the key factors that impact

on the economic development and change in the country. It is recognized however that there are

other factors than political leadership that have impacted, are impacting and will be impacting on

the economic development and change in Tanzania, as is the case for many other countries.

5.4 HUMAN DEVELOPMENT

Tanzania is seeking to implement its National Poverty Eradication Strategy. Shifts in public

spending reflect these efforts and key donors have made the fight against poverty and for human

development the keystone of their development efforts. (UNDP, 2000)

5.4.1 Public Expenditures

Social sector achievements of the 1960s and 1970s were seriously eroded because recurrent costs

proved to be unsustainable. This remains a major risk today, due to the lack of integration of the

development and recurrent budgets. Sector budgets are too often drawn up without reference to

resource limitations, ministries do not know if committed funds will actually be disbursed,

diversions of allocated resources are frequent and the majority of audits conducted on sector

ministries and district governments receive adverse and qualified rulings by auditors.

5.4.2 Donor Resources

Donors have developed long-term partnerships with government and are working to sustain the

new financial management tools and promote their internalization. While there are long standing

differences between government and donors regarding aid administration and co-ordination, new

venues for dialogue and debt relief have improved the relationship.

5.4.3 The Formal Education Sector

The sector has produced numerous policy statements, master plans, strategies, action plans and

studies. Basic statistics on enrolments, teachers, physical infrastructure and costs are available

and an ambitious school mapping programme funded by UNICEF is providing the kind of micro-

data that is needed for effective planning and resource allocation at the local level.

5.4.4 Vocational Education and Training

Vocational education has enormouspotential in Tanzania and the need isoverwhelming. The

Vocational Educationand Training Authority (VETA), thenational body responsible for the

sector, haslost much of the past three years due toserious governance problems and illadvised

funding priorities. VETA has been unable so far to become the demand-driven service provider

that is expected of it. The training levy paid by private employers is the main source of VETA’s

budget but, as has been recognized, the returns have been low. Unless the organizational

performance of VETA can be altered and its budget priorities transformed, the government

should consider exploring alternatives to maintaining VETA’s monopoly on access to the

training levy funds and perhaps examine the feasibility of allowing other training providers to

compete directly with VETA for these funds.

7.0 CONCLUSION AND WAY FORWARD

Conclusion

The social, economic, human, and political development in Tanzania can be said to have

improved in the context of national level and not in the individual level. Not all people in

Tanzania can afford three or more meals, some leave in grass thatched houses while the

affordability of education, health services and security is so said to be an enigma. The economic

position of the individuals is a situation since; they cannot cover at least all of their demands due

to unemployment, inflation and even lower wages and salaries, hence poverty.

Way forward

People’s living standard to improve there is a need for the government to increase the number of

facilities that will ensure the social, economic, human and political development such as

colleges, hospitals, and transportation facilities to create easy movement thus people could be

ready to invest even in the remote of areas.

The country should focus more on industrialization for its forward and backward linkages rather

than agriculture which results to slow development. This will assist the countries like Tanzania

to develop and become self reliant; the contracts for these ventures should be taken into

consideration that the government and the country to have more shares so as to carry the

demands of the country on development before the investors.

REFERENCE

Kaiser, P. J. (1996). Structural Adjustment and the Fragile Nation: The Demise of Social Unity

in Tanzania. The Journal of Modern African Studies; Vol. 34, No. 2

Microsoft ® Encarta ® 2009; © 1993-2008 Microsoft Corporation. All rights reserved.

Ngowi (2007), Political and Managerial Leadership for Change and Development in Africa

UNDP, (2000); Tanzania Human Development Report: The State of Progress in HumanResource

Development.

United Nations (1995, April) “Copenhagen Declaration on Social Development and Programme

of Action of the World Summit for Social Development”, Report of the World Summit for Social

Development, 6-12 March 1995, Copenhagen