Advantage Of World System Theory

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World’s System Theory posits that there are unequal political and economic relationships between countries in which certain industrialized nations and their global corporations dominate the core of the world’s economic system. According to this theory, there is a rigid level of hierarchy i.e. with core/ center countries as dominant and capitalist in nature characterized by a superior level of industrialization and urbanization followed by periphery countries who are dependent on core countries for capital and are generally less industrialized and urbanized (Lecture 6/13/16). Core countries like U.S., Japan etc., are capital intensive, have higher wages thus have a higher standard of living, are generally very high-tech, and have lower amounts of labor exploitation and coercion. Peripheral countries, for instance, low income countries in Africa and South America are usually agrarian, have low literacy rates and are not very technologically advanced. World System’s Theory suggests that core countries extract cheap labor, resources and other raw materials at low cost from periphery countries and export them back to the rest of the world as refined goods at a higher price, and hence, leads to an influx of money into the center countries (Lecture 6/13/16). Considering the examples stated above, World System’s Theory is highly plausible in modern world history since it is causing a steamroller effect around the world by turning every society into a capitalist one and,

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