Structuralism And Dependency Theory

2174 Words9 Pages
influence the dynamics of all countries in the process of modernisation and variations and deviations from the norm may occur. Rostow named the first stage of this model “The traditional stage”, which is the stage of the underdeveloped country’s unawareness of their ability to influence and change their environment and economic situation (Ibid., p. 295; Rostow, 1990, pp.4, 5). For example a country that relies on agriculture, as it is characteristic for this particular stage that most citizens are engaged in subsistence agriculture, but does not seize its opportunity to utilise their goods and low profit to trade and develop (ibid). The results of their production on the fields are solely used to sustain their household and not to create a…show more content…
14; Kingstone 2011, p. 32). The main differences between ‘structuralism’ and ‘dependency’ that caused the division, was that the structuralist school argues that one of the reason for underdevelopment is caused by the dependence of foreign manufactures and export of primary product (Ibid.). Therefore it further argues that by importing “substitution behind tariff walls”, one would reduce the dependency of the industrial countries (Ibid.; Kingstone 2011, p. 29). However, with the importation of substituting new forms of dependence will be created, so instead of reliance on importing finished goods, they needed imports of “capital equipment, intermediate product, raw materials and fuel”(Ibid., p.14). This acknowledgement made ECLA change from ‘structuralist’ to ‘dependency’ ideology, drawing on Prebisch’s vision of a world where there exist “a ‘core’ of dominant nations and a ‘periphery’ of dependent ones.” (Ibid., p. 15; Kingstone 2011, p. 32). Dependency theories argue for various and different causes of the (inter-)dependence, but most generally the economic factors play an important role, claiming that when the richer nations’ wealth increased it appeared to be at the expense of the poorer nations (Ibid.; Billet, 1993, p. 4). It entails a Marxist view of the world as it examines…show more content…
Due to the fact that this project is examining why the implementation of the CPA has not created development in Mozambique, its impacts on the European development and economy are only considered to a small amount. Additionally, we have chosen to examine Mozambique, as there exists a paradox of the country’s high GDP and the continuous poverty with a focus on the non-mutual benefits. An aspects that we have excluded from the research is the reasons behind migration and the fact that a high percentage of Mozambicans migrate to other countries as a consequence of poverty and unemployment, keeping the country underdeveloped. Another aspect that we have chosen to not examine further, is the corruption and if decision-makers in the relevant countries are corrupted and do not prioritise the wellbeing of their nation’s citizens, but instead seek personal gain through financial mismanagement. To focus this project on corruption in Mozambique, would require the availability of documents proving financial mismanagement which are hard

More about Structuralism And Dependency Theory

Open Document