Global Development

Global Development

1. TNC's

   • Dependency
     • See TNC's as a form of Neo-colonialism
       • This is because TNC's exploit chaep labour and working conditions
     • See TNC's as a form of cultural imperialism
     • Often position themselves in EPZ
       • This is because EPZ's have minimal protections for workers: no employee security, no minimum wage, no healthy and safety regulations
   • Non-Government organisations (NGO's)
     • Provide emergency aid
     • Work directly with people on the ground
     • Oxfam, Red Cross
     • Criticisms
       • corruption and malpractice
       • Reliant on money from public
         • This has led to manipulating the public
     • Encourage locals to subsistence farm
   • International Agencies
     • IMF & World bank
       • encourage free market economics
       • Offer loans to countries
         • IMF loans are conditional on:
           • Privatisation
           • Deregulation
           • Spending cuts
           • Focusing on exports
     • Criticisms
       • Hong
         • SAP's cause Environmental damage
         • Corruption
         • Conflict
       • Stiglitz
         • Many conditions put forward by IMF make it worse for developing countries
           • Privatising key assets
       • WTO criticised for failing to support fair trade
     • World Trade organisation
       • Sets the rules for international trade
   • Benefits
     • offering employment opportunities in more lucrative and secure formal sectors of the economy
     • promoting the values that modernization theorists say are essential for development.

2. Theories of development

   • Dependancy
     • Theorists
       • Frank
         • Satellite and Metropolis nations
         • The economic relationships that had been built up during the age of empire remained, with poor countries dependent on selling cash crops to their former rulers.
         • Chains of explotation
       • Hayter
         • Disagrees with anything put forward by modernisation theory
     • Evaluation
       • Lack of proposed solutions
       • Some former colonies have prospered and developed
         • Asian TIGER nations
       • Ignores poverty in communist countries
   • Modernisation
     • Theorists
       • Parsons
         • Cultural barriers to development
       • Rostow
         • Economic barriers to development
         • 5 stages to growth
     • Evaluation
       • Can be viewed as ethnocentric and takes west is best approach
       • Rostow's 5 stages gloss over the way the west developed and and important part, Slavery.
   • Neo-Liberal
     • Theorists
       • Friedman
         • Experiment in Chile which led to economic growth and capital investment
           • This led to eventual democratization of chile
             • This experiment became known as 'the miracle of Chile'
     • Evaluation
       • Miracle of Chile can be evaluated as it bought inflation under control however it was at the cost of military coup, a fascist dictatorship, thousands of political prisoners, many tortured, killed or “disappeared
       • TNC's have been known to bring explotation and environmental damage
   • World Systems Theory
     • Wallerstein
       • Core, Semi-Periphery, Periphery
         • Core exploits Periphery and Semi-Periphery
         • Zones best understood as economic relationships
     • Evaluation
       • world systems theory doesn’t really have a solution at all: it’s just a description

3. AID

   • Types of AID
     • Bilateral aid
     • Multilateral aid
     • Emergency aid
     • Military aid
     • Tied aid
   • Modernisation
     • Aid is an essential ingredient in development
     • Should be used in most appropriate way
     • Willmott and Young - stratified diffusion
       • modern, individualistic, aspiration values will “trickle down” to those in lower social strata
     • Criticism
       • Leonard makes a feminist criticism of the role of aid, arguing that it is distributed in a patriarchal way and imports patriarchal values
   • Dependency
     • Aid doesn't exist to benefit countries who receive but aim to help the donor
     • Hayter argues aid is a form of imperialism
     • Many Metropolis use aid as an incentive for siding with them during war
     • Many conditions on aid simply exist to support neo-liberal ideology
     • Criticism
       • Modernisation- argues IMF and World Bank are democratic
     • George
       • Debt boomerang
   • Neo-liberal
     • Aid interferes with free market trade
     • Societies become dependant on AID
     • Used by corrupt reigemes
     • People rely off kleptocratic governments
     • commercial loans over grants
     • favour conditions on aid, like SAPs
     • Criticisms
       • Sachs (2014) who argues that aid works, has saved countless lives, improved countless others, has helped the environment, and has driven economic growth and development
     • Argue Trade over AID
       • Produce goods to export
   • People centred
     • Argue aid should be specific to the individual who needs it
     • Should provide intermediate tech
     • Critical of mods and neo-libs ethnocentric approach

4. INDUSTRIALISATION, URBANISATION & EMPLOYMENT

   • Urbanisation
     • Modern norms and values
     • Employment opportunities
     • Social change
     • Access to services
     • Criticism
       • living in unofficial accommodation (for example in shanty towns and slums
       • working in the black market
       • housing is over-crowded and diseases spread rapidly
       • child workers and high levels of poverty and exploitation
   • Employment
     • Labour costs lower in LEDC's
     • TNC's attracted to low wages and flexible laws
     • Much employment is low paid work with very long hours
     • Child labour is also a big issue in developing countries
     • 100+ developing countries have developed Export Processing Zones (EPZs) where TNCs can operate with minimal or no regulations.
     • Criticism
       • TNC's can exploit LEDC workforce
   • Industrialisation
     • Development of an industry
     • Aids the process of modernisation
     • Rostow argue is can move traditional methods (agrarian economy) to more western means of production
     • Criticisms
       • Can cause environmental issues
       • Create monocultures
       • Species extinction
       • Some countries depend on tourism and especially eco-tourism

5. War & Conflict

   • Modernisation
     • War is an internal barrier to development
     • traditional religions, faith and tribal identity cause war
     • Symptom of traditional backwards values such as collectivism or tribalism
     • Fewer conflicts if countries develop
     • Frances Stewart (2002) argues that the underlying causes of conflict are economic more than ethnic or cultural
   • Dependancy
     • The West caused wars
     • MEDC's are often combatants in the war
     • Internal civil wars caused by western imperialism and capitlaism
     • Imperialists drew new boundaries and created nations that didn't exist previously
       • This caused conflicts between different tribes such as Rwandan genocide
   • Cause economic and environmental damage
   • Kaldor (2007) disease spreads rapidly in war zones and post-conflict situations, especially in refugee camps
   • Conflict, such as anti-government protests, can remove corrupt, kleptocratic regimes and bring in better, more democratic governments.

6. Health & Education

   • Modernisation
     • Through modernising countries can adopt better healthcare systems
     • Health could and should be a key feature of aid
     • Rostow, advocated that technological medical advances in the west should be transferred to developing countries
   • Neo-Liberals
     • Healthcare should come through trade rather than aid
   • Dependency
     • Navarro high tech healthcare isn't needed
       • Rather Basic healthcare to keep people alive
         • And doctors
       • Brain Drain
         • Doctors trained in LEDC's are attracted to MEDC's
     • Focus should be on eradicating diseases that have already been eradicated in MEDC's
     • European diseases were exported to developing world through colonialism
       • i.e. Colonisers wiping out indigenous cultures
     • Pharmaceutical companies are an important example of the damaging role of TNCs in the developing world
       • number of pharmaceutical companies have provided drugs cheaply or even free in poor countries
     • Lack of regulations, health and safety laws has led to TNCs causing terrible health problems in LEDC's.

7. Gender

   • Modernisation
     • Cultural differences between MEDC's & LEDC's
   • Common Gender issues
     • Dowry burning
       • Burning wife if family doesn't pay additional dowry
     • Female Genital Mutilation (FGM)
     • Purdah
       • Women are shielded from men
     • Lack of reproductive rights
     • Lack of property rights
     • Infanticide of girls
       • killing of young girls because couples want sons
   • Marginalization Thesis
     • Patriarchal views exported to western world through colonialism
     • Western missionaries brought Christian bible stories to the developing world
     • women increasingly marginalised into a domestic role
     • Criticism
       • Modernisation theorists argue that developing countries with significant gender inequality were patriarchal long before the age of Empire
       • Patriarchy still exists in MEDC's
         • Westernisation doesn't mean female empowerment
   • Explotation Thesis
     • Exploitation of third world women by TNC's
     • Women tend to be cheaper to employ