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Theories of
Development 1.
By the end of this lesson you will:
 Understand that Employment Structures
can indicate development in a descriptive
manner (Clark).
 Be able to recall and understand the
theory of Rostow: Modernisation and
apply it to modern day countries.
 Be able to recall and understand the
theory of Gunder Frank: Dependency.
Two schools of thought…
• In order to develop LEDC’s should copy
the UK/USA as ‘we developed the right
way’.
• Or that MEDC’s might well be the cause of
underdevelopment in many LEDC’s!
Clark’s Sector Model (1950):
Modernisation V’s Dependency
Summary:
Rostow:
Modernisation Theory: Theories that build on
the idea that the rate of development of country
is largely a consequence to do with the internal
structures, governance and culture of that
country.
Gunder Frank:
Dependency Theory: Theories that build upon
the idea that the rate of development of a
country is largely a consequence of its
relationships with other countries
Rostow’s Model of Economic
Growth (1955)
Rostow - Stages of Growth


A child in Sierra Leone making
breakfast. Which stage would a
country like Sierra Leone fit in?
The work of American
Walt W. Rostow
Rostow is an economic
historian
 Countries can be
placed in one of five
categories in terms of
its stage of growth:
Rostow - Stages of Growth
1.

•
Village in Losotho. 86% of the
resident workforce in Lesotho is
engaged in subsistence agriculture.
•
•
Traditional
Society
Characterised by
subsistence
economy – output
not traded or
recorded
existence of barter
high levels of
agriculture and
labour intensive
agriculture
Rostow - Stages of Growth
2. Pre-conditions:
The use of some capital equipment can
help increase productivity and generate
small surpluses which can be traded.
• Development of
mining industries
• Increase in capital
use in agriculture
• Necessity of
external funding
• Some growth in
savings and
investment
Rostow - Stages of Growth
3. Take off:
At this stage, industrial growth may
be linked to primary industries. The
level of technology required will be
low.
• Increasing
industrialisation
• Further growth in
savings and
investment
• Some regional
growth
• Number employed
in agriculture
declines
Rostow - Stages of Growth
4. Drive to
Maturity:
As the economy matures,
technology plays an increasing role
in developing high value added
products.
• Growth becomes
self-sustaining –
wealth generation
enables further
investment in value
adding industry and
development
• Industry more
diversified
• Increase in levels of
technology utilised
Rostow - Stages of Growth
5. High Mass
Consumption
Service industry dominates the
economy – banking, insurance,
finance, marketing, entertainment,
leisure and so on.
• High output levels
• Mass consumption of
consumer durables
• High proportion of
employment in service
sector
Criticisms of Rostow:






Too simplistic
Necessity of a financial infrastructure to
channel any savings that are made into
investment
Will such investment yield growth? Not
necessarily
Need for other infrastructure – human
resources (education), roads, rail,
communications networks
Efficiency of use of investment – in palaces or
productive activities?
Rostow argued economies would learn from
one another and reduce the time taken to
develop – has this happened?
Andre Gunder Frank:
Dependency (1971)
‘The development of
theunderdevelopment’
Read pages 543545 Advanced
Geog (Edexcel)
and take notes!
More theories to come during this unit…
1. Friedman’s Stages of Growth Model.
2. Myrdal’s Model of Cumulative Causation.
Lesson Recap:
 Understand that Employment Structures
can indicate development in a descriptive
manner (Clark).
 Be able to recall and understand the
theory of Rostow: Modernisation and
apply it to modern day countries.
 Be able to recall and understand the
theory of Gunder Frank: Dependency.