Iohn McKav

47

Chapter 2

g e n e r a l m o d e s o f t h o t r g h t s e t t h e s c e n c f o r m o r e s p e c i f i c c ' l i s c u s s i 1 l l -rr> f s w l - r a t d c v c l o p m e n t i s , o r s h r > u l c b e , a n d t h c r n o s t a p p r o p r i a t e p < l l i c i e sa l c l l mcthods that can bc harncssedin the search for this elusive promised land happiricss ;urd prosperitl'. Ir cotrld be arguccl rl-rar debatc ab6ur clevelol'rttteltt,its nature and how to achieve it, is tbe ccntral issr-re the in whole of Western social science.Thc e:rrly towcring figurcs in the fielcl, u ' r i r e r s s u c h a s J o h r r S t u a r t M i l l a n c l K a r l M a r x , w e r e e s s e n r i a l l yt h c o r i z i l g rlbortt development. The Enlightcnment \\,AS funclanrentally concerned r ' l ' i r h p r o g r c s s t o w a r c l s : r n i c - l c as o c i c t 1 , ,a n c - h o u ' t h c h a r n e s s i n g o f r a t i o n a l l l thor-rghtsirolicies and actiorrsrniglrt allorv the rerrlizrrrior.rs rhis gorrl. Bur , of s i r n i l a r i c ' l c a so f t r ' , r < > g r e c a n b e f o u n d i n o t h e r n o n - W c s t e r n m o c l e s o f ss t h o t r g h t . I l t J a p e r t , f o r e r a m l - r l e ,i t h a s b c c n a r g u c c ] t h a t a u n i c l u e a p p l i l a c h to the philosophy' of ccononrics was dcvcloped, onc that \v:ls rathcr c l i f f e r e r t tf r o n t s t t r c { i c s n r e r g i n g i n t h c W e s t . H o w e v e r , r h e f o c u s h e r c w 1 s e ( ) l l c c o l l o t n i c s a s ' a c l n l i t t i s t e r i n gt h e n a t i o n r ' r n crl e l i e v i n g t h e s g f f c r i p g 9f tfie p e t > 1 - r l c('N l o r r i s - S r - r z u k i 1 9 t 1 9 ) , a n o t i o r - r w , h i c h i s n o r s ( ) f a r f r o n r r h c c o l l c e r n s < > f c - l e v e l r ) p n r e n tI n t r a c i i t i o n a l C . h i n a , C o n f u c i u s ( u , h o c l i e c l . a r o t t t r d 4 7 9 B C ) w e s c o n v i r - r c e ctlh a t h e l i v e d i n a n a g e o f a c u r c c r i s i s , p e r h a p s s i m i l a r i t r s o n r e w a y s t o o l r r o w n t i n r c s . H e r l , r . r . s- r e b c l i e v e d , l, l v i t t r e s s i t . t gh e c o l l a p s e o f c i v i l i z a t i o n ( L c y s 1 9 9 7 ) , a n d h i s c n t i r e p r s j c c r t wrls col.lcerttecl u'itl'r tl-rc\vrtys irr r'r,hich a trctter society ntight bc built,, and lrtlu' it might bc governed. Thus, it could be saicl thrrt clevclopnrentapcl proercss are absoltttelv ccntral ideas in Western thoueht, but such conccpts can also be founcl in othcr treclitions. I - h e g e r t e s i so f n t o d e r n d e v e l o p n r e n t t h o l l ! { h t i n t h c W e s t i s u s u a l l y d a t e d 'War. t o r h e e r l d o f t h e S e c o r t c lW o r l c l Thc European colonial cmpires hac{ e r r r l i e r e x p r r c s s c c is o r n e c o n c c r n f o r t h e i n r p r < l v e n r e n t o f r h e i r s u b j e c t p e c > p l e sb t t t i t w a s r e a l l l o r r l l ' a f t c r 1 9 4 5 t h a t d e v e l o p n - r e n t\ v i l s s e e n a s a , w o r l c i l . t ' i c l cp r i o r i t y . N e w t c c h n o l o g i e s a n c l l o g i s t i c a l s y s r e m s c l e v e l o p e c l during the war were seen as being modified to fight A ncw battle agaipsr global poverty. The rnitiation of the Marshall Plan for thc reconsrrucrior.r o f E r - r r o p ' r et, s i n t i l a r p l a n f o r J a p a n , a n c l t h e e s t a b l i s h m c n t o f t h e n r a j g r i Brettotl Woocls institutiorrs., rrorablv thc World Barrk and tl-re IMF,, signalleda neh'detcrmination to avoid the ecor-romic rrd social problems a of the 1930s that heralcled a global conflict. Howcver, rhere have been n t r r n e r o l l sc h a n g e s o f f a s h i o n i n d c v e l o p m e n t t h o u g h t s i n c e 7 9 4 5 ,r c f l e c t i n g the ebh ancl flow of a scrics of wider debates. T h e f i r s t o f t h e s e c o n c e r n s t h e p o s i t i o n a n d r o l e o f t h c n a r i o r l s r a r e r r st h c ftrnd:rr-ncntalur-rit of analysis and policy nraking. Thc systenr of internatiortal relatior-rsthat en-rergedin the post-war worlcl and was ccntred on the LJnited Nations and related institutions enshrined the s1-rccial positior-r of the sovereign state as the recognized authority ovcr the space defined by its national bounclaries, as the legal body able to pass of

DevelopmentTheory: Reassessing Modernization and Beyond

JOHN McKAY

In this chapter wc cxplorc the key itlcas put forw.ard, es1'rcciallin the last y half centlrr)'()r so', on thc political e c ( ) n ( ) r - n vo f cleveloptnettt r'rncl t u n c l e r c l c r , c l o p m e l r tr,u r d p l a c c t h e s c c ( ) n c e p t s u ' i t h i n t h e c o n t e x t c > f t h e m r r j o r t r c r r d s , c o r - r c - l i t i o r - rn c l p r e v a i l i n g i c l e o l o g i c s r v i t h i n t h e e r l c r g i n g as s g l o b a l s y s t c n r . T l - r e c l o m i n a n t i c l c a s o n t h e n a t L l r c a n d g e r - r e s io f t h e v e r y p r o c e s s o f t l ev c l c l p n r c n t h a v e t h e n r s c l v es g o n e t h r o u g h a s c r i e s o f transformatior-rscluring this period, but s()nre strong counter argllments h a v e : - r l s o b e c n p u t f o r w e r c l i r r o i ' r p o s i t i o r . t o t h c g c n e r a l l y ' a c c e p r t e ctle t r e t s r i n t h e f i e l d . A t o r . r c l e v e l , t h e l a s t . 5 0 1 ' e a r s h a v c b c e r - rc h a r a c t e r i z - e cb 1 ' l u r r p r e c e d c r r t e dg r o r v t h a n d p r o s p e r i t y , b u t o n l y w i t h i n c e r t i r i n c o l r n t r i c s n a n d r e g i o n s . A l r r r s i cc l u e s t i o n l v i t h i n d c v e l o p n ' r c r - r t h c r - r , l u s t b e w h y s o r l e , c o u n t r i e s h r r v e b e e n a b l e t c l a c l ' r i e v cs p e c t a c l r l a r p r o g r e s s w h i l e o t h e r s h a v e s t r r g n a t c c lo r c v e n g o n e b r r c k w a r d s . Within nrainstreanr econonric thc>ught therc has been a strong assunrption throughout this period that grorvth in succcssfulregions rvill eventually'trickle clou'n'to the more peripheral areas, given cerrrin c o n d i t i o n s a n d p o l i c i c r s .T h t r s , p o ( ) r c o u r r t r i e s c a n c a t c h u p a n d b e n e f i t f r c l m t h e c a r l i e r g r o w t h e x p e r i c r r c e so f o t h e r s , a n c l p a s s t h r o u g h a s i n r i l a r p r o c e s s o f d e v c l o p m c l l t , a l b e i t r r t a l a t e r d a t e . T h i s i s t h e c s s e n c eo f t h c a , t h e o r i e s o f n r o c ' l e r n i z a t i o nt h a t w , e r e p o p L r l r r r i n t h e 1 9 - 5 0 s n d 1 9 6 0 s , a n d which, in a moclified fclrm, made a retunr to the nrainstream of policy' n r a k i r r g i n t h c 1 9 t i 0 s .T h e s c i d e a s s t i l l i n f o r r n t h e d o m i n a n t i n t e r n a t i < > n a l institutions in thc development field, notably thc World Bank and the Intenrational Monetary Fund (lMF). Howcvcr, these prescriptiorrs have c o n l c u n c l e r s r . r s t a i n e d r t t r r c k f r o n r a n u m b e r o f d i f f c r e n t c . l i r e c t i o n ss i u c c r the 1960s. These theories and the assumprtionsbehind thcm werc first criticizecl from u'hat hecanrc knowrr as the'dependenc.v scho<ll', o r i g i n a t i n g e s p e c i z r l l yi n L a t i n A m e r i c : r . S e v e r a l a u t h o r s a r g u e d t h a t t h e 'trickle t t n c l e r c i e v c l o p c cw o r l c l c o u l d n o t d e v e l o p i n t h i s l down' nlanner,

45

4u

Rcasscsslng Deuelopmcnt Tbeory

John M cKay

49

a l a w s a n c l i n i t i a t c p r < > l i c v ,n d a s t h e o n l y l e g i t i n r a t c u s e r o f a r n l c d f c l r c e t < ' r c n s u r e i t s s t r r b i l i t y ' a n d w i i l . T h i s p o s i t i o n l r , r s b c c t . rl ' r r o a r i l y r e t r r i t t e c li l l t < r g . t h e n e r v r r - r i l l e r r n i u r nT h c f i c l d o f c l e v e l o p n r e n t s t t l c - l i e s c t r c r a l l , vt l s c s t h e l n a t i o n l r s i t s p r i m a r , v u r r i t o f a n a l y s i s , a r n c n r o s t o f t h c s t a t i s t i c s r v e t t s e c lr t r c r c g l l e c t e d ( ) 1 1t h i s b r r s i s . H o r , v e v e r , t h c g r o u ' t h c l f h r c l : r c ' l e c c o t l o n l i c a n c l E u r o p e a n L l n i < l n , h a s t e k e t t r t t r t t m b c t -o f p t l r v e r s political urrits, suclr as tl're f r 1 ; n r i p d i v i c l u r r l c o r - r n t r i c s ,r r n d t h e g r o u ' t l r o f i t r t c r t r a t i o n e l t r e r r t i e s o i k v a r i o r - r s i n c l s h a s h a c l a s i n r i l r r re f f e c t i t r s o n r c s p e c i f i c n l i l t t e r s . A t t h e s A l l l c t i n r e a l a r g c r - r u n r b e ro f r c g i o n s w i t l r i r r i l r c l i v i c l t t : r lc o t r t r t r i e s h : r v c b e e l l c a n r p a i g n i n g f o r , l n d i n s o n t e c e s c a c h i e r , ' i t - t gt,n t t c h g r e r l t c r r l t l t o t l o n l v . T|us, thc porver of the natior-rstate is [rcing whittlcd a\\'il]' fronr rrbrlve atlci b e l 9 g , , 1 1p r ( ) c c s su , h i c h s o n r e h a v e c e l l e c -tlh c ' h o l l o w i r r g o t l t ( ) f t h c s t a t e ' . A r e l a t e d q u c s t i o n c o r - l c e n r st h e e x t e n t t o n ' h i c h t h e g o \ r e r l t m c t l t t l f r t 1:rtiol c1n rct as the nrost important crtrrlyst fttr change lrtttl the kcv I c o l t r o l l e r a n c l c o - o r d i n a t o r o f a l l k i n c - l so f c l e v e l o p m e n t p r o l a r a n l l . n e s . t l that go\rcrlllnents nlust wrts il gener:rl rrssr.llttptiolt rhc 1950s rrncl 1950s tl-rcre ralt5lcof scrviccs. irlay'thcsc kcv rolcs, ancl bc the orgatrizcrs of :r rn,icle matt)' contmctttlrtors ar-rd Hower.,er, [,c are n()\\, in en era irr lvhich lll()re itnportrrttt.trrgirrg sc 1-rglitieirrps e thc privrrtc scct()r.rs heirrg tttrtclt o t [ a t t h c s i z c o f g o v c r n m c n t a n c l t h e r a r - r g e f i t s l ] o \ \ r c r sm t l s t b e I r i r r i r n i z c c l . T h e c o n v i c t i o n t h a t m r r k e t s c r u r c l e l i v e r t l r e b e r t e f i t s c > fd e v c l o p n l e l l t 1 1 1 ( ) r c cffectivelv than govcntnrents is:.r celttral tettet in the ueo-liberal parrdigrr1 itt rvhich has resr-rlted whrrt t[:rt Ias held s1vat'fgr tl-relast tn,o dec,rdes,rrtrc-l ' c c l r - r r . r t e r - r e v o l t t t i o i n' d e v e l o p l l l e l l t t h < n r g h t . tt T g y ' e ( 1 9 8 7 ) h a s c r r l l e c lt h e itt Thcrc are importi.lnt clifferenccs betlveen o1'rit'tiot-ts variotts cot-ttttrics l f o r t h c m i n i r l a l i s t s t a t e c o n r e t n o s t t : l t t h t l s i a s t i c a l l l ' f r o t rt h e here. Support , L J p i r e c S r a r e s ,t h e L J n i t e d I ( i n g c l o l n a n d A r - r s t r a l i r r w h i l e r n u c h o f W e s t e r t r l r a t ' r g eo i g o v e r n n l e l t t r c s p o n s i b i l i t i e s ' E 1 1 r < > ph l s r c t : - r i n e di t s t r a d i t i o n r r l e T[c tralsf1;rrnati<'l-r of thc Asia itrto irn ccot-tttmictlly powerful regiotl r r r i s c c t h c p o s s r b i l i t l ' o f n t : w c r c a t i v c p o s s i b r l i t i e sf o r g o v e r l l l r e l l t r l c t i v i t i c s . l Most anlrlystshavc lto\\' rlcccptcd that Asian governntents were absolutelv c e p t r a l t t > t h e p r o g r c s s o f I ( o r e u , T a i r n , i r u : r t t c lS i r t g a p o r c , l r n d i l l t h e t n t l r c rccept clr.rmatic clcvcloprnentof China. Some writers have evelt sLlggestecl tftat thc Asiar-r moclel of c]evclopnrent brotrght together the most useful w o rrspects f thc capitalist anci socialist svstemsit'tto il ltt:w'thirtl r,r'ay', l'rich most cfficierrt way yet devisecl of getreratirtg grctwth (Johrlsorr was rhe 1987, Wade 1990). - sonte r,l'ottlcl Ncltigps of power arc central to developrncnt thoLllaht pt irt the whole c()rpus. cvcp arguc that power is thc pivotal coltce C e r t r i i p l i ' , d e t r a t c s r r t r o u t t h c u s e o i p o u ' e r , a t r d t h c w a 1 ' s i n n ' h i c l - rt h c t t l < l l s of clevelopmcltt carr be nraltipl-rlateclto enhancc the infltrettce of olle group l , a g a i n s t r - r l lp o s s i b l e o 1 ' r p c > s i t i o nt,a v e b c e n c r u c i a l . D t r r i r t g t h e C o l c ' l W a r ,

both thc Llnitecl Statcs:rtrcl tl'rc Soviet LInion saw rricl rrnd clcvclol'rr-nent pr()!aratlllllcs ilS rl nrrrj()r \\'C;-11'r1r11 in thc battle t() gilirr su1'tporf for tl-reir i c ' l c o l o s i c sr r t t c ls v s t c t n s . ( - , c r t u i t r ci n c l e p c n c ' l c n c o f p o l i c l ' \ \ ' i r s n ( ) t f a v o u r e c l c b y e i t h c r s i c l e , c n c c t h e r i s e o f t h c n o n - l l i g n e c l n r ( ) v c m c n t .H o r v c v c r l s o n r c h l c r r c - l e r\s c r e t r b l e t o 1 ' , l a y - o f fo r r c s i c l e a s r r i r r s t t h e r > r l - r c rg a i n i n g l r e n e f i t s v . f r o n t b o t h . T h e c n c l < l f t h c C o l c l W r r r s a ' , vr u r e n d t o l r o t h t h c s e c o l ] s r r i r i n r s . I t t c l o p 1 - r t ) r t u t t i t i c sW I r o l c r e g i o r r s o f t h c g l o b c , e s p c c i a l l v n r ( ) s t o f A f r i c r l , s t r d c l c n l vb c c r t n r c p c r i p h c r e l t o t h c g l o b l l s y s t c r l r r r r r c r v c r c s i r n p l v i s n o r e r l l b l ' W e s t e r t t p < t l i t i c i r r n s , u s i t r c s s t n e na n c l i n v e s t o r s . T h i s s i t t r a t i o r r n r r l ) ' b Illi'c changccl agrtin lrfter tlre tcrrorist rrttrrcksort rhe Llnitcd Sfrltcs ()tl 1 l S e p r t c n t b e r2 0 0 1 . I n t h e ' \ \ ' r r o n t c r r o r ' r v e h a v c r e t u r n e c i t o t h c C o l c l 'cithcr Wrrr slogen thirt v o u i . l r c ' u v i t hu s o r r r g a i n s t u s ' . I n t h c p c r i < l c ls i t t c e t h c c n c l o f r h e C o l c l $ / a r i t h e s b e c < l r n ec o n - l l n o r rr c ) r e s r t r c ' l i b c r r r l c l e r r o c r r r c vi l s t h c o n l y i ' i r r b l c e c o r r o r n i c a n c l p o l i t i c a l s ) . s t c n l i r t t h e t r t o c l c r nr . r ' o r l c-l' t h e o t t l v g a r l e i n t o r v n ' . F r n n c r s F u k u v r r n r a ( 1 9 9 2 ) 'errcl c r r l l c c lt h i s t l r e o f l r i s t o r y ' , i n t h e s e n s et h a t t h e l o n g p e r i o c l o f c o n f l i c r [ r e t u ' c e t t r i v a l i c l e o l o g i c e l s v s t c r . n s v r r sc l c u r l l ' o v c r . T h i s h a s r r g r r i nr r r i s e c l r t h c c l t r c s t i o r tt t f u ' l - r e t h e rt h c r c i s o n l r ' o n c \ \ ' A V o f r r c h i c r , i n gc l e r . c l r ) p n l e n r , r l l t t l o l l c n r r t t t l f c s t r t t i o n i h r r v i n g l r r r i v e c l1 1 sl l - n o r l c r nn r ' r t i o l r .H r > u r e l ' c r ,t h i s o r r l s s t l l t t p t i o t t h r t s c ( ) n t e u n c l e r s u s t r u n c c l a t t r r c k . T h c r v l - r o l ec l c b e t c r r b o u r 'Asien v r r l r t c s ' r t t r t t i t r c r , r ' l r c ns r ( ) \ \ ' t h r a t e s i n t h a t r e g i o n \ \ ' c r c c l c r r r l t , s t t p c r i o r t o t h < l s ep r r e v a i l i n g r r t h c W e s t , w a s o n e f o r n r o f c l u e s t i o n i n s .T h c i e t t v i r o t . t l t t c n t r r l i s t s ' \ , i e w , t h a to t l l l n a t i o n s c e n p o s s i b l v h r r v e t h c l i f e s t l ' l c n , ; t r e v r r i l r n g i l t r l ' r c \ X / e s t l - r l s a l r c a c l l ' b e c n n r e n t i r > r r c c lb u t ( ) t h c r r l l l t h o r s r r r e ll()\\'rrrisirtg son'tc rather cliffcrcnt, but just rls clifficult, qucsrlc)lts. H e r t r r r t r c l t > ' l cS o t o ( 2 0 0 0 ) h r r s a s k e c l u ' h y c a p i t r r l i s m h a s t r i u m t r r h e c li r r t h c c W c s t l - r r r rh r l s b c e n s o s p e c t l t c u l a r l v u r r s u c c c s s f u l i n a r r u n r b e r o f o t h e r r c g i < > t r sO s l v r t l c l o d c R i v c r o ( 2 0 0 1 ) h a s r a i s e d t l - r c 1 - r r o s p c c r h a r r - r o t a l l . r c c c l t t o m i c sc r l 1 1 v c r a s p i r c t o s r . l s t i t i r - r e do w t h l r n c i d c v c l o p n r c n t . M a n y a r e c gr simpll' ttott-viahle. Thus, the olcl assumption that clcvclopmerlr crur be r r c h i c v c c l [ t , u e l l i f t h c ' c o r r e c t ' p < > l i c i c s i l r e i n r p l e n r e n t e c li s b e i n g i n c r e r r s i n g l yc l u c s t i o n e d . T h c s c c l e b a t e sr , a i s ef u r t h e r ( l u c s t i o n s : r b o u t c . l e n r c l c r a c yr e e d o m a n d t h e f, ittr'olvcnrent of l.ocal conrmnnities ir-r the process <lf devclopnrerrr. [)clt.tocracy is, of coursc, a noblc ainr irr itself, bLrt it is also ()pen to il w i d c r a n g e o f a l t c r n e t i v c i t r r e r p r e t a t i o n s .N o t s u r p r i s i n g l v , a n u m l r e r o f A s i a r r c ( ) n l n e n t a t o r . s , c c l n f i d c n t i n t h e e c o r r o m i c s u c c e s so f t h e i r r e g i o n , h r ' r v ep r o p t l s e d t h a t A s i a c a n d e v c l o p i t s o r v n f o r m o f d e n r o c r a c y : r n d i t s <lwn defirritiorrof humun rights. These conccpts woulcl not be the same as t h e W e s t e r n i d c a l s , b u t w o u l d b e j u s t a s v : r l i d ( M a h b u b a n i 1 9 9 [ ] ,d e B a r y ' 1998, Bauer ancl Bell 1999, Bcll 2000). Nobel prir,e n'inrrer Amirrrya Serr (2000) hrrs prroposed that \,ve should regard development as freeclom.

.50 Redssessing Deuelo'pment Theory

.lobn McKttl,

5l

D e ' n ' c l t t p n l e n t ,h e s u g g e s t s . i,n r , o l v c s t h c r e n r o v a l < > ft h c n r r r j o r s o u r c e s o f ttnfrccdom t y r a r l n y , p o o r ec o n o m i c p r ( ) s p e c t s , s o c i : r l c l e r i v r ' r t i o n , p i n e f f i c i e n t p u [ r l i c f i r c i l i t i c s . ,a n c l s o o n . F i n a l l , v , t h e c l t r e s t i o no f d c n r o c r a c y a n c l f r e e d o m r a i s e s t h c q t r e s t i o n o f h o w f a r w e s e c c l c v c l o p n r e n t a s b e i n g r p r ( ) c e s si n i t i r r t e c lr r n d i r l p l e n r e r r t c d by outsidc forces and :rctors, ()r as en esscntially internal transfon'n11ti()n role of outsidc f u e l l c d [ - r yl o c a l i n i t i a t i v e , r n d s c l f h e l p . T h c e r r p h a s i s i n t h e f i e l d o r r t h e 'expcrts', t h e i r - r c u l c a t i o no f n e w a n c l f o r e i g n v a l u c s a n d metht>cls,,rncl the central role of aicl l'rave :rll cor-rspirccl downgraclc the to r o l e o f l o c a l m o b i l i z e t i o n . T h i s i s e s p e c i r r l l t ' t n r ei n a n e r a o l t g l o b a l i z a t i o n , w h c n m r u t y c o n r m e n t a t o r s p r e c l i c t t h r r t c u l t r - r r : rl r n d e c o n o n t i c c o n v e r g e n c c or.ls()lrc kincl of intcrnational bcst practicc is bound to take pllcc. In the prcsent era, thc whole cluestiou of thc relationslrips betwecn globalizatior-r a n d d e r . ' e l o p m e n tt h e o r y i s o p e r r i n g L l p : r s a n e w b a t t l e g r o u r r c li n t h c c o r r f l i c t of icleas ancl iclcologics (sce, for cxample, Jorno and Nagarrrj 2001; Schuurnr:u-r, . 7001; Petras ancl Veltrneycr 2001). F

l{ostow' proproscclthat tl-reprrth to clevelopnrent ancl nrodcrnitl' involved t h e t n o v e r n c n t l r y a n y n a t i < - r nh r o u g h a s e r i e s o f s t , r g c s : t o The traclitional socicty o Thc pre-takc-off socict,l' o Trke-off o Thc rorrd to rrrertrrity o T l - r em a s s - c ( ) n s u m p t i o n s o c i e t r ' . T h e f r a n t e w o r k i s t L r l l o f l ' r < l p e c v e r y n i ' r t i o n h a s r l - r cc e p r ' r c i t vh r r c l t h e p o t c l t t i a l t o p a s s t l - r r o u g h t h e s c s t a g c s a n c l a c h i e v c m A S Sc ( ) n s u n r p t i o n . T h e intage of trtke-oft is 1-rarticularlv vocrrtive, fLrllof pon'er ancl hopc as the e natiott is ablc to lauttch itsclf into a bright neu, future. The book was alscr r v r i t t c t . ta s e c l e l i b e r r f c c o u r l r e r t o t h e r l L r m e r o L r A , { l r x i s t t h c r l r i e s t l r r r t r v e r e s r r p p c r r r i r t ga t t h i s t i m c . T h e s u b t i t l c o f t l r e b o o k - ' a n o n - c o m n r u p i s t all t r l a t t i f e s t o ' - t l ' r i t t c n . l t r t t i t n e u ' h e n ( l o m n r u r r i s t e x p r r n s i o n u , a s f c r r r e c li n perts of tl-re trnclerdevcloped n,orld, ernphesized that sr-rccessful

Theories of modernization
N o n e o f t h e c o r n p l e r i t i e s , c o t r n t e r a r g u m e n t s o r s c l f - c l o t r b t si n t r o c l u c e c li n the previous section was allowed to cloud the sinrplc but powerful message espouscd bv thc proponcnts <lf moclernizetiorr theorv. During rhe 1960s ancl part of the I970s, thcre appeared, witl-rin all of the social scicrrces, stuclics of aspects clf nrclclernization, each couchecl in the perticullrr l a r - r g r - r a g e d c o r . r c e p t so f t h e p a r t i c u l a r c l i s c i p l i n c , b u t a l l c a r r y i n g t h e an s a m e b e g L r i l i n g p r o n r i s e : e l l r r a t i c l r l s ,h o w c v e r p o o r , \ \ ' c r e : r b l e , i , r ' i t h t h c 'correct' implement:ltiorr of policies to achieve a modern star-rdard f living o bv follow,ing exactlv thc sarle grow'th prrth es thrt Westenr tlxtiolts pioneered bv the

c l c v c l o p n r c n t c o u l c l l ' r cr r c h i e v c c { ' r ' i t h o u t a r c v o l u t i o n . T h c r l r > s t i n r p o r r r r n r r n t c c h a n i s n r i r t t h e w h o l c p r o c c s s . t h e f u c l n e e c l e ctl o a c h i c v e t a k e - o f f , r , r , a s i t t v e s r t n e t t t c l c r i v e c l p r i n c i p l r l l y f r o r n c J o m c s t i cs a v i n g s . I f t l r e s r r r : i n g sr ; r r e c o t r l c -b c n t o v e d f r o n r t h e n o r m a l . 5 p e r c e n t o f G D P t o l 0 p c r c e n t o r n r o r e l f < t r a s l t s t r r i t r e cp e r i o d , t h e r r t a k e - r > f f c r > u l c l ; r r o c e e d . A n r a j o r r o l e c l f t h c l political systcm, especially in the erlrly stagcs, \vAS ro crerrtc the o r g e t r i z . r ' t t i o r t rttl le c h a n i s m s l n c l t h e p o l i t i c a l w i l l t o a c l r i e v c t h e s c s u s t a i r r c d i l t c r e l r s c s t r s r r v i n g sa n d p r o c l u c t i v e i n v e s t r l c n t . R o s t o $ , w a s a t p a i n s r c r i llclirlt ottt that therc \vas nothinll rrutol'nrltic ()r irrci'itirble about these p r o c e s s e s .U l l l c s s c c o l . t o m i c p o l i c i c s a n c l p o l i t i c a l s y s t e n t s \ \ , c r e r l r t n r l g e d c i f e c t i v c l y ' , t h e t t a t t r t t i o n ' s n - l c ) \ , cr o r n o n e s t e g c t o a n o t h e r c o r r l c l s t a l l . i W h i l c r o t r n d l - vc r i t i c i z c c l , a s \ v e r v i l l s e c l a t e r i n t h i s c h a p t c r , t h i s t h e o r y h a s b c e t t * ' i . l " l y " q u o t c d a n c l r - r s e tb y , b o t h t h c o r i s t s a n c i p o l i c v m a k e r s . I n a l tlttlnbcr of tnorc reccnt intervicr.r,s ncl books, Rostou,has clainrcd thrtt a l - r i s t o r vh a s e n t i r e l y i ' i n d i c a t e c l h i s t h e o r y . T h e f a l l o f t l r e S o v i e t U r r i o n l r a s clernotrsfratedthe unviability of the C<lmmunist alternativc, u,hile the s L l c c c s s f E a S t A s i a h r r s u l t c l e r l i n e d t h e i n t p o r t a n c e o f h i g h r r t t e so f s a v i n g s o ancl investr.ncrlt (Rostow 1990). Rostow's thcorics, and their syrlbolism, matched the nrood of their t i n - r c .T h c r c w a s t n u c h c l i s c u s s i o r r n p o l i c y c i r c l c s o f t h e n e c c l t o e s c r r p t : h c i t 'vicitttts c y c l e o f p o v e r t y ' . T h c r e w c r e s e v e r i r lv e r s i o n s o f t h i s c o n c e p t , [ - n r t i t r g e r r e r a l r e r n r s i t d e s c r i b e d t h e w a y s i r r r v h i c h r h c p r o c e s s e so f p o v e r r v r r t l d t t l t d e r c l e v e l o p m c n tw c r e s e l f - r e i n f o r c i n g . L o w o r r r o r . r - c x i s t c n r a t e s o f t grow'th rnci-llttthat sar,,itrgs nd irrvestnrent ratcs were low. Insufficierrt a ittvestnrettt was madc in productive frrcilitics of various kirrds, ensuring r h a t l o w l c v e l s o f g r o u , t h p c r s i s t e c l .F u n d s w e r e n o t a v a i l a l r l e f o r b e t t e r

E x : - r m p l e so f s u c h s t u d i e s c a n h e f o r . r n c li n s o c i o l < ) g y , g e o g r : r p h y a n c l political science, but it was irr economics that the scminal rn'ork wrls prrblished, with thc appcarance of Rostorv's The Sfdses of Grou,th (1960). B L r tt h i s i s m o r e t h a n j u s t a s t u d v i n e c o n o m i c s , w , h i c h i s p a r t o f t h e r e a . s o n f o r i t s i r - r f l u e n c e v e r t h e y e a r s . R o s t o w ' , a s h e h a s n r a c i ec l e a r i n s o t . n e f h i s o o later reminiscences (Rostow 1984) has always had a strong irrtcrest in econot-uicl'ristory, and hrrs also writtcn politics ir-r the devclopment in detail on the importancc of (Rostow 1971). Yct, somcwhar process

paradoxically, Rotow's many critics havc derided his attempts to prociuce a universal theory of cievclopment,one largely divorccd frorl the historical a n c l i r - r s t i t u t i o n a lr e i r l i t i e so f p a r t i c u l a r s o c i e t i c s .a n d h a v e b e e t r p a r t i c t r l a r l y , scathing about his political positior-rs.

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t)(ual()p1llcllt

I l)c()ry

/obn Mc'Kay

53

s s c h o o l s , u r r i v c r s i t i c s( ) r h o s l ' r i t a l sc n s u r i n g t h r l t r . r i ' r t i o t tc o u l c l n o t f i n c ' la w r l y L o r t t ( ) f p ( ) \ ' e r t v t h r o u g l r i l r v c s t r n e r r ti n h u r n l r r r r e s ( ) r . r r c c s .a c k < l f t t t v c s t l t t c t t t r I t r r O l t c l s .p o r t s : r l r c l o t h e r i t l f r r r s t r t l c t L l r ck c 1 ' t tc c l ' 1 ' t o t r l i c s v < l r k i r t g r r t l r l n ' )' l e v c l s o f c f f i c i e n c l ' . A 1 1 , 1 1(1 u t o f t l r i s 1 ' r c t ' s i s t c : tc ,tv c l c o f p o v c r t v w r l s r t t a n c c c l c c 1 , n c l t h c r n o c l c r n i z . r l t i o nh c o r i s t s p r o i ' i c l c c la I t t t l - r c h a t t h i s n t i g h t b c 1-rossiblc. :r T l r c H a r r o . l - l ) o r n r r r s r o w t h n t c i c l c l ,n ' h i c h a l s o [ ' , c c a t t r c r o 1 - r t t l a 1 t t h i s 1 r s o p h i : r i e r t t i o t r o t h c e t t t e r g i l l gl - r t ' t l P l r s i f i o t t s r i r r r e .P r o r i r l e . l s ( ) n r ( ' ( ' c ( ) n ( ) l l i c . 1e ( s c e . f o r c r a n r p l c , H c t t n c 1 9 9 5 ) . ( , r o u ' t h c o L t l c 'llr e s e l f t - s L r s r r r i t r i t t g , e . ' l i n g lr t < ) r l ' \ , i r t u ( ) u s c v c l c o i g r o u ' t h ' . I n c r c r r s c si t t o t - r t P r - t t t r c li t r c c l t t r cu ' < l t r l . l l ' , c i r c c o n l p : l n i c c 1b v e h i g l r c r r n a r g i r t a l p r o l ' r c n s i t v t ( ) s ; . l v c ,l c r r c l i r t gt o l l l ( ) r t : g i n v c s t n r e n t , r r r cl l1 n c w r o u n c l o f c r p a n s i o t t : t n c l i t t c o t - u c r o \ \ ' t h . T h i s t ' t t < l t l c l , i tc b r r s e c o r r l ( c v r r e s i a n t h c o r ) , , r l l s o p r < 1 1 ' t o s e hl t i r t i t i a l i n - r p c t t r s o r g r o u ' t h l l c o u l c l c o n l c f r o n r f o r e i g n r i c l , p r < l v i c i i n gt h c f i r s t r o t t t . t co f i t t v c s t l t t e l t t i t t t h e r t t r s e t t e o f r l , , t t t e t t i es r t v i t l g s . e r T l i e e n r l - r h r r s i o n r l o d e r r r i z . r r t i o t ru ' i r h i n c c o t t o l t t i c s \ \ ' ; . 1 sr i i r r t l r e c l l l \ - r r s s c r l r n g c o f o t h c r ( l r r c l s o n r e u ' o u l c l s r . r y ( ) n r p l e t n c n t r r r t ' ) t u c l i e si t t o t h c r s o c i r t l s c i c n c e s .I n p o l i t i c s , i < l r e r , r n r p l c , t h c r c w e s n l L r c h r e s c a r c h o l t p o l i r i c r r l n r < l c l c r n i z r r t i o ra n c l t h c g e n c r r t r i < l u< l f n r o r e e f f c c t i v c p o l i t i c i r l i r t s t i r L r t i < ' r t s . r i n c v i r r r b l v n r a c l c i n t h e i n r l g c o i t h e W c s t . I n g e o g r r r p h r ' , I t r t t t t r b c t 't t i t , c s t g c ' l i e s ( ) n c c n t r i t t e c lo n ' s p i l t i l l l t r o c l e r t r i z - ; . t t i o t r i' t t r ' < t l v i t - l gh c s ; ' t r c , l . lo i i n f r r r s t r u c t u r e l n c ' l o t h c r s v r n t r o l s o i t . t - t o . l c r nl i f e . a l t c l t l - r c g r l . t . l t r , r l e r p r r n s i o n o f t l - r er - o r s i n t o r h c r . n o r c [ ' ' r c k * ' r r r d p e r i p h e r t ' . I t t 1 - r s y ' c h o l t t g r ' , r 1 t < t t t , t i r c r c \ \ , 1 1 s 1 1i1 t t c l n p t r o c r p l o r c t h e \ \ ' r l ) - si r l u ' h i c h m o r c ' t - t l t l c l e r t r ' pcrsonrrlifi'trrrics coulcl lre cngenclcrcrl ltrcl fostcrccl. Thesc str.r.]ics enhrrncccl rl-rc n,ork eoing ot't it.t ccottott.rics. rrlttl grrvc it addctl [-'rcrttlth. r h [ ' r r r ri r r r r l l t h e s c s t r . r c ] i cts c l ' r r r s i c l s s l t l r p t i o l ' r s\ \ ' c r e c s s e n t i r r l l l ' t h e s r l l l l c r l s p r r t f o r r v r r r c ] l . ) ' R ( ) s t ( ) \ \ ' . T h e r c \ \ ' c r c , h o u ' c v e r , s ( ) l l - ) eg c t - l t t i t t e th<tse l i l t r e n t p t s t o n r e k c n t o c l c r n i z r r t i o n t h e o r r ' n t ( ) r c s o p h i s t i c r r t e c t l t r o r - t g hr v h . r t l r e s l r e c < r r t r ek n o u . r - r r l S d i , t l t ' c t i c , t l n t o r l t ' r t t i - : t t i o r t t h a o r t ' ( i \ ' l r r r i i l l L l \ s u l l l 9 g 7 ) . T h i s r t r t e l n p r e c lt ( ) u l t r t v c l t h c c o n t f r l c r r c l r r t i t > n s h i p sb c i l r ' c c l l t h c ' t r r r c l i t i g n r t l ' r r r r c l ' r l . l o c l c n r ' s c c t o r s . u s f i e l c l ( l t 9 6 7 ) , f o r c x r t t t r ; l l c ,r r r g l r c t lt l r c G b c r e v i t r r l i z c c l t h r t > t r g l - rc o l t t i l c r u ' i t h . nrodcnrizrng influcnccs in othcr prlrts t>f thc st>ciet\'This rcprrcset'ltctl:r 'cllt,rl ( ccoll()ltt)'' s r g r r i f i c r r n t r r c l r . ' a n c c) \ ' c r t h c n L l n l c r o u s s t u c l i c s o f t h c trlc-litionrrl instittrtions coultl n'hich s11\\,a nruch clcrrrer clistinctiorr l'rctn,centhc tlodcrlt rtncl ltt()rc trrrrlitionrrlparts of thc st>ciet1'. c S o n r c i l s s u l t ) p t i o n s i n t h e r r r t h c r o 1 - r 1 i 1 1 1 i srtlio c i c r t t i z r r t t < > tftr r r t t t c n ' < t r k n'orks b1'(lutrtrar Mt'rclrrl artci Alltert 'r'iciotts' 'r'irtttotls' rrttcl H i r s c h n r r ' r n ,l r o t h o f u ' h o n r c ' l c r l o n s t r r r t c ctll - r a tb o t h tr c 1 ' c l c sc o u l d ( ) p c n l t c s i r t r u l t a n e r > r - r s l y ' po o c l l t c e g r o \ \ ' t h i t r s o t l l c r l r c r l s r r t r c l strrgnrrtion in othcrs. L.rrrlicr, ecollonric thcory l-r,rcllrcerr ttsec] to stlgllcst wcre qLlestioned irr vrrious b t l - r r r itn e q u a l i t r c s i v i l l n o t l , r s t f o r l o r - r g c c : r u s cl r ' r b o t t rl v i l l t t r i g r : t t ei r o n t l o n '

\ v a g c i - l r c a st o r c g i o t r s r , v h c r e r e r , v r r r t . la r e h i g h c r . S i n t i l : r r l y , c a p i t a l s will t l l ( ) \ / er o r e g i o t t s $ ' h e r c t h e r c t t t r n s r l r e h i g h e r , u s u a l l l , i l r i r r c a s r . l , h i c h are ctlrrclltlv backrvard trtrt with high invcstnrcnt potcntial. Thus, glrwth will t a k c p l a c e i r l t h c l n ( ) r e h a c k i , ' u ' a r c l1 e r r s ,r c r n o v i n g t l i e i n i t i a l i n c c l u a l i t i c s . r r B<lth ,\4.vrclal rlcl Hirschnran rrrtackcd this kincl of erlLrililrriurn a anrrlysis. A4l'rdal strggesreclthat two kinds of fr>rces rvr>r-rklbc rrt w.grk . Sltreacl c l t f e c t sw o u l t l s c r v c t < t c l i s t r i b u t e g r o \ \ ' t h f r r > n r r i c h c r t o i)oorer regious or c < r r t t r t r i c sw h i l c I t t c k u ' t s h e f f c c t s t c n d e c l t r > i n t e n s i f y e x i s t i n g i n e c l ' r r l i t i c s . ' T h c r c l a t i r r e s t r e t t g t h o f t h c s c n v o f o r c e s w r > u l d c l e p r e n c.lr , r , , r , r n g c c > f c i r c t t l n s t r l t l c e sr t t r c l p < t l i c v i r a m c l v t > r k s , t h r i s i t w , r t s i n t p c t s s i b l c t o 'reclict s o l l l c k i n c l o f u t r i v e r s r t l p r ( ) c c s so f t h c k i n c l p o s t u l : r t e d b y R 9 s t 6 w . M y r c l a l s t r g g e s t e ctih r r t t r a t - l e' u v i t h i r r r [ - r c n v e e n o u n t r i c s c o u l c ] g i v c r i s e r o s t r o r l g o c b;rckn'ash cfiecrs. ThLrs hc propr>seclrr thcc>rl. of circular antl currtttlttit,e cdltsLttiotl. u'ith sptretci rrnd l,'tlckwash effects often lcading to pe'rrrrerr, r r r r c lc r , , c rc l e c p e r r i n g ,l c v c l s o f i n e c l u r r l i r l , . rVIlnl'of Hirschntan's iclcrr\\'cre ciuite sirnilar, but he clevclgpeci a p . l r t i c n l x r i t n r r l t . s i so f t h e r o l c r > f g o v c n t n l e l t t i n t h e n t a n : r s e n t e l t t of thesc p r o c e s s c s ' H c a r g L t e c lt h a t d e v e l o p n r e n t i s b v n c c e s s r r y a n upbrrlapcccl p r o c e s s , a r r c li t u ' < l t t l c lr r l s o b c u n r c a l i s t i c t o e x p L - c tg o v e n t n t c l t t p l a . ' c r s t. i t r i ' e s t i t l V l r i o t t s s c c t o r s o f t l ' r e c c ( ) r . r ( ) u ' riv a f i n c l v l ' , a l , r r c e . l n lv.t).. l' pxrticLllrlr he consiclcrccl the brrlance betrvcen ir.rvcsrnrcnt i' tJirectly prodttctiue trc'tirities, sttch as frrctorics ()r ; r l a n r a t i o r . r s ,r r n c l r h e i ; r f r r r s t r L r c t u r c I l e c . - l e c lt o s t l p p o r t t h c s e f a c i l i t i e s , w h i c h h e t e r n t c d socirrl oucrltetd ctytittl. Gr<tlvth mt)'occur by g1;11.entrating n the cler,clol-rprent o of itlfrr'rstrrtctLlrc, hcreby reclucing procluction costs lrpcl grcouratllr-lg t ftrrthcr invcstlttettt in procluction, or thc revcrst: rr:1y be prefcrrecl. If p r o c l l t c t i < l r li s p r i i ' i l e g c . l , i n c f f i c i c n c r c s i r - ri n f r a s t r u c r u r c w,ill forcing pp c a r c h - u p i t l v e s t t r c n t . E i t h c r s t r a t e g y m r r y r v o r k , a n d t h e c h o" c e r . " . , i of the morc a ; r p r o p r i : - t t e$ ' i l l c . l e p e r t d n l o c : r l c i r c u m s t i r n c e s . T h e r v o r k o f o Hirschrna' r l n c l N I Y r c - l ag r c r v o t t t o f t l ' r c t r r r d i t i o n o f n r o d e r n i z a t i g p s t u d i c s , l a'cl used s o n l c o f t h e l s a m e r h e < t r e t i c a l r r s s u n r p r i o u s ,b u t t h e i r atteutiop to i n c q t r a l i t i e s l t r c l t h e 1 ' r e r s i s t e n co r e v c r . li p t c p s i f i c a t i g p c 9f thesc differe'ccs proviclcs a clirect lirtk to solne of the nrore raciical criticlues that besap rcr rlppear in thc t960s.

The challenge of dependency theory

Several basic assltlxptiotts of modernization approaches irr general,, rrnd 9f R o s t o w ' s i n f l r , r c n t i a l t l r c s i s , b e g a n t o b e i d e r - r t i f i e ciln t h e 1 9 6 0 s . A basic o l - r i e c t i o nw a s r h a t t h e o p t i m i s t i c t o r r e o f m u c h n r o d e r n i z a t i o n r h e o r y flew i l l t h e f : l c c o f t h e a c t t t a l s i t r - r a t i o n n t h c u n d e r d e v c l o p e c lw o r l d . I n e c l t r r r l i t i e s i wcre llot bcing l-tarrowcd Lls conventional economic the<>rypredictccl.

54

Reassesslng Deuelopment T heory

John M c K a y

55

was bccoming incrcasingly clivic{ccl bctwccn the powerful core regronsancl thc impoverishcd peripberlt Irr Myrdal's tcrnrs, the sprettd effects wcre being overwhclmccl by the rnuch nrore powerful fcrrccs <>f brtcku,dsh. ()rte of thc regior.rs whcre this rcality appcared to l'nally observcrs to be most pronouncecl rvas in Latin Anrerica, and it was from herc that an irrflucntial set of ncw tlreorics began to enrerge, a nloventent rvhich still has somc irrfluerrcc. This hccarne know,n as the tlependenc iLt or clcprcr-rdency school. Much of the initial im1-rctus or this rnocle of thought cflnrc fron-r the f work of thc Unitcd Nations Econonric Cornmission for Latin Anrerica, ancl itr particular front the work of Raul Prebisch. Thc central rrrgnnrcnt, in w h a t b e c a m e k n o w ' r ' ta s t h e ' P r c b i s c h t h e s i s ' r , v a sh a t t h e b : r s i ca s s l r n r p t i o n s t o f n c o - c l a s s i c a l e c o n o t ni c s , p r o p o s i t i o r - r s t h a t w c r e c s s e t i r r l f o r t l ' r c n achievemcnt of tricklc-clown effccts, did not exist in the rcll rvorlcl. The e c < > t . t < l t nlia r t c l s c a p c d i d r - r o t p r i n - r a r i l y c o r . r s i s to f s m a l l p r o c l u c e r s r r n c l c bttyers, each operating in a perfect marketprlacewith none able to exert po\ /er over thesc tnarket proccsses.Rather, glohal comntercc took placc betwecn the rich ancl powerful clcvelopecleconomies and the rluch r,l,errkcr p e r i p h e r a l c o t t n t r i e s . N o t s u r p r i s i r - r g l , v h e r u l e s o f t l - r et r a d i n g s y s t e n r w t : r e t, of the pon,crful Westcrn-basccl c o r p o r a t i o l t s t o t h c b e n e f i t o f t h c r r l r e a d y r i c h c o u r - r t r i e s D i M a r c o 19 7 2 ) . I n ( particular, Prebisch rcjected the orthoclox Ricardian arguments in frrvour o f e a c h r l a t i o n s p e c i i r l i z i n gi n t h e ( ) u t p l r t o f g o o d s f o r w h i c h i t h a c l a s p c c i r r l c o m p a r a t i v e a c l v a n t a g e ,a n c l t r a d i n g t h e s e g o o c l s t h r o u g h t h c i n t e r r r a t i o n a l s y s t t : m . H e i l r g u e c l t h a t n o n e o f t h c ' l a t e i n c l u s t r i a l i s e r s ' ,s u c h a s t h c L J n i t c c l States,Germany and Japan had becrr able to usc such a stratcgy for thcir dcr.,elopment. Rather, thc.v had gone through the early st2lges of industrializ:rtion behincl protective tariff u,alls until the,v felt cornpctitive e n o u g h t o c o n f r o r - r tt h e g l o b a l m a r k e t o n c q u a l t e r m s . S p c c i a l i z a t i < l r r , v o u l c l -r n o t e n c o u r a g e i n c i u s t r i a l d e v e l o p m c n t o f t h e k i n c l n e e c l e cilr r L a t i n A n r c r i c n ; instcad the region would be condcmr-redto a peripheral position as a supplicr of primary products. These arglrments \vere taken a stage further, and givcr-r much greater c x p o s u r e i n t h e E n g l i s h - s p e a k i n g w o r l d , b y A n c l r c G r - r r - r d e rr a n k , r v h o , , i r - r F 1967, procltrccclhis classic Cdpitalism ttntl Untlerdeuelopment in Latin Americd. He argucd that developmcnt and uncierdevclopment arc in fact sirnply two sides of the samc coin. The rich countries achieved growth by systematically exploiting their colonies and the rest of thc underdevelopccl world, and this proccss hacl becr-r oing on for several centurics,:rt least g since the Spanish penetration of the New World. By thc 20th century, no part of the globe was to() rerlote to remrrin untouched by thc impacts of t h c i n t e r n a t i o n a l e c o n ( ) n r i cs y s t e n r o f i n r p c r i a l i s r n a n d c l o m i n a t i o n . T h u s , i t w a s n o n s e n s c t o r e g a r c l ,a s R o s t o w h a c l c l o n c ' t h e u n c l c r d c v c l o p e c lw o r l d a s s y s t c m a t i c a l l y r - n a r - r i p u l a t e dn f a v o u r i

R r t t h er , t h c

worlcl

i r . rs o r n c k i n c l < l f p r i s t i n e i n i t i l l s t r l t e . T h e p o o r c o u n t r i c s h a c l i n f a c t b e e n t r r - r d c r d c v e l o p c ciln t h c p r o c e s s o f i n c o r l - r ( ) r a t i o n i n t o t h e g l c l [ r e l s y s t t : m . They \vcre ir-npovcrished, rrttcl thc structurel changes thrrt hacl been in-rposeclilp()lt them m,tcle fLrture dcveloprncl.tt ()f a rcal attd autononrous kincl rluch lcss likely. Oncc the goocls in which thcy specialized wcre n() l o r r g c r n e e d c c lb y t h e w < l r l d m a r k c t , o r i f a c h c a p e r s o u r c e w a s f o t t t r c l ,t h c v c l v o u l c l s i n r p l y l r c c - l i s c a r c l cwli t h o u t t h e p o s s i b i l i t y o f r c t t t r t t i l t g t ( ) t h e i r o l d i n t e n r a l l , v o r i c r r t a t e c ]s y s t e m o f p r o c l u c t i o n . T l - r c p o o r c s r r c g i o t t s o f L a t i r t An-rerica werc not thosc that hed beetr ignclrccl tr,v the u'ttrlcl nrarket. Rrrtl-rcr hc.v rverc those that hacl in thc past hec{a vcrv closc relatiortshil'r, t b u t h a d o t r t l i v e c l t h c i r u s e f u l u e s s .L r r t i n A m e r i c a a s r r r v h o l c , h e s t t g g e s t e c l , hecl progressecl rrost during thc trvo r,vorlclwArs, lvhen the cout'ttrics at thc c ( ) r c o f i r r t c r n a t i o n a l c a p i t a l i s m h a d b e e r - ro t h e r r , v i s e c n g , r g e c l r r t t c l t h c p e r i p h e r v u , a s l c f t t o d e v e l o p i r t i t s ( ) \ 4 ' t tw i l \ ' . a M r r n y ' s i r l i l a r i c l c r r sw e r e c l e r . , e l o p e c lt r c l u g h l v t h e s a n r e t i n r e b y C . e l s o (1961), $'ho also bec,rnrc rl vcr)'influential figurc in thc Fr-rrtaclo nrovemcnt. He also arguccl that capitrrlisn-r hacl exper-rdecl clepcnclcr-rcy througl'rout the globc, particularly rrftcr the irrclustri:tl rel.c>lution itr E r.rrol-rc.No rcgion was left ut.ttotrchccl, ancl in all crlses rle\\r hybricl stnrctLlres wcrc left behincl, u,itl'r profouncl inrplicatior-rs for fttturc clcvelopnrcnt prospects. Thc penetratecl cconotries wcrc generally chara c t e r i z c c lb y t h e e x i s t e n c c e n c l i n t e r a c t i o n o f t h r e e c l i s t i n c t s e c t o r s : a A 'renmarlt' a c c o n ( ) m y c o n s i s t i r r gt l a i t r l y o f s t r b s i s t e t r cfe r m c r s , b u t w i t h

a s n - r a l la m o l l n t o f c r r s h c r o p p r o c l u c t i o l r o A clonrestic sector producir-rg goocls rrncl services for loc:tl col'rsunlpti()r.r o Thc internatior-rallyorientatcd scctor producing goods for the u'orlcl market. classi,fication \\'r1susecl as the basis of a later analysis of the Brrrzilirrnsituation (Furtedo 1965), r,n,ritten t the tin-rcof :r political ancl a cconomic crisis in that coLurtry.Here he dealt in more cletail wrth the class i n r p l i c a t i o r - r s f t h e s t r u c t t r r e s o f u n c l e r c l c v c l o p m e n t .M a t r y e a r l i e r t h e o r i s t s o l - r a c lc l i s m i s s c c i t h e r o l e o f t h e e l i t e s i n L a t i n A n r e r i c a a s s i m p l e collaborators r,vith intern:ttional capitalisrn in the exploit:rtion of their , l a n d s . B r - r th e r c F u r t a c l o p r e s e n t e d a m n c h m o r e n u a n c e c l a t - r a l y s i sp o i r r t i n g out that thcre is a real cliversity of clrrssintcrcsts in Brazil. Crucially, hc lackecl an elite thet wes cornrlitred to the strggestecl, the Brazilian ecclr-ron-ry gcneratior-rof genuine and autonorrous industrializatiorr. Ittstitutional 2 t r r a n g c m c n t s w o u l d n e e d t o b e f l e x i b l e e n o u g h t o a l l o w s t t c h a ! a r ( ) t l pt o essurne p()wer. This is a crucial advance in thinking abottt developtt-tcttt and one that wc will takc up again with referencc to the successfttl i n d r - r s t r i a l i z a t i o rotf E a s t A s i a . F u r t a d o ' s t h i n k i r t g w a s t a k e n : 1s t a g e f u r t h e r . 'fhis

I {

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Reasses-si Dcuelopment T b er>ry ng

Johrt McKay

57

r r g a i t r i t r r t r c t t t r n t ( ) . 1 g c n e r a l a r r : r l v s i so f L r r t i r r A n r e r i c a ( F u r t a c l o l c ) 6 9 ) . w h i c h r e p r e s c n t s o r l e o f t h e f u l l e s t s t a t e m e n t o f t l - r cc l c p r e n c l c r r c h c s i s . T h e ty export of printary proclucts, he urgcs, cann()t rrdvanceclcveloprment tt all, r brtt, l1t()reirnportalrtly, the structrlrcs of thc cconomv rrncl the socicty stronglf inhibit any movenrent towards r-r rore prc>clr-rctive cl strstainable n an fttture. Hc callccl for a conrpletc reforrn of institutional rlrriurgcmentsancl i r - rt h c e r c r c i s e o f p r o l i t i c , r l p o n ' c r . R e l a t i o r r s h i p s r n . i r h t h e o L r t s i c l cu , o r l d , r r n c ir v i t h t h e L l n i t e d S t a t e s i n p a r t i c u l a r , n c e d c c l a c o m p l c r e o v e r h r r u l , a s c l i c l r el r r t i o t . t s w i t h the tnultinational cclrporations. Ncr.r, tccl-rnologies neec-lccl be devclopcc'lrrnclharnesscc.l r<l inte rnally, r.rncl, the crrrly srilgcs ilr in l e a s t , t h e s t r t t c s c c t o r l r ' o u l c l h a v c t o p l r r r , : r l e a c ' l i n gr c t l c l s , t c a t l r l v s t f o r

A r r r i r r t c r n r e c l t h i s s c p a r a t i o r r l ' t c t w c c t rs c c t ( ) r sd i s a r t i c u l t t i o n , l r c h a r a c t c r l o i s t i c f e r r t r . t r c f a l r t r o s t a l l u n c l e r c l e v c l o p c cc o t t l l t r i e s . T h e n l r t i t l t e t l r t t l c ct l f r h c e r p o r t s c c t o r r c c l u i r e c lt h e c o n r p l i a r t c e < t f n t c n t b c r s o f t h e l o c a l e l i t c , u , h < l w o u l c ' l l r e b o u g h t o f f t h r o t r g h h i g h e r \ v l g e s , c ( ) r r L l p t p : ' t y l t t c l t t so r r l l e l s u p p l , v o i l u x u r y g o o d s . T h c o b v i o u s F l i : t p s' , e t w c e t t r i c h e n c l p o o r w o u l d that coulcl lead to political instability, i r r e v i r a b l , vc a L r s ed e e t r rr e s c n u l c n t s :lpd, to cpsllre thc rl:lintcniurcc of orclcr, lrrrgc stlltts rvoulcl heve to bc t s p c p t o p t h c i n r p o r t o f m i l i t a r v h a r . l w a r c r u r c l i t t r c r v r t r c . l so t h e n l i l i t r l r y f1;rces to lraiptrrip thcir lo.valtl'. This woulcl cxaccrbatc a brtlallce <lf c p i 1 \ , s r c n t ss i r u a t i o r r , r l r e a d y ' t r t , r c l e l i r c b y t h c p r t t g r e s s i v cc l e c l i r l ei r r r h e relrrtivc vrrlue of tlrc printrrrv products bcittg cxportccl. Thc shortfrrll irl hercl cgrrcncy coulcl only lre met by opening Llp )'ct ftrrtl-rcr ttrit.tcs, o p l r r r r t : ' r t i o l . r sr o t h e r e x p o r t r r c t i v i t i e s , b u t t h i s r v o u l c l l c l c l t o v e t t t t ( ) t h e r r s p i r r r l o f r l e e p e n i r r gc l i s r r r t i c t r l a t i o r - r t t d i t t t e r l t r l l i t r c q t r a l i t l ' . h contributions hrrvc bcen r'olumiuous, ar-rc1 ave partlv Wrrllerstcir-r's i r r v o l r . , c c ls ( ) n l e v e r ) ' c l e t a i l e c l h i s t o r i c r r l : r t r a l i ' s i s o f r l ' r c c t n c r g c l i c e a t t t l o c l e v e l o l - r n r c r r tf t h c g l o b e l c c o u o t n y ' . f o u n c l i n g r r r v h o l e s c h o o l r t f a t t r r l i ' s i s thlt hrts beconrc kttou,'tt rls tt,ctrld st'slsrns theor\' (see, for eranrple, i W ; i l l c r s r c i n 1 9 7 1 .1 9 7 9 , 1 9 8 4 ,H o p k i n s r r n d W r r l l e r s t c i t t1 9 8 2 ) .B t r t l - r c s a l s o n i n r l t o r t e r r t i < > rh i s i n t r < t c l u c t i < > o f l u r e l t t i r c I t e w c r l t c g o r , vi t l t o t h s 1 1 3 [ ] r r t e e b o u t r h e s t r u c t u r c o f t h c c o r c a n c l t l - r cp c r i p h c r y . H e p o i n t e c l t o t h e r t e r e d f < t r r r c i l t c g o r \ ' o f c o r - r n t r i e sr h r r t c o u l c l a c t : . r s g o - b e n v e e l l s o r n l e c l i t - r r o r s bcnveen thc ricl-r rrncl tl-re p()or ni,ltions, rrrrc'lcoulc'l l-rclp ttt cliffusc altv s t r e n s i o r . r sh a t n r i g h t r r r i s ef r o m g l o b a l i r - r c c l u a l i t i cb y p r o v i c l i r t g e x a m p l c s o f u,h,rt coulcl be achievccl rvirhin thc svstcnr. This group, which incluclcd c o u n r r i c s l i k c A u s t r e l i a ' ' C a n r r c l r r ,S p r r i n a n c l S o u t h l ( o r e l , h e t e r n t e c i t h e t s c r r t i - p e r i p h e r t , , l n c l t h e i r r o l e l v a s t o c i e n - r o n s t r a t eh a t r e v o l t t t i c t n ( ) r e v e t t c l r r r s t i cr e f o r t t r w A S n o t a t a l l l t e c c s s A r \ ' . As \\,c hr'rr.e secn, in rnuch of cicpcnclcnc,v thcorv thcrc \\'AS tl-rc irssulnpti()lt th:1tlexterntrl forccs \\rcrc rrll-prou,crful ancl sinrply swcpt 11\\'av e r r r ' l i n g e r i n g r e r l u r a n t s o f t h e c l l c ls t r u c t u r c s . A s a n t t m b e r o f c r i r i c s p o i r t t e c l out, this is clearlv t()o cxtrcmc, lrnd, cvcn in thc llcwcr vcrsiotts t>f nroclenrizatior-rhcclry', irnpclrtant interactions betwectt the modcrtt and t t r r r c l i t i o n r r l s e c t o r s ,\ \ , c r e p c l s t u l a t e c l . A t r u m b e r o f t h e l a t e r c l e p c u c l c t ' t c v C u ' r i t c r s l t t t c n t p t e c l t o r c r n c c l v t h i s s h o r t c o t n i n g , u o t a b l t ' F c r t r r t l - t c ' l oa r c l o s c > (Carclos<l rtncl Frrleito 1979, Carclos<-r1982). Tl-rese u,ritings point to the cornplcx configuration in various Latirr Amcricen coutrtries of cottrl'tctillg bt' or co-opcrrrtir-rggroups an.l clrrsses,ertch ir-rilucl-rcccl extertral f<lrccs r'ttlc-l each rrttcllptiltg to use these externrrl clcnrctrts to their owtl advillltage, rrlthotrgh no class or !Ir()up is strong cnough to control this etrvironnretrt. r c T h i s r c p r c s c n t s a c o r - r s i c l e r r r l -alc l v a n c e ,a n c l I r t a t r y o f t h e s e i c l c a s a r e l t o w b e i n g u s e c l t o r u r a l , v s ct h e n e w s i t u r r t i o n o f g l o b a l i z r r t i o t - ta r t d t h c l o c a l responscsto it, as \\/e will see lrrtcr irt this chrtptcr.

c l e v e l o p m e n t .T h e c o u n t r i c s o f L a t i n A m e r i c a c o t r l c la c h i e v c n r e n y o f t h c s e c l i f f i c u l t t : t s k s I n ( ) r e e a s i l v b y d e i ' c l o p i n g p r o c l t r c r i v c i l r r i u r g c n r c r - l t sf c l r r e g i o r t a l c o - o p c r r r t i o t r . W h i l c t h c s e b a s i c r ' r s s u m p t i ( ) n s: r n c ' lp r r o p r o s i t i o n s w e r e g e r r c r a l l y r l c c c p t e c -b y m a n y l a t c r t h e o r i s t s , a n u l l b c r o f w r i t c r s l c l c v e l o p e c ip a r t i c t r l a r c o r . n p o n e n t so f t h e r r n a l v s i s i n r . r l o r cc l e t r r i l .T h r c c o f thent, all ttf 'nvlrom hrrve particular rclevrtrrcc for cnrrent clebates, are c o r t s i d e r c d b r i c f l v h e r e : A r g h i r i E n r r n a n u e l , S a r - n i rA n ' r i n a n c l I m m a r r u c l Wallcrstein. E n r t l r r n t t c l ( 1 9 7 2 ) p r t > c l u c e du ' l r a t , a t t l - r e t i m e , w r t s ; - t v e r y i n f l u c n r i a l a r t a l y s i s o f t h e \ \ ' 1 1 y si n w h i c h i n t e r n a t i o n a l t r a d c r e - e n f o r c e s i n c o r n c i r r e c l u a l i r i c sa t r r g l o b a l l e l ' e l . G o o c l s e x p o r t c c l f r o n r h i g h - r , r ' a g cc c l r . r n r r i c s have rr cot.tsistentlyhigher pricc ()n the world nrrrrket conrparcci w,itl-r t t n c l e r d e v e l o p r c dc o t r n t r i e s w i t h m u c h l o w e r w a g c s , l t ( ) t l - r e c a u s eh e s e f i r s t r v o r l c l e x p o r t s a r e i n h e r e n t l y m o r e v a l u a b l c b u t b e c , r u s e t r i c h c o u t . t t r i c sl r a v c t h c p o l i t i c a l 1 ' r 1 r 1 v go m r n i p t r l ; . r t c t h e n r a r k e t s r r n d s e t tr p r i c e s f a v o u r a b l e t o t h e i r o w r . r p r r < > d u c t s .' h i s a r g u m e n t , a l t h o u g h w i c i c l v T c r i t i c i z e c l i n s e v c r r t l c l L r a r t c r s ,i s s t i l l r e p e l r t e c l b , v s ( ) m e r l u t h o r s i l r t h e c i r r r c n t c l c b r r t er r b o t r t g l o l r a l i z a t i o n a n d t h e s t r p p o s c c lb c n e f i t s o f l a r g c - s c a l c cxpansiorrs of world trade. Amitr's p:rrticulrrr contribntion, on thc clther hrrud, was to elaborate F u r t a d o ' s i r n a l y ' s i so f t h e i n t e r n a l s t r u l c t u r c s o f u n c l e r d e v e l o p e d c c l r . r n r r i c s ( s e e ,f o r c x a m p l e , A m i n 7 9 7 6 , 1 9 7 7 ) . H e l o o k c d a t t h c c l e v e l o p m e n t o f b o t h r h e e x p o r r - o r i e n t r r t e d a n c l c l o m e s t i c s e c t o r s , a n d a t t l - r el i n k a g e ( o r l l c k o f i t ) b e t ' u v e e nh e t r v o . A r e a s i n v o l v e d i n c x p o r t a c t i v i t i e s , u s u e l l y o f p r i n r r l r y t p r o d t t c t s , w o u l d l ' r a v eh i g h e r w a g e s t h a n f o u r - r di n t h e r e s t o f t h e e c o n o m y , b u t t h e n r u l t i p l i e r e f f c c t s o f t h c s e i n v c s t m e n t s w o r . r l c lb e f a r l e s s t h a n i n c l e v c l o p e de c o t - t o n i e s .M o s t o f t h c s L r p p l i e s f s p e c i a l i z e d n r a c h i n e r y r v o u l d o come from core colurtries, as wor,rld evel) somc of thc food ancl more I u x u r y i t e m s c o n s u m e d b y t h e l a b o u r f o r c e . T h i s l a c k o f p r o c { L r c t i v ei n k a g e l m c a n t t l r a t t l - r et w o p a r t s o f t h c e c o n o n t v w c r e q u i t e i s o l r r t e d f r c l m e a c h o t h e r . T h e e x p c ) r t s e c t o r w o u l d , i n f a c t , ,h a v e i t s c k r s e s t r e l a t i o n s h i p s w i t h the areas to which its output was cxportcd. again in the core coLrnrries. exports from

5fJ

Rcr;ssessi D euelopment ng

-l' h eory

John M cKay

59

I)cpenclerrcy thc.ry has als. been criticizccl fr.nr rr vrrricty .f .tlrer perspectivcs' A tltlnlbcr of Marxist scholrrrs 6:rvc takep issuc u,ith thc n t e t h O c l sr t t r d e s s t t r r l p r t i O l lts s e r l , s u g g e s t i n g t tlrrrt thcy are a rlisrcprcseptatiolt <lf the trttc Marxist position. S"u.."l w,ritcrs havc argucd that the c l c p c r l c l e r l c yt l r c o r i s t s h a v c n r i s s e d t h c t r l r c t :s s c n c c . f c a p i t a l i s ' r a r c . l i r l s t c a c 'h a V c p o r t r a l ' e d i t a s a s i r n p l e z c r o - s L l n r l gilnre. Bill Warrgr is ore.f t h e p r i n l c c x a m p l c s h e r c . H i s b a s i c p o s i t i o r - ri s t h , r t , r . l , h i l ec a p i t a l i s p r n r a , v hrrve a nrrnrber of abhorrent fcatrrrcs, it is n e c e s s a r y t o s [ r i p r r w , r r yt h e clrigillal fe.dal situation fo'nci i' rn.st urclcrclc'el.pcd ,"gi.r,.,r,ard tl-ris catt otlly bc acc<lnlplishecby outsiclc irnpcrialist l f o r c - e st h " t esserti:rl f o r t l - r ee s t a b l i s h n l c l t t o f c a p i t a l i s n r , w h i c h i s " . i n r r l n r : 1p r e - r e q pr s i t e f . r t h c i transitiotl to stlci:rlism.Fronr thc other siclcof t h c i c l c c l l < r g i . os p e c r . r n r , e i llttnlber of critics h:rvc 1 - r o i n t c ctlo s o n r c g r r i n s t h a t h l r v e b c e l l r a d e i r r t h c c l c v c l o t r ' r l l t e l otf a t l t t r n l r c r o f c o u r r r r i e s , e s p e c i i r l l y ' l in Asia. This has bec' colltrllstecl r'r'itl-r the perforlnence 0f those ccruntries tl-rat lraVe rlttenrptec.l:r l l l o r c s c l f - r c l i r r r l t a p p r o a c h , r r n c li t i s t o t h i s nriracle of groi,vth in Asia thrt \\,c ltow tunt.

c o t t l l t r i e s a l l r t w c c l p r o c - l t r c t i v ef a m i l i a r i t y w i t h : r c l v a n c e s i1 nra.:.rgel.ert s y s t e n l s a l l d t c c h r t o l o g y . C o t t t i t ' r u e c lc o r l r p e t i t i v e n e s s a l s o d e r n a n d e c - l arl < l l l g < l i r l gp r o g r a l l r c l f r c f o r n r , r e s u l t i n g i n p r o g r e s s i v e p r i v a t i z a t i e p .,f g ( ) \ ' c r l l n l e l l t e n t c r p r i s c s , t r a c l c l i b e r a l i z a t i < l r . r 's t r l r c t u r a l a c l j u s t r n c n t , ' refortrls itl corPoratc goveniancc arrcl the furrclamental ciernclcratization of thc political sysrenr. T h c r e s p ( ) l l s c st t f t h e a d h c r c n t s o f d e p e n c l o r c y t h e o r y h a v e a l s e beelr p r c c l i c t a b l e . I l l t h e c a r l y s t a g e s o f t l r e c l c v c l o p m c r 1 t si r . rS o u t h K . r e a , for e x a t l r p l e ,a t r t t t n b c r o f c r i t i c s c l u e s t i o n c dh o w ' r e a l ' t l r i s c l e v e l ( ) p m e n t wils, a r g t r i n g t h a t t h i s w r l s A c l a s s i c e x a n r p l e o f c l c p e n c - l c n tl c v e l < ) p m e n t r c l v i p g c , o r l p o l i t i c a l l y n t o t i t ' a t e c i s u p p o r t f r o m t h e L J n i t e c lS t a t e s , r , . r d er p l c l i t i l l g l o w - c t l s t l l b o u r r e s o l r r c e s .L J n f l a t t e r i r - r c o n r p r r r i s 1 t p s" r s . , r t i a l l y g wcre nrilde r'r'ith North KoreA's enrphasis or-l self-rcliance.Yct as t6e cviclencc.f c<lntittuecl progress ttroltttted, atrcl as the North I(ore ap corlpetitiou falterec-I, tlre emprhasis switched to thc lauclir-rg the South I(orea,-' rr.clel of o f l t r t t o t l < ) l l l o L l s e v c l o p r n e n t . I t w a s e n r p h a s i z e c lt h a t t h e d early stages .f irlclLrstrializatiotrtook place hehincl high tariff r,,,alls,ancl the g,rr,"r,.,,-,-,.,.,, plavccl a very inlportatrt role as initiator:urd co-orclinat.r of ,-'e\\, i r r i t i a t i v c s ( A m s c l e r - r1 9 8 9 , \ W a d e 1 9 9 0 ) . T h c n A r u r c : r n c - l role of the Sourh I(crrcatr statc has received particular attcntior.r. Pcter Evans (1995), f'r e x a t l l p l c , h r l s a r g t t e c lt h a t L , a s tA s i a h a s b e c n f a r r n o r c s u c c e s s f ' l thar L:-rti' Anrerica because the strtte has been L'toth otttonontous ancl embecldecl. Llnlikc its cotrlrterparts in Latin Arnericrl, thc state in Asiil has not bcer-r h < l s t a g ct o p a r t i c u l a r v e s t e c lc l a s s i n t c r c s t s , b u t l - r a sb c e n atrt.'.r,.Lrs rrrrd a b l e t o a c t i r - r d c p r e n d e n t liy t h e i n t e r e s t s o f t h e u , h o l e n a t i o l r . y c t , n thc statc h a s b c e n c l o s e l y i n t e g r a t e d i t - t t os o c i e t v , o t r - r o s i t i o n etd r e c e i v e m e s s : r g c s 9 r f a l l p a r t s o f t h e c c t m m u t . t i t f i ' r n da b l e t o i n t e r a c t w , i t h a l l o f t h e s e l e v e l s ,a n d , ilr particular, the bttsittcsscomtnunity, to ensrlrc that p l a r - r sa p 6 l t a r g c t s \vere effectively rnet. Y c t , t h e A s i a r l e x p e r i e t r c eh a s a l s o p r c s c n r e c .s o m e d i f f e r c n t l c h a l l e r - r g cts r c c l e v e l t l p n l e l l tt h e o r y b y h i g h l i g h t i r r g s o m e f a c t o r s t h a t rrreor,rtsiclc ll of the a tnrrior existirrg theories. One set of writers l'ras highlighted the role of cttltttre in development, and ; r c l i n t e c lt o t h c w i c l e v a r i c t y 1 1 fe x p e r i e n c c i ' different parts of the worlcl'' thus cluesrioning thc g.n.r"lity clf ary develclpnlcllt theories' Much has [-reer-r mac]e ,ri th. common Confuciar-r heritagc itr Korea., T:riw'atr and Chirra. This prhilosophy e r r - r p h a s i s ct 6 e s e t h i c a l r c s p o n s i b i l i t i c s o f [ - r o t hr u l e r s a n d t h e r u l e c i :rnd, it has becn argued, was ttscftrlin instilling a high level of rvork cthic and rcsponsc ro aurhoriry i n t h e s e c o t - t n t r i e s .C o r r f u c i a n i s m a l s o p l a c e s g r e a t reliance on educatiop a n d s e l f - c u l t i v a t i o n i r - rt h c d e v e l o p m e n t o f , o . i . t y , a n < J , s a a result, the lcvel of investtnent in educatiotr has been extrcmcly high. Thus, there has beep ir rellewcd itlterest it-tculture as an important variable in the developmelt p r o c e s s . ( . o r n p a r i s o t r s h a v e b e e t ' rm a c l e b c t w e e r r w h a t h a s b e e n c a l l e d the

The Asian miracle: chaf lenges for mod ernization and dependency approaches
I t h r l s b c e l ' rc l a i t n e c l ,u ' i t h i t r s t i f i c a t i o n , t h r r t t l - r es p e c t r r c u l r r r r o r v t h t 6 a t h r r s g t a k e t l p l a c c i t l E r r s t A s i a s i t r c c t h c 1 9 6 0 sr e p r " r . , ' , r , the rrost pr.foupcl:rpcl rapid ccotronric' sclcial altcl political transfornrrrtior-r that has ever trrkc, p l a c c ' I t i s l i t t l e s l t r ; r r i s e ,t h e n , t h a t r h c Asian cxperiepcc should ha'e r r t t r a c t e c .s t l n r t l c h a t t c t t t i o n a n c l p r c s e n t e c ls u c h , r l ch,rllcngeto all cxistirg t h c r r r i c s o f c l e v eo p n r e n t ( s e e f o r e x a m p l c , R o w , c n j 9 9 8 , l , Lcipziger 2000, Bergcr rtttd ll.re r 1997). The rcccl-rt I"rist.r1,r>f thc regi.rr - ,1.r",j.,r...rccl rr' -.,r rprr.,itiu" cllornlotls literattlre, arrd s;rrrw'ttcd:r numbcr of strrc-lics seeking to erprlairllvhy Asia has hcen s. nruch n r o r e s u c c e s s f u lt h a n c r t h e r L a r i r r A n r e r i c r r o r A f r i c a ( G c r c f f i a r - r cW y n r r u r -l 1990).Hor,\,cl,er, hcrc is still t l l o a g r c e n l e t r t a b < l u t t l - r eA s i a n c x p r e r i e n c e r r n c l w h a t i t s i n r p l i c a t i 1 ; r - ra r c : s each sicleirl the cicbatc has attenrptccl t. 'rlist t h e A s i a r s l r c c c s ss r o r v t o s u l ) l ) ( ) r ti t s o n n c r r t r e r r c l r c r { 1-,ositiorr Tlre nloclertl-ciay clcsce clants of the rnocle n r n i z a t i o n t h e' r i s t s h a v c stressccl thc inlportattcc of aclhcrerrcc to neo-classical postlrlatcs i, ccltttltrics srtch as Sotrth Krtrca and Taiwan. The key to sLrcccss, hcy t a r g t l c ' w l l s t h e a v o i c i a t l c eo f a t t y p r o t e c t i o r r i s t t e n c l c n c i c s . R a t l - r e r ,t h e c r r t i r e crlphesis \vlls oll exports as thc key engine of g r o w t h . C o m l - r e t i t i v e l e s si r r export Ilarkcts required closc attention to lalrclur an.1 crthcr productiop costs' arlcl to the careftrl managenrent of nracro-economic p6licy ard cxchange rrltc scttirrgs. Increascd intcraction with.cr,,,r1,r,.,i"., in other

60

Rcassc,ssingl)euelopnrent The<trt,

John McKdy

6l

errtltrple, the

ratc t>f growth'lncl t h e l e s s e r p c r f < > r n r e r s ,l r r b e l l c d , f o r 'Hirtcltr'rtncl 'Bucldhist'lcvcl the <tf pcrf<lrmance. Morc l " r r o a c l l y , l r c A s i e l t c x p c r i c n c e h a s d r : r w r - rr r t t e l t t i o n t o t h e c a p r t c i t y o f t h e t

'Cortfrtciarr

l t h o s e i n K o r c a , a n c l c o u l t t r i e s c o u l c -n o t n o w e x p e c t t o c i e r i v et h e e c o r - r o t n i c end Trrirl'an werc ahle to clerivc during the Colcl t aclvtrntrrscs hrrt Korer.r i ! 7 a r . E v e n i f i t w e r e p o s s i b l c t o t r a n s f e r c l c v e l o p m e n t n - r o c l e l sn t h i s \ \ ' r l y . ' r t t c l o n a t i o r . r s h a t a d o p t s u c h r r h i g h g r o u ' t h p r r t l - ro c l c v e i o p m c - n t i s k t h e s o r t c of clan-raging risis that befell Asia in 1997?Is it possiblc to aclopt thcse unclertake a careful ancl nretl-rods in thc crrrly stxges <>fgrowth and tl'rer-r a p p r o p r i a t c l y s c q u c n c e c ls c r i e s o f r e f o n l r s t h a t c r r t t a v o i c l l l t c r i n s t a b i l i t y ? T l " r i s l a t t e r ( j u c s t i o n i s o f g r e a t r c l e r , : r n c et o C h i n a a t t h c n r o r - n e n t .A z l r r n y f e r t f r l r e s o f t h e K o r e a n m o c l e l . i r r c l t r c l i n g r h e c r e a t i o t l o f s c ) l . n cl a r g c b ccrnglomera.tes asecl on the exanrple of the Korean chrrebol, hevc beetr l c l o p r t e c l ,b t r t r h e r c r r r c i c a r s o f h o n ' t h c c c o r - r o n r y ' n ' i l l b e , r c l a p t c c ll n c l reformed in thc longer term. Wc u,ill rctllrn to thcse issuesin Chaptcr 6, s w h i c h d c r r l s , r n p r r r t , u ' i t h t h e l e s s < > no i t l - r eA s i r u r c r i s i s .

statc t<t ir-ritiate rrtrc'l c<ltrtrol ero\\'th (\Weiss lnc'l Hobson 199.5),end to the c a p r r c i t v o f t h e p o p r - r l r r t i o nt o c o n t r i b u t c s k i l l s a n d i r r i t i a t i v c . S c l t r t cc ( ) n u r c r l t r l t o r s h a v c ' . r l s op o i r r t c c {o u t t h r l t b o t h I ( o r e a l r r d T : r i u ' a l t h a c l r r s t r r e c i as t r r l t e g i c p o s i t i o n c l u r i n g t h e C o l c l \ f l a r , [ - r e i n g n r e r i c a n a l l i c s l A ( ) l t t h e f r o n t l i n e r r g a i n s t C o m r n r - r n i s n . rT h i s a l l o w c r l t l r e n r t c t g : , r i ns p r e c i r r l . r t d v a n t a g c s f r o n r t h e L J n i t e c l S t a t e s , i r - r c l u c l i n ga c c e s s t o m i l i t a r t ' a n c l c l e v e l o p r - t ' t e r:rrti c i , a n d p r c f e r e n t i a l i r c c c s s t o A n r e r i c a n n r a r k e t s f o r t h e r r proclucts, cspecially in thc earlr. stagcs clf gr<llvth. Thc Wesrcrn u,orlci g c n c r r r l l v t u r l r c d r r [ - r l i n c le y e r ( ) t h c [ r l r t t a n t c o p y i r - r g r > f p r o c l u c t s a n d t c c h n o l o g \ r , s o r n c t h i r r g t h a r w o u l c ' l n ( ) r b e r c l l e r a t c c ln ( ) \ v . I{ather thatr supporting onc of thc cxisting moclcls of dcveloprlcnt, r'r t t L r m b c rc l f r c s c a r c h e r s h r r v e s L r s g c s t c c lh a t t h e A s i a r r n r o c l e lo f s r o \ \ ' t l ' r i s i u t f r r c t a c a s c u n t o i t s e l f . ( , h e l r - n e r sJ o h n s o n ( 1 9 8 7 ) h a s g o n c s o f a r a s r o suggcst tl-rat tl-resuccesshrrs becn l-r,rsec-l the cor-nbinatir>nof son'tc of best on f c e t u r e s o f b o t h t h e c a p i t a l i s t a r - r cs o c i a l i s t s y s t c l r s , y c t : r v c l i d i r - r g h c r l e j o r l t Asirru c()n-lprlrics hrlve becn cltergetic ancl c l l t r e p r c n c u r i : r l , h a r . ' ec o n c c l r t r e t e d o r t i n r p r o v i n g t h e i r p r o c l u c t i v i t v l c v e l s , rrttc'lh,tvc bcct.r ltblc to clcvelop new procluct lines altc'l penctriltc ne\\, tlarkcfs, rrsolcler lincs bccome less profitrr[rle. Yet, thc prcvailine eth()soi t h c s o c i c t i e s l - r a sb c c n g e n c r a l l l ' r n r - r c hm o r e c g a l i t a r i a n t h e n i n c o u r r t r i c s -l-herc s u c h a s t h e L J n i t e c lS t a t e s . has bccn qre:lt irttentiolt f() the rrvoidrrncc o f t h e s r o s s e r f o r m s o f i n c o m e i n e q t r a l i t v .g i v i n g a m u c h g r e a t e r s e n s co f , socirrl cohcsion ancl stabilitr'. Ar the sarne tinrc. sonre of the strengths of Inorc ccntrallv plaurrccl econonries r,l'creutilizccl, cspeciallv in thc earlr' s t r r g c s o f c l c v e l o p l ' t l c n t .T l r c s t r r t e r v r r s b o t h r r c t i v c l l t d c f f i c i c n t , a v o i d i r r g t l r c l e t l - r a r - s lr'r n c l w r l s t e t h a t c h u r a c t c r i z c c l t l - r eS < l v i e t s y s t e m . I m p o r t r r n t l v , t h c p o p u l r r t i c > n f c l t t h a t i t r , l , : r si r - r v o l v e c li n r r g r e a t a n c ' l v i t a l n a t i o n a l e r t t c r p r i s e , a t r d r , r ' a s , i l l i n l l f o r , r . o r ke n o n . n o L l s l yh r r r c l : l n d m a k e s a c r i f i c e s u irr the ittterestof future gencrrltions. This is rrot to argue thrrt evervthirrg in Asirr n'as pcrfcct, as thc ()nset of the Asian crisis dcuronstratccl, hon'cver t h c e n o r m o u s s u c c c s so f t h e n - r o d c lc a n n o t b e c - l e r r i e d . B u t t h i s s t - t c c e s s f u l r p e r i c r r c c a n c l t h c l a t c r o n s e t o f t h c A s i r ' r nc r i s i s l c r r c l s e L t st o t r , v o f t r r t h c r c l u c s t i o n s ,b o t h o f w h i c h e r c c o n c c r n c d u , i t h t h c c l u e s t i o n o f t h e e ; r p l r c l b i l i t y r > f t l - r i s n - r o c l e lt o o t h e r p i r r t s o f t h e u n d c r d e v e l o p e c l u'orld. First, sevcral c()mnrentators, as well as policy makers front arctuncl the 'nvorlcl, have r-rrgcd vltrious [Iovcnrnrents to aclopt the Korean or T r r i w a t r c s c t r o d c l s o f d e v e l o p m c r l t , b u t i t i s f a r f r o n - rc l c a r l v h e t h e r s u c h a trrursfer cAn work. As \\'c havc secn., nran!'aspects of the Asian t r r r t t s f o r t n a t i < ' r t 'r r n b e i n t c r p r c t c d a s b e i n g v e r y c u l t u r r r l l v a n d h i s t o r i c a l l v ct spccific. (,ulturrtl vrtlues irr regions such as Afric:l arc far differcnt fron-r rverlkncsscs of crtch. The

The neo-liberaf ascendancy

S i n c c t h e 1 9 8 0 s , c l c v e l o l ' r m e n tt h o u g h t a n d p o l i c v h : r s l r c c n c ] o m i n l t e c l b v r v h r r t h a s b c c o n r e k n o u ' n a s n e o - l i b c r r r l t h < > u g h t ,o r u , h r r t T o y c ( 1 9 9 1 ) h a s crrlle l thc Ner,r. Political Econonry'. Irr p11rt, this hes rcsultecl fronr e c p a r t i c u l a r r c r i d i n g o f t h c i m p o r t a n t A s i a n e x p e r i c r - t c e i e s c r i b e c la b o v e , r r s c o rvcll rrs thc cleclir-ref the depenclcncy nlovenrelrt irs a result r>f criticisnrs 'progressive' from both within and outsidc the s t r r r n c l so f d c l ' e l o p m e n t t l - r o u g h t .T h e r n o v e m e u t r r l s o g a i n e c l m u c h m o m c n t l r m f r o m t h e f a l l o f t h e S o v i c t U n i o n ' , a r - r dt h e c o n s e q L l c r - r t i s c r e d i t i n g o f s o c i a l i s t a l t e r n a r i v c s t o d capitalisnr, u'hich gavc rise to a lnore self-conficlent West u,illing to r e a s s e r t r l r a n v o f t h e e l e m e n t s c l f t h e o l d m o c l er n i z r r t i o n n - r o c l c ( C o l c l o u g h l ancl M:-rnor 1991). Certainlit, there Are nrenv elcments th:rt ilrc a simplc retLlnr to moclernizatior.r''t-rotably the often nnstatccl belicf that thcre is one path to dcveloprnent thrlt all r-rationscrln follorv in a series of strrges.The goals of clevelopment are also portraved :.rs unproblematic, involving a simple l n ( ) v e f f r e n tt o r v r l r d t h c n r o d e r n i t y t h a t i s p o r t r a y c c l a s s o s u c c e s s f u l i n t h e 'W'est. All goocl ibn-res from external sorlrces, with outside norms ancl rnethods being esscntial to tlre breaking dorvn of traclitional barriers to gro\vth. N4any of thc corc mechanisms for grorvth trre :rlso similar to those citecl irr the earlier periocl. Savings rrrtcs ere still :l central elemcnt, supported by foreiglr invr-stmcnr.But thcre arc also sonre intportatrt ncw e l c n r e n t s a n d e m p h i r s e s .I n p a r t i c u l a r , t h e r o l e o f g o v e r n m c n t i s n r L r c hm o r e clearly stateclthan irr thc eerlier peracligrr) or rather the involvet'ncut of government is simply dismissed. Elites ancl politicians, in particular, are l u n i f < > r n - r l t ' p o r t r a y e c ls r c n t - s e e k i n g v i l l a i n s , ' u l ' i l l i n g o n l v t < > o o k a f t e r t h e i r a own narrow intcrestsrather than thegooc{ of thc entire socicty (Toye 1991).

62

Reassesslng Deuelopment Theory

Iohn McKav

63

Thus, rvhile markets nrrry n()t bc perfcct, thcy are p()rtrayecl:rs infirritcly 'kleprtocracy'. p r c f c r a b l c t o g ( ) v e r n m c n t s c o n t r < l l l e c lb y a Incleed, nrarkct failtrres are seen as nlore often resulting from an excess of govcrnrnent intcrfcrencc in the econ()r'nv rather than fronr a clcrrrtl-rof rcgtrlation. G o v e r n n r e n t s e r v i c e s ,e v e n i n c l u d i n g h e a l t h a n d e d u c a t i o n , m u s t b c p a r c c l back in thc intercsts of balancing thc btrdget and crelrting rrn envirot.tt-uent c c x r c l u c i v ct o f o r c i g u i r . r v c s t n r e u tS i r - r - r i l a r l yo r e i g n e x c h a n g e r a t e s n r L r s tb e . f, mlu'ulgccl (i.c., clcvaluccl) to encourrrgc export competiti r,'eness. M a n y o f t h c s e p o l i c y m e A s r l r c sh r r v e b c c n p r o n " r u l g a t c d b y i n t e r n a t i o n a l i n s t i t u t i o n s , r . r o t a b l , v h e I M F , t o c l e a l r . li t h t h e p e r i o c l i c c r i s e s t h a t l - r a v c t p l a g u e c l m u c h o f t h c u n d c r c ' l c v c l o p c cw o r l c l ; h c r - r c c , a n , y o f t h c s c t h c r n c s m l r i l ' i l l b e t r r k e n u p i n n r o r e d e t a i l i n ( , h r i t r ' r t c6 . B u t i t i s a l s o t n l e t h r r t m u c h o f t h e n eo - l i b e r a l c l o c t r i n e i s er - n b c d c l c c li n t h c l a r g e b o c l y ' o f l i t c r l t u r c s l r p p o r t i r . r gt h e n r o v e t o w l r c l s g l o b e l i z r r t i o n , r ' r n c li t i s t o t h i s i n r p r ) r t a n t topic, lrncl to somc Of thc countcr-\roiccs thlrt u,c now trlnr.

l g e n e r a t e c li n t h e p r o c e s s . T h i s p r o l e r i z a t i o n l e c - t o p o l i t i c a l i n s t a b i l i t y t h a t cluickly forcecl nt:w systerrs to be aclopted. In both earlier examplcs, the l o n g c v i t y o f t h e e x p c r i m c n t w ; - l s r . l ( )m o r e t h a n 1 0 - 1 5 y e a r s . T h i s , G r a y argucs, nrciursthat we hlrve not cntcrcd a ncw ancl stable pcriod irr which sl a a n u n p r e c c c ' l e n t e c -e t o f c o r - r d i t i o n s n c l p r o c e s s e sw , i l l r c s u l t i n a p c r m a n e n t r t r a n s f c l r m a t i o n o f a l l i l s p c c t s o f l i f c . R r r t h c r w e A r c s e r ' i n g1 1 e t u n r r o a n o l d a r r c l f a i l c d e x p e r i m e n t ' , a n c l t h i s c r . r r r e n ti n c i l n r r r t i o n i s b o u n c l t o d i s a p p c a r i n t h e s A m c w a y q u i t c c l u i c k l y , e n c l f o r l - r a s i c a l l yt h c s a m c r c a s o n s . ( N o t s u r p r i s i n g l , v , t h e r e n . u . r e n t s) f t h e o l c l c l c p e n c l e r - r c .c h o o l h a v e a l s < r sv c r i t i c i z e c l g l o b a l i z e t i o r r r r s I ' c t : , u r o t h c rm a n i f e s t a t i o n o f t l - r e\ T e s t e r r r d e s i r e d o n r i n a t e l r n c l c x p l o i t t h e u n c - l e r c l c v c l o p c dc o u n t r i e s . P c t r a s r r n d V e l t n r e y e r ( 2 0 0 1 ) h a v e d e n o u n c e d t h e c ( ) n c e p t o f g l o b a l i z a t i o r - r ,a n d t h c jargr)n that has grow,n Lrp rrrouncl it, as An attempt u,icle ranlac of hype ar-rcl to to throw a n i c l e o l o g i c a l v e i l o v c r : . 1c o r - t t i r - t u r r t i o n f a n o l c l p r o c c s s t o o pronr()te the economic and political interests of international capitalisn-r. T h e c r i s t i n g i , v o r l c -o r c l c r i s b c i n g r e - m a d e t o s e r v e t h e g r e c c l , c l e s s i n t c r c s t l rurd desire to increasethe profits of this smrrll group. An import:rnt part of

Globalization and development theory

In the early years of the nerv nrillennium, the central talking point, both l a m o n l a p o l i c v r - n a k e r sa r - r ctll - r eg e r - r e r ap t r b l i c , i s g l o b a l i z a t i o r . r .T h e r e e v e n scems rr gcncral rrgrccnrcl-ltthrrt this r-rew\\,rrve of change is inevitable, ar-rcl t l - r a ta l l r l a t i ( ) n s n r L r s te i t h e r s e e k l v a y ' s o f a c c o m n r o c l a t i n g t h i s n c r v r c r r l i t y or risk irrelevance as the rest ()f the u,orld marches into this glittcring f u t u r e . Y c t , t h e r e i s s u r p r i s i n g l y l i t t l e c o n s e l r s u so n e x a c t l t ' r , v h r r t h e t e r m nreelrs.At one level it can sinrply involvc the cxpansion of cconon-ric a c t i v i t i e s s u c h l s t r a c l e a n c l i n v e s t n r e n t ; . l c r ( ) s s r r t i o n a l b o u r - r c l a r i c sB u t i t i s n . f r e c l u e n t l y u s e c l t o h i g h l i g h t c l o s c r c c o r . r o r . r . riirc t c g r r r t i t ) n , g r c e t e r p o l i c , v r r c f o r m a r - r c lo p e n n e s s , : i 1 1 c l g r e a t e r i r - r t e r c l e p e n c l e n cb c t w e c n c o r - r n I r i c s . c N 4 o r c c o n t r o v c r s i a l l , r . ,t h c t e r m h r r s s o n r e t i m e s b e e n n s e c l t o c l e s c r i b e ( o r p r c d i c t ) t e n c l e n c i e st o w a r c l s c o l r v e r g e n c e [ r 1 ' r r l l c o u n t r i c s t o l v : r r d s s i m i l a r p o l i t i c a l s v s t c n - r sl,i f c s t , v l e sa r r c l e r - c n t i r s t e s i n e n t e r t : r i n m e n t o r f a s t f o o d s . G i v e n t h e l o o s e n e s so f t h e c o n c e p r , i t i s n o t s u r p r r i s i r - rtg a t a n u m b c r o f h voices have been raiseclto criticize several of the claims that have been m a d e i n t h e n a m e o f g l o b a l i z u t i o t ' r J o h r r ( i r a y ( 1 9 9 8 )h a s c h a l l e n g e co n c o f . l t h e b r s i c t c n e t s o f t h c s u p p o r t e r s o f g l o b a l i z a t i o n , t h a t t h i s i s r , rn e w e r a involving a profouncl set of changes to many aspccts of global economy a n c l s o c i e t y . R a t h e r , G r a y s u g g c s t s ,t h e r e h : r v c b e e n s e v e r a l s i r n i l a r p e r i o d s bcforc in world history - in the micl-19th century ancl again in thc ycars l c a d i n g u p t o t h e F i r s t W o r l c l W a r i n p a r t i c r - r l a r- w h e n t h e r e w e r e h i g h l c v e l s o f i n t c r r - r a t i o r - r atlr a c l e a n d i n v e s t m e n t . I r - r t h e s c c r r r l i c r c a s e s t h e experiment with ldissez-faire ccononrics proved to be short-lived, p r i n c i p a l l y b e c a u s c o f t h c e x t r c m e l e v e l s o f i n c o m e i r - r e q u a l i t yt h a t w e r e

r t l - r i sp r r o c e s s s t h e r c s t r L l c t L r r i n g f t h e c a p i t a l i s t s t a t e t ( ) s e r v e t h i s n e r v k i n c l o . o f i n - r p c r i r r l i s t nM a n v g r o r l p s h a v c f c l t m a r g i n a l i z e c ' la n c l e v e n e x p l o i t e d b y t h i s p o u ' c r f u l s e t o f g l o b a l f c l r c e s , a n d w c h a l ' c r c c e r l t l y w i t r - r e s s e da n u m b e r o f r n r r s sd c m o n s t r a t i o r - r sa g a i r - r s t l o b a l i z a t i o n a n c - ls o n - ] co f r v h a t g a r e r e g e r c l e c la s i t s k c , v i n s t i t t r t i o n s , t h e W c l r l d T r a d e O r g a n i z : r t i o n , t h c IMF anclthe Worlcl Economic Forum, for cxample. Most dramatically, in t h e r r f t c r m a t h o f t h e l 1 S e p t e m b er 2 0 0 1 t c r r o r i s t a t t a c k s o l r t h e U n i t e c l S t a t e s , t h c P r e s i c l e n t o f t h e W o r l d B a n k o l - r s e r v e c lt h a t i s s u e s o f c l c v e l o p n r e n ta n c l i n c o m c i n c q u a l i t y h a d n o w b e e n h i g h l i g h t c c l i n t h e m o s t trlgic way. The worlcl, hc argucs, carlnot afford to allow thcsc ir-rcqualities t o r e n r a i r . r m u c h l e s s g r o r , v ,o r t h e c l e s p a i ri n t h e T h i r d W o r l c l a r - r c lh e a u g e r , t t h a t t h i s e n g e n d e r s ,w i l l s e r i o u s l y c l c s t a b i l i z et l - r ei n t e r n a t i o n e l s y s t c m . T h i s 'thc t h e m c , w l - r i c hh a s b e e n c e l l c d p o l i t i c s o f r e s e n t n . l e r r t 'w i l l b e t a k c n u p '' itr tnorc clctail irr Chaptcr 6 ir-r ur analysis of the ecor.romic riscs in Africa, o c Asia ancl Lrttin America. T h c s u p p o r t e r s o f g l o b a l i z a t i o n a r g l l e t h a t t h e b e s t c h a r - r c co r g r o w t h i n f t h e p o o r e r c o u n t f r c s r e m a i n s w i r h t h e l i b c r a l i z a t i o r - ro f w o r l d t r a d e a n c l t h e r c f o r n r o f i n t c r n a l . p o l i c i e s . A s r r o t e d i r - rt h c p r c v i o t r s s c c t i o n , m a n y o f t h c argllments used here arc not vcry c.lifferent from those used to aclvance the claim of modernization theory over the last 50 years, although some inrportant ncw elemeuts :rre also apparent. 'Trickle-clown' theory is alive :tnd wcll, arrd is firmly incorporated in the structural adjustment packages forccd on a seriesof crisis-ridden conntries by the IMF. Currently there is livcly debate raging i-rbout the ernpirical evidence on whethcr the gap between rich and poor countries is in fact growing or declining as thc restrlt of thcsc policies. Or-re group led lry mcrnbers of the Llnited Natiorts

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Rcrzssessingl)euelopntent Thcory

lobn McKty

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D c v c l o l - r n r e n tP r ( ) s r l n l n r c i l r g u e s t h r r t t h c g u l f i s g e t t i n g w i c l c r , l r ' h i l c o t h c r s suggcst the oprtr'rosite. Dollar rrncl Kraay (2002) hrrve :rrguccl tl-rat inccluality h , r s , i u i a c t , c l e c r e r r s e c li n c c l L ) 7 5 ,n r a i n l y b c c r r u s co f r a p i d g r o \ v t h i n ( - h i n a s a n c l I n c ' l i a ,r r t r c l ' g l o b r r l i z i r t g ' c o u r . r t r i e s a v e c i o r . r c r u c h l r c t t e r r h r r n o t h e r s . h n Ht>wever, SCvcrrl othcr conulentrrtors havc clLrcsti()lrcc] tl-rescfigures nr-rcl t h e l s s u m p t i o n s b e l r i n c lt h c n r . M o v i n g b c y o n c l t h e s c a r g u n . l c n t s ,A r . r u n r b c r f c l c m c n t s o f a n e w a g c n c l l o f o r c l c v e l o p m e n t h a v c b c c n p r o p r o s c c 'b y s o n r e u , r i t e r s r v h o : r r e r e s p o n c l i n g l t o w h a t t h e i ' s e c ; - t si t . r t t o v r l t i v e l e t n c r r r si n r h e g l o b e l c l e b a t c . T h e r v h < l l c e t't.roclertrizrrtiot.t approacl-r hes l'''censeriously,clucstionecl by those sceking to go bcvt>trcl what thcv regrrrcl rrs i.ln ounrl(>clecinroclcrnist prrrrrclignr. Any r r t t e r l r p t t o i t n p o s e a l r y u n i c l i r e c t i o n r r l < l r s i n g l c p r t t h t o c l e r . , c l < l p n r c lhtt s t r c c e i v e d s o r r e h r r r s h c r i t i c i s m f r o r . n t h o s e r c s e a r c h e r s n s i r - r g 1p o s t - n r o c l e r n 1 T a1'rprorrch. rrrcliti<lnel c()nccnrs for thc tlrings rlcscribccl s() far in this ch,rpter h:rve been rcplaccd f<lr somc by' a rvhole new agenclacorrccruecl u ' i t h k n o w ' l e c l g c , i d e n t i t l ' , m c r . t t . t i n gr n c l t h e l i k e ( P a r fi n 2 0 0 2 , S c h u u r n r r ' r r . r r 2001). Sonre havc gone scl far as to suggcst thar the rvhole clcvel<lprnrcnt p r o j e c t i s n o \ v n r o r i b r - r n c l , r 1 r 1 c lw , e h a v c o r t c r e c l a n e r r r o f ' p o s t clevclol'trncnt' (Srichs I 992b, Rrrhuerna lL)97). Itr part, this irrvolves a n.hole ncw set of concerns into the clebete,but n.lrurv c>f the c>lc'lcr isst-tcsrrre rrlso rejcctecl c>r turnerl on thcir hcacl. The assumptiolr th:rt the trndcr.lcvclclpccl r.r'orlcl call bc trerltcd as .l hotnogcrteons and r-rrrcliffcrentiatcclu,hole is conrpletcll' clisn-rissccl. Thc clcvelopment prrth of rr societl', rrnrl, incleecl,ts cl-roices rbout rhe goals c>f i r c l c v e l o p m e n t i t s c l f , r r r e l ' r i s t o r i c a l l v c o n c l i t i o n c c l , , r n c l h e a v i l i ' i n f l t r e n c e c l[ ' ' ' v t h e p a t t e r n o f i n s t i t r l r i o n s t h r l t h a s c m e r g e c lo v e r t h e y c a r s . W e s h o u l c l n o t reg,rrcl rrn,vset of instittrtions, not ervcrrrhe mrrrkct, :.1s ir-rdisprer-rs,-rble or tl're b e s t c h o i c e - c v e r y t h i l r g c l e p e n c l sL l p o n t h e c o n t e x t r l n . l t h e h i s t o r i c a l l e g r r c y .S i m i i a r l t ' , t h e o v e r r r r c l i i n g b e l i e f i n p r o g r e s s t h i r t c h a r r r c t e r i z e c t h c l modertrist rpprorch hls lreen rcplrrccclfor some bl . greater sense of p c s s i m i s n r o r 1 1 l e s i r et o s i r - n p l ya v o i c l t h c m o s t d a n g e r o u s r i s k s . T h e s t a t e , c regrrrcled bv Inllnl'| for so long rs thc gurrrclirrn or even thc crrtrrlyst of c l e v e l o p m e n t i s l l o w s c e n b v t h i s g r ( ) L r pa s p a r t o f r h c p r o b l e r l . R a t h c r , r h e v a r g u e ' ,< > u rr e a l h o p r ei s w i t h c i v i l s o c i e t y ' a n d i t s s t r t r g g l e f o r e n r a r r c i [ ' r r r t i o r . r . It is civil society rhat musr definc goals, objectivcs anci nrethods. This', of coursc, raiscs sonte serious issuesabout the old methocls of c1evcl<lpmeut a s s i s t a l r c e r r r dt l r e r o l c o f a i c l a n d t h e ' e x p e r t ' . T l r e p r o c c s s o f c l c v e l o p m e n r r is hcre conccivecl as a form <lf cliscourse,one shrrpcclbi. disparities of p o w e r . E s c o h : l r ( 1 9 9 5 ) h a s r l r g r t e c - l a t c l e v e k r p m e n ti s n o t a s e t o f a i m s o r th krrorvleclge hat is grrrdr-rally ncor,cred and acted upon, but an imposcd sct t u of rroltstructs ancl vrtlttes. The Westcnr col-lcern has l-reento wirr mtrrkcts, g a i l t a c c c s s t o r r l w n r a t er i a l s a n d a l , o i d b e i n g s r , r ' a m p e c lb y n r a s s i v e i t r c r e a s e si r r t h e p o p u l r t t i o r . t so f i m p o v e r i s h e c l c o t r n t r i e s . T h e W e s t u ' i t h i t s

' b l i n c i f r r i r h i r r t c c h n o l o g v r ' t n c t lh c c f f c c t i v c n e s s o f p l r r r r n i n g h a s t r c a t c c i t h c T h i r c l W o r l c l r r s a c h i l c l i t r s r c a t t r c c c l o f g t r i c i a n c c .T h u s , t h e d i s c o u r s e o f . l c v c l o l ' r t ' n c n c r l n b e c t t v i s r r g e ce s : - r r v c b o f t r - r t > w ,rc rl : r t i o r - r sr r l v h i c h s o n r c f l c i rccl. The p()()r are scen ls thc rccl irrc ct-r-rporve ancl others cliscnrporn,e r p r o l , l e n r r o b e s o l v c c l b 1 ' t h e e x p c r t s r , r , ' h or r c r r b l e t t > b r i r r g p r o g r i l m r l c s f o r s o c i , . t lc l c v c l o l ' r n t c n fo r \ \ ' h i r r c v c r . A c c o r c l i n g l - v ,t h i s heelrh cAre, ccluclrtiotr, school rrrlllres thrrt all crrrlicr cateeorics of clcvclopntcnt thinking hrtve c f e l l c n i n t < > l r e t r r r l - r > fp r r t e r n l l i s n r , o r r v h a t i s n o l l < > f t e n a l l c d ' t n r s t c c s h i t r r ' t ( C < r r v e r ; . r n cS l - r e n t o t r 9 9 6 , P l : . f i r t 2 0 0 2 ) . T h e l i t r o f c l c v c l o p n r e n t r r l u s t b c r 1 l to escrlpc fron.r th is trrrp rrncl to re flcct thc re al ne ecls rn.l gorrls of tl-re p e o l - r l ci n r ' < l l ' n ' c t r r,l t h o u g h i t i s f r r r f r o n r c l c a r h o n ' r l ' r i s i s t o b c r r c h i c v c c l . 1 A n o t l r c r i n r p o r t a n t e l e n r c n t i n t h e c r l r r e n t c l c b a t ec o n c c n r s t h e r o l e o f . l i f f c r c n t k i n d s o f 1 - r o l i t i c a l r r n r - l c c o t r o r l i c r e g i n . t c s i n c r . r c o u r r r g i t r g( ) r ' i n h r b i t i n g s r ( ) \ v t h . T h e s e ( l L l c s t i o n sr e l r r t i n g t o i n s r i t u t i < l n sr u r d c c ( ) n o r l i c c l e v c l o p r n c n t i ' t r c i n r p o r t a r r t a n c ' lt i r r r c l r ' , e l t h o u g h f a r f r o r n r c s o l v c d . N o t surirristnglt,, tl're ncr>-libcrel nrrrin\n'ciur.llques thrrt \ilcstcrrr-stt'le c - l c r n < l c r a c l ' i se s s e n t i e l t o p r o g r c s s , r r l t h o u g h s ( ) n r e i r r r c r c s t i r r gc ( ) L r n t c r (sec, for cxrrnrplc, Claguc lgg7). Not irrsunrents rlre n()\\'tppetring s u r p r i s i r r u l ) ,g i v c n ( ) L r re r r r l i e rc l i s c u s s i o n n ' r u c h< l f t h c c o L l n t c r e r g u l - n e n t s . , i c o n r i t r g f r o t ' n A s i r r n c o r - r t r t r i c su ' h i c l " rs e e t h c r . r r s e l v ca s b c i n g s u c c e s s f u l[ r u t . s not nccess;rrilv fr>llou'ing convcnti()nrrl ()r \\tcstcnr rloclcls. In r-ur of itttcrcstingne\\'stucl)', St'lvie C.hen (2002) rlrgucsrhrrt rlrc conrnon lrrbel 'liber:rl c ] e n r o c r , r c r "c o n t r t i n s n r ' o d r f f c r c n t e l c r - r r c n t sh a f n r a v i n f r r c t b c t

c < l n t r , t c l i c t o r \ 'i,. e . , r - r - l l 1 n r ' <t lh < > s c ' l r o l r c s t r o u g c s t i n t l r c i r s u p p o r t o f i u c c o n ( ) n r i c l i l r c r a l i z a t i o n r r r c , i n f . r c r . . 1 L r i t co 1 - r 1 - r o s co ] n r a n y r l c n r o c r r r r i c tc i r i e e l s . 1 - h u s , s h c r r r g u e s )w c n e c c ' t o c l e c c l n r l - r o s h e r , r , h r > ln ( ) t i o n t l - r a ti s a t l te c rhc ccntrc oi the treo-libcrrrl rreencle.Sirnilarlr'. rr,heu \\'c trlnr t() the rllrcsfion of n'hcthcr it is conclucivc t() sro\\,tlr, she suggcsts u'c neecl t<r 'libcrtr'' - (c()n()ntic, o recogtriz-c lr ()nc siclcrhrec kcv elcnrents of cit,il :rtcl l t o l i t i c a l l i b c R l ' - r u r c l t h r c c k e 1 ' c o n c l i t i o n s t h r r t r l c c c l t o b e r r c h r c v e c lt < r - sccuritt', st,tbilitl', rlncl opcrutcss and infot'tttLttion. After lrrcrtrcrtc gro\\'th survet'ins rhc Asirrn gro\\'th erpcricnce shc conclu.lcs rhar such libcrtics r l l r d ( ) L r t c o n r c s r t v e i n f r r c t l r e e n a c h i e v c c l u n c l e r n r t t i o r - r , -s l s t c r r - r t h a t r t r e h rv s n o t c l c t " n o c r r r t i c ' . ,ti hrc W c s t e n r s c n s c . D c v c l o p n r e n t r n r r , vw c l l b c 1 - r o s s i b l c r u s i n g r r l t e r t t r r t i v er c g i t - t t c s r n c l t t r < l c l c l sh r t a r c n r ( ) r c c ( ) n g r u c n t n ' i t h l o c r r l r t c o n c ' l i t i o n s ,h i s t o r i e s a n c ' li n s t i t u t i o n a l f r , r n r c r , l , o r k s .

Concfusion
\We havc secn thirt tlrc historr of thinking :rbout cicveloprncnt is rich ancl vrrriccl, encl n'itl-r rr strong trlrclition of vigorous rlclrrrtc. Wc lt,'rl.cfollor,vecl t h e n r : r i n l i n c s o f t h i s c l e b a t e f r o n r 1 9 4 . 5t o t h c p r e s u r t c l a l ' l i n c l s c c l t h t t r n ,

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Rerzssessing Deuelopment Theory

ccrtaili icleashavc rvaxed iulcl w:lnecl in populrrrity, and thcn sonletimes r c t u r n e c l i n a s l i g h t l y n r < > d i i i c cflt > r n r i n r r l a t c r p e r i o d . B u t ' u v h a t i s r e a l l y striking is hou' little has really charrgedin both the theorctical debates and i r - rt l - r ec o n s t r u l c t i o n c l f p o l i c i c s . T h e r e a r e s t r o n g s i r n i l : r r i t i e s b e t r v e c r l t h c m o d e r n i z a t i o t r t h e o r i e s o f t h c 1 9 . 5 0 s n d t h e c l r r r e l r t s t r u l c t u r : 1 1 c lj u s t n r c n t a a p r e s c r i p r t i o r r so f t h e I A T I F . I n t h e s a m e w r f ' nrany clf the concepts put f o r w a r d l - t y t h e c l c p c n d e n c y s c h o ( ) l i n t h e 1 9 6 0 s r l r e s t i l l w i t h r - r s .S o n r e f e a t u r e s h r r v e b e en r e f i n e c l , r n . 1 r e u ' c > r k e d , b u t t h c b a s i c p o i n t s a b o u t t t t - t c c l u ap o w c r a t r c l t h e e x p l o i t a t i o n o f t h c p o o r c o u n t r i c s r c m r r i n . T h c l phenonrcnot-t of globaliz:rtion is seen bv sonre rrs adclrng some ncw c l i m e n s i o t - t s ,b t r t f o r m o s t p c o p l e i n A f r i c r l o r A s i : r t h e r e a l i t i e s a n c l harclships of every'day life renrain prctt)'mucl'r thc same as cvcr. l ) c v e l o p n r c n t i s c e r t a i n l y l r b o u t p o w e r , : r n d t h e p o o r h ; . r v e ,a s a l w a y s , l i t t l c o r n o p ( ) w c r e i t h c r t o s c t t h e i r o r v n g r > a l so r t o n r o b i l i z e t h e r e s o u r c e s Ireedecto achieve them. l