• Join over 1.2 million students every month
  • Accelerate your learning by 29%
  • Unlimited access from just £6.99 per month

The issue of globalization has been an ongoing process that raised many questions in the world. It is indeed a complex subject that is examined in many different perspectives.

Extracts from this document...


The issue of globalization has been an ongoing process that raised many questions in the world. It is indeed a complex subject that is examined in many different perspectives. Globalization, the integration of international economy, is no doubt a liberalistic idea. Not only is the emergence of this idea debatable, its consequences and its effects are tremendously important. To fully understand globalization, one must analyze the aftermath of this movement. During the 1960s, several theorists began to analyze the consequences of globalization. It was evident at that time that the rise of international inequality increasingly divided the world into two parts: the development and underdevelopment. Therefore, I will examine the different explanations of how development and underdevelopment countries occurred and how the later developing countries can successfully develop. To do so, I will use three different theorists, namely Rostow, Wallerstein, and Gerschenkron. With a liberal perspective on development, Rostow sees the necessary conditions of economic development as set stages. He identifies it as the preconditions for take-off and the take-off. This theory puts all countries on a unilateral path and assumes that all societies go through 5 stages of economic development. ...read more.


This leads to a process of capital accumulation at a global scale. Politically, Wallerstein mentions that nation-states as variables. States are used by class forces to pursuer their interest, in the case of core countries. Imperialism refers to the domination of weak peripheral regions by strong core states. While hegemony refers to the existence of one core state temporarily outstripping the rest. Hegemonic powers maintain a stable balance of power and enforce free trade as long as it is to their advantage. However, hegemony is temporary due to class struggles and the diffusion of technical advantages. This is what Wallerstein considers as internal contradictions. This contradiction will eventually trigger change. In order to move a country's status from the periphery to the core, Wallerstein proposes import substitution as a solution. Import substitution is a phenomenon that responds to external disruption of trade by domestically producing substitutes for those goods previously imported. This is a policy that the governments in less developed countries may use to undertake industrialization and structural changes. Wallerstein's theory is one that is contrast to Rostow. While Rostow believes that all countries have the potential to go through economic development through the five take-off stages, Wallerstein supports the core and periphery to create globalization. ...read more.


Its core-periphery model fits the model of globalization. Sadly, the theory is written in the interest of the international economy and assumes that exploitation of developing is needed. Developing countries' only way out of the periphery is to create social change and accumulate capital or foreign investment. Gerschenkron on the other hand, brings hope to the developing countries. It persists that countries can develop through a process of catching up. Additionally, there are benefits to this catching up as mentioned above. Moreover, we understand that there are multiple paths to development (unlike Rostow). One thing that must be kept in mind is the time constraints. The process of development is taken in a course of 20-30 years. The hope for possible successful development for any country cannot be explained under one theory. Theories are ideal types that can be used as a model. However, theories do not apply to every country. Gerschenkron understands that different countries have different conditions. This means that certain available resources, geographical location, and relations in the international economy will lead countries to develop in different ways. It is important to remember that we can only take the theories and adapt its advantages that will apply to specific countries but not assume it works for the world as a whole. ...read more.

The above preview is unformatted text

This student written piece of work is one of many that can be found in our AS and A Level Global Interdependence & Economic Transition section.

Found what you're looking for?

  • Start learning 29% faster today
  • 150,000+ documents available
  • Just £6.99 a month

Not the one? Search for your essay title...
  • Join over 1.2 million students every month
  • Accelerate your learning by 29%
  • Unlimited access from just £6.99 per month

See related essaysSee related essays

Related AS and A Level Global Interdependence & Economic Transition essays

  1. Economic Growth & Development Questions and answers.

    Other indicators used are less scientific, but nevertheless can still help gauge to what extent a country is developed, for example, access to services, percentage of people with access to safe water & resources. It is also necessary to consider access to services such as electricity and medical care, as

  2. Consider the Defining Features of Dependency Theory and distinguish its Major Variants. Discuss the ...

    The wages of technicians, managers and specialised workers, although not directly determined by productivity, are incomparably higher than those earned by peasants or workers employed in traditional sectors. Hence, industrialisation in the periphery increases disparity of income among wage earners accentuating what has been called in Latin America the "structural heterogeneity"3.

  1. Can developing countries ever catch up with developed countries

    While some neo-Gramscians reject the idea of a world system because of the crucial transnational role of classes and social forces, they share World Systems Theory's scepticism towards state-centred development approaches, suggesting that poverty and crisis are built into global capitalism.

  2. Development of the leisure and recreation industry

    The fact that visitor numbers to museums are increasing seems to have a correlation to the withdrawal of the enterance fees that profit orientated museums charge, as now museums are slowly but steadily withdrawing these fees the visitor numbers will increase.

  1. Examine the causes and consequences of the rise in manufacturing in NICs

    in NICs, however it can be concluded that the two most important were the effect that the Fordist approach to industry which was widely adopted in the USA and Western Europe had after a sustained period of time. Market saturation and thus the need for a cheaper way of production, fuelled the shift to the NICs such as South Korea.

  2. Discuss the alternative methods that developing countries might use to overcome the difficulties that ...

    have not been entirely successful as they frequently come under opposition on the grounds of religion and culture. When countries experience economic development there is usually a time lag before population growth slows. In the short run population may accelerate as infant mortality falls due to improved health care.

  1. What is Dependency Theory and how does it apply to development?

    Underdevelopment refers to a country in which resources are being used, but used in a way in which benefits the dominant states and not the states in which the resources are found. 2. The undeveloped countries are not "behind" or "catching up" to the developed countries of the planet.

  2. Assess the view that the relationship between superpowers and the developing world is a ...

    This dependency on the World Bank is another way of promoting underdevelopment in the developing world. There are also patterns of unfair trade between superpowers and LDCs. The world trade system is essentially a western ?free trade? one with the USA and the EU being very influential across the world.

  • Over 160,000 pieces
    of student written work
  • Annotated by
    experienced teachers
  • Ideas and feedback to
    improve your own work