Class Handout 3 Development
Class Handout 3 Development
The term development is very vast in its meaning and definition. Different schools of thought have
emphasized different dimensions of development. However, it has been fundamentally defined as a
process of change that involves the whole society- its economic, socio-cultural, political and physical
structure, as well as the value system and way of life of the people.
The concept of development has subjective evaluation, and objective empirical meaning.
From the former perspective, it can be viewed as a process of realizing certain goals or values such
as-
- better nutrition,
On the other hand, ‘more developed’ and ‘less developed’ countries can be comparatively studied,
and the empirical differences between them can be used to illustrate the meaning of development.
In his book ‘Doctrines of Development,’ Cowen and Shenton have analysed various interpretation of
development and defined development as-
- a process of enlarging people’s choices;
- of enhancing participatory democratic processes and
- the ability of people to have a say in the decisions that shape their lives;
- of providing human beings with the opportunity to develop their fullest potential;
- of enabling the poor, women, and ‘free independent peasants’ to organise for themselves
and work together.
The modern concept of development is not very old. It emerged in the lexicon of economics after
the Second World War. But even before it, classical debates of growth, progress and evolutionary
change of society laid the basic foundation of modern concept of development. We have already
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discussed evolutionary change of society. So here, we will discuss growth and progress first, and
then the modern concept of development.
The economists who supported this model argued that economic development alone is an
instrument of social transformation, and that economic development through market mechanisms
would ultimately pull the country out of the quagmire of poverty, and in the long run it would
benefit everyone in the society.
The prophets of this model kept reiterating that economic growth is an indispensable condition for
development. Many third world countries, including India also vigorously pursued this model for
their development. But these models seemed to have become ineffective after some time.
The increased GNP benefited the top echelons where as the rest of the population remained largely
unaffected. Soon most of distinguished economists and Social Scientists of the third world countries
challenged the bias of these Western models of development.
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Modernization theory of development is a theory which explains the process of modernization by
which a society develops from one stage to the other, traditional to modern or underdeveloped to
developed.
(c) Change in Energy Consumption: Move from animal energy to big machines.
(d) Change in Demography: Move from rural to urban area, from joint family to nuclear family.
Samuel P. Huntington: Huntington’s view is concerned with a different approach which analyzes the
relationship between democracy and development with respect to the modernization theory. He
calls this view the “Grand Process of Modernization”.
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Dependency theory evolved in the late 1950s as a criticism of earlier theories of development,
specially of the modernization theory. The basic emphasis of this theory is to focus upon the
process by which underdeveloped countries are getting more and more impoverished and
dependent upon the developed countries. Dependency theory rejected the propositions of
Modernization theory by arguing that the condition of underdeveloped countries is very different
from the developed countries. Every country has unique circumstances, different socio-economic
structures, cultural heritage as well as human and natural resources.
World system theory is an approach that seeks to explain the dynamics of the “Capitalist world
economy” and social change. This approach refers to the entire world system as the basic unit of
social analysis. World system refers to the international division of labour, which divides the world
into three categories-
- core countries,
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The world system theory has been developed by Immanuel Wallerstein.
World System Theory emerged in the mid 1970s as a counter theory for the modernization theory.
World system theory criticized the modernization theory on the basis of the following points-
(b) Modernization theory favours a common path of development for all countries which seems
irrational.
(c) It disregards transnational structures that constrain local and national development.
For Wallerstein – World system economy is a set of mechanisms which redistributes resources from
the periphery to the core. Here the term core refers to the developed countries, the term periphery
refers to the underdeveloped regions of the world which only produce cheap labour and raw
material for the developed.
According to Wallerstein, in the current capitalist world economy, core countries are exploiting the
periphery. The prominent aim of the world system theory and also of Wallerstein is to focus upon
the exploitation of the periphery in a capitalist economy at the first place. Secondly, to present a
multidisciplinary approach, which analyzes the whole world system as a unit. Third, to present an
alternative model which may replace the previous theory.
1. The enormous growth of N.G.O. in number and influence generates a growing demand for
strategy and therefore theory.
2. The importance of environmental concerns and sustainability has weakened the economic
growth paradigm and given a boost to alternative and ecological economics.
3. The glaring failure of several development decades further unsettles the mainstream
paradigm of growth.
The concept of Social Development was also part and parcel of alternative development. The
concept of social development emphasizes on the “quality of life” as the factor affecting social
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well being, for example, the ability of every human being to satisfy his/her basic needs and
achieve a satisfactory quality of life within the environment of equity.
(2) Development should be human-centred and broad-based creating equal opportunities for all to
participate fully and freely in economic, social, cultural and political activities.
(3) People are the end and not the means of economic progress and development.
(4) Economic growth should subserve the cause of social development and ensure that development
has a human face.
(5) Social development and economic progress are mutually reinforcing. Social development helps
reduce economic inequalities and bolsters economic growth; equitable growth creates jobs and
reduces poverty.
Mahbub ul Haq and Amartya Sen were pioneers of this debate. Mahbub ul Haq devised Human
Development Index (HDI) which has been used since 1990 by United Nations Development
Programme (UNDP) for its annual Human Development Report.
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The HDI was constituted in three steps. In the first step, a measure of deprivation that a country
suffers in each of the three basic variables, were included. Life expectancy, literacy and real GDP per
capita were defined. The deprivation measures then put a country in the range of zero to one as
defined by the difference between the maximum and the minimum. The second step was to define
an average deprivation indicator. This was done by taking a simple average of the three indicators. In
the third step, HDI is measured as one minus the deprivation index.
Amartya Sen, in his seminal work ‘Development as Freedom’ defines development in a new
framework. According to Sen, development can be seen as a process of expanding the real freedoms
that people enjoy.
Post-development (1990):