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ROUTLEDGE LIBRARY EDITIONS:

DEVELOPMENT

DEVELOPMENT THEORY
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DEVELOPMENT THEORY
Four Critical Studies

Edited by
DAVID LEHMANN

Volume 104
First published in 1979 by Routledge
This edition first published in 2014
by Routledge
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Simultaneously published in the USA and Canada
by Routledge
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© 1979 Taylor & Francis

All rights reserved. No part of this book may be reprinted or reproduced or


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ISBN 13: 978-0-415-58414-2 (Set)


eISBN 13: 978-0-203-84035-1 (Set)
ISBN 13: 978-0-415-60208-2 (Volume 104)
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points out that some imperfections in the original copies may be apparent.

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DEVELOPMENT
THEORY
Four Critical Studies

Edited by

David Lehmann

FRANK CASS
First published 1979 in Great Britain by
FRANK CASS AND COMPANY LIMITED
Gainsborough House, Gainsborough Road,
London, E ll IRS, England

and in the United States of America by


FRANK CASS AND COMPANY LIMITED
c/o Biblio Distribution Centre
81 Adams Drive, P.O. Box 327, Totowa, N.J. 07511

Copyright © 1979 Frank Cass & Co. Ltd.

ISBN 0 7146 3094 2 (Case)


ISBN 0 7146 4029 8 (Paper)

A ll Rights Reserved. No part o f this publication may be


reproduced by any means, electronic, mechanical,
photocopying, recording or otherwise without the prior
permission o f Frank Cass and Company Limited in writing.
Contents

P reface vii

I n t r o d u c t io n David Lehmann 1

T h e M e a n in g o f D e v e l o p m e n t ,
W it h a P o s t s c r ip t Dudley Seers 9

A C r it iq u e o f D e v e l o p m e n t E c o n o m ic s
in t h e U.S. E. Wayne Nafziger 32

M o d e r n is a t io n , O r d e r a n d t h e E ro sio n o f a
D e m o c r a t ic I d e a l Donal Cruise O’Brien 49

S o c io l o g y o f U n d e r d e v e l o p m e n t versu s
S o c io l o g y o f D e v e l o p m e n t ? Henry Bernstein 77
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Preface

Over the past few years the Journal of Development Studies has published
several articles which, taken together, represent a substantial critique of
the theories and approaches which pass for orthodoxy in the study of
development and underdevelopment. We have therefore decided that these
articles should be published together and the articles by Donal Cruise
O’Brien and Wayne Nafziger, published first in 1972 and 1976, are re­
printed in their original form. Dudley Seers has added a post-scriptum on
the ‘New Meaning of Development’ to his ‘Meaning of Development’,
published in 1972. Henry Bernstein, whose ‘Modernization Theory and the
Sociological Study of Development’ dates from 1971, has written a com­
pletely new piece for this volume, which now presents a Marxist critique
of both the ‘conventional sociology of development’ and the ‘radical
sociology of underdevelopment’.
D a v id L e h m a n n

v ii
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Introduction*

The essays published in this volume, taken together, constitute little less
than an indictment of twenty or thirty years of theory and practice in the
economics, sociology and politics of development. Or so it would appear.
Further reflection would remind us that the indictment is almost exclusively
directed at Anglo-Saxon theories, that those theories do have their de­
fenders, but above all that the study of development is potentially one of
the most creative areas in social science today, although, at the level of
theory, that potential has still largely to be realized. The reasons for this
can be sought in the relationship between ‘development studies’ and the
development (or lack thereof) of social, economic and political theory in
the period since the Second World War.
The mainstream concerns of development theory as described and
criticized in these pages are not different in fundamental ways from the
concerns of the ‘founding fathers’ of social science in the eighteenth and
nineteenth centuries. Evolution, the division of labour, industrialism, class
conflict and social cohesion, the conditions for the emergence of capitalism,
the relations between state and civil society; the relations between theory
and practice, and between the scholar and politics; and in economics, the
‘optimum allocation of resources’, the concept of comparative advantage
and the theory of international trade, and the terms of trade between
industry and agriculture. There are also echoes of nineteenth century
Russian debates, between slavophiles and westernizers, between populists
and marxists. This is hardly surprising, for the development of social
science in the last century was in large part an effort to interpret the
process of industrialization, and industrialization is a central concern of
the study of development, even among its opponents. Whether this
element of continuity between the traditions of social science and the
theory of development testifies to sterility and stagnation, or to the abiding
nature of the founding fathers’ concerns is not clear, for other features of
the relationship do testify to a questioning of or at least a departure from
those same traditions—at least in the form in which they have been ‘given
and inherited’ and passed on by modern sociology and economics. The
ambiguities of the relationship are numerous, and we shall see that the
‘critical’ element in development studies can also be viewed as a reflection
of criticisms of a purported orthodoxy which range across all the social
sciences. It is merely unfortunate that what starts out as radical questioning
tends so often to end up as a restatement, occasionally in ever-more-
obscure language, of time-honoured formulations.
The study of development began in an era of optimism and growing
prosperity for the advanced countries, and that climate is reflected in the

*1 am grateful to John Toye for comments on an earlier draft.

1
2 DEVELOPMENT THEORY

subject’s early concern for evolution and stability. Within a short space of
time, however, it has fathered a radicalism which, in part at least, reflects
the peculiar political involvement of social scientists in the political life of
underdeveloped countries, as well as more general challenges to orthodox
social theory—an orthodoxy which must rank as one of the shortest-lived
in the history of social thought, having been removed from a position of
hegemony to one of merely powerful influence in twenty years. It does not
require an inordinately deep reading of the essays in this book to grasp a
strong undercurrent of policy, or, better, political issues ; it is difficult to
believe that the authors would have been moved to make their analyses
had they not felt at the time deep dissatisfaction with patterns of develop­
ment they had observed, and had they not wished to discover a more
egalitarian and autonomous pattern for the future. This concern and
involvement which lie so close to the surface of writing on development
problems are not a defect but a virtue, and are one (but only one) element
which makes the subject so potentially creative. In advanced societies
intellectuals rarely have easy access to the well-established policy-making
machines, or to the closely knit networks of civil servants and apparatchiki
and the politicians who are so heavily dependent upon them (Wildavsky
and Heclo, 1974). Intellectuals are not, for those who occupy positions of
power, a sensitive political group. In underdeveloped countries, in contrast,
intellectuals are highly sensitive, and both local and foreign social scientists
are taken seriously, if only to repress them ; they may not ultimately have
much independent influence on policies, but they do take part in the
discussion of policy. Occasionally, as when they act as emissaries of some
international institutions, their influence is substantial—for better or for
worse. The involvement of social scientists in a far more ‘wide open’ arena
than that available to them in the policy-making apparatuses of advanced
countries, draws them into political and intellectual confrontations from
which they are protected both in the groves of academe and in their forays
into the predictable world of government administration and consultancy.
The opportunities and consequences are not unambiguous. The oppor­
tunity to ‘advise a government’ in a poor country may yield illusions of
grandeur, resulting in the application of dogmatic models by professionals
who are not willing to assume the responsibility for the political impli­
cations or preconditions of their advice. Evidently, governments choose
advisers whom they find politically congenial, and to some extent
whose advice they can safely predict, but this does not convert the
adviser into an agent without responsibility. There are some quite frighten­
ing examples of technocrats’ political ventriloquism: the prescription of
draconian stabilization policies is an obvious example. The economic
strategy followed by General Pinochet with the support and advice of
Professors Harberger and Friedman and their pupils illustrates the
thinness of the line between naivety and cynicism. Inverse examples are
found in a progressive technocratism which advocates egalitarian policies
in countries where the political conditions for their adoption are scarcely
conceivable in the foreseeable future. Thus the ILO reports on employment
to which Dudley Seers refers in his post-scriptum on the New Meaning of
Development, and the pessimism of Clive Bell in his chapter on politics in
the World Bank’s Redistribution with Growth (Chenery et al. 1974). In
Cuba, where ‘progressives’ might have found a more receptive audience,
Charles Bettelheim, Ernest Mandel and, in a different vein, René Dumont,
INTRODUCTION 3

spoke to deaf ears—though there is some evidence that Dumont’s Is Cuba


Socialist ?, vilified in public, was carefully noted in private.
The drawback of concern with policy is that it may attract attention
away from wider theoretical issues insofar as it encourages research to
concentrate on problems defined by national or international bureaucracies
in terms of their definition of situations or their ideological or propagand­
ists requirements. (Note the dizzy succession of fashions which plagues
the field: industrialization, employment, income distribution, basic needs
etc. etc.) But it is not at all clear that exclusively theoretical reflection has
yielded many returns either, as witness the inapplicability of ever more
sophisticated planning models, or the arrested development which, as
Henry Bernstein shows, has been the fate of ‘dependency theory’ (see also
Leys, 1977). It is also instructive to return to Jonathan Levin’s classic
Export Economies, published in 1960, which says in a calm fashion,
adducing a mass of Peruvian and Burmese evidence, most of what
structuralists and dependentistas have subsequently said in more thun­
derous language.
Little work on development is today conducted outside university and
national or international bureaucracies. The age of unbureaucratized but
highly political dissidence is passed, but it is not clear that today’s more
‘professional’ environment, which to some extent protects and legitimizes
dissidence, produces better results. However strong his political inspiration,
the social scientist working in a university or bureaucracy is inhibited from
stating the political strategies entailed by the policies he or she produces.
The political ventriloquism of the right is mirrored on the left. For
example, it is asked how international institutions and banks could be
persuaded to finance redistributive economic policies, and these insti­
tutions are heavily criticized for boycotting some left-wing governments;
but a more realistic approach, based on harsh experience, to this question,
would assume that these institutions (which finance so many intellectuals-
cum-experts) will be at best indifferent to the pursuit of redistribution in all
but very exceptional cases and that the international climate as a whole
will be hostile. A second example concerns the internal implications of
redistribution: frequently, redistribution, or its attempt, generates an
inflation which threatens to reverse the entire process as well as provoke
the overthrow of the government which impelled it; the use of rationing in
order to prevent such a reversal requires a degree of centralization of
economic control and of political mobilization rarely considered in policy
blueprints. Beyond questions of strategy, the absence of political theory in
the discussion of development is particularly noticeable. The experience of
underdeveloped countries may cast doubt on the assumptions of Western
social theory, but this is as nothing compared with the havoc it wreaks
with the normative concepts which underlie our political institutions.
The study of development is not the most prestigious in the social
science profession. Not infrequently it is confined to ‘area studies’ where
interdisciplinarity, which has a low professional esteem, fails to achieve its
promise. The results too often are ‘undisciplinarity’. The institutional
organization of social science contributes to the fossilization of theoretical
models; this, plus the relegation of interdisciplinary work to a low status
inhibits the cross-fertilization called for by development studies. The
difficulty does not lie entirely at the level of disciplines, for the boundaries
between them are ultimately founded upon models of social action and
4 DEVELOPMENT THEORY

human behaviour, and barriers of communication between disciplines


may well be underlain by barriers of communication between different
theories. Interdisciplinary barriers do not appear insurmountable, for
there are marxist sociologists and marxist economists, there are perfect
competition models of politics as there are in economics. (Toye 1976). But
the institutional organization of disciplines surely endows the bearers of
orthodoxy with the power to deny respectability to critical activity and
thus confines it to the institutional underworld of dissidence where,
concentrating its energies on tasks of destruction, its growth is stunted.
Meanwhile, the study of development is in danger of becoming a ghetto in
which embattled ideologies pursue their mutual destruction without
offering any prospect of the proclaimed ‘new synthesis’.
The authors of the theories criticized in these essays are not prominent
students of the development process, but rather prominent social scientists
who have conducted ‘forays’ into the field. Few of them have conducted
any sustained empirical research in a poor country. Modernization
theories are adaptations of a specific reading—Talcott Parsons’ reading
expounded in his Structure of Social Action—of Weber and Durkheim.
One writer who places himself in that same school and yet has made a
major contribution to the understanding of social processes in an under­
developed country is Fred Riggs, who spent many years in South-East
Asia. Riggs’ remarkably perceptive ethnography of bureaucratic and
political power (see Cruise O’Brien’s essay) survives even his own attempts
to force his interpretation into a structural-functional framework by using
the terminology of optics (see the first hundred pages of Administration in
Developing Countries: the Theory.of Prismatic Society.) A similar exception
is Robin Luckham’s study of the Nigerian Military, which stands out
among studies emerging from the model of professionalization first
developed and later propagated by Morris Janowitz. Luckham’s dissatis­
faction with that approach has since led him to develop a marxist theory
for the study of the military and the international weapons trade (Luckham,
1977).
Among marxists the divorce between theoretical development and
empirical research is no less observable. Established in opposition to an
orthodoxy which may reflect the prejudices and interests of the powerful
but has had little ultimate intellectual success, the modern marxist critique
has attracted many adherents as a critique; but as the basis for empirical
investigation or of policy it has yet to yield results.
The empirical work which most inspires marxist critiques is that of
historians such as Barrington Moore, Eric Hobsbawm and Perry Anderson,
or that of non-marxist, though also non-neo-classical, economists who
have laid bare the operations of multinational corporations (Vaitsos,
1973; Vernon, 1973), or who have undertaken detailed work on the
relationship between income distribution and growth (Fishlow, 1972;
Bacha and Taylor, 1978; Kuznets, 1955). In policy, marxists have recourse
to the Soviet industrialization debate, which may be considered the first
modern debate on development policy (Erlich, 1960; Lewin, 1968;
Preobrazhensky, 1965) or to current Chinese experience (Paine, 1976)
expressed in a language far removed from the abstractions of dependencia
or the conceptualization of modes of production (Hindess and Hirst, 1975).
The Soviet debate, which finds later incarnations in Indian debates about
the relations between agriculture and industry (Byres, 1974; Lipton, 1977;
INTRODUCTION 5

Mitra, 1977) is certainly one of the most fruitful in development studies,


and one of the rare cases in which a marxist approach to the formulation
of questions casts more light on policy-makers’ problems than do other
approaches (see my review of Lipton, which tries to show that urban-
rural relations are better formulated in marxist terms than in neo-classical
ones, Lehmann, 1977).
Returning to the level of theory, it is possible that the polemics in
development studies are reflections of arguments being conducted in the
social sciences as a whole. It is not correct to claim that the various
orthodoxies are challengeable only because they are ‘inapplicable’ to
underdeveloped countries. There may be many other reasons. If it turns
out that what is wrong is the general social or economic theory on which
theories of modernization or economic development are founded, then
the theory of development becomes an academic issue. One might there­
fore ask whether the study of society and economy in underdeveloped
countries requires or can produce a theoretical apparatus with the follow­
ing characteristics:

(a) which provides a comprehensive framework for the analysis of social pro­
cesses resulting from the incorporation o f new territories, societies and
polities into the world economic and political system, and
(b) which includes enough variables on which to base explanations of variations
observed in this process o f incorporation.

It is surely enough merely to state this agenda in order to realize that any
theory of development which is neither teleological nor functionalist is
highly unlikely to succeed. It is therefore hardly surprising to note the
strong element of teleology in many theories of development, even in those
which profess an opposition to teleology and functionalism. One must
distinguish, as Henry Bernstein does, implicitly, between the hitherto
unfruitful theories of development and theories applied to the study of
social and economic structures of underdeveloped countries. It is in the
attempt to draw from the tradition of social science (as interpreted by
Parsons) a theory applicable to the Third World as a whole and to the
totality of social processes within it that failure has been most evident.
More limited—but nevertheless ambitious—enterprises, such as those of
Barrington Moore and Perry Anderson, who confine themselves to class
relations and politics, turn out to be firmly in the traditions of Marx and
Weber, to find favour with the critics of orthodoxy and to lack that
aspiration to the infinite which characterized the theory of modernization.
One may therefore wonder whether the limits of development theory have
lain in the globality of its project rather than in its theoretical origins.
The creative potential of development studies arises precisely from
those features thereof which I have discussed and on whose dangers I have
insisted perhaps too much: the inescapable political involvement, the
difficulty of confining an analysis to one particular discipline, and the
possibility it offers of comparative study and of extracting generalizations
therefrom. The theories criticized in this volume relied on a comparison of
today’s advanced countries and their history with the social and economic
structure of underdeveloped countries, but in the future we may see more
and more comparative study between different countries and regions of
the Third World, thus enriching the subject substantially.
6 DEVELOPMENT THEORY

W h a t, then, m ight the ‘crisis’ in the d ev elo p m en t studies, if it exists,


consist of? A t the level o f pu re th e o ry it w ould be the p ro d u c t o f a m o re
general crisis o f the social sciences. If by ‘crisis’ is m e an t simply a situ atio n
in which d o m in a n t theories are being challenged, then this is a h ealthy
situ atio n , a n d n o t such a rare one. We assum e all to o easily th a t, before
th e mid-sixties, there was a p erio d o f calm in which stru ctu ra l-fu n c tio n a l
sociology an d neo-classical econom ics occupied a hegem onic position.
P erh ap s, b u t if so it was a sh o rt period, an d a lth o u g h stru ctu ra l-fu n c tio n -
alism m ay have been hegem onic in the U nited States, it never p en etrated
th e g reat walls o f English em piricism . T h e sy m p to m s o f crisis s h ou ld
r a th e r be seen in the failure o f self-styled critical, radical an d alternative
ap p ro a c h e s to generate a new th eo retical a p p a ra tu s, an d in the possible
absence o f suitable co n d itio n s for the p ro d u ctio n o f such an altern ativ e;
fo r the projected alternatives occasionally bear u n ca n n y resem blances to
theories w hich have gone before: thus the parallels between A lth u sserian
m arxism a n d functionalism itself, b o th o f which in terp re t social p h e n o m e n a
in term s o f their co n trib u tio n to the m a in ten an ce o f ‘th e system ’— a w ord,
w hich like so m an y key w ords in social science, can so u n d nice 01* nasty
d ep e n d in g on the co n tex t in which it is uttered.

REFERENCES
Perry Anderson: Passages from Antiquity to Feudalism, London, New Left Books, 1974.
Perry Anderson: Lineages o f the Absolutist State, London, New Left Books, 1974.
Edmar Bacha and Lance Taylor: “ Brazilian Income Distribution in the 1960’s: Model
Results and the Controversy” , Journal o f Development Studies, XIV, 3, April 1978.
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essay in Rural Bias” , in David Lehmann (ed.): Agrarian Reform and Agrarian
Reformism, London, Faber and Faber, 1974.
Hollis Chenery et al.: Redistribution with Growth, London, Oxford University Press,
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René Dumont: Cuba, est-il Socialiste?, Paris, Seuil, 1970.
Alexander Erlich: The Soviet Industrialization Debate, Cambridge, Mass., Harvard
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Robin Luckham: “ Militarism: Arms and the Internationalisation of Capital” , ibid.
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Beacon Press, 1967.
INTRODUCTION 7

Suzanne Paine: “ Balanced Development: Maoist Theory and Chinese Practise” ,


World Development, April 1976.
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Introduction
*
Perry Anderson : Passages from Antiquity to Feudalism, London, New Left Books, 1974.
Perry Anderson : Lineages of the Absolutist State, London, New Left Books, 1974.
Edmar Bacha and Lance Taylor : “Brazilian Income Distribution in the 1960’s: Model Results and the Controversy”, Journal of Development Studies, XIV, 3, April 1978.
T. J. Byres : “Land Reform, Industrialization and the Marketed Surplus in India: an essay in Rural Bias”, in David Lehmann (ed.): Agrarian Reform and Agrarian Reformism, London, Faber and Faber, 1974.
Hollis Chenery et al. : Redistribution with Growth, London, Oxford University Press, 1974.
René Dumont : Cuba, est-il Socialiste?, Paris, Seuil, 1970.
Alexander Erlich : The Soviet Industrialization Debate, Cambridge, Mass., Harvard University Press, 1960
Barry Hindess and Paul A. Hirst : Pre-capitalist Modes of Production, London, Routledge and Kegan Paul, 1975.
Simon Kuznets : “Economic Growth and Income Inequality”, American Economic Review, XLV, March 1955.
Albert Fishlow : “Brazilian Size Distribution of Income”, American Economic Review, LXII, pp. 391–402, May 1972.
David Lehmann : “Neo-classical Populism”, Peasant Studies, VI, 4, October 1977.
Moshe Lewin : Russian Peasants and Soviet Power, London, Allen and Unwin, 1968.
Jonathan Levin : The Export Economies, Cambridge, Mass., Harvard University Press, 1960.
Colin Leys : “Underdevelopment and Dependency: Critical Notes”, Journal of Contemporary Asia, VII, 1, 1977.
Michael Lipton : Why Poor People Stay Poor: Urban Bias in World Development, London, Temple Smith, 1977
Robin Luckham : The Nigerian Military, London, Cambridge University Press, 1971.
Robin Luckham : “Militarism: Force, Class and International Conflict”, Bulletin of the Institute of Development Studies, IX, 1, July 1977.
Robin Luckham : “Militarism: Arms and the Internationalisation of Capital”, ibid. VII, 3, March 1977.
Ashok Mitra : Terms of Trade and Class Relations, London, Frank Cass, 1977.
Barrington Moore Jr .: The Social Origins of Dictatorship and Democracy, Boston, Beacon Press, 1967.
Suzanne Paine : “Balanced Development: Maoist Theory and Chinese Practise”, World Development, April 1976.
Talcott Parsons : The Structure of Social Action, Glencoe, The Free Press, 1949.
E. Preobrazhensky : The New Economics, London, Oxford University Press, 1965.
Fred Riggs : Administration in Developing Countries: the Theory of Prismatic Society Boston, Houghton Mifflin, 1964.
John Toye : “Economic Theories of Politics and Public Finance”, British Journal of Political Science, VI, pp. 433–447, October 1976.
Constantin Vaitsos : Intercountry Income Distribution and the Transfer of Technology London, Oxford University Press, 1973.
Raymond Vernon : Sovereignty at Bay, Harmondsworlh, Penguin, 1973.
Aaron Wildavsky and Hugh Heclo : The Private Government of Public Money, London Faber and Faber, 1974.

The Meaning of Development


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A Critique of Development Economics in the U.S.


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Modernization, Order, and the Erosion of a Democratic Ideal


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Sociology of Underdevelopment vs. Sociology of Development?


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