The Difference Between Modernisation Theory and Dependency Theory

The contemporary world is characterised by classification of countries and states on the basis of their economic mighty. One of such classifications is the developed, developing and undeveloped countries, or developed and the Third World countries. This categorisation divides countries into three categories judging from a criterion of development, industrialisation, economic might, democracy level, and literacy levels in a country. Therefore, there is a sound division of countries on the basis of development, leadership, culture, and economic power. Disparities witnessed among rich and poor countries have triggered debates on explaining real causes of economic inequalities in the world. Two critical theories have been proposed; modernisation and dependency theories. The two theories seem to oppose each other on the argument of the reasons for the global economic inequalities between the developed and the Third World countries. This paper will explore the arguments presented in the two theories with the aim of identifying the most appropriate one.

Comparison Table: Modernisation Theory vs Dependency Theory

Modernisation Theory

Modernisation theory focuses on the positivity of accepting to exploit the resources available for the betterment of the human race. Modernisation theory opposes the holding on to the traditional conformity of a society, since such a society offers minimal challenges that trigger innovation and development. The theory presumes that the developed countries have managed to identify ways of overcoming poverty; unlike the Third World countries. The backbone of modernisation theory rests on the power of industrialisation in a country. Improved industrialisation can enable countries to reduce the level of unemployment, raise economic gains for the country and amass wealth necessary for the development of the country. Modernisation theorists argue that the origin of the theory can be traced in the Western countries, which are among the most economically developed ones in the world. The quest for being modern goes along with several changes in the society, which must be supportive of a countries’ transformation towards modern world. These changes are what the modernisation theorists hold as the primary factors determining the difference between the developed and the underdeveloped worlds.

Modernisation theory supports the issue of being modern with the purpose of achieving massive development that reprieves a country from poverty. Modernity is characterised by being individualistic, dynamic, progressive, innovative, capitalist, and overcoming unhealthy cultures. These characteristics enable the country to exploits the available resources with the aim of developing and progressing towards industrialisation. The theory opposes the socialist mentality since it reduces competitiveness and uniqueness, which are primary factors of creativity and innovation. Therefore, modernisation theory favours capitalism over socialist society. In addition, countries should shed off cultural practices that are retrogressive or creating obstacles of developments.

Modernisation theory argues that the main difference between the Third World countries and the developed countries that can be used to explain the vivid economic inequality is culture and level of innovativeness. Therefore, countries should lay down structures that abolish the mismanagement of resources, while at the same time improve innovation avenues. Poor leadership, resistance to breaking from traditions, and poor industrialisation mechanisms are the main reasons that isolate the developed and undeveloped countries. Modernisation theory holds that capitalism, market where seller and buyer exchange goods and services in a free market on bases or willingness, must exist for countries to develop.

However, critics of modernisation theory argue that the theory is so straight forward in the manner of explaining the transformation from traditional to modernity. These changes seem to flow consequentially in what can be argued to be a process of modernisation. In addition, the theory is argued to lay much emphasis on normative changes giving the notion of modernity as the ways things should be in the society. However, the change should be an improvement rather than belief that those changes are ideal ways. Modernisation theorists believe that all traditional societies will become modern. However, this theory is argued to compel the Third World countries to abandon their practices and copy those of the modernised countries. In other words, the Third World countries take modernisation theory as a neo-colonialism approach.

Dependency Theory

Dependency theory holds that the disparity between the developed and Third World countries in the present situation that compels the Third World countries to depend on the developed countries in a depriving relationship. Dependency theory holds the developed countries accountable for the poverty levels in the Third World countries. Improved status of developed countries can be sourced from capitalists’ trade where the Third World countries sell raw materials at cheap prices only to buy the ready-made products from the developed countries at escalated prices. This offers an upper hand in the market to the developed countries, availing more resources for development and industrialisation, while the poor countries struggle with their failing agriculture based economy.

Dependency theory also traces the developmental and economic inequalities between the developed and undeveloped countries from the colonial eras. Theorists supporting dependency theory believe that colonialism plays a massive role on propagating inequalities witnessed in the modern world. Colonialists benefit from free resources and labour at their disposal during the colonial periods, which they used to propel their motherland’s economy. These resources were robbed from the Third World countries; thus, killing their development initiatives. The argument is founded on the observation that most of the Third World countries were colonies of the so called developed countries.

In addition, dependency theory argues that the developed countries continue to suppress the Third World countries with international bodies and agencies. These agencies and organisations establish policies to be observed by subscribed countries, yet the policies seem to favour the developed countries. The Third World countries are compelled to subscribe to these bodies on basis of receiving goodies. Examples of these bodies include World Bank, United Nation organisation, and International Criminal Court. All these avenues of dependency where the Third World countries seem to be exploited by the developed nations escalate the gap between the developed and Third World countries. Therefore, the development is arched to the dependency between the developed and undeveloped countries.

Critics of dependency theory argue that the theory propagate negativity without offering solutions. Dependency theory is also poised as majoring on the past with little input on the future trends of development. The main bone of contention between modernisation and dependency is how the developed countries treat the Third World countries. Modernisation theorists believe the Third World countries can benefit from the relationship while dependency theory holds that the relationship only benefits the developed countries worsening the case of the Third World countries.

The two theories seem competing against each other with every theory seeking to identify the most founded base and facts to support the argument. However, the two theories can be seen as supplementing each other instead of complementing each other in the argument surrounding the development and economic disparities between the rich and poor countries. Ideally, dependency theory majors on injustice between the rich and the countries, yet with minimal solutions for solving this injustice. On the other hand, modernisation theory seems optimistic of the relationship between the two categories of the countries. Therefore, dependency theory can be used to identify the problems, while the modernisation theory offers possible solutions to the identified solutions.

In conclusion, modernisation theory is optimistic on the trend of development and industrialisation. The theory argues that breaking from tradition, society’s set up to modern society is the main reason explaining the disparity between the rich and poor countries. Both rich and poor must exist for the development to take place. On the other hand, dependency theory criticises the interest of the rich in their association with the poor countries. Dependency theory holds the rich countries responsible for deteriorating conditions and growing inequalities between the rich and the poor. The two theories despite arguably being antagonistic in their argument may not be evaluated on the basis of winning or losing. They can both be used to supplement each other in the analysis of the challenges on the relationship between the rich and poor countries.

Bibliography

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Ramon Grosfoguel, “Developmentalism, Modernity, and Dependency Theory in Latin America,” Nepantia: Views from South 1, no. 2 (2000): 347-350.