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Development models Thursday, April 28.

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Presentation on theme: "Development models Thursday, April 28."— Presentation transcript:

1 Development models Thursday, April 28

2 How did economically powerful countries get to where they are??

3 Modernization model Walt Rostow’s model assumes all countries follow a similar path to development or modernization, advancing through five stages of development, climbing a ladder of development. Traditional Preconditions of takeoff Takeoff Drive to maturity High mass consumption Countries can be placed in one of five categories in terms of its stage of growth: Walt Rostow created this liberal model of development in the 1960s

4 Modernization model First Stage: Traditional
Subsistence farms-limited technology Rigid social structure Resistance to change-transition triggered by external influence Second Stage: Preconditions for Take-Off Progressive Leadership-commercial exploitation of agriculture & extractive industries Greater flexibility-installation of infrastructure-roads, railways, etc. Greater openness to new technology Greater Diversity of products produced Pic 1: Village in Lesotho. 86% of the resident workforce in Lesotho is engaged in subsistence agriculture. Pic 2: The use of some capital equipment can help increase productivity and generate small surpluses which can be traded.

5 Modernization model Third Stage: Take Off Drive to Maturity
Experiences industrial growth Urbanization Industrialization, technology & mass production Drive to Maturity Diffusion of technology Industrial specialization International trade Modernization at the core Population growth is reduced Fifth Stage: Final Stage Mass consumption-widespread production of goods & services High incomes Majority of workforce in service sector Pic 1: At this stage, industrial growth may be linked to primary industries. The level of technology required will be low. Pic 2:As the economy matures, technology plays an increasing role in developing high value added products. Pic 3:Service industry dominates the economy – banking, insurance, finance, marketing, entertainment, leisure and so on.

6 Economic activity Primary Secondary Tertiary Stage 1 Stage 2 Stage 3
Vast majority Very few Stage 2 Few Very Few Stage 3 Declining Rapid Growth Stage 4 Stable Growing rapidly Stage 5

7 Criticisms of model Too Simple
The western-capitalist model is not the only path to economic progress Need for other infrastructure – human resources (education), roads, rail, and communication networks Assumes all countries follow the same route of development Not all countries and economies started the same way or would want the same things as the U.S. or western nations Assumes each country is economically and politically free Doesn’t look at variations within a country

8 Models of Development Dependency Theory is another Structuralist Model
Political & economic relationships between countries & regions limit the development of the less well off areas Colonial dependencies are still in place from long ago. Dependency theory sees little hope for economic prosperity in some traditional parts of the world Sugar being loaded in Cebu, Philippines Coffee Plantation

9 Barriers to economic development
Low Levels of Social Welfare Trafficking-bullied into poor working conditions High birth rates, Low life expectancy, large number of dependents Lack of proper health care Poor water supply & sanitation Widespread Disease vectored diseases-spread by a host Malaria-kills 150,000 children each month Political Instability: military dictatorships, corruption, revolution Foreign Debt World Bank or International Monetary Fund Structural adjustment loans-economic reform required Low Levels of Social Welfare Lack of education, High illiteracy Trafficking is not slavery, but conditions are grim, most are children and are girls-street vendors, domestic servants or prostitution Political Instability Military coups common in the periphery where democracy was difficult to establish-definite link between economic stability and political stability Foreign Debt Some of the money was squandered on wasteful projects, corruption, etc. Structured loans-require economic reforms and ear mark money for certain projects-also must open country to foreign investment.

10 THINK.PAIR.SHARE Directions: Respond to the question below… If you were to set up goals for the world to improve the conditions for the people, what goals would you choose?

11 Background Information
1992 Summit in Rio de Janeiro, Brazil 178 countries were represented. Aimed to address the twin issues of promoting worldwide economic development and protecting the environment Commitment & criticism by LEDCs. 1997 Summit in Kyoto, Japan Aim was the worldwide reduction of greenhouse gases (to 5.2 per cent below their 1990 levels) in order to slow down the rate of global warming. Bad effect on economies? 1992: – including tropical rain forests, biodiversity and reducing global warming. 1997 – build on Rio aims with more specific targets for countries to achieve

12 September 2000 in New York City Millennium Summit
Aimed to address the development needs of the LEDCs 8 goals created: help to focus the world's community on improving the lives of millions of people. The MDGs will help to concentrate the international community's efforts on issues that matter most to the world's poorest children Goals 1-7: reinforce each other and aim to reduce all forms of poverty Goal 8: a global partnership for development halve the number of people living in absolute poverty by 2015 reduce by two-thirds the proportion of children dying before the age of five.

13 Millennium Development Goals
Why important? Children Endorse a multi-dimensional view of development. Have been adopted by many countries and international development agencies as a basis for their work. Recognize that different development problems 'cross-cut'. They cover most of the fundamental rights enshrined in the UN Convention on the Rights of the Child (UNCRC), for example, the right to life, education, health. and over a period of 15 years the results will show countries whether or not they are likely to achieve them. To date some countries are on track, but many are not, and only a few will meet some of the targets MDG targets will be measured at regular intervals over the course of 15 years.

14 Millennium development goals
International organizations and governments measure development and then create programs to help improve the condition of humans around the world, especially the poorest. 1. Eradicate extreme poverty and hunger. 2. Achieve universal primary education. 3. Promote gender equality and empower women. 4. Reduce child mortality. 5. Improve maternal health. 6. Combat HIV/AIDS, malaria, and other diseases. 7. Ensure environmental sustainability. 8. Develop a global partnership for development.

15 So what are they? Directions: The class will be divided into 8 groups. Each group will receive one of the MDGs to research, illustrate and present to the class. Each group will receive a piece of paper and a computer. On the caterpillar piece, you should write the following information: Number and Goal Targets Obstacles Progress of meeting the Goal & Revision: What *NEW* global goal corresponds with MDG! Illustration of your assigned goal


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