Development Theories Flashcards
(4 cards)
1
Q
Classical Economic development theory
A
- supports the invisible hand of the market
- countries should create free markets and privatise state owned industries
- this will allow them to focus on producing products for a comparative advantage
2
Q
structural theory
A
- TNCs esacerbate inequality
- states should look to industrialise their economies which reduces reliance on the exports of primary goods
- introduce tariffs and barriers to promote domestic industries
3
Q
new classical development theory
A
- popular with Thatcher and Reagan
- neo liberal economics
- similar to classical economic theory
- reduction of state intervention
- inspired SAPs in the 1980s
4
Q
what have development theories informed
A
- IMF and WB strategies for development
