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Jetzt kostenlos anmeldenDid you know that there is a branch of sociological theory dedicated to studying the effects of colonialism?
We will explore dependency theory and what it has to say.
First, let's clarify what we mean by this concept.
Dependency theory refers to the idea that ex-colonial powers retain wealth at the expense of the impoverished former colonies due to the wide-ranging effects of colonialism in Africa, Asia, and Latin America. Resources are extracted from the 'peripheral' underdeveloped ex-colonies to the 'core' wealthy, advanced states.
Dependency theory is broadly based on a Marxist theory of development. According to the theory, the ex-colonies are being economically exploited by former colonial powers and need to isolate themselves from capitalism and the ‘free market’ in order to develop.
Andre Gunder Frank (1971) argues that the developed West has 'underdeveloped' developing nations effectively by relegating them to a state of dependency. It is important to study dependency theory to understand how this has come about.
According to Frank, the global capitalist system we know today developed in the sixteenth century. Through its processes, nations in Latin America, Asia, and Africa became involved in a relationship of exploitation and dependency with the more powerful European nations.
This global capitalist structure is organised so that the rich ‘core nations’ like the USA and the UK are at one end, and the undeveloped or ‘peripheral nations’ are at the other end. The core exploits the periphery through its economic and military dominance.
Based on Frank’s theory of dependency, world history from the 1500s to the 1960s can be understood as a systematic process. The core developed nations accumulated wealth by extracting resources from the peripheral developing countries for their own economic and social development. This then left the peripheral countries poverty-stricken in the process.
Frank further argued that the developed nations kept the developing countries in a state of underdevelopment to profit off their economic weakness.
In poorer countries, raw materials are sold at lower prices, and workers are forced to work for lower wages than in developed countries with higher living standards.
According to Frank, developed nations actively fear losing their dominance and prosperity to the development of poorer countries.
Under colonialism, powerful nations took control of other territories for their own benefit. The countries under colonial rule essentially became part of the 'mother country' and were not seen as independent entities. Colonialism is fundamentally linked to the idea of 'empire building’ or imperialism.
'Mother country' refers to the country of the colonisers.
Frank argued that the prime period of colonial expansion took place between 1650 and 1900, when Britain and other European nations used their naval and military powers to colonise the rest of the world.
During this time, the powerful nations saw the rest of the world as sources to extract from and exploit.
The Spanish and Portuguese extracted metals like silver and gold from the colonies in South America. With the industrial revolution in Europe, Belgium benefitted by extracting rubber from its colonies and the UK from oil reserves.
European colonies in the other parts of the world established plantations for agricultural production in their colonies. The products were to be exported back to the mother country. As the process evolved, colonies started engaging in specialised production - the production became climate dependent.
Sugarcane was exported from the Caribbean, coffee from Africa, spices from Indonesia, and tea from India.
Consequently, many changes occurred in the colonial regions as colonial powers established local systems of government to continue plantation and extract resources.
For instance, the use of brute force to keep social order became common, as well as the tactful employment of natives to run local governments on behalf of the colonising power to maintain the flow of resources to the mother country.
According to dependency theorists, these measures created a rift between ethnic groups and sowed the seeds of conflict for future years of independence from colonial rule.
There were several effective political and economic systems across borders in the pre-colonial period, and economies were mostly based on subsistence farming. This was all jeopardised through the unequal and dependent relationships formed with colonising nations.
Colonialism knocked down independent local economies and replaced them with mono-culture economies which geared themselves to export specific products to the mother country.
Due to this process, colonies got involved in producing goods like tea, sugar, coffee, etc., to earn wages from Europe instead of growing their own food or products.
As a result, colonies became dependent on their colonising powers for food imports. The colonies had to purchase food and necessities with their inadequate earnings, which invariably disadvantaged them.
European countries further used this wealth to drive the industrial revolution by increasing the value of production and manufacturing goods for export. This accelerated their capacity to generate wealth but increased economic inequality between Europe and the rest of the world.
The goods manufactured and produced through industrialisation entered the markets of developing countries, weakening local economies and their ability to develop internally on their own terms.
A suitable example would be India during the 1930s—40s, when cheap imported goods from Britain, such as textiles, sabotaged local industries like hand-weaving.
The majority of the colonies achieved independence from colonising powers by the 1960s. However, European countries continued to view developing countries as sources of cheap labour and resources.
Dependency theorists believe that the colonising nations had no intention of helping the colonies to develop, as they wanted to continue reaping benefits from their poverty.
Thus, exploitation persisted through neo-colonialism. Although European powers no longer exercise political control over developing countries in Latin America, Asia, and Africa, they still exploit them through subtle economic ways.
Andre Gunder Frank points out three main principles of dependency theory that underpin the dependent relationship in neo-colonialism.
The terms of the trade keep benefiting Western interests and development. After colonialism, many ex-colonies remained dependent on their export revenue for basic products, e.g., tea and coffee crops. These products have low value in raw material form, so they are bought cheaply but are then processed profitably in the West.
Frank brings attention to the increased dominance of Transnational Corporations in exploiting labour and resources in developing countries. As they are globally mobile, these corporations offer lower wages to take advantage of poor countries and their workforces. Developing countries often have no choice but to compete in a ‘race to the bottom’, which harms their development.
Frank further argues that wealthy countries send financial support to developing nations in terms of loans with conditions attached, e.g. opening up their markets to Western companies to continue exploiting them and making them dependent.
Sociologists argue that dependency is not a process but a permanent situation from which developing countries can only escape by breaking free from the capitalist structure.
There are different ways to develop:
One method of breaking the cycle of dependency is for the developing country to isolate its economy and affairs from more powerful, developed economies, essentially becoming self-sufficient.
China is now emerging as a successful international superpower through isolating itself from the West for decades.
Another way would be to escape when the superior country is vulnerable - like India did during the 1950s in Britain. Today, India is a rising economic power.
Frank suggests a socialist revolution may help overcome elite Western rule, as in the instance of Cuba. Although in Frank’s view, the West would reassert its dominance sooner or later.
Many African countries adopted the doctrines of dependency theory and started political movements aimed at liberation from the West and its exploitation. They embraced nationalism rather than neo-colonialism.
In these circumstances, a country remains part of the system of dependency and takes up national policies for economic growth, such as import substitution industrialisation. This refers to the production of consumer goods that would otherwise be imported from overseas. Quite a few South American countries have successfully adopted this.
The biggest flaw here is that the process leads to economic growth while fostering inequalities.
Goldethorpe (1975) suggests that some nations have benefitted from colonialism. Countries that were colonised, such as India, have developed in terms of transportation systems and communication networks, compared to a country like Ethiopia, which was never colonised and is much less developed.
Modernisation theorists might argue against the opinion that isolation and socialist/communist revolution are effective means to foster development, referring to the failure of the Communist movements in Russia and in Eastern Europe.
They would further add that many developing nations have benefitted by receiving help from Western governments through Aid-for-Development programs. Countries that have adapted to a capitalist structure have witnessed a faster development rate than those that pursued communism.
Neoliberals would mainly consider the internal factors responsible for underdevelopment and not exploitation. In their opinion, poor governance and corruption are to blame for the shortfalls in development. For example, neoliberals argue that Africa needs to adapt to more of a capitalist structure and pursue less isolationist policies.
Dependency theory refers to the idea that ex-colonial powers retain wealth at the expense of the impoverished former colonies due to the wide-ranging effects of colonialism in Africa, Asia, and Latin America.
The developed West has 'underdeveloped' poor nations effectively by relegating them to a state of dependency. This global capitalist structure is organised so that the rich ‘core nations’ like the USA and the UK are at one end, and the undeveloped or ‘peripheral nations’ are at the other end.
Under colonialism, powerful nations took control of other territories for their own benefit. Colonial powers established local government systems to continue plantation and extract resources.
The theory highlights that the ex-colonial masters remained rich while the colonies remained poor due to neo-colonialism.
Dependency theory explains how colonialism adversely affected the subordinate territories in Africa, Asia, and Latin America.
Andre Gunder Frank (1971) argues that the developed West has effectively underdeveloped the developing nations by detaining them in a state of dependency.
Andre Gunder Frank (1971) argues that the developed West has 'underdeveloped' poor nations effectively by relegating them to a state of dependency. It is important to study dependency theory to understand how this has come about.
Criticisms of dependency theory are that ex-colonies have benefitted from colonialism and that there are internal reasons for their underdevelopment.
Give an example of how developed nations kept the developing nations in a state of underdevelopment.
Frank argued that the developed nations kept the developing countries in a state of underdevelopment to profit off their economic weakness.
In poorer countries, raw materials are sold at lower prices, and workers are forced to work for lower wages than in developed countries with higher living standards.
Dependency theory is broadly based on a Marxist theory of development. True or false?
True.
What is Andre Gunder Frank’s perspective on dependency theory?
Andre Gunder Frank (1971) argues that the developed West has 'underdeveloped' developing nations effectively by relegating them to a state of dependency.
What is a global capitalist system?
This global capitalist structure is organised so that the rich ‘core nations’ like the USA and the UK are at one end, and the undeveloped or ‘peripheral nations’ are at the other end. The core exploits the periphery through its economic and military dominance.
Who is a key thinker in dependency theory?
Andre Gunder Frank.
Give an example of how powerful nations see the rest of the world as a source to extract from and exploit.
The Spanish and Portuguese extracted metals like silver and gold from the colonies in South America. With the industrial revolution in Europe, Belgium benefitted by extracting rubber from its colonies and the UK from oil reserves.
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