Topic > A study on underdeveloped countries with high economic growth

There is much discussion about the development of underdeveloped countries and what is the best path to take in terms of economic growth and better quality of life. Many theories such as dependency theory, basic needs theory, and Rostow's economic growth theory aim to explain how an underdeveloped country can achieve high economic growth and a better quality of life. Probably one of the best-known development theorists, Walt Rostow, founded the theory of economic growth according to which for a country to become economically developed, it must go through five different stages: traditional society, preconditions for taking off, taking off, driving to maturity and age of high mass consumption. Rostow believes that after a poor country goes through these five steps, it will transform into an economically developed country. While Rostow's theory of economic growth sheds light on an effective path to development for some countries, Rostow's theory is not an effective model for explaining how many more countries will develop in the 21st century as it only addresses economic development, has a strong propensity towards Western development, and presupposes that each country is free of social burdens. Before examining some of the flaws in Rostow's theory, it is necessary to understand the basis of his developmental model. Say no to plagiarism. Get a tailor-made essay on "Why Violent Video Games Shouldn't Be Banned"? Get an original essay Well known for his theory of economic growth, Walt Rostow uses five different stages to explain how an underdeveloped country can become economically stable and offer its citizens a better quality of life. The first stage, the traditional society, is when a country has an agriculture-based economy that focuses on rigorous labor and low levels of trade. Citizens do not have a broad understanding of science, technology and the world, as will be introduced later. The second phase, a precondition for take-off, occurs when a country begins to develop a manufacturing industry and a more international rather than localized perspective. The third phase, takeoff, occurs when a country goes through a process of industrialization that stimulates a short period of accelerated growth in which institutions focus on a new industry. The fourth stage, the push toward maturity, occurs when living standards rise, the use of technology increases, and the economy begins to expand and prosper. The fifth and final phase of Rostow's theory of economic growth, the era of high mass consumption, is when an economy progresses into a capitalist system thanks to the mass production of goods by businesses and the mass conception of such assets by families. Together, these five phases of Rostow's economic theory aim to explain how an underdeveloped country can transform itself into an economically developed country with a better quality of life. Although Rostow's theory worked for many countries, it did not work in others. Walt Rostow was a world-renowned economist and political theorist, best known for his work in American national security affairs and his theory of economic growth. By analyzing the 5 stages of economic growth and what they entail, one can see that the overall goal is to achieve mass production and consumption. Although Rostow's theory of economic growth addresses economic development, it does not address the social development that is crucial to improving living standards and achieving economic growth. While economic development is defined as the improvement of the economic well-being of a country, social development is defined asthe progress of society through the priority of human rights and needs. This includes, but is not limited to growing education and eliminating gender inequality. According to Todaro and Smith, if poverty, inequality and unemployment have all decreased from high levels, this implies a certain level of development for that country (2003). By eliminating inequality and poverty, a country can become economically stable at a faster pace. There is a strong correlation between economic growth when a country eliminates gender inequality. There are more people in the workforce, higher productivity, and lower fertility rates when women are given the opportunity to get an education and follow a career path. A study conducted from 1970 to 2009 found that, for each additional year of education pursued by a woman of reproductive age, infant mortality rates decreased by 9.5% in 219 countries (Gakidou, et al., 2010). Gakidou's study shows the importance of providing education to young girls and especially girls of reproductive age. By providing education to girls of reproductive age, they often do not have the time or means to have children as they are busy at school or at home doing homework. This can lower the total fertility rate which, in turn, has less of a drain on the economy. Economic growth also occurs when women are not at home caring for children but rather are part of the workforce. Rostow's theory of economic growth does not address social development and the priorities of human beings and, therefore, does not examine how eliminating gender inequality and providing education to women can lead to economic growth. Rostow's theory of economic growth also does not address environmental growth or the preservation of the environment and the elimination of climate change. In terms of economic development, Walt Rostow's theory of economic growth is an efficient explanation of how a country can achieve economic growth and greater economic growth. standard of living. Rostow's theory, however, does not address environmental growth or environmental preservation and elimination of climate change. The environment is of utmost importance because everything that supports the survival of humankind depends on it. The fifth and final phase of Rostow's theory of economic growth, the era of high mass consumption, is when an economy progresses into a capitalist system thanks to the mass production of goods by businesses and the mass conception of such assets by families. The executive director of Greenpeace USA states that not only does mass consumerism have no positive effect on people's satisfaction, but it has very negative effects on our environment due to the high quantities of waste products thrown into landfills (Leonard, 2010). While consumerism and mass production lead to economic growth, they do not support environmental growth or environmental preservation. The environment is critical to economic growth because it provides producers with the resources to generate consumer goods. Staff at the UK Department for Environment, Food and Rural Affairs suggest that the way people consume and produce goods needs to change so as to produce less waste (Everett, et al., 2010). By changing the way goods are produced and consumed, a company not only produces less waste, but saves money by producing less waste as it uses fewer resources to produce its good. This means that the company has more money at the end of the day, which is the general goal for manufacturing companies. In turn, this can lead not only to environmental growth orpreservation of the environment, but also leads to economic growth. The final stage of Rostow's theory of economic growth, mass consumption and production, not only has a negative impact on the environment, but is not even the ultimate goal of all countries. Rostow's economic growth theory worked for many European countries, Singapore and, most importantly, the United States, but it did not work in other countries. Walt Rostow's theory of economic growth builds a development path that countries can follow to achieve economic growth, the last stage of which is mass consumption and production. One of the central problems with Rostow's theory is his strong bias towards the Western world when creating his theory. RostowDevelopment economic theory believes that every country strives to achieve the same goal through economic development. Although the goal of high consumption and mass production is in line with Western goals, it does not take into account countries that have different goals. For example, in the West, particularly in the United States, there is a lifestyle called the “American Dream”. The idea of ​​the “American Dream” is that the goal is to acquire more wealth and capital in the form of money, cars, homes, vacations, and products. While sub-Saharan African countries that have deep cultural and family ties, have the ultimate goal of increasing connections with these roots. A study by Betty Bigombe and Gilbert Khadiagala finds that major changes in the structure of economic gain in Africa ultimately affect the bonds one shares with a family more than material items (Bigombe and Khadiagala, 1990). The study conducted highlights the fact that in many African countries structural economic development leads to the formation of stronger ties with family, historical and cultural beliefs, while in the West economic development leads to consumerism. Therefore, illustrating a very different outcome of economic development in both these regions, the reason for this is due to their opposite perception of the end goal. Therefore, it is without a doubt that Rostow's perceived end goal of “high consumption and mass production” only suits the West rather than the entire world. For this reason, Rostow's theory of economic growth cannot be used in countries that do not share Rostow's ultimate goal, which in turn does not make it a viable model for most of the world. Next to Walt Rostow's theory one can also see a bias in favor of Western development across the conditions of a country. Rostow believes that for a country to further develop from a “traditional society” to a country that has the “preconditions to take off”, international ties need to be formed, without them the country cannot progress. A country's ability to form international relations depends on many factors, of which the most crucial are the country's geographic advantages, including coal, oil, land mass, and neighboring territory (Gilles, 2014). Rostow's theory of development relies heavily on the idea that all countries have a high population, resources, and large land area. Singapore, for example, has one of the busiest trading ports in the world, but this would not be possible without its advantageous geography as an island nation between Indonesia and Malaysia. As a result, Singapore was able to form key international relationships through mutual trade, allowing them to advance Rostow's theory of economic growth. However, countries like Rwanda, which have a small land area, a small population and no place on the international stage, struggle to build relationships.