UNDERDEVELOPMENT

Prepared by: ROSE A. PERMISA ARNEL ALMADRONES

Underdevelopment

is the state of an organization (e.g. a country) that has not reached its maturity. is often used to refer to economic underdevelopment, symptoms of which include lack of access to job opportunities, health care, drinkable water, food, education and housing.
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It

Underdevelopment is a product of misuse of natural and human resources which will forcibly deviate regions from economical expansion and avoid social changes needed to join human groups in an integrated economical system. Underdevelopment and hunger can only be eliminated from the face of earth through a global development strategy which will mobilize production means in the interest of the community.
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The term "underdevelopment" originated in the mid-1950s.

However, the term was popularized especially by Andre Gunder Frank in the late 1960s.
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In October 1955, Gunnar Myrdal gave a series of lectures in Cairo at the invitation of the National Bank of Egypt, later published under the title Development and Underdevelopment: A note on the Mechanism of National and International Economic Inequality (Cairo, 1956). A revised version was published as Economic Theory and Underdeveloped people" (Duckworth, 1957).
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OVERVIEW
Underdevelopment takes place when resources are not used to their full socio-economic potential, with the result that local or regional development is slower in most cases than it should be. Furthermore, it results from the complex interplay of internal and external factors that allow less developed countries only a lop-sided development progression.
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Underdeveloped nations are characterized by a wide disparity between their rich and poor populations, and an unhealthy balance of trade.

The world consists of a group of rich nations and a large number of poor nations. It is usually held that economic development takes place in a series of capitalist stages and that todays underdeveloped countries are still in a stage of history through which the now developed countries passed long ago. The countries that are now fully developed have never been underdeveloped in the first place, though they might have been undeveloped.

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Second-largest continent on the planet More than 800 million people living in fifty-four countries With a total land area of more than 30,221,532 km2 (11,668,598.7 sq mi), Africa accounts for 20% of the land on the planet; its population accounts for one-seventh of the population of earth The most underdeveloped continent

AFRICA
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Historically, there has been a deficiency of information and dependable statistics about Afghanistan's economy. The 1979 Soviet invasion and consequent civil war destroyed much of the country's limited transportation infrastructure. and disrupted normal patterns of economic activity. Gross domestic product had fallen significantly because of loss of labor and capital and disruption of trade and transport.  Continuing internal conflict disadvantaged both domestic efforts at reconstruction as well as international aid efforts. The country today however is beginning to make some progress.
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SOUTH AFRICA

It is argued that South Africas dualist qualities of a 1st & 2nd economy. The 1st (wealth producing sector) being one that is integrated in the global economy through modern industrialization, mining, agricultural & financial services, and the 2nd a structural manifestation of poverty, underdevelopment & marginalization. With indicators such as GDP/capita at PPP of $11 240 in 2001, placing it as one the 50th wealthiest countries in the world , and on the other hand social indicators that rank it 111th in terms of HDI for the same year.
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Some of the causality of the underdevelopment is attributed to the institutionalized apartheid practices in South African politics, society and economics. The reforms that were introduced in 1994, have furthered the increase of inequality and uneven wealth distribution in the nation.

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Underdevelopment:
Its View as Economic Deprivation A.P. Thirwall, (1974) elaborated the concept of underdevelopment by giving the following characteristics common to less-developed countries: 1. High proportion of the labor force engaged in agriculture with low agricultural productivity.

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2. High proportion of domestic expenditure on food necessities; 3. An export trade dominated by primary products; 4. An import trade dominated by manufactured goods; 5. Labor-intensive technology; 6. High birth rates coupled with falling death rates; and 7. Savings undertaken by small percentage of the population

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Valdepenas (1970) Described this phenomenon as having low standards of living characterized by:
1. 2.

3. 4. 5.

6.

Malnourished people At least 25% of all households live in dilapidated dwellings Poor water supply Unavailable electrical services One-third of the entire population have no toilet facilities One-fifth of the farm population had never gone to school.
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A.

MODERNIZATION THEORY

Modernization theory is a socio-economic theory, also known as the Development theory. This highlights the positive role played by the developed world in modernizing and facilitating sustainable development in underdeveloped nations. It is often contrasted with Dependency theory.

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1)

2)

3)

Identification of types of societies, and explanation of how those designated as modernized or relatively modernized differ from others; Specification of how societies become modernized, comparing factors that are more or less conducive to transformation. Generalizations about how the parts of a modernized society fit together, involving comparisons of stages of modernization and types of modernized societies with clarity about prospects for further modernization.
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Dependency Theory is the body of theories by various intellectuals, both from the Third World and the First World, that suggest that the wealthy nations of the world need a peripheral group of poorer states in order to remain wealthy. Dependency theory states that the poverty of the countries in the periphery is not because they are not integrated into the world system, but because of how they are integrated into the system.

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These poor nations provide :

natural resources  cheap labor,  a destination for obsolete technology, and  markets to the wealthy nations, without which they could not have the standard of living they enjoy. First world nations actively, but not necessarily consciously, perpetuate a state of dependency through various policies and initiatives.


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This state of dependency are :

a) b) c) d) e) f)

Multifaceted involving economics, Media control, Politics, Banking and Finance, Education, Sports and all aspects of human resource development. Any attempt by the dependent nations to resist the influences of dependency could result in economic sanctions and/or military invasion and control. This is rare, however, and dependency is enforced far more by the wealthy nations setting the rules of international trade and commerce.
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Dependency theory first emerged in the 1950s, Advocated by Raul Prebisch whose research found that the wealth of poor nations tended to decrease when the wealth of rich nations increased.
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The theory quickly divided into diverse schools. Some, most notably Andre Gunder Frank, adapted it to Marxism. "Standard" dependency theory differs sharply from Marxism, however, arguing against internationalism and any hope of progress in less developed nations towards industrialization and a liberating revolution.
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The American sociologist Immanuel Wallerstein refined the Marxist aspect of the theory, and called it the "world system."

Former Brazilian President Fernando Henrique Cardoso wrote extensively on dependency theory while in political exile.

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According to Theotonio Dos Santos a Brazilian social scientist, dependence means a situation in which certain countries economies are conditioned by the development & expansion of another to which the former is subject. He goes on to further clarify that the interdependence of two or more economies, and consequently world trade, assumes the form of dependence when dominant countries can create dependency only as a reflection of that expansion, which can have a negative effect on the subordinates immediate economy.
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CONCLUSION
Underdevelopment is not lack of or insufficient development, as many people tend to think. It is a product or subproduct of development. Underdevelopment derives inevitably from the colonial or neo-colonial forms of economical exploitation which still imposes itself in many regions of our planet.

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http://en.wikipedia.org/wiki/Underdevelopment#Exa mples_of_Underdeveloped_Countries_and_Regio ns

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THANK YOU!
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