LECTURE 01
CONCEPTS OF DEVELOPMENT
Eliud Kitime, Lectures on Development Studies, 2019
8/27/2019
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Introduction
• There is no rule of thumb in defining the concept of development.
• There are variations of meaning of the concept depending on the
perspectives, aspects and philosophies under which such concept
is defined.
• There are also various concepts that are associated with the
development
Eliud Kitime, Lectures on Development Studies, 2019
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What is Development
• Development connotes the process that brings about positive change that allows people to
achieve their human potential. It is about the conversion of natural resources into cultural
resources. It is the process of advancement. The development process is gradual; it is not an
overnight process. The basic objective of development is to create an enabling environment for
people to enjoy long, healthy and creative lives.
• Development consists of more than improvements in the well-being of citizens. It also conveys
something about the capacity of economic, political and social systems to provide the
circumstances for that well-being on a sustainable, long-term basis.
Eliud Kitime, Lectures on Development Studies, 2019
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Human Development
• Human development can be defined as expansion of human capabilities, a widening
of choices, an enhancement of freedom, and a fulfillment of human rights. It deals
with a process of enlarging people’s choices and strengthens human capabilities in a
way which enables them to lead longer, healthier and fuller lives.
• In other words, human development is about expanding the richness of human life,
rather than simply the richness of the economy in which human beings live. It is
development that is focused on people and their opportunities and choices.
Eliud Kitime, Lectures on Development Studies, 2019
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Manifestation of Human Development
• Human development focuses on improving the lives people lead rather than assuming that
economic growth will lead, automatically, to greater opportunities for all. Income growth is an
important means to development, rather than an end in itself.
• Human development is about giving people more freedom and opportunities to live lives they
value. In effect this means developing people’s abilities and giving them a chance to use them.
• Human development is, fundamentally, about more choice. It is about providing people with
opportunities, not insisting that they make use of them. No one can guarantee human
happiness, and the choices people make are their own concern.
Eliud Kitime, Lectures on Development Studies, 2019
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Components of Human Development
• Equality
• Sustainability
• Productivity
• Empowerment
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8/27/2019
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Sustainable Development
• Sustainable development is in the news every day as the world copes with climate change,
biodiversity loss, conflict and resource scarcity. It has been defined in many ways.
• Sustainable development is development that meets the needs of the present without compromising
the ability of future generations to meet their own needs. It is meant to be the summation of
economic, environmental and social considerations for the present and especially for the future.
• The desired result of sustainable development is a state of society where living conditions and
resources are used to continue to meet human needs without undermining the integrity and stability
of the natural system
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Principles of Sustainable Development
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The principle of holistic approach
Principle of intra-generational and inter-generational solidarity.
The principle of social justice.
The principle of sustainable management of resources.
The principle of integration.
The principle of utilising local resources.
The principle of public participation.
The principle of social responsibility.
The principle of precaution and prevention.
The polluter pays principle.
Eliud Kitime, Lectures on Development Studies, 2019
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Conclusion
• A multitude of meanings is attached to the idea of development; the term
is complex, contested, ambiguous, and elusive.
• However, in the simplest terms, development can be defined as bringing
about social change that allows people to achieve their human potential.
• Development is a process rather than an outcome: it is dynamic in that it
involves a change from one state or condition to another. Ideally, such a
change is a positive one - an improvement of some sort.
• Furthermore, development is often regarded as something that is done by
one group such as a development agency to another such as rural
farmers in a developing country.
Eliud Kitime, Lectures on Development Studies, 2019
8/27/2019
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LECTURE 02
ASPECTS OF DEVELOPMENT
Eliud Kitime, Lectures on Development Studies, 2019
8/27/2019
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Introduction
• Development can be seen from different angles. There is no one and single aspect from which
the development can be determined. There are various aspects of development.
• This lecture ventures on determination of development from different aspects. It gives insights
on the aspects of development such as social, economic and political development.
Eliud Kitime, Lectures on Development Studies, 2019
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Social Development
• Social development refers to equal access to all members of the society
to the necessary product. Civilized society must guarantee its people of
decent clothing, food and shelter.
• It includes equal access to essential basic services and opportunities
such as education, health, easy communications, recreation and a job.
• A pre-requisite to guaranteeing access to basic needs to all members of
the state is the production of sufficient goods and services.
• Without well-developed human resources applying Science and
Technology to efficient production, neither economic nor social
development would be guaranteed.
Eliud Kitime, Lectures on Development Studies, 2019
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Political Development
• Political development is taken to be political modernization in the sense
that it is the politics of industrialized states. This view is biased in favour
of western countries with liberal democracy.
• Thus their practices are taken as universal standards of political
behaviour and performance to be copied by the less developed states.
• It is the increased differentiation and specialization of political structures
and the increased secularization of political culture.
• It is the development of the institutions, attitudes, and values that form the
political power system of a society.
Eliud Kitime, Lectures on Development Studies, 2019
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Economic Development
• Economic development is the the growth of the standard of living of people from a low-income
(poor) economy to a high-income (rich) economy. It leads to the creation of more opportunities
in the sectors of education, healthcare, employment and the conservation of the environment. It
also leads to the creation of more opportunities in the sectors of education, healthcare,
employment and the conservation of the environment.
• Economic development is the process by which emerging economies become advanced
economies. In other words, the process by which countries with low living standards become
nations with high living standards. Economic development also refers to the process by which
the overall health, well-being, and academic level the general population improves.
Eliud Kitime, Lectures on Development Studies, 2019
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Conclusion
• Development manifests itself in three different aspects. These are
social, economic and political development. Each aspect has its
own measurement of development. Both aspects converge at the
focal point of human development.
Eliud Kitime, Lectures on Development Studies, 2019
8/27/2019
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LECTURE 03
LEVELS OF DEVELOPMENT
Eliud Kitime, Lectures on Development Studies, 2019
8/27/2019
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Introduction
• Development is the gradual process of improvement. It involves
transformation from low stage to higher stage. It involves the stages.
• This lecture imparts the knowledge on what are the levels of
development, what are the characteristics of each level of development
and how the development of different countries can be made in different
levels.
Eliud Kitime, Lectures on Development Studies, 2019
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Countries' Classification
• There is no generally accepted criterion that explains the rationale of classifying countries
according to their level of development. This might be due to the diversity of development
outcomes across countries, and the restrictive challenge of adequately classifying every
country into two categories.
• The World Bank has historically classified every economy as low, middle, or high income. The
World Bank further specifies countries as having low, lower-middle, upper-middle, or highincome economies.
• The World Bank uses GNI per capita as the basis for this classification because it views GNI
as a broad measure that is considered the single best indicator of economic capacity and
progress. The World Bank used to refer to low-income and middle-income economies as
developing economies.
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Levels of Development
• According to the level of development, the countries in the world are categorized into
three countries; developed countries, middle developed countries and developing
countries. The categorization uses a number of economic and social criteria, ranging
from per capita income to life expectancy to literacy rates.
• The designations "developed" and "developing" are intended for statistical
convenience and do not necessarily express a judgment about the stage reached by
a particular country or area in the development process.
• The term "developing" describes a currently observed situation and not a changing
dynamic or expected direction of progress. Since the late 1990s, developing
countries tended to demonstrate higher growth rates than developed countries.
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Developed Countries
• Developed countries are countries with the advanced technological infrastructure and
have diverse industrial and service sectors. Their citizens typically enjoy access to
quality health care and higher education.
• These are considered to be at the highest social and economic levels such as;
• Largely based on the service sector and less on the industrial and manufacturing
services.
• Well developed education system
• Well developed health care system
• Well developed banking, transportation and information technologies
Eliud Kitime, Lectures on Development Studies, 2019
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Middle Income Countries
• These are the countries that are going through the process of becoming developed.
These countries have undergone enormous changes such as new government
regimes and the gaining of independence. This process can take many years.
• These countries are characterized by;
• Transition Economy from a focus on industrial and manufactured based sectors
to service sectors.
• Developed education, health care, banking, transportation and information
technologies
• Their economic growth is much higher than other developing countries
• The term came into use around 1970, when the Four Asian Tigers of Hong Kong,
Singapore, South Korea, and Taiwan.
Eliud Kitime, Lectures on Development Studies, 2019
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Developing Countries
• Developing countries are the countries that have not achieved a significant degree of industrialization
relative to their populations, and have, in most cases, a medium to low standard of living. They are
also called low and middle income countries, less developed countries, less economically developed
countries, or underdeveloped countries.
• These are the world’s countries that are considered to be at the lowest social and economic levels
characterized by.
• Largely based on primary services such as agriculture.
• Most new development is focused on the manufacturing sector as these countries often have
the raw materials needed (e.g. mining, forestry)
• There is little service sector as people have little to no money to spend.
• Governments often rely on foreign aid to pay for these social developments; such, what little
money the government does make, often goes to repayment of these loans instead of their own
people.
Eliud Kitime, Lectures on Development Studies, 2019
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Graduating from one level to another
• Countries graduate from one level to another depending on their GNI per capita.
• According to a July 2019 report by the World Bank, India continued to be a lowermiddle-income country along with 46 others in the South Asia region while Sri
Lanka moved to the upper-middle-income group for 2020.
• Sri Lanka had been a lower-middle-income group since 1999. India has been a
lower-middle-income country since 2009.
Eliud Kitime, Lectures on Development Studies, 2019
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Conclusion
• There are several terms used to classify countries into rough levels of
development. Classification of any given country differs across sources, and
sometimes these classifications or the specific terminology used is considered
disparaging.
• The designations "developed" and "developing" are intended for statistical
convenience and do not necessarily express a judgment about
the stage
reached by a particular country or area in the development process.
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LECTURE 04
INDICATORS OF DEVELOPMENT
Eliud Kitime, Lectures on Development Studies, 2019
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Introduction
• How do we know there is development? What are the indicators of
development? What makes one society is developed and another not
developed? These questions are going to be discussed in this lecture.
• The lecture enables the student to be equipped with the knowledge and
application of the knowledge on the indicators of the development to
analyse what societies are developed on which grounds.
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Indicators of Development
• There are many indicators of development. The nature and scope of the indicators, as well
as the nature of the quantitative analysis of relations between them, will depend on the
conception and definition of development.
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Gross National Product
Age structure
Economic growth rate
Per capita Income
Life Expectancy
Crude Birth and Death rates
Literacy Rate
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The Human Development Index
•The Human Development Index (HDI) is a statistic composite index of life
expectancy, education, and per capita income indicators, which are used to
rank countries into four tiers of human development. A country scores a
higher HDI when the lifespan is higher, the education level is higher, and the
gross national income GNI (PPP) per capita is higher.
•It was developed by Pakistani economist Mahbub ul Haq, with help from
Gustav Ranis of Yale University and Meghnad Desai of the London School
of Economics, and was further used to measure a country's development by
the United Nations Development Program (UNDP)'s Human Development
Report Office.
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Conclusion
• There are many different measures used to assess the development gap, each
one offering an alternate way of dividing up the world with regards to how
developed it is.
• The nature and scope of the measures as well as the nature of the quantitative
analysis of relations between them, will depend on the conception and definition
of development.
• They range from ‘Hard’ economic indicators such as Gross National Income
(and all its variations), to various poverty and economic inequality indicators, to
the Sustainable Development Goals, which focus much more on social
indicators of development such as education and health, all the way down to
much more subjective development indicators such as happiness.
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LECTURE 05
SOCIAL FORMATION
Eliud Kitime, Lectures on Development Studies, 2019
8/27/2019
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Introduction
• Social formation explicates the concrete, historical articulation between
the capitalist mode of production, persisting pre-capitalist modes of
production, and the institutional context of the economy.
• The lecture intends to induce the understanding of the social formation
and how can be articulated in different societies.
Eliud Kitime, Lectures on Development Studies, 2019
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Social Formation
• Social formation is a historical constitution of social structure at any level
with all its complexities. It includes all emerging and disappearing
tendencies in the economy and superstructure, in the social relationships.
• Social formation refers to all the social classes and the intricate
contradictory unity of their relations, which constitute the structure of
class struggle and which are detectable by class struggle.
Eliud Kitime, Lectures on Development Studies, 2019
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Class
• Karl Marx defined class in terms of the extent to which an individual or social
group has control over the means of production. In Marxist terms a class is a
group of people defined by their relationship to the means of production.
• Classes are seen to have their origin in the division of the social product into a
necessary product and a surplus product. Therefore, the concept tells us a lot
about how economic development starts by imposing in us the understanding of
capital, labour and surplus.
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Social Class
• Traditions differ about which social traits are significant in defining class, although when
sociologists speak of "class" in modern society they usually mean socioeconomic classes.
The relative importance and definition of membership in a particular class differs greatly
over time and between societies, particularly in societies that have a legal differentiation of
groups of people by birth or occupation
• Social class is a division of a society based on social and economic status. It is the
hierarchical distinctions between individuals or groups in societies or cultures. Social
classes with more power usually subordinate classes with less power. Social classes with
a great deal of power are usually viewed as elites, at least within their own societies.
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Class Struggle
• Class struggle is conflict between different classes in a community
resulting from different social or economic positions and reflecting
opposed interests. The motor of the inevitable revolutions in history, is
inherent class conflict, inherent struggles between economic classes.
• For, in addition to the property rights system, one of the consequences of
the relations of production, as determined by the productive forces, is the
"class structure" of society.
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Significance of Social Formation
• The combination of forces and relations of production means the way people
relate to the physical world and the way people relate to each other socially are
bound up together in specific and necessary ways. People must consume to
survive, but to consume they must produce, and in producing they necessarily
enter into relations which exist independently of their will.
• For Marx, the whole 'secret' of why/how a social order exists and the causes of
social change must be discovered in the specific mode of production that a
society has. He further argued that the mode of production substantively shaped
the nature of the mode of distribution, the mode of circulation and the mode of
consumption, all of which together constitute the economic sphere.
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Conceptual Features of Social Fromation
• Social formation represents a definite existent combination of structural
levels (economic, political, ideological) and modes of production that
produces a determinate and distinctive ‘society effect’ and it has a mode
of existence that makes it relatively autonomous from other existences
• The ‘society effect’ of the social formation depends on the overall
reproduction of its hierarchy of determinacy of modes of production and
on the forms of the levels corresponding to that hierarchy. If the hierarchy
is displaced it is replaced by a new hierarchy with a new ‘society effect’
and a new form of social formation emerges.
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Conclusion
• Social formation is a complex of concrete economic, political, and
ideological relations, bound together and given their particular character
as capitalist, feudal, or whatever by the fact that the economic relations
are, in his words, ‘determinant in the last instance’.
• Social formation is the concrete, historical articulation between the
capitalist mode of
production, persisting pre-capitalist modes of
production, and the institutional context of the economy.
• The historical specificity of the relations of production is crucial for
understanding the social formation in its universality.
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LECTURE 06
MODES OF PRODUCTION
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Introduction
• There are the varied ways that human beings collectively produce
the means of subsistence in order to survive and enhance social
being.
• These variations can be determined through productive forces and
relations of productions.
• This lecture describes the concept, nature, functioning and the
consequences of the modes of production in shaping the societies
and their development.
Eliud Kitime, Lectures on Development Studies, 2019
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Mode of Production
• The Mode of Production is the unity of the productive forces and the relations of
production. Production begins with the development of its determinative aspect –
the productive forces – which, once they have reached a certain level, come into
conflict with the relations of production within which they have been developing.
• This leads to an inevitable change in the relations of production, since in the
obsolete form they cease to be indispensable condition of the production
process.
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Conceptual Significance of Mode of
Production
• The whole secret of why/how a social order exists and the causes of social
change must be discovered in the specific mode of production that a society
has. Hence, the mode of production substantively shaped the nature of the mode
of distribution, the mode of circulation and the mode of consumption, all of which
together constitute the economic sphere.
• People must consume to survive, but to consume they must produce and in
producing they necessarily enter into relations which exist independently of their
will. The way people relate to the physical world and the way people relate to
each other socially are bound up together in specific and necessary ways.
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Productive Forces
• These are the combination of the means of production with human labour
power. All those forces which are applied by people in the production
process . The means of production are not a productive force unless they
are actually operated, maintained and conserved by living human labour.
• The productive forces take the form of, or appear as, capital i.e. tradable
assets that earn money. Technology has a greater role to play in the
change of productive forces. Productivity is the organic composition of
capital and the value product. It is theorized in terms of the marginal
product of the factors of production.
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Relations of Production
• Relations of production refers to all kinds of social and technical human interconnections
involved in the social production and reproduction of material life. “Social” denotes
belonging, group membership and co-operative activity. “Technical” refers here to a
relationship between producers and objects worked upon.
• Relations of production involves ownership & control relations pertaining to society’s
productive assets, the way people are formally and informally associated within the
economic sphere of production, including social classes, work relations (including
household labor) and socio-economic dependencies between people arising from the way
they produce and reproduce their existence.
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Modes of Production in History
• Foraging Mode of Production
• Human society organized in traditional tribe structures, characterized by shared production and
consumption of the entire social product. Since were no permanent surplus product produced,
there is also no class in existence. It is said to be classless mode of production using crude
productive forces. This has also been called primitive communism.
• Asiatic Mode of Production
• The Asiatic mode of production is said to be the initial form of class society, where a small group
extracts surplus through violence aimed at settled or unsettled communities. It was made
possible by a technological advance in data-processing – writing, cataloguing and archiving as
well as by associated advances in standardisation of weights and measures, mathematics,
calendar-making and irrigation
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Modes of Production in History
• Slave Mode of Production
• It is the mode of production whereby the form of property is the direct possession of individual
human beings. Additionally, the ruling class usually avoids the more outlandish claims of being
the direct incarnation of a god, and prefers to be the descendants of gods, or seeks other
justifications for its rule. Ancient Greek and Roman societies are the most typical examples of
this mode.
• Feudal Mode of Production
• The primary form of property is the possession of land in reciprocal contract relations: the
possession of human beings as peasants or serfs is dependent upon their being entailed upon
the land. Exploitation occurs through reciprocated contract (though ultimately resting on the
threat of forced extractions). The ruling class is usually a nobility or aristocracy. It is usually
characterized by high feudalism in Western Europe.
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Modes of Production in History
• Capitalist Mode of Production
• This is usually associated with modern industrial societies.The primary form of
exploitation is wage labour of which the ruling class is the bourgeoisie, which
exploits the proletariat. Bourgeoisie possesses the means of production for the
whole society and proletariat possess only their own labour power, that they
must sell for survive.
• Socialist Mode of Production
• Socialism is the mode of production which Marx considered will succeed
capitalism, and which will itself ultimately be succeeded by communism - the
words socialism and communism both predate Marx and have many definitions
other than those he used, however - once the forces of production outgrew the
capitalist framework.
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Conclusion
• The material and cultural environment where humans satisfy their needs
for living (whether for health, food, housing or needs such as education,
science, nurturing, etc.).
• The means of satisfying peoples needs in a society depends on the mode
of production and the customs, morales, national traditions of a society.
The role of the family is one of the most important organizations of the
mode of life.
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LECTURE 07
THEORIES OF SOCIO-ECONOMIC
DEVELOPMENT
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Introduction
• There are various theories which attempt to explain the developments and
their variations to different societies.
• They attempt to answer why there societies are more developed than others
and what factors influence the development.
• Depending on which theory that is being looked at, there are different
explanations to the process of development and their inequalities.
• This lecture focuses on the various theories of development under the
classification of the traditional theories and modernisation theories.
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Theory
• The English word theory derives from a technical term in philosophy in Ancient
Greek. As an everyday word, theoria, meant "a looking at, viewing, beholding", but in
more technical contexts it came to refer to contemplative or speculative
understandings of natural things, such as those of natural philosophers, as opposed
to more practical ways of knowing things, like that of skilled orators or artisans.
English-speakers have used the word theory since at least the late 16th century
• A theory is a contemplative and rational type of abstract or generalizing thinking
about a phenomenon, or the results of such thinking. The research study associates
with the process of contemplative and rational thinking often. Theory may either be
scientific or other than scientific. Theory guides the enterprise of finding facts
rather than of reaching goals, and are neutral concerning alternatives among values.
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Theories of Socio-Economic Development
• There are many theories that attempt to explain the issues related to socio-economic
development. They vary from each other. Some theories focus on the characteristics of
individuals within a nation; others on the structure of work organization; others on the existing
social, economic, and political institutions; and still others on a nation's position in the
international system. However, most theories of development attempt to explain international
disparities in income, wealth, standard of living, and economic growth.
• Theories of socio-economic development are the theories which explain about how society
changes in social and economic perspectives. They explain how and why the socio-economic
development take place. They describe why the rates of socio-economic development are
different from one country to another. They postulate reasons for one society to be developed
while the other underdeveloped. Hence, they talk about how desirable change in society is best
achieved. Such theories draw on a variety of social science disciplines and approaches.
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Classification of Theories of SocioEconomic Development
• Structuralism
• The underling theory of structuralists was to explain how the structures put in place of both
the domestic and global economy was impeding development. Import substitution was an
economic policy adopted in most developing countries from the 1930s to the 1980s to
promote industrialization by protecting domestic producers from the competition of
imports.
• Linear model theory
• The linear model of development based upon the European experience which focused on
the lack of domestic savings and investment. In order to promote growth, policymakers had
to induce higher savings and investment rates in developing countries, a proposition that was
easier said than done. The linear model of growth proved to be fundamentally flawed.
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Classification of Theories of SocioEconomic Development
• Neo-Marxist theory
• Dependency theorists stressed how markets favoured industrialized countries, which
received raw materials cheaply from the developing world. In addition, industrialized
countries owned the technology that developing countries needed and had the economic
power to admit exports from developing countries only when it suited them. Such views
gave a strong bias in the developing world to a belief in the virtues of autonomous (selfsufficient) development.
• Neoclassical theory
• Marginal or neoclassical theory is a theory of the level and distribution of a national product
based on the social endowments of production factors such as labour and capital, technical
conditions of production and consumer preferences.
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Contemporary Trends on Socio-Economic
Development
• Post Development theory
• Post development theory is a school of thought which questions the idea of national
economic development altogether. According to post development scholars, the goal of
improving living standards leans on arbitrary claims as to the desirability and possibility
of that goal. Post development theory arose in the 1980s and 1990s.
• According to post development theorists, the idea of development is just a 'mental
structure' (Wolfgang Sachs) which has resulted in a hierarchy of developed and
underdeveloped nations, of which the underdeveloped nations desire to be like
developed nations.
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Contemporary Trends on Socio-Economic
Development
• Sustainable Development
• Sustainable development is development that meets the needs of the present without
compromising the ability of future generations to meet their own needs. There exist
more definitions of sustainable development, but they all have to do with the carrying
capacity of the earth and its natural systems and the challenges faced by humanity.
• Sustainable development can be broken up into environmental sustainability, economic
sustainability and socio-political sustainability. The book 'Limits to Growth',
commissioned by the Club of Rome, gave huge momentum to the thinking about
sustainability.
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Contemporary Trends on Socio-Economic
Development
• Human Development Theory
• Human development theory is a theory which uses ideas from different origins, such as
ecology, sustainable development, feminism and welfare economics. It wants to avoid
normative politics and is focused on how social capital and instructional capital can be
deployed to optimize the overall value of human capital in an economy.
• Amartya Sen and Mahbub ul Haq are the most well-known human development
theorists. The work of Sen is focused on capabilities: what people can do and be. It is
these capabilities, rather than the income or goods that they receive (as in the Basic
Needs approach), that determine their wellbeing.
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Conclusion
• There are many theories about how desirable change in society is best
achieved. Such theories draw on a variety of social science disciplines and
approaches.
• In this lecture, multiple theories are discussed, as are recent developments
with regard to these theories.
• Depending on which theory that is being looked at, there are different
explanations to the process of development and their inequalities.
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LECTURE 08
MARXIST THEORY OF DEVELOPMENT
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Introduction
• The major and prominent traditional theory of development is the Marxist
theory. This theory accentuates that economic development takes place
through stages ranging from primitive to socialism.
• It is within the ambit of this lecture to understand how the Marxist theory
views the concept of development, what factors that affect development and
what makes the variation of the levels of the development in the society.
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Marxism
• Marxism is a method of socioeconomic analysis that views class relations
and social conflict using a materialist interpretation of historical
development and takes a dialectical view of social transformation. It
originates from the works of 19th-century German philosophers Karl Marx
and Friedrich Engels.
• Marxism uses a methodology, now known as historical materialism, to
analyse and critique the development of class society and especially of
capitalism as well as the role of class struggles in systemic economic, social,
and political change.
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Marxism on Socio-Economic Development
• Marxism analyses the material conditions and the economic activities required to fulfil
human material needs to explain social phenomena within any given society. It assumes that
the form of economic organization, or mode of production, influences all other social
phenomena including wider social relations, political institutions, legal systems, cultural
systems, aesthetics, and ideologies. The economic system and these social relations form a
base and superstructure.
• As forces of production, i.e. technology, improve, existing forms of organizing production
become obsolete and hinder further progress. As Karl Marx observed: "At a certain stage of
development, the material productive forces of society come into conflict with the existing
relations of production or this merely expresses the same thing in legal terms with the
property relations within the framework of which they have operated hitherto.
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Marxist Stages of Development
• Karl Marx introduced the theory of stages of economic development, which
complemented his theory of class struggle.
• He categorized economic evolution into five categories viz.-slavery,
feudalism, capitalism, socialism and communism
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Primitive Communalism
• Primitive communalism is the ancient communal and State ownership which
proceeds especially from the union of several tribes into a city by agreement
or by conquest.
• Hence, men performed the same economic function – hunter gathering.
They worked together in order to survive. There was no private property and
there were no classes. Eventually the most successful hunter gatherers gained
power and control over the others.
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Slavery
• In this stage, all the work is done by human labour like hunting, preparing
shelter, finding skin of animals or bark of a tree to be used as cloths.
• This made the human labour the most important resource which can earn
income. Those who had maximum slaves were the most powerful in the
society.
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Feudalism
• Like tribal and communal ownership, it is based again on a community; but the
directly producing class standing over against it is not, as in the case of the ancient
community, the slaves, but the enserfed small peasantry.
• Exploitation functioned differently during stage than during the height of capitalism
because each feudal peasant knew exactly what proportion of his labour had to be
handed over to the aristocracy and the church; the rest was his or hers to use.
• Hence, land was owned by the aristocracy who exploited the peasantry who worked
it. There was a surplus of food which the aristocracy sold to others – creating a
class of merchants and capitalists who wanted to share political power.
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Capitalism
• In such a society, the proletariat is fooled into believing that s/he is free because s/he is paid
for his/her labour. In fact, the transformation of labour into an abstract quantity that can be
bought and sold on the market leads to the exploitation of the proletariat, benefitting a
small percentage of the population in control of capital.
• The working class thus experiences alienation since the members of this class feel they are
not in control of the forces driving them into a given job. The reason for this situation is
that someone else owns the means of production, which are treated like private property.
• So, the wealthy merchants and factory owners (bourgeoisie) obtained political power and
exploited the workers (proletariat). As the proletariat became politically aware they would
rise up and overthrow the bourgeois government.
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Socialism and Communism
• There would be a dictatorship of the proletariat as workers’ organisations re-distributed food, goods and
services fairly according to need, and profits were shared by all. The middle classes would come to
understand that equality was superior to private ownership.
• Everyone would join together for the common good. Money and government would no longer be needed
and society would be class-less. As all countries reached this stage the world would become state-less and
competition and wars would cease.
• Maturity of capitalism will create intense class conflict between proletariat (labour class) and bourgeois
(capitalist class). Ultimately, labour will unite together and over the state controlled by capitalist class through
a revolution.
• In a socialistic economy, labour will control the state and will own the companies. Market mechanism will be
substituted by planning by the state. Income of the individuals will be decided by their needs and not by
market mechanism. Ultimately socialism will lead to communism whereby state itself will wither away and
there will be no shortage of products.
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Marxist Concept of Economic
Development
• In Marxian theory, production means the generation of value. Thus economic
development is the process of more value generating, labour generates value. But
high level of production is possible through more and more capital accumulation
and technological improvement.
• At the start, growth under capitalism, generation of value and accumulation of
capital underwent at a high rate. After reaching its peak, there is a concentration of
capital associated with falling rate of profit. In turn, it reduces the rate of
investment and as such rate of economic growth. Unemployment increases. Class
conflicts increase. Labour conflicts start and there is class revolts. Ultimately, there is
a downfall of capitalism and rise of socialism.
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Criticism
• Criticisms of Marxism have come from various political ideologies and
academic disciplines.
• These include general criticisms about lack of internal consistency, criticisms
related to historical materialism, that it is a type of historical determinism,
the necessity of suppression of individual rights, issues with the
implementation of communism and economic issues such as the distortion
or absence of price signals and reduced incentives.
• In addition, empirical and epistemological problems are frequently identified.
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Conclusion
• The Marxian analysis is the greatest and the most penetrating examination of
the process of economic development.
• He expected capitalistic change to break down because of sociological
reasons and not due to economic stagnation and only after a very high
degree of development is attained.
• His famous book ‘Das Kapital’ is known as the Bible of socialism (1867). He
presented the process of growth and collapse of the capital economy
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LECTURE 09
MODERNISATION THEORY
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Introduction
• Modernisation theory uses a systematic process to move underdeveloped
countries to a more sophisticated level of development.
• This lecture explains the nature, bases and values of modernisation theories
of development.
• It describes the focus of the modernisation theory of development.
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Modernisation Theory
• Modernization theory is a theory used to explain the process of modernization that
a nation goes through as it transitions from a traditional society to a modern one.
The theory has not been attributed to any one person; instead, its development has
been linked to American social scientists in the 1950s.
• Modernization theory emerged in the 1950s as an explanation of how the industrial
societies of North America and Western Europe developed. The theory argues that
societies develop in fairly predictable stages through which they become increasingly
complex. Development depends primarily on the importation of technology as well
as a number of other political and social changes believed to come about as a result.
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Rationale for Modernisation Theory
• By the end of WW2 it had become clear that despite exposure to Capitalism
many of the countries of the South had failed to develop. In this context, in
the late 1940s, Modernisation Theory was developed. Modernisation theory
had two major aims:
• It attempted to explain why poorer countries have failed to develop, focussing on what
cultural and economic conditions might act as ‘barriers’ to development
• It aimed to provide a non-communist solution to poverty in the developing world by
suggesting that economic change (in the form of Capitalism) and the introduction of
western values and culture could play a key role in bringing about modernisation
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Characteristics of Modernisation Theory
• Modernization theory both attempts to identify the social variables that contribute to social
progress and development of societies and seeks to explain the process of social evolution.
• Modernization theory is subject to criticism originating among socialist and free-market
ideologies, world-systems theorists, globalization theorists and dependency theorists among
others.
• Modernization theory stresses not only the process of change but also the responses to that
change.
• It also looks at internal dynamics while referring to social and cultural structures and the
adaptation of new technologies.
• Modernization theory maintains that traditional societies will develop as they adopt more modern
practices.
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Versions of Modernisation Theory
• Marxist Modernisation Theory
• The Marxist theory of modernization theorized that as nations developed, adopting a
communist approach to governing, such as eradicating private property, would end conflict,
exploitation, and inequality. Economic development and social change would lead
developing nations to develop into a society much like that of the Soviet Union.
• Capitalist Modernisation Theory
• The capitalist version of modernization theorized that as nations developed, economic
development and social change would lead to democracy. Many modernization theorists of
the time, such as W. W. Rostow, argued that when societies transitioned from traditional
societies to modern societies, they would follow a similar path. They further theorized that
each developing country could be placed into a category or stage of development.
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Critiques of Modernisation Theory
• Modernization theory has had its critics from the start. Many scholars, often people of colour and those
from non-Western nations, have pointed out over the years that modernization theory fails to account for the
way Western reliance on colonization, slave labour, and theft of land and resources provided the wealth and
material resources necessary for the pace and scale of development in the West. It cannot be replicated in
other places because of this, and it should not be replicated in this way.
• Others, like critical theorists including members of the Frankfurt School, have pointed out that Western
modernization is premised on the extreme exploitation of workers within the capitalist system, and that the
toll of modernization on social relations has been great, leading to widespread social alienation, a loss of
community, and unhappiness.
• Still, others critique modernization theory for failing to account for the unsustainable nature of the project,
in an environmental sense, and point out that pre-modern, traditional, and indigenous cultures typically had
much more environmentally conscious and symbiotic relationships between people and the planet. Some
point out that elements and values of traditional life need not be completely erased in order to achieve a
modern societyand point to Japan as an example.
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Conclusion
• Modernization theory holds that this process involves increased availability
and levels of formal schooling, and the development of mass media, both of
which are thought to foster democratic political institutions.
• Through the process of modernization transportation and communication
become increasingly sophisticated and accessible, populations become more
urban and mobile, and the extended family declines in importance.
• Simultaneously, the importance of the individual in economic and social life
increases and intensifies.
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LECTURE 10
ROSTOW’S THEORY OF ECONOMIC GROWTH
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Introduction
• Rostow’s theory centres on the economic growth. It takes a historical
approach in suggesting that developed countries have tended to pass through
5 stages to reach their current degree of economic development.
• This lecture endeavours to understand what Walt Rostow perceives the
economic growth, what stages the economic growth passes through, what
are distinctive features of each stage as well as strengths and flaws of the
theory in application.
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Rostow’s Economic Growth Theory
• At the end of the Second World War (1939-45) there was a renewal of interest in
the subject of development economics and the stages of growth once again
preoccupied many scholars.
• As a non-communist manifesto, W. W. Rostow’s stages of economic growth (1960,
1971) is a foray into positioning the sweep of modern economic history under
capitalism into neat and hopeful epochs.
• Rostow’s version is an outstanding examples of continuity and evolution. Moreover,
if Marx’s theory is regarded as the banner of capitalism doomed, Rostow’s version
may be referred to as a capitalism viable.
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Rostow’s Five Stages of Economic Growth
• Walt Rostow took a historical approach in suggesting that developed countries have tended
to pass through 5 stages to reach their current degree of economic development.
• The model postulates that economic growth occurs in five basic stages, of varying length
such as
• Traditional society
• The Pre Conditions of take-off
• Take-off
• Drive to technological maturity
• High mass consumption
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Traditional Society
• A traditional society is one of the simplest and primitive forms of social
organisation. It is one whose structure is developed within limited
production function, based on Pre-Newtonian science and technology and
old Pre-Newtonian attitude to the physical world.
• This is an agricultural economy of mainly subsistence farming, little of
which is traded. The size of the capital stock is limited and of low quality
resulting in very low labour productivity and little surplus output left to sell
in domestic and overseas markets.
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Pre-conditions for take-off
• It is that stage of economic growth in which the progressive elements creep into the
otherwise barbaric and primitive psyches of the members of the society. People try
to break free from the rigidities of the traditional society and a scientific attitude—a
quest for knowledge in short—a questioning mid-set is very much visible in the
changing face of the society.
• Agriculture becomes more mechanised and more output is traded. Savings and
investment grow although they are still a small percentage of national income
(GDP). Some external funding is required - for example in the form of overseas aid
or perhaps remittance incomes from migrant workers living overseas.
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Take-off
• The take-off stage marks the transition of the society from a backward one to one that is on
the verge of freeing itself from the elements that retard growth. In fact, it is one stage in
which there is a dynamic change in the society and there is a meteoric rise in the standards
set by the members of society in all walks of life like industry, agriculture, science and
technology, medicine, etc.
• Manufacturing industry assumes greater importance, although the number of industries
remains small. Political and social institutions start to develop - external finance may still be
required. Savings and investment grow, perhaps to 15% of GDP. Agriculture assumes lesser
importance in relative terms although the majority of people may remain employed in the
farming sector. There is often a dual economy apparent with rising productivity and wealth
in manufacturing and other industries contrasted with stubbornly low productivity and real
incomes in rural agriculture.
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Drive to Maturity
• Maturity in the context of Rostow’s theory refers to that state of economy and the society
as a whole, when winning on all fronts becomes a habit or an addiction. Each and every
effort to stimulate the economy meets with success and the time period when the society
tastes success is a rather long one and the progress made on all fronts is there to stay.
• It is a period when a society effectively applies the range of available modern technology to
the bulk of its resources; and growth becomes the normal mode of existence. Industries like
heavy engineering, iron and steel, chemicals, machine tools, agricultural implements,
automobiles etc. take the driver’s seat.
• Industry becomes more diverse. Growth should spread to different parts of the country as
the state of technology improves - the economy moves from being dependent on factor
inputs for growth towards making better use of innovation to bring about increases in real
per capita incomes.
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High Mass Production
• From maturity the economy moves with growth to high mass consumption, the
stage at which durable consumer goods like radios, TV sets, automobiles,
refrigerators, etc., life in the suburbs, college education for one-third to one half the
population came within reach.
• In addition the economy, through its political process, expresses willingness to
allocate increased resources to social welfare and security. This stage was defined in
terms of shift in emphasis from problems of production to that of consumption.
• Output levels grow, enabling increased consumer expenditure. There is a shift
towards tertiary sector activity and the growth is sustained by the expansion of a
middle class of consumers.
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Relevance
• Rostow's Stages of Growth model is one of the most influential
development theories of the twentieth century. It was, however, also
grounded in the historical and political context in which he wrote.
• Rostow's model illustrates a desire not only to assist lower-income countries
in the development process but also to assert the United States' influence
over that of communist Russia.
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Critiques
• Rostow's model still sheds light on a successful path to economic development for some
countries. However, there are many criticisms of his model. While Rostow illustrates faith in
a capitalist system, scholars have criticized his bias towards a western model as the only path
towards development.
• Rostow’s model lays out five succinct steps towards development and critics have cited that
all countries do not develop in such a linear fashion; some skip steps or take different paths.
• Rostow's theory can be classified as "top-down," or one that emphasizes a trickle-down
modernization effect from urban industry and western influence to develop a country as a
whole. Later theorists have challenged this approach, emphasizing a "bottom-up"
development paradigm, in which countries become self- sufficient through local efforts, and
urban industry is not necessary.
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Critiques
• Rostow’s theory also assumes that all countries have a desire to develop in the same way,
with the end goal of high mass consumption, disregarding the diversity of priorities that
each society holds and different measures of development.
• For example, while Singapore is one of the most economically prosperous countries, it also
has one of the highest income disparities in the world. Finally, Rostow’s theory disregards
one of the most fundamental geographical principals: site and situation.
• Rostow’s model assumes that all countries have an equal chance to develop, without regard
to population size, natural resources, or location. Singapore, for instance, has one of the
world's busiest trading ports, but this would not be possible without its advantageous
geography as an island nation between Indonesia and Malaysia.
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Conclusion
• Rostow had advocated his theory as an alternative to Marx’s theory. While Marx’s
vision of the stages of growth was embodied in The Communist Manifesto (1848),
Rostow described his own works as the Non-Communist Manifesto. In fact the
bottom-line was that Rostow based his theory on the flows of the Marxian theory.
He criticised Marx’s theory on the ground that if suffers from “economic
determinism”.
• The great merit of Rostow’s doctrine was that its main facts was on continuity and
evolution of society and did not treat each stage as being mutually exclusive from
the other stages. Moreover, instead of limiting human behaviour to simple act of
maximisation, Rostow interpreted human behaviour as an act of balancing
alternatives and often conflicting human objectives.
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LECTURE 11
RAGNAR NURKSE’S VICIOUS CIRCLE OF POVERTY
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Introduction
• The vicious circle implies a circular constellation of forces tending to act and
react upon one another in such a way as to keep a poor country in a state of
poverty.
• This lecture describes the ideas of Ragnar Nurkse on why some societies are
poor while others are not poor. It describes the reasons for poverty and what
to do to move from poverty to development.
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Circle of Poverty
• Circle of poverty is the set of factors or events by which poverty, once started, is
likely to continue unless there is outside intervention. There are many disadvantages
that collectively work in a circular process making it virtually impossible for
individuals to break the cycle.
• Circle of poverty occurs when poor people do not have the resources necessary to
get out of poverty, such as financial capital, education, or connections. In other
words, impoverished individuals do not have access to economic and social
resources as a result of their poverty. This lack may increase their poverty. This
could mean that the poor remain poor throughout their lives.
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Ragnar Nurkse’s Vicious Circle of Poverty
• Ragnar Nurkse explains that the vicious circle implies a circular constellation of forces tending to
act and react upon one another in such a way as to keep a poor country in a state of poverty.
• The entire argument is summed up in Nurkse’s words: “A country is poor, because it is poor.” Or
“Because it is poor, the country does not develop; because it does not develop, it remains poor.”
• It assumes that people of less developed countries save little or nothing since they are poor. Since
savings are low, investment is low. Low investment means low productivity levels, and, with low
productivity levels, people will always remain poor.
• Other elements of poverty then appear and become self- reinforcing. For instance, low income is
accompanied with poor or low level of education and health. These, in turn, fail to incentivise
technological advancement. What is important is that poor countries that are strongly influenced
by the vicious cycles can get caught in a poverty trap.
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Explanation of Vicious Circle of Poverty
• The vicious circle argument is often explained from the supply side and the demand side of
capital. The supply of capital is governed by the ability and willingness to save, the demand for
capital is governed by the incentives to invest. Nurkse says: “On both sides of the problem of
capital formation in poor countries a vicious circle exists.”
• Let us first explain the supply side of capital. A poor country saves little because of poor income.
As a result, it experiences shortage of capital for developmental activities. Lack of capital
supports the labour-intensive technique of production. This technique of production is less
productive. In other words, a poor country experiences low productivity. And low income is the
result of low productivity.
• They (the under- developed countries) cannot get their heads above water because their
production is so low that they can spare nothing for capital formation by which their standard of
living can be raised.” This sort of vicious circle may be represented diagrammatically.
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Vicious Circle of Poverty in Diagram
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Relevance
• The basic logic of this vicious circle argument is that the greatest obstacle
towards the development of an economy is poverty.
• The primary causes of underdevelopment are so intimately connected that
they together form a circle which is vicious.
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Shortfalls
• According to Nurkse to break the VCP entrepreneurs will play an important role. But he
does not suggest the means for such funds. As in poor countries the savings are low, hence
for the supply of funds the credit creation will have to be restored. But Nurkse rejects it.
• According to Nurkse, the disguised unemployment will finance for growth. But the
domestic resources are not sufficient, they can partially meet the requirements of growth.
• Nurkse's theory fails to answer the question from where the machines and raw material will
be provided to the labour which will be utilized for capital formation. Moreover, why the
parents will continue providing food to their disguised unemployed offspring's once they get
employment.
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Shortfalls
• Nurkse says that the labour of Indo-Pak have much more leisure. But it is
not true. The labour perform so many works like repair of houses, digging
of canals, construction of small roads and cutting of forests etc. Therefore,
it is not possible to withdraw these people from lands.
• According to Bauer the idea of VCP is misleading and over-simplified
because the developed countries never passed through such situation when
they were UDCs.
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LECTURE 12
DEPENDENCY THEORY
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Introduction
• Dependency theory has been presented as a theory of development that
improves modernisation theory. It combines elements from a neo-Marxist
theory and adopts a revolution of under developed nations’ model.
• This lecture explains what the dependency theory focuses on. It explains
how dependency theory views the differential levels of the development
between the developed and underdeveloped countries. It accounts for the
relevance and weaknesses of the dependency theory.
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Dependency Theory
• Dependency theory is an approach to understanding economic underdevelopment
that emphasizes the putative constraints imposed by the global political and
economic order. It is a school of thought in contemporary social science which
seeks to contribute to an understanding of underdevelopment, an analysis of its
causes, and to a lesser extent, paths toward overcoming it.
• It was proposed in the late 1950s by the Argentine economist and statesman Raúl
Prebisch, dependency theory gained prominence in the 1960s and ’70s. It arose in
Latin America, became influential in academic circles and at regional organizations,
spread rapidly to North America, Europe, and Africa, and continues to be relevant
to contemporary debate.
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Central Ideas of Dependency Theory
• Underdevelopment is mainly caused by the peripheral position of affected countries
in the world economy.
• Dependency theory focuses on individual nations, their role as suppliers of raw
materials, cheap labour, and markets for expensive manufactured goods from
industrialized countries.
• There is a dominant world capitalist system that relies on a division of labour
between the rich 'core' countries and poor 'peripheral' countries. Over time, the core
countries will exploit their dominance over an increasingly marginalised periphery.
• The unequal exchange relationship between developed and developing countries
was viewed as contributing to poor economic growth.
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Strengths of Dependency Theory
• Dependency theories have provided an alternative approach to looking at
unilineal growth models. They have critically evaluated the continued unequal
relationships between countries, which have their history partly in
colonialism and imperialism.
• Africa received many billions of dollars in the form of loans from wealthy
nations between the early 1970s and 2002. Those loans compounded
interest. Although Africa has effectively paid off the initial investments into
its land, it still owes billions of dollars in interest.
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Criticism
• The principal criticism of dependency theories has been that the school does
not provide any substantive empirical evidences to support its arguments.
• There are few examples that are provided but many exceptions are there
which do not fit in with their core periphery theory, like the newly emerged
industrial countries of South East Asia.
• It has also been said that dependency theories are highly abstract and tend to
use homogenising categories such as developed and underdeveloped, which
do not fully capture the variations within these categories.
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Criticism
• Another point of criticism is that the dependency school considers ties with
multinational corporations as detrimental, while one view has been that they
are important means of transfer of technology.
• Another criticism which is levelled against the dependency theorists is that
they base their arguments on received notions such as nation-state, capitalism
and industrialisation.
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Conclusion
• Dependency theory, sometimes called foreign dependency, is used to explain the
failure of non-industrialized countries to develop economically despite investments
made into them from industrialized nations.
• The central argument of this theory is that the world economic system is highly
unequal in its distribution of power and resources due to factors like colonialism
and neo-colonialism. This places many nations in a dependent position.
• The dependency theory states that it's not a given that developing countries will
eventually become industrialized if outside forces and natures suppress them,
effectively enforcing dependency on them for even the most basic fundamentals of
life.
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Conclusion
• It is thus clear that poverty is the cause of poverty and the entire logic is
cumulative. In other words, poor countries are held down to their low levels
of per capita incomes by “interlocking vicious circles”.
• Self-perpetuating poverty and deprivation get transmitted from one
generation to the next in a poor country. Because of poor income of poor
people, children start school at a disadvantage and may receive little support
from their parents.
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LECTURE 13
PRECOLONIAL AFRICA
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Introduction
• African political systems are described in a number of textbooks and general
books on African history. Prior to European colonization in the late 19th
century, Africa had a very long history of state building as well as a rich
variety of social formations that were decentralized or stateless.
• In pre-colonial Africa, there was enormous variety and complexity of pre-
colonial African political systems and to challenge the notion that political
complexity only exists in centralized states. This lecture involves taking
account of the political systems and development that took place in Africa
before the colonisation.
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Overview of Pre-colonial Africa
• At the end of the prehistoric period (10 000 BC), some African nomadic bands
began to settle more permanently in villages along the Nile River to develop the
political foundation of ancient Egypt. As these early farmers increased their mastery
over soil and animal life, irrigation became a key development strategy to increase
food production, which in turn multiplied their populations.
• Two types of systems, hierarchical political systems and horizontal or acephalous
societies, developed to help generate stable communities and foster prosperity.
Stateless societies were small political entities and had no bureaucracies as they were
mostly based on kinship. Hierarchical societies, however, had bureaucracies to carry
out certain functions such as collecting taxes, supervising ceremonies, entertaining
dignitaries, and compelling people to do the rulers’ bidding.
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Nature of Precolonial African Societies
• Pre-colonial African societies were of a highly varied nature. They could be either stateless,
state run or kingdoms, but most were founded on the principles of communalism in that
they were self-governing, autonomous entities, and in that all members took part, directly or
indirectly, in the daily running of the tribe. Land was held commonly and could not be
bought or sold, although other things, such as cattle, were owned individually.
• An overarching feature of pre-colonial Africa was that its societies were not designed to be
the all-powerful entities that they are today, hence the abundance of confederation-type
societies. One reason for this was that the villages and tribes commonly owned the land, a
fact that undermined the basis for a market economy and a landed aristocracy, another that
there was an abundance of available land to which dissatisfied individuals or groups could
move.
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Political and Government Systems
• Decentralized or Stateless Political Societies
• There were many African societies which have been classified by political historians as
stateless or de-centralized. These terms are used to describe societies that did not have
well-defined and complex or centralized systems of government, such as political
systems of Ghana, Oyo or Zimbabwe.
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Political and Government Systems
• Centralised Empires and Kingdoms
• Some African societies were large empires governed by kings who had near absolute
power. For example, the empires of ancient Egypt in North Africa, of Nubia and
Axum in North East Africa, of Ghana, Mali and Songhai in West Africa, and
Zimbabwe in Southern Africa. These are examples of large kingdoms or empires that
developed a complex system of government. They were in many regards similar to
kingdoms and empires in Asia and Europe that were in existence during the same time
periods as the African kingdoms.
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Political and Government Systems
• Centralized Small Kingdoms and City-States
• As was true in Europe, Asia, and the Americas, not all African peoples lived in large
kingdoms. There were a variety of social and political systems in Africa. In addition to
the large kingdoms, there were smaller centralized political units, some of which
historians call City States since they were made up of large urban-like areas. These
geographically smaller states shared much in common with the larger African kingdoms.
The primary difference was size.
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Conclusion
• It is therefore important to realize that the relevance and usefulness of
traditional or pre-colonial African institutions and customs depend upon
whether one views African culture, or any culture for that matter, as static, or
whether African culture is deemed to have evolved and changed, to some
extent because of outside influence and colonialism.
• Culture must be seen as dynamic, and pre-colonial African cultures seen to
be historical manifestations that are relevant in their entirety only to that
specific period of time. Otherwise, they are useless as sources of inspiration
for contemporary societies.
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LECTURE 14
POLITICAL DEVELOPMENTS IN COLONIAL
AFRICA
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Introduction
• This lecture reviews how colonial rule and African actions during the colonial
period affected the resources and institutional settings for subsequent political
developments in Africa.
• The issue is seen from the perspective of the dynamics of development in what was
in 19th and 20th centuries an overwhelmingly land-abundant region characterised by
shortages of labour and capital, by perhaps surprisingly extensive indigenous market
activities and by varying but often low levels of political centralisation.
• The differential impact of French and British rule is explored, but it is argued that a
bigger determinant of the differential evolution of poverty, welfare and structural
change was the contrast between “settler” and “peasant” economies.
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Beginning of Colonisation of Africa
• The supply of African slaves to American plantations reached an all-time high in the late
18th century. After anti-slave trade legislation finally shut down the Atlantic slave exports,
commodity exports filled the gap. This so-called ‘commercial transition’ was completed in
West Africa before it hit East Africa. It was a game-changer, since it put a halt to the
continuous drain of scarce labour and paved the way for the expansion of land-intensive
forms of tropical agriculture, engaging smallholders, communal farms, and estates.
• Between the 1870s and 1900, Africa faced European imperialist aggression, diplomatic
pressures, military invasions, and eventual conquest and colonization. At the same time,
African societies put up various forms of resistance against the attempt to colonize their
countries and impose foreign domination. By the early twentieth century, however, much of
Africa, except Ethiopia and Liberia, had been colonized by European powers.
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Factors for Colonisation
• The European imperialist push into Africa was motivated by three main factors,
economic, political, and social.
• It developed in the nineteenth century following the collapse of the profitability of
the slave trade, its abolition and suppression, as well as the expansion of the
European capitalist Industrial Revolution.
• The imperatives of capitalist industrialization—including the demand for assured
sources of raw materials, the search for guaranteed markets and profitable
investment outlets—spurred the European scramble and the partition and eventual
conquest of Africa. Thus the primary motivation for European intrusion was
economic.
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Scramble for Africa
• The political impetus derived from the impact of inter-European power struggles and
competition for pre-eminence. Britain, France, Germany, Belgium, Italy, Portugal, and Spain were
competing for power within European power politics. One way to demonstrate national preeminence was through the acquisition of territories around the world, including Africa. The
social factor was the third major element.
• As a result of industrialization, major social problems grew in Europe: unemployment, poverty,
homelessness, social displacement from rural areas, and so on. These social problems developed
partly because not all people could be absorbed by the new capitalist industries. One way to
resolve this problem was to acquire colonies and export this "surplus population."
• This led to the establishment of settler-colonies in Algeria, Tunisia, South Africa, Namibia,
Angola, Mozambique, and central African areas like Zimbabwe and Zambia. Eventually the
overriding economic factors led to the colonization of other parts of Africa.
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Colonial Domination: Indirect Rule
• In Nigeria, the Gold Coast in West Africa, and Kenya, Uganda, Tanganyika in East Africa, for
example, Britain organized its colonies at the central, provincial, and regional or district levels.
• There was usually a governor or governor-general in the colonial capital who governed along
with an appointed executive council and a legislative council of appointed and selected local and
foreign members.
• The governor was responsible to the colonial office and the colonial secretary in London, from
whom laws, policies, and programs were received. He made some local laws and policies,
however.
• Colonial policies and directives were implemented through a central administrative organization
or a colonial secretariat, with officers responsible for different departments such as Revenue,
Agriculture, Trade, Transport, Health, Education, Police, Prison, and so on
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Colonial Domination: Assimilation
• The French, for their part, established a highly centralized administrative system that was influenced by their ideology of
colonialism and their national tradition of extreme administrative centralism. Their colonial ideology explicitly claimed that
they were on a "civilizing mission" to lift the benighted "natives" out of backwardness to the new status of civilized French
Africans. To achieve this, the French used the policy of assimilation, whereby through acculturation and education and the
fulfilment of some formal conditions, some "natives" would become evolved and civilized French Africans.
• In practice, the stringent conditions set for citizenship made it virtually impossible for most colonial subjects to become
French citizens. For example, potential citizens were supposed to speak French fluently, to have served the French
meritoriously, and to have won an award, and so on. If they achieved French citizenship, they would have French rights and
could only be tried by French courts, not under indignant, the French colonial doctrine and legal practice whereby colonial
"subjects" could be tried by French administrative officials or military commanders and sentenced to two years of forced
labour without due process.
• However, since France would not provide the educational system to train all its colonized subjects to speak French and
would not establish administrative and social systems to employ all its subjects, assimilation was more an imperialist political
and ideological posture than a serious political objective.
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Conclusion
• The establishment of colonial rule over the African interior (c. 1880-1900)
reinforced Africa’s commodity export growth. Colonial control facilitated the
construction of railways, induced large inflows of European investment, and
forced profound changes in the operation of labour and land markets. That
is, colonial regimes abolished slavery, but they replaced it with other forced
labour schemes.
• The scramble pushed African exports to new heights, but without the
preceding era of commercialisation the African scramble probably would
never have taken place.
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LECTURE 15
NATIONALISM AND STRUGGLE FOR
INDEPENDENCE IN AFRICA
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Introduction
• It is now a half-century since most countries on the African continent saw the end
of colonial rule.
• The first sustained scholarly attention to decolonization was authored largely by
social scientists in the 1950s that focused on ruling elites, party politics,
constitutional development, and the transfer of power.
• There was widespread unrest and organized revolts in both Northern and subSaharan colonies, especially in French Algeria, Portuguese Angola, the Belgian
Congo and British Kenya.
• This lecture centres on understanding of the movements and processes of the
nationalism and decolonisation in African countries.
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Overview of Nationalism and Struggle for
Independence
• There were a variety of responses on the part of African peoples to colonial rule. Supporters of colonialism
in Europe claimed that the average African person welcomed colonialism. Colonialism, they argued, brought
the end of slavery in East and Central Africa and brought a stop to inter-kingdom warfare in parts of West
Africa.
• While there is some truth to the claim that colonialism brought peace to a few areas in Africa, and that there
were some peoples who were initially thankful for an end to violence in their areas, the historical evidence
does not support the claim that there was widespread support for colonial rule. Indeed, there is also
considerable evidence of strong resistance to colonial rule.
• By the beginning of World War I in 1914, all of Africa, with the exception of Liberia and Ethiopia, had been
colonized, and initial African resistance had been overcome by the colonial powers. Over the next decades as
colonial rule became institutionalized, African resistance to colonialism became more focused and intense.
By the 1950s, there were organized nationalist parties that demanded political independence in almost every
colony in Africa.
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African Resistance to Colonialism
• The European imperialist designs and pressures of the late nineteenth century provoked African political
and diplomatic responses and eventually military resistance.
• During and after the Berlin Conference various European countries sent out agents to sign so-called treaties
of protection with the leaders of African societies, states, kingdoms, decentralized societies, and empires.
• The differential interpretation of these treaties by the contending forces often led to conflict between both
parties and eventually to military encounters.
• For Europeans, these treaties meant that Africans had signed away their sovereignties to European powers;
but for Africans, the treaties were merely diplomatic and commercial friendship treaties.
• After discovering that they had in effect been defrauded and that the European powers now wanted to
impose and exercise political authority in their lands, African rulers organized militarily to resist the seizure
of their lands and the imposition of colonial domination.
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Struggle for Independence
• It is quite clear that most African societies fought fiercely and bravely to retain control over
their countries and societies against European imperialist designs and military invasions. But
the African societies eventually lost out. This was partly for political and technological
reasons.
• The nineteenth century was a period of profound and even revolutionary changes in the
political geography of Africa, characterized by the demise of old African kingdoms and
empires and their reconfiguration into different political entities. Some of the old societies
were reconstructed and new African societies were founded on different ideological and
social premises.
• Consequently, African societies were in a state of flux, and many were organizationally weak
and politically unstable. They were therefore unable to put up effective resistance against the
European invaders.
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Nationalism and Independence
• World War II (1939-1945) had an important effect on Africa. Some important battles were fought in North
Africa. Many Africans from French and British colonies were also recruited to fight for the Allies in Europe,
Asia, and North Africa. In recruiting African soldiers, the British and French emphasized that soldiers would
be helping protect the world against the evils of Fascism and Nazism. At the end of the war, the returning
soldiers asked an important question, “Why should I give my life to keep Europe and America free, when I
am not free in my own country?” To the ordinary African, life as a colonial subject was hardly better than life
under Fascism or Nazism.
• Moreover, returning veterans and other Africans were also aware of the promise made by the Atlantic
Charter. In 1941, the British Prime Minister, Winston Churchill, and the U.S. President, Franklin Roosevelt,
composed a document, the Atlantic Charter, which stated the principles that directed the Allies’ war effort.
The third paragraph of the Charter states that the Allies “respect the right of all peoples to choose the form
of government under which they will live; and they will wish to see sovereign rights of self-government
restored to those who have been forcibly deprived of them.” Not surprisingly, Africans claimed this as a
commitment on the part of the Allies (at least Britain) to end colonial rule in Africa.
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Struggle for national Liberation
• At the end of the 1960s, six African colonies remained. Of the six, five were settler colonies that
are colonies in which the interests’ power of the European settler community kept the majority
African populations from gaining their political freedom. Of these six countries, five were in
Southern Africa: Angola (Portugal/settler) Mozambique (Portugal/settler), Namibia (South
Africa/settler), South Africa (settler) and Zimbabwe (British/settler). The small Portuguese
colony of Guinea Bissau and Cabo Verde in West Africa was the sixth colony.
• Just as in other African colonies, African nationalist movements had formed in each of these
countries in the 1940s and 1950s. These political parties sought peaceful, constitutional change.
That is, the primary aim of the nationalist parties was to change the constitutions of the settler
colonies to recognize the rights of the majority African population. One of the popular slogans
of these parties was the demand for One Man, One Vote. Does this political demand sound
familiar? It should! It is similar to the demands made over 200 years ago by the leaders of the
American Revolution.
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Conclusion
• It is now a half-century since most countries on the African continent saw
the end of colonial rule.
• The first sustained scholarly attention to decolonization was authored largely
by social scientists in the 1950s that focused on ruling elites, party politics,
constitutional development, and the transfer of power.
• There was widespread unrest and organized revolts in both Northern and
sub-Saharan colonies, especially in French Algeria, Portuguese Angola, the
Belgian Congo and British Kenya.
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LECTURE 16
POSTCOLONIAL AFRICA
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Introduction
• Postcolonial politics in Africa have been, and continue to be, still very much works
in progress.
• Prevailing designs for building prosperous, viable, stable states have changed
markedly over Africa’s first half-century of independence through reliance upon
various hypothesized keys to overcoming fundamental and endemic manifestations
of political and economic underdevelopment.
• This lecture depicts what transpires in Africa after gaining independence from
colonial masters. It describes how the post-colonial politics in Africa affect the
development process.
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Postcolonial African Politics
• Postcolonial politics in Africa have been, and continue to be, still very much works
in progress. Prevailing designs for building prosperous, viable, stable states have
changed markedly over sub-Saharan Africa’s first half-century of independence
through reliance upon various hypothesized keys to overcoming fundamental and
endemic manifestations of political and economic underdevelopment.
• Leaders of the mass-based nationalist parties that brought their countries to
independence charted the first visions of postcolonial politics, centering upon rapid,
egalitarian, state-led political development. These generally dissolved amid political
disarray with their objectives largely unrealized.
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Postcolonial African Politics
• In response, from the 1970s onward, post-independence African countries’
engagement in world affairs coincided increasingly with dominant external
influence upon the objectives and shape of African politics. This trend has
continued in varied and changing forms into the 21st century.
• The rapidly and profoundly changing contours of late-20th and early-21stcentury world politics and the global economy have intertwined, at least until
recently, with predominant weakness and political decay in African politics as
well as endemic economic underdevelopment.
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Postcolonial African Conflicts
• The continent of Africa has been highly susceptible to intra and inter- state wars and conflicts.
This has prompted the insinuation that Africa is the home of wars and instability. Most pathetic
about these conflagrations is that they have defied any meaningful solution and their negative
impacts have retarded growth and development in Africa while an end to them seems obscure.
• What then are the causes of these unending wars in Africa? How far have they weakened
cohesion, unity and the potential development of the African continent? What can we do to
overcome this monster?
• The history of Africa as a continent is replete with conflict. One may even assert that the major
current that runs through Africa: from North to South, East to West and Central is conflict and
wars. Since the 1960’s, series of civil wars had taken place in Africa. Examples include: Sudan
(1995-1990), Chad (1965-85), Angola since 1974, Liberia (1980- 2003), Nigeria (1967-70), Somalia
(1999-93) and Burundi, Rwanda and Sierra Leone (1991-2001).
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Postcolonial African Conflicts
• Conflicts in Africa may be said to have been caused by a multiplicity of factors such as: arbitrary
borders created by the colonial powers, heterogeneous ethnic composition of African states,
inept political leadership, corruption, negative effect of external debt burden and poverty.
• The unending political tensions, wars and conflicts in the continent have had lasting negative
impact on the socio- economic development of Africa because socio- economic development
cannot be sustained in an environment riddled with violence, instability and insecurity.
• As a way out of the predicament of wars and conflicts that have bedevilled Africa, it is apt to
offer some valuable suggestions based on a thorough analysis of the causes of the problem. In
this wise, two major broad solutions may be experimented with to bail Africa out of recurrent
conflicts and wars. These are committed and sincere leadership and eradication of poverty.
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Postcolonial Political Trends in Tanzania
• At independence in 1961, Tanganyika (Tanzania Mainland) had a multiparty political system. The Tanganyika
African National Union (TANU), established in 1954, was the overwhelmingly dominant political party in
pre-independence Tanganyika. Other political parties of this era included the United Tanganyika Party, the
African National Congress, and the All Muslim National Unity of Tanganyika.
• In Zanzibar, there were three important political parties prior to independence. These were the ZNP
(Zanzibar Nationalist Party, ASP (Afro-Shirazi Party), and ZPPP (Zanzibar and Pemba Peoples's Party). On
February 5, 1977, ASP the ruling party of Zanzibar and TANU merged into the Chama Cha Mapinduzi
(CCM) or Revolutionary Party. It became the sole legal political party in Tanzania. All candidates had to be
approved by the CCM and were permitted to campaign only on the CCM platform. Elections within the
single party framework were competitive, however.
• In the balloting on 13 and 27 October 1985, 328 candidates competed for 169 elective seats in the National
Assembly. In 1987, former president Julius K. Nyerere was reelected chairman of the CCM. He stepped
down in 1990, to be succeeded by Ali Hassam Mwinyi.
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Postcolonial Political Trends in Tanzania
• Although Tanzania amended its constitution in 1992 to become a multiparty state,
the CCM still controls government. Other parties have tried to organize, and have
complained of harassment by government and CCM activists.
• Before taking part in elections, the new parties undergo a six-month probation
during which they can recruit and organize. Some 20 opposition groups had
registered in the first four months of their legality.
• However, parties representing regional, racial, ethnic, or religious groups are
explicitly prohibited.
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Conclusion
• Since independence in the late 20th century, African countries have been betting with the
problem of civil wars and inter- state conflicts. This has taken its toll on Africa’s
development in a number of ways especially in death of her illustrious sons and daughters
and alienation of her peoples which in turn has been hindering the process of integration
and cohesion in Africa.
• Thugery, looting and arson have become part and parcel of Africa’s political culture. This
should not be allowed to continue if Africa is to witness sporadic growth and development
and compete favourably with other continents of the world.
• All hands must therefore he on deck to halt this negative development and chart a new
course for peace in Africa. This will not only enhance adequate security of life and property
in Africa, it will also attract foreign investors to Africa for the adequate exploration of her
numerous natural resources for growth and development.
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LECTURE 17
POVERTY AND POVERTY ALLEVIATION
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Introduction
• This lecture is an interdisciplinary analysis of poverty and development,
where the focus is on how and why some countries can achieve poverty
reduction and development while others do not.
• It examines the political and economic incentives that can drive governments
to focus on development and poverty reduction, especially in Sub-Saharan
Africa.
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Poverty
• Poverty is the inability of having choices and opportunities, a violation of human dignity. It
means lack of basic capacity to participate effectively in society. It means not having enough
to feed and clothe a family, not having a school or clinic to go to; not having the land on
which to grow one's food or a job to earn one's living, not having access to credit. It means
insecurity, powerlessness and exclusion of individuals, households and communities. It
means susceptibility to violence, and it often implies living in marginal or fragile
environments, without access to clean water or sanitation.
• Poverty is deprivation in well-being, and comprises many dimensions. It includes low
incomes and the inability to acquire the basic goods and services necessary for survival with
dignity. Poverty also encompasses low levels of health and education, poor access to clean
water and sanitation, inadequate physical security, lack of voice, and insufficient capacity and
opportunity to better one's life
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Types of Poverty
• Absolute Poverty
• Absolute poverty is a condition characterized by severe deprivation of basic human needs, including food, safe
drinking water, sanitation facilities, health, shelter, education and information. It depends not only on income
but also on access to services. It refers to a set standard, which is consistent over time and between countries.
Absolute poverty is the complete lack of the means necessary to meet basic personal needs, such as food,
clothing and shelter. The threshold at which absolute poverty is always about the same, independent of the
person's permanent location or era.
• Relative Poverty
• Relative poverty views poverty as socially defined and dependent on social context, hence relative poverty is a
measure of income inequality. Usually, the measurement of relative poverty is the percentage of the
population with income less than some fixed proportion of median income. Relative poverty occurs when a
person cannot meet a minimum level of living standards, compared to others in the same time and place.
Therefore, the threshold at which relative poverty varies from one country to another or from one society to
another.
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Aspects of Poverty
• Economic Aspect
• Economic aspects of poverty focus on material needs, typically including the necessities of daily living,
such as food, clothing, shelter, or safe drinking water. Poverty in this sense may be understood as a
condition in which a person or community is lacking in the basic needs for a minimum standard of
well-being and life, particularly because of a persistent lack of income. The increase in poverty runs
parallel sides with unemployment, hunger, and higher crime rate.
• Social Aspect
• Analysis of social aspects of poverty links conditions of scarcity to aspects of the distribution of
resources and power in a society and recognizes that poverty may be a function of the diminished
"capability" of people to live the kinds of lives they value. The social aspects of poverty may include
lack of access to information, education, health care, social capital or political power.
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Causes of Poverty
•
•
•
•
•
•
Conflicts
Climate Change
Poor education
Poor infrastructure
Poor policies
Rapid population growth
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Effects of Poverty
• Poverty stretches across the globe affecting almost half of the world’s population. Its effects reach deeper.
Uniquely connected to different causes, the effects of poverty are revolving—one result leads to another
source leads to another consequence.
• Globally, millions suffer from poverty-related health conditions as infectious diseases ravage the lives of an
estimated 14 million people a year and are of the top effects of poverty. These diseases are contracted
through sources like contaminated water, the absence of water and sanitation, and lack of access to proper
healthcare.
• An old adage says, “If a man don’t work, he don’t eat.” That is not the case for a large number people living
in poverty. Lack of economic opportunity leads to impoverishment, which then leads to crime.
• There is a direct correlation between low academic performance and poverty. Children who are exposed to
extreme levels of poverty have difficulty with cognitive development, speech, and managing stress, which
leads to adverse behaviour.
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Poverty Alleviation
• The importance of poverty reduction in economic and social development has
raised a lot of interest in the past decade. Most governments in developing
countries seek solutions to eradicate poverty at international level, and this has
resulted in developing and developed countries being signatories to the United
Nations Millennium Development Goals (MDG) and Sustainable Development
Goals.
• One of the MDG targets – to halve extreme poverty and hunger by 2015 – has
been met at the global level. However, the results have been uneven across
countries, with Africa having large populations still trapped in poverty (UN, 2015).
At national level, governments have adopted poverty reduction measures that target
multi-dimensional aspects of poverty like access to basic services and income.
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Poverty Reduction in Tanzania
• Tanzania joined other nations in the eradication of poverty after its commitment at the
World Social Summit in Copenhagen in 1995 (The President’s Office, 1995). This
culminated in the formulation of poverty-oriented policies.
• In mainland Tanzania , the National Poverty Eradication Strategy of 1998 was formulated
and poverty eradication was also incorporated into the long term vision, Tanzania
Development Vision 2025, and the medium term policy, National Strategy for Growth and
Reduction in Poverty (NSGRP) (Ministry of Finance and Economic Affairs, 2010).
• In Zanzibar, poverty reduction policies were incorporated into the Zanzibar Poverty
Reduction Plan, Zanzibar Development Vision 2020 and Zanzibar Strategy for Growth and
Reduction of Poverty (ZSGRP) (Revolutionary Government of Zanzibar, 2010).
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Conclusion
• Poverty is not having enough material possessions or income for a person's needs.
Poverty may include social, economic, and political elements. Poverty intervention
policies and programmes under these strategies are aggregated into three clusters
• Despite the milestones that have been recorded in poverty reduction, Tanzania faces
a number of challenges that have retarded and in some cases hampered the
reduction of poverty.
• Among the challenges registered are high unemployment, especially among the
youth, a shortage of some critical skills, insufficient agricultural financing and high
population growth.
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LECTURE 18
ENVIRONMENT AND DEVELOPMENT
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Introduction
• This lecture presents the associated problems, along with solutions that can
be used to achieve a harmonic, sustainable development that provides for the
co-existence of man and natural life.
• It focuses on the adverse impact that human activities, developments, and
economic growth have on both natural and inhabited environments.
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Environment
• The term environment derives its origin from a French word “Environia” means to
surround. It refers to both abiotic (physical or non-living) and biotic (living)
environment. It means surroundings, in which organisms live. It refers to the
materials and forces that surrounds the living organism. Hence, it is the entirety of
the physical world consisting of the world’s landmasses, oceans, and atmosphere.
• Environment is the sum total of conditions that surrounds us at a given point of
time and space. It is comprised of the interacting systems of physical, biological and
cultural elements, which are interlinked both individually and collectively.
Environment is the sum total of conditions in which an organism has to survive or
maintain its life process. It influences the growth and development of living forms.
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Components of Environment
• Environment entails surroundings that surrounds living beings from all sides and affect their lives in toto. It
consists of atmosphere, hydrosphere, lithosphere and biosphere. Its chief components are soil, water, air,
organisms and solar energy. It has provided us all the resources for leading a comfortable life.
• Atmosphere
•
Atmosphere consists of a complex mixture of a number of gases, water vapour and a variety of fine particulate material.
• Hydrosphere
•
It includes the surface water and its surrounding interface. It is vital for life molecule to survive.
• Lithosphere
•
It is the outer boundary layer of solid earth and the discontinuity within the mantle.
• Biosphere
•
Biosphere consists of all living things like plants, animals and small microorganisms like bacteria.
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Role of Environment to Development
• The environment and development have traditionally intersected in developing areas where there are
utilization of one or more natural resources to promote economic growth.
• There are functions of the environment that support human life and economic activity. The first of these
functions is the production of raw materials from the natural resources of soil, water, forests, minerals and
marine life (the Earth’s ‘source’ function).
• The second is the safe absorption (through breakdown, recycling or storage) of the wastes and pollution
produced by production and human life (the Earth’s ‘sink’ function).
• The third is the provision of the environmental or ecosystem services that support life without requiring
human action, for example, climatic stability, biodiversity, ecosystem integrity and protection from ultraviolet
radiation (the Earth’s ‘service’ function).
• The fourth is the intrinsic recreational, psychological, aesthetic and spiritual value of environments (the
Earth’s ‘spiritual’ function)
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Major Environmental Problems
• Today’s current major environmental issues are climate change, pollution and
resource reductions. The protection movement lobbies efforts to protect all
sort of danger cause to any ecologically valuable natural areas.
• In this way environmental science & technologies helped humanity to study
the interactions among the physical, chemical and biological components of
the environment.
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Climate Change
• Climate change is the most urgent issue affecting the whole planet right now. It is the defining human
development issue of our generation. Climate change-related hazards are ongoing and increasing. They pose
a serious threat to the achievement of the MDGs as they have the potential to reverse years of development
gains. Tackling the climate is a need for justice: developing countries have 98% of the seriously affected and
99% of all deaths from weather-related disasters, along with over 90% of the total economic losses, while
the 50 Least Developed Countries contribute less than 1% of global carbon emissions.
• Many factors, both natural and human, can cause changes in Earth’s energy balance, including variations in
the sun's energy reaching Earth, Changes in the reflectivity of Earth’s atmosphere and surface Changes in
the greenhouse effect, which affects the amount of heat retained by Earth’s atmosphere. These factors have
caused Earth’s climate to change many times.
• Climate change and global poverty must be combated simultaneously. 75% of the world’s poor live in rural
areas and largely depend on natural resources for their livelihoods and income. They suffer the most from
natural disasters due to poor infrastructure and systems that are not equipped to deal with the drastic impact
of major catastrophes such as the 2004 tsunami or Haiti earthquake.
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Environmental Pollution
• Environmental pollution is one of the most serious problems facing humanity and
other life forms on our planet today.
• Environmental pollution is the contamination of the physical and biological
components of the earth/atmosphere system to such an extent that normal
environmental processes are adversely affected.
• Pollutants can be naturally occurring substances or energies, but they are
contaminants when in excess of natural levels. Any use of natural resources at a rate
higher than nature’s capacity to restore itself can result in pollution of air, water,
and land.
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Environmental Problems in Tanzania
• Tanzania faces a number of environmental problems. Depletion of resources, with
major developmental and environmental implications.
• The major environmental problems facing Tanzania are land degradation, lack of
accessible, good quality water for urban and rural inhabitants, environmental
pollution, loss of wildlife habitats and biological diversity, deterioration of aquatic
systems and deforestation.
• The current state of the environment in Tanzania is a matter of urgent concern.
Natural resources are being depleted, with major developmental and environmental
implications
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Environmental Legislation and
Institutional Frameworks in Tanzania
• There are several pieces of legislation, which regulate the use and management of environment
and natural resources. These laws have evolved along sectoral lines, and many of them are either
weak and/or outdated. They lack an umbrella/framework in order to operate in an integrated
manner. There is review of most of these laws to make them address bio-diversity issues. The
formulation of the environmental protection law will be instrumental in conserving bio-diversity.
The institutional framework for environmental management is in place.
• The Vice President's Office, through the Division of Environment is responsible for
policymaking and coordination of all environmental matters. The National Environmental
Management Council (NEMC) has the responsibility of advising the government on all matters
related to the environment. The line ministries, such as the Ministry of Tourism and Natural
Resources, Ministry of Water and Livestock Development, Ministry of Agriculture and Food
security and others, however, do the actual management of environment and natural resource.
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Conclusion
• Environment and the organisms are two dynamic and complex component of
nature. Environment regulates the life of the organisms including human beings.
Human beings interact with the environment more vigorously than other living
beings.
• Environment plays an important role in the healthy living of human beings. It is
where humans live, and it provides air, food, and other needs. Humanity's entire life
support system depends on the well-being of all the environmental factors.
• Environment play an important role in regulating air and climate. Another reason
the environment is so important is because it is a source of natural beauty, and it is
necessary for proper physical and mental health too.
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LECTURE 19
POPULATION AND DEVELOPMENT
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Introduction
• Many people know that development shapes population trends—for
example, rising incomes usually lead to falling birth rates.
• Nevertheless, the reverse is also true: population trends can impede or hasten
development.
• This lecture studies consequences of population trends on socioeconomic
development, human welfare, and the natural environment.
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Human Population
• Human population refers to the number of people living in a particular area, from a
village to the world as a whole. A secondary meaning of population is the
inhabitants themselves, but in most uses, population means numbers.
• Population size and distribution in relationship to space and resources is
fundamentally important to nearly every aspect of social, economic and political
life, as well as the quality of natural environments.
• Population increase, whether from reproduction, migration or tourism can bring
economic benefit, but may also bring substantial costs if social, economic,
infrastructural and regulatory systems cannot adapt quickly enough.
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Population Size
• Population size is the number of individuals present in a subjectively designated
geographic range.
• Despite the simplicity in its concept, locating all individuals during a census that is a
full count of every individual) is nearly impossible, so ecologists usually estimate
population size by counting individuals within a small sample area and extrapolating
that sample to the larger population.
• Regardless of the challenges in measuring population size, it is an important
characteristic of a population with significant implications for the dynamics of the
population as a whole.
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Population Structure
• Population structure means the 'make up' or composition of a population.
Looking at the population structure of a place shows how the population is
divided up between males and females of different age groups.
• The age and sex structure of a population can be shown using a population
pyramid. The age composition of different countries can be represented on a
population triangle.
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Population Density
• Population density is the size of a population in relation to the amount of
space that it occupies. Density is usually expressed as the number of
individuals per unit area or volume. For example, the number of persons per
square kilometre.
• Population density is a dynamic characteristic that changes over time as
individuals that are added to or removed from the population. Birth and
immigration — the influx of new individuals from other areas — can
increase a population's density, while death and emigration — the movement
of individuals out of a population to other areas — can decrease its density
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Age Sex Structure
• The age structure of a population is simply the distribution of the relative sizes of
various age groups in the population of a region, country, or the world.
• The changing age structure has implications for future. Changes in the size, age
structure and location of the population have direct implications for the level and
redistribution of economic resources.
• This is because population constitutes the human capital and defines its potential
labour supply while from an economic point of view, the working population is a
factor of production and its aptitude and skill level contributes to the productivity
of the national economy.
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Age Dependency Ratio
• The age-dependency ratio is a proxy indicator of the economic burden and
responsibility borne by the working age population. Age dependency ratios
of 100 and above are undesirable.
• The dependency ratio shows how reliant young and old people are on the
economically active population. A higher dependency ration indicates that
more of the population is reliant on the working population.
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Population Growth
• Population growth is determined by fertility rates – the number of children
per adult and fatality rates. Birth rates and mortality rates are, in turn,
determined by a combination of factors.
• Often economic growth and economic development have led to a decline in
population growth, but there are no hard and fast rules and other factors,
such as availability of family planning, social expectations and government
intervention can play an important role.
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Factors Influencing Population Growth
•
•
•
•
•
•
•
Economic development.
Education.
Quality of children.
Welfare payments/State pensions
Social and cultural factors
Availability of family planning.
Female labour market participation.
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Benefits of Population Growth
• An increasing population means an increase in the number of working
population who can function as active participants in the process of
economic growth and development.
• A growing population means a growing market for most goods and services
and we know that division of labour is limited by the extent of the market.
• An arithmetic increase in population permits in reaping economies of scale
in production, greater division of labour, extension of the market, etc.
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Costs of Population Growth
• Population growth acts as a barrier to economic development since the
growth of population grows never in commensurate with the growth of
food supply.
• A rapid population growth causes an increase in dependency ratio—a high
ratio of non-working population to working wage people or active
population.
• The question of unemployment and underemployment has assumed serious
proportion, particularly in LDCs, because of rapid population growth
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Population and Development
• The relationship between population growth and economic development has
long been debated ever since Malthus in the 18th century. In the mid-20th
century when it became clear that rapid increase in the populations of the
developing countries had started; several authors highlighted the potentially
negative impact of continued rapid population growth.
• The, size growth, age-sex structure, and location of the population have an
impact, through a variety of mechanisms, on fundamental aggregate
economic parameters such as investment, savings, consumption, and
productivity but these relations are complex.
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Population Growth in Tanzania
• The total population of the United Republic of Tanzania according to the 2012
Census is 44,929,002, compared to 34,443,603 in 2002 (see Table 2.1). Population
of Mainland Tanzania according to 2012 Census is 43,625,434 (compared to
33,461,849 in 2002).
• This means that the population of Tanzania has grown by 10,485,399 persons or
30.4% since 2002. This translates into a rate of growth of 2.7 percent per annum
for Tanzania during the inter-censual period 2002-2012, compared to 2.9 percent
per annum in the previous period (1988-2002). Several countries in Sub- Saharan
Africa share similar (high) rates of growth, at varied population sizes.
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Urbanisation
• Urbanization is inevitable and managing its trends and patterns constitute a major
challenge and opportunity. Urban population is growing very fast while the
economic growth and development transformations necessary to support it and
enhance quality of life are not occurring at the same rate. If well managed, cities
offer important opportunities for economic and social development because Cities
have always been centres for economic development and innovation.
• Due to higher population density in urban areas, governments can more easily
deliver essential infrastructure and services at relatively low cost per capita.
Urbanization is part of demographic transition and the transformation of a society
from high to low birth and death rates.
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Conclusion
• Population growth plays a conflicting role in the development process of a
country. It helps economic development and it retards economic
development. Such conflicting roles suggest that the relationship between
population and economic development is intricate, complex and interesting.
• This means that there is no conflict between population growth and
economic development but also an increase in population is necessary for
increase in wealth and development.
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LECTURE 20
REPRODUCTIVE HEALTH AND DEVELOPMENT
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Introduction
• Today the least developed countries face high rates of mortality, fertility and
population growth that threaten their prospects for development. Investing
in reproductive health will allow the LDCs to meet the needs of women and
couples who currently lack access to family planning, and reduce poverty.
• This lecture entails the connection between reproductive health and
development as well as what measures should be taken to improve
reproductive health eventually foster the development.
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Reproductive Health
• Reproductive health is a universal concern, but is of special importance for
women particularly during the reproductive years. Although most
reproductive health problems arise during the reproductive years, in old age
general health continues to reflect earlier reproductive life events.
• Reproductive health is a state of complete physical, mental and social wellbeing and not merely the absence of disease or infirmity, in all matters
relating to the reproductive system and to its functions and processes.
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Scope of Reproductive Health
• Reproductive health does not start out from a list of diseases or problems - sexually
transmitted diseases, maternal mortality - or from a list of programmes - maternal
and child health, safe motherhood, family planning.
• Instead, we can understand reproductive health in the context of relationships:
fulfilment and risk, the opportunity to have a desired child, or alternatively, to avoid
unwanted or unsafe pregnancy.
• Reproductive health contributes enormously to physical and psychosocial comfort
and closeness, and to personal and social maturations poor reproductive health is
frequently associated with disease, abuse, exploitation, unwanted pregnancy, and
death.
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Rationale for Reproductive Health
• Through reproductive health, high infant and maternal mortality and high levels of
HIV/AIDS will reduce quality of life. Only a small minority of societies have access to
basic health and reproductive health (RH) services. There are many unwanted births. The
impact of HIV/AIDS on women has been very harsh. Life expectancy in some countries
has been reduced. 50% of new HIV infections are among young people, who are poorly
informed about reproductive health.
• Health services are not suitable for youth needs. The consequences of early marriage and
childbearing are limits to education and employment. Young women face the threat of
domestic violence and abuse. Teenagers can be protected against HIV/AIDS and sexually
transmitted diseases by institutionalization of sex education. RH needs to stress male
responsibility in sexual health and childbearing. Sexual responsibility can be a life-and-death
situation. African countries are beginning to integrate population and development policies.
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Factors Affecting Reproductive Health
• Reproductive health affects, and is affected by, the broader context of people's lives,
including their economic circumstances, education, employment, living conditions
and family environment, social and gender relationships, and the traditional and
legal structures within which they live.
• There are complex biological, cultural and psychosocial factors that govern sexual
and reproductive behaviours. Therefore, the attainment of reproductive health is
not limited to interventions by the health sector alone. Nonetheless, societies cannot
address most reproductive health problems significantly in the absence of health
services and medical knowledge and skills.
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Victims of Reproductive Health Problems
• Women bear by far the greatest burden of reproductive health problems. Women are at risk of
complications from pregnancy and childbirth; they also face risks in preventing unwanted
pregnancy, suffer the complications of unsafe abortion, bear most of the burden of
contraception, and are more exposed to contracting, and suffering the complications of
reproductive tract infections, particularly sexually transmitted diseases (STDs).
• Among women of reproductive age, 36% of all healthy years of life lost is due to reproductive
health problems such as unregulated fertility, maternal mortality and morbidity and sexually
transmitted diseases including HIV/AIDS. By contrast, the equivalent figure for men is 12%.
• Biological factors alone do not explain women's disparate burden. Their social, economic and
political disadvantages have a detrimental impact on their reproductive health. Young people of
both sexes are also particularly vulnerable to reproductive health problems because of a lack of
information and access to services.
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Family Planning
• Family planning connotes the information, means and methods, which allow
individuals to decide if they want to have children and when to have children.
• This includes a wide range of contraceptives including pills, implants, intrauterine
devices, surgical procedures that limit fertility, and barrier methods such as condoms
– as well as non-invasive methods such as the calendar method and abstinence.
• Family planning also includes information about how to become pregnant when it is
desirable, as well as treatment of infertility.
• Family planning may involve consideration of the number of children a woman
wishes to have, including the choice to have no children, as well as the age at which
she wishes to have them.
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Abortion
• Abortion is the ending of a pregnancy by removal or expulsion of an embryo or fetus
before it can survive outside the uterus. An abortion that occurs without intervention is a
miscarriage or spontaneous abortion. When deliberate steps are taken to end a pregnancy, it
is called an induced abortion, or less frequently induced miscarriage.
• The reasons why women have abortions are diverse and vary across the world. Some of the
reasons may include an inability to afford a child, domestic violence, lack of support, feeling
they are too young, and the wish to complete education or advance a career. Additional
reasons include not being willing to raise a child conceived as a result of rape or incest.
• In both public and private debate, arguments presented in favour of or against abortion
access focus on the moral permissibility of an induced abortion, or justification of laws
permitting or restricting abortion.
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Reproductive Health in Development
• Because reproductive health is such an important component of general
health, it is a prerequisite for social, economic and human development.
• The highest attainable level of health is not only a fundamental human right
for all; it is also a social and economic imperative because human energy and
creativity are the driving forces of development.
• Sick, tired people cannot generate such energy and creativity, and
consequently a healthy and active population becomes a prerequisite of
social and economic development.
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Response to the Reproductive Health
Problems
• A number of countries have expressed the desire to move forward with a new and
comprehensive approach to reproductive health.
• Support to national authorities in carrying out a systematic review of reproductive
health needs at country level should focus on the importance of adding innovative
and participatory approaches to more familiar epidemiological methodologies in
which the process tends to be directed by experts and framed by biomedical
approaches and indicators.
• There must be an inclusive process to conduct identification of reproductive health
needs, the determination of priorities and the development of programmatic
responses to those needs.
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Family Planning in Tanzania
• National policies that support the provision and expansion of family planning services in
Tanzania are:
• • National Population Policy 2006: Recognizes the need to educate women about the
importance of family planning.
• • National Health Policy 2007: Emphasizes the government’s commitment, in collaboration
with the non-profit private sector and development partners, to continue to provide free
health services for pregnant women, users of family planning services, and children under
the age of five.
• • The Health Sector Strategic Plan IV 2015-2020 (Tanzania Mainland): Family planning is
prioritized to delay the age at first birth, to promote birth spacing and to give women the
choice to decide on the number of children they have.
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Conclusion
• Development has a positive effect on reproductive health. Strong and significant
advances in social development levels accompanied reproductive health gains over
time.
• At high levels of social development, the rate of reproductive health changes
declined.
• Social workers have for long depended on social development strategies to improve
reproductive health in developing countries.
• The role of reproductive health in improving social development was either
neglected or perceived as unimportant.
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LECTURE 21
GENDER ISSUES IN DEVELOPMENT
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Introduction
• This lecture focuses on gender and development as an interdisciplinary field
of research and applied study that implements a feminist approach to
understanding and addressing the disparate impact that economic
development and globalization have on people, based upon their location,
gender, class background, and other socio-political identities.
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Gender
• The concept of gender, in the modern sense, is a recent invention in human history.
• The ancient world had no basis of understanding gender as it has been understood
in the humanities and social sciences for the past few decades.
• The term gender had been associated with grammar for most of history and only
started to move towards it being a malleable cultural construct in the 1950s and
1960.
• Gender refers to the socially constructed characteristics of women and men – such
as norms, roles and relationships of and between groups of women and men. It
varies from society to society and can be changed.
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Sex Versus Gender
• Sex is the physical difference between the male and female sex - they are
different because they have different bodies and women can have babies and
men can only help make them.
• Gender is not biological. It signifies different roles that men and women play
in our society. These roles are not the same everywhere in the world, but
most cultures say that some roles are for women and some for men. Cultures
change over time and so can gender roles
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Gender Analysis
• Gender analysis is a way of looking at and understanding the complex needs of the
community you serve. Instead of categorising people as "households" or "the poor"
where you make assumptions about the people as one family unit, a gender analysis
helps us to take a much closer look at the realities people face. It separates analysis
of men and women - their problems, needs and access to power and resources.
• A gender analysis or perspective looks at the roles society says men and women
must play as well as the unequal power relations between men and women. It then
looks at the needs that arise from gender roles, how to respond to them.
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Gender Equality
• Gender equality refers to equal rights, responsibilities and opportunities that
all persons should enjoy, regardless of whether one is born male or female.
Gender equality is a critical element in achieving development for all women
and men, in order to effect social and institutional change that leads to
sustainable development with equity and growth.
• In addition, it refers to equal chances or opportunities for groups of women
and men to access and control social, economic and political resources,
including protection under the law (such as health services, education and
voting rights).
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Gender Equity
• Gender equity denotes the equivalence in life outcomes for women and men,
recognising their different needs and interests, and requiring a redistribution
of power and resources.
• The goal of gender equity, sometimes called substantive equality, moves
beyond equality of opportunity by requiring transformative change. It
recognises that women and men have different needs, preferences, and
interests and that equality of outcomes may necessitate different treatment
of men and women.
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Gender Mainstreaming
• Gender mainstreaming is the process of assessing the implications for women and men of any
planned action, including legislation, policies or programmes, in all areas and at all levels. It is a
strategy for making women’s as well as men’s concerns and experiences an integral dimension of
the design, implementation, monitoring and evaluation of policies and programmes in all
political, economic and societal spheres so that women and men benefit equally and inequality is
not perpetuated.
• The 1970s strategies of integrating women into development by establishing separate women’s
units or programmes within state and development institutions had made slow progress by the
mid- 1980s. In light of this, the need was identified for broader institutional change if pervasive
male advantage was to be challenged. Adding women- specific activities at the margin was no
longer seen as sufficient. Most major development organisations and many governments have
now embraced ‘gender mainstreaming’ as a strategy for moving towards gender equality.
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Gender Stereotype
• Stereotypes are ideas about how people will act, based on the group to which
they belong. Many children grow up identifying certain characteristics as
belonging only to boys or girls.
• Gender norms and stereotypes are so ingrained in our society that adults are
often surprised to realize how early children internalize these ideas. When
young children get caught up in stereotypical notions of gender, though, it
can harm their self-images and the way they interact with peers. Children
need opportunities to consider these internalized stereotypes and think about
the problems they cause.
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Gender Discrimination
• Gender discrimination is any action that specifically denies opportunities, privileges,
or rewards to a person or a group because of gender.
• The practice of letting a person's gender become a factor when deciding who
receives a job or a promotion is gender discrimination. When gender is a factor in
other decisions about employment opportunities or benefits that too is gender
discrimination.
• While most discrimination charges claim that a woman (or women) are
discriminated against in favour of a man (or men), there have also been cases where
males have claimed that they have been discriminated against based on gender
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Gender Violence
• Gender violence, also known as gender-based violence or gendered violence,
is the term used to denote harm inflicted upon individuals and groups,
connected to normative understandings of their gender.
• This connection can be in the form of cultural understandings of gender
roles, both institutional and structural forces that endorse violence based on
gender and societal influences that shape violent events along gender lines
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Gender and Development
• Gender equality is an essential element of sustainable and inclusive
development. Here are just four of the reasons why:
•
•
•
•
Women are part of the solution
Resource shortages are gendered
Climate change is hitting women and girls harder
It’s not just about women
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Conclusion
• Gender ideologies define what rights are, responsibilities are and what is
‘appropriate’ behaviour for women and men in many societies with certain
culture dominance. They also influence access to and control over resources,
and participation in decision-making. These gender ideologies often reinforce
male power and the idea of women’s inferiority.
• Culture is sometimes interpreted narrowly as ‘custom’ or ‘tradition’, and
assumed to be natural and unchangeable. Despite these assumptions, culture
is fluid and enduring.
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LECTURE 22
SCIENCE, TECHNOLOGY AND DEVELOPMENT
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Introduction
• Science and technology are key drivers to development, because
technological and scientific revolutions underpin economic advances,
improvements in health systems, education and infrastructure.
• This lecture centres on importance of science and Technology for
socioeconomic development.
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Science
• Science is a systematic enterprise that builds and organizes knowledge in the form
of explanations and predictions about nature and the universe. It may drive
technological development, by generating demand for new instruments to address a
scientific question, or by illustrating technical possibilities previously unconsidered.
• Science from the Latin scientia (knowledge) is a system of acquiring knowledge
based on the scientific method, as well as the organized body of knowledge gained
through such research. Science as defined here is sometimes termed pure science to
differentiate it from applied science, which is the application of scientific research to
specific human needs.
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Technology
• Technology is the collection of techniques, methods or processes used in the
production of goods or services or in the accomplishment of objectives, such as
scientific investigation, or any other consumer demands. It may drive scientific
investigation, by creating demand for technological improvements through research,
and by raising questions about the underlying principles that a new technology relies
on.
• Technology is a broad concept that deals with a species' usage and knowledge of
tools and crafts, and how it affects a species' ability to control and adapt to its
environment. In human society, it is a consequence of science and engineering,
although several technological advances predate the two concepts.
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Relation Between Science and Technology
• The practical applications of science points to the root of much of the current
confusion as to the meaning of technology. In using this phrase to describe
technology he effectively placed technology beneath the umbrella of science to such
an extent that science and technology are now, as Rose described, seen by many as
an “indivisible pair” with technology as the subservient and dependant partner.
Thus, for much of the time the pair are wrapped together into a single conceptual
package known simply as “science”.
• This point is emphasised when surfing the Internet for technology-related teaching
resources. A plethora of lesson plans exist at sites dedicated to science education.
The problem is, though, that many of these lessons should properly be termed
“technology” but are all too often referred to as "Applied Science".
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Contribution of Science to Technology
• New knowledge, which serves as a direct source of ideas for new technological possibilities;
• Source of tools and techniques for more efficient engineering design and a knowledge base for evaluation of
feasibility of designs;
• Research instrumentation, laboratory techniques and analytical methods used in research that eventually find
their way into design or industrial practices, often through intermediate disciplines;
• Practice of research as a source for development and assimilation of new human skills and capabilities
eventually useful for technology;
• Creation of a knowledge base that becomes increasingly important in the assessment of technology in terms
of its wider social and environmental impacts; and
• Knowledge base that enables more efficient strategies applied research, development, and refinement of new
technologies.
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Contribution of Technology on Science
• Through providing a fertile source of novel scientific questions and thereby
also helping to justify the allocation of resources needed to address these
questions in an efficient and timely manner, extending the agenda of science;
• As a source of otherwise unavailable instrumentation and techniques needed
to address novel and more difficult scientific questions more efficiently.
• The development in the field of technology paves way for research and
development in the field of Science
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Roles of Science and Technology to
Development
• Developments in science and technology are fundamentally altering the way
people live, connect, communicate and transact, with profound effects on
economic development. To promote tech advance, developing countries
should invest in quality education for youth, and continuous skills training
for workers and managers.
• Science and technology are key drivers to development, because
technological and scientific revolutions underpin economic advances,
improvements in health systems, education and infrastructure.
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Challenges of Science and Technology
• Managing technological revolutions poses challenges. Certain innovations and discoveries
will raise fraught bio-ethical issues, as genetic modification of food crops and cloning of
human embryos has already done.
• There is a risk that their cost, particularly in the early stages of development, will worsen the
present inequality by limiting access to wealthy individuals. This already happens in health
care in certain G7 countries, where the demand for very high-cost diagnostic equipment and
surgical interventions enabling longevity and better quality of life for older wealthy people
overstretches public health care budgets, and lowers service quality in poor neighbourhoods.
• Finally, resource-intensive technologies, focused on satisfying high consumption demand,
like holidays abroad in costal resorts, wilderness areas, or iconic cities, increase carbon
emissions and environmental damage.
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Conclusion
• The benefits of science and technology are certain to flow from
technological revolution in an increasingly connected world and those
countries and companies that are alive to the rapidly changing environment,
and nimble enough to take advantage of the opportunities will seize
knowledge-intensive world. Those that succeed will make substantial
advances in reducing poverty and inequality.
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LECTURE 23
PEOPLE WITH DISABILITY AND DEVELOPMENT
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Introduction
• A growing body of evidence suggests that social and economic benefits may
be derived from addressing disability issues from a development perspective.
• So far, however, work in this area has tended to take place in the absence of
a unifying theoretical framework for research. This lecture discusses the
disabilities issues in development.
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What is Disability
• Disability is a multidimensional experience for the person involved. There may be
effects on organs or body parts, and there may be effects on a person's participation
in areas of life. It is a condition or function judged as significantly impairment
relative to the usual standard of an individual or group.
• Disabilities is an umbrella term, covering impairments, activity limitations, and
participation restrictions. An impairment is a problem in body function or structure;
an activity limitation is a difficulty encountered by an individual in executing a task
or action; while a participation restriction is a problem experienced by an individual
in involvement in life situations.
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Features of Disability
• The term refers to individual functioning, including physical impairment, sensory
impairment, cognitive impairment, intellectual impairment mental illness, and
various types of chronic disease.
• It is a continuing condition restricts everyday activities. It is attributable to an
intellectual, psychiatric, cognitive, neurological, sensory or physical impairment or a
combination of those impairments.
• It is either permanent or likely to be permanent. It may or may not be of a chronic
or episodic nature.
• It results in substantially reduced capacity of the person for communication, social
interaction, learning or mobility and a need for continuing support services
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Categories of Disability
• A physical disability is the most common type of disability, followed by intellectual and
sensory disability. Physical disability generally relates to disorders of the musculoskeletal,
circulatory, respiratory and nervous systems. Sensory disability involves impairments in
hearing and vision. Psychiatric disorders resulting in disability may include anxiety disorders,
phobias or depression.
• Neurological and cognitive disability includes acquired disability such as multiple sclerosis or
traumatic brain injury. Intellectual disability includes intellectual and developmental
disability, which relate to difficulties with thought processes, learning, communicating,
remembering information and using it appropriately, making judgments and problem
solving. Intellectual disability is the result of interaction between developmentally
attributable cognitive impairment, attitudinal and environmental barriers.
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People With Disability
• People with disabilities are among the most marginalized groups in the world.
People with disabilities have poorer health outcomes, lower education achievements,
less economic participation and higher rates of poverty compared to people without
disabilities.
• People with disabilities have the same health needs as non-disabled people – for
example immunization, cancer screening etc. They also may experience a narrower
margin of health, both because of poverty and social exclusion, and because they
may be vulnerable to secondary conditions, such as pressure sores or urinary tract
infections. Evidence suggests that people with disabilities face barriers in accessing
the health and rehabilitation services they need in many settings.
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People With Disability in Tanzania
• There are 4.2 million Tanzanians living with a disability. People with
disabilities are often among the poorest and most marginalised in society.
Disability has a significant impact on health, employment and education.
• More than half of children with disabilities do not attend school because of
their health or activity limitations. Illiteracy among Tanzanians with a
disability is 48%, compared to 25% among those with one. This seriously
hinders social and economic development.
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People With Disability and Development
• Disability can be both a cause and a consequence of poverty. In total 15% of the
world’s population live with a disability, 80% of those persons live in a developing
country. Disability-inclusive development is crucial to alleviating world poverty as
persons with disabilities are much more likely to experience adverse socio-economic
outcomes, and are more vulnerable to economic-related shocks.
• The UN claim that the most pressing issue facing persons with disabilities is not the
disability itself, but their vulnerability to poverty. Persons with disabilities regularly
feature in the lowest quintile of any given development outcome. The World Bank
estimates that 20% of the world’s poorest people experience some kind of disability.
The OECD estimates that on average 19% of less-educated people experience
some kind of disability. Disability does not just intersect with poverty it drives it.
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The United Nations Convention on the
Right of Persons with Disability
• The Convention on the Rights of Persons with Disabilities is an international
human rights treaty of the United Nations intended to protect the rights and dignity
of people with disabilities. Parties to the Convention are required to promote,
protect, and ensure the full enjoyment of human rights by people with disabilities
and ensure that they enjoy full equality under the law.
• The Convention has served as the major catalyst in the global movement from
viewing people with disabilities as objects of charity, medical treatment and social
protection towards viewing them as full and equal members of society, with human
rights. It is also the only UN human rights instrument with an explicit sustainable
development dimension. The Convention was the first human rights treaty of the
twenty-first century.
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Conclusion
• Persons with disabilities are more likely to experience adverse socioeconomic
outcomes as compared to persons without disabilities, such as less education,
poorer health outcomes, lower levels of employment, and higher poverty
rates. Barriers to full social and economic inclusion of persons with
disabilities include inaccessible physical environments and transportation, the
unavailability of assistive devices and technologies, non-adapted means of
communication, gaps in service delivery, and discriminatory prejudice and
stigma in society.
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LECTURE 24
GLOBALISATION AND DEVELOPMENT
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Introduction
• The major questions that the lecture addresses are whether globalisation is
conducive to accelerated development, and if so, to what kind of
development, with which consequences and problems on all key levels:
economy, sociology, ecology, politics and culture
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What is Globalisation?
• Globalisation is the ongoing process that is linking people, neighbourhoods, cities,
regions and countries much more closely together than they have ever been before.
• This has resulted in our lives being intertwined with people in all parts of the world
via the food we eat, the clothing we wear, the music we listen to, the information we
get and the ideas we hold.
• This interconnectedness amongst humans on the planet is sometimes also referred
to as the ‘global village’ where the barriers of national and international boundaries
become less relevant and the world, figuratively, a smaller place.
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Features of Globalisation
• The concept of Globalisation involves within its ambit the following features:
•
•
•
•
•
•
•
Liberalisation
Free trade
Globalisation of Economic Activity
Liberalisation of Import-Export System
Privatisation
Increased Collaborations
Economic Reforms
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Dimension of Globalisation
• Increased and Active Social, Economic and Cultural Linkages among the people.
Globalisation has social, economic, political cultural and technological dimensions.
It involves all round inter-linkages among all the people of the world.
• Free flow of knowledge, technology goods services and people across all societies is
it key feature. It attempts at making geographical borders soft permitting all the
people to develop their relations and links.
• Globalisation accepts and advocates the value of free world, free trade, freedom of
access to world markets and a free flow of investments across borders. It stands for
integration and democratisation of the world’s culture, economy and infrastructure
through global investments
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Why has globalisation pace increased?
• Developments in ICT, transport and communications have accelerated the
pace of globalisation over the past 30 years.
• The rise of new electronic payments systems, including e-Wallets, pre-pay
and mobile pay, e-Invoices and mobile pay apps, also facilitate increased
global trade.
• The development of complex financial products, such as derivatives, has
enabled global credit markets to grow rapidly hence globalisation pace
increases
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Why has globalisation pace increased?
• Increased trade, which has become increasingly free, following the collapse
of communism, which has opened up many former communist countries to
inward investment and global trade
• The emergence of footloose multinational and transnational companies
(MNCs and TNCs) and the rise in the significance of global brands such as
Microsoft, Apple, Google, Sony, and McDonalds, has been central to the
emergence of globalisation.
• Increasing capital mobility has also acted as a stimulus to globalisation.
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Advantages of Globalisation
• Globalisation brings a number of potential benefits to international
producers and national economies, including:
• Providing an incentive for countries to specialise and benefit from the
application of the principle of comparative advantage.
• Access to larger markets means that firms may experience higher demand for
their products, as well as benefit from economies of scale, which leads to a
reduction in average production costs
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Advantages of Globalisation
• Globalisation enables worldwide access to sources of cheap raw materials, and this
enables firms to be cost competitive in their own markets and in overseas markets.
• Avoidance of regulation by locating production in countries with less strict
regulatory regimes, such as those in many Less Developed Countries (LCDs).
• Globalisation has led to increased flows of inward investment between countries,
which has created benefits for recipient countries.
• In the long term, increased trade is likely to lead to the creation of more
employment in all countries that are involved.
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Disadvantages of Globalisation
• The over-standardisation of products through global branding is a common
criticism of globalisation.
• Large multinational companies can also suffer from diseconomies of scale, such as
difficulties associated with coordinating the activities of subsidiaries based in several
countries.
• Many as a considerable disadvantage of globalisation also see the increased power
and influence of multinationals.
• Over-specialisation, such as being over-reliant on producing a limited range of
goods for the global market, is a further risk associated with globalisation.
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Disadvantages of Globalisation
• Critics of globalisation also highlight the potential loss of jobs in domestic
markets caused by increased, and in some cases, unfair, free trade.
• Globalisation can also increase the pace of deindustrialisation, which is the
slow erosion of an economy's manufacturing base.
• Jobs may be lost because of the structural changes arising from globalisation.
• One of the most significant criticisms of globalisation is the increased risk
associated with the interdependence of economies.
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Conclusion
• Globalisation refers to the integration of markets in the global economy,
leading to the increased interconnectedness of national economies.
• It allows businesses and countries to specialise in producing goods and
services where they have a comparative advantage.
• Specialisation and trade enables a gain in economic welfare, for example
through lower prices for consumers that then increases their real incomes.
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LECTURE 25
TERRORISM
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Introduction
• Many countries have experienced relatively high levels of terrorism.
Terrorism has been linked to the theory of deprivation, but the extent to
which terrorism is an economic good can be explained using a rational
choice model of economic agents.
• This lecture examines the causes and consequences of terrorism in the
world, and considers the extent to which existing evidence rationalizes the
various explanations for it, and its implications for counter-terrorism policy.
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What is Terrorism?
• Etymologically, the word terror is derived from the Latin verb Tersere, which later
becomes Terrere. The latter form appears in European languages as early as the
12th century; its first known use in French is the word terrible in 1160. By 1356 the
word terreur is in use. Terreur is the origin of the Middle English term terrour,
which later becomes the modern word terror.
• Terrorism is the systematic use of terror especially as a means of coercion. It is the
unlawful use of violence and intimidation, especially against civilians, in the pursuit
of political aims. It encompasses a range of complex threats such as organized
terrorism in conflict zones, foreign terrorist fighters, radicalized ‘lone wolves’, and
attacks using chemical, biological, radiological, nuclear and explosive materials.
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Features of Terrorism
• Terrorism is a charged term. It is often used with the connotation of something that
is "morally wrong". Governments and non-state groups use the term to abuse or
denounce opposing groups.
• Terrorism can take many forms and has many causes, often more than one. It can
have its roots in religious, social, or political conflicts, often when another oppresses
one community.
• Terrorism is most common in nations with intermediate political freedom, and it is
least common in the most democratic nations. There is a connection between the
existence of civil liberties, democratic participation and terrorism.
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Features of Terrorism
• Throughout history, terrorist attacks are on religious grounds with the goal
to either spread or enforce a system of belief, viewpoint or opinion.
• The perpetrators of acts of terrorism can be individuals, groups, or states.
• Terrorism is a form of asymmetric warfare, and is more common when
direct conventional warfare will not be effective because opposing forces
vary greatly in power.
• The target of the terrorist attacks are to maximize fear and publicity, usually
using explosives or poison.
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Causes and Motivations of Terrorism
• Political factors
• There is explanation of terrorism in the context of insurgency and guerrilla warfare, a form of
organized political violence by a non-state army or group
• Religious factors
• In the 1990s, a number of attacks carried out in the name of religion made headlines. The Japanese
doomsday cult Aum Shinrikyo perpetrated two deadly sarin gas attacks in the Tokyo subways in 1994
and 1995, and in the Middle East, numerous suicide attacks since the 1980s are as the work of Islamic
martyrs.
• Socioeconomic factors
• Socio-economic explanations of terrorism suggest that various forms of deprivation drive people to
terrorism, or that they are more susceptible to recruitment by organizations using terrorist tactics.
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Consequences of Terrorism
• Terrorism potentially has adverse impacts on economic growth, investment,
and tourism.
• Terrorism incidents worldwide usually result in massive destruction with
injuries and casualties.
• Most terrorist groups have the tendency to physically destroy productive
assets as well as redirect resources away from productive uses.
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Counter Terrorism
• Rather than seek the causes of terrorism itself, a better approach is to
determine the conditions that make terror possible or likely.
• Sometimes these conditions have to do with the people who become
terrorists; they are having certain psychological traits, like narcissistic rage.
• In addition, some conditions have to do with the circumstances they live in,
such as political or social repression, or economic strife.
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Conclusion
• There is link between terrorism and the theory of deprivation, but the extent to
which terrorism is an economic good can be explained using a rational choice model
of economic agents. Terrorism is also possibly motivated largely by existential
otherworldly goals.
• There are many explanations of why terrorist attacks occur and some attribute it to
poor economic conditions, which is consistent with the popular theory of
deprivation and poverty; low education attainment, and historical events such as
slavery and ethnic conflicts explain terrorism; however, there are studies that
suggest otherwise. Terrorism has obvious level economic impacts and consequences
for countries in general
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LECTURE 26
DEMOCRACY AND DEVELOPMENT
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Introduction
• The relationship between democracy and development has long been one of
the most vibrant and important debates within political science and
development studies.
• This lecture determines whether democracies perform better when it comes
to development and whether higher levels of development are required for
democracy to work
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Concept of Democracy
• A democracy is a political system with institutions that allows citizens to
express their political preferences, has constraints on the power of the
executive, and provides a guarantee of civil liberties.
• Democracy is government by the people vested with the supreme power
exercise such power either directly by them or by their elected agents under a
free electoral system.
• In the phrase of Abraham Lincoln, democracy is a government of the
people, by the people, and for the people.
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Nature of Democracy
• Democracy is more than a set of constitutional rules and procedures that determine
how a government functions.
• Democracy is indeed a set of ideas and principles about freedom, but it also
consists of a set of practices and procedures that have been moulded through a
long, often tortuous history.
• All democracies are systems in which citizens freely make political decisions by
majority rule. Majority rule must be coupled with guarantees of individual human
rights that, in turn, serve to protect the rights of minorities--whether ethnic,
religious, or political, or simply the losers in the debate over a piece of controversial
legislation
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Categories of Democracy
• Direct Democracy
• In a direct democracy, all citizens, without the intermediary of elected or appointed officials, can
participate in making public decisions. Such a system is clearly only practical with relatively small
numbers of people--in a community organization or tribal council, for example, or the local unit of a
labour union, where members can meet in a single room to discuss issues and arrive at decisions by
consensus or majority vote.
• Representative democracy
• In a representative democracy, citizens elect officials to make political decisions, formulate laws, and
administer programs for the public good. In the name of the people, such officials can deliberate on
complex public issues in a thoughtful and systematic manner that requires an investment of time and
energy that is often impractical for the vast majority of private citizens.
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Pillars of Democracy
• The pillars of democracy are the main basis for the insurance of people’s rights and freedoms. They are the
key to a successful democratic society where all the citizens are treated equally and respectfully.
•
•
•
•
•
•
•
•
•
Sovereignty of the people
Government based upon consent of the governed
Majority rule
Minority rights
Guarantee of basic human rights
Free and fair elections
Equality before the law
Due process of law
Constitutional limits on government
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Democracy and Development
• Democratic principles are very important in the battle against poverty. This is
essentially about sharing power and resources in society so that poor women,
men, girls and boys have more say. However, for millions of people they are
far from being respected.
• Democracy, good governance and the rule of law as well as an enabling
environment at national and international levels, are essential for sustainable
development.
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Conclusion
• Democracy is a system of processing conflicts in which outcomes depend on
what participants do. However, there is no single force controls what occurs
and its outcomes. The uncertainty of outcomes is inherent in democracy.
• Democracy makes all forces struggle repeatedly to realize their interests and
devolves power from groups of people to sets of rules. It is very important
in socio-economic and political development.
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LECTURE 27
HUMAN RIGHTS AND DEVELOPMENT
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Introduction
• Human rights and development aims converge in many instances and are
beneficial only to the government and not the people although there can be
conflict between their different approaches.
• This lecture examines a human rights-based approach is viewed by many as
essential to achieving development goals.
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Human Rights
• Human rights are the basic rights and freedoms that belong to every person
in the world, from birth until death.
• They apply regardless of where you are from, what you believe or how you
choose to live your life.
• They can never be taken away, although they can sometimes be restricted –
for example if a person breaks the law, or in the interests of national security.
• These basic rights are based on shared values like dignity, fairness, equality,
respect and independence. These values are defined and protected by law
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Right to Development
• The right to development is an inalienable human right by virtue of which every human
person and all peoples are entitled to participate in, contribute to, and enjoy economic,
social, cultural and political development, in which all human rights and fundamental
freedoms can be fully realised.
• The right to development encompasses the right of the people to the outcomes of the
process, i.e. improved realization of different human rights, as well as the right to the
process of realizing these outcomes itself.
• It is to be facilitated and ensured by the corresponding duty-bearers on whom the claims are
made, and who must adopt and implement policies and interventions that conform to the
human rights norms, standards and principles. In other words, both the ends and the means
of such a process of development are to be treated as a right
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Relation between Human Rights and
Development
• Factual or substantive level
• At a factual or substantive level, one can identify a confluence of human rights and
development in the expanding range of functions, activities, and policies of
development agencies and international financial institutions (IFIs).
• The overlap with the material provisions of human rights treaties, particularly those of
the International Covenant on Economic, Social and Cultural Rights (ICESCR).
However, those of the European Social Charter (1961), the American Convention on
Human Rights (1969), the Protocol of San Salvador (1988), the African Charter of
Human and Peoples' Rights (1981), and the European Union (EU) Charter of
Fundamental Rights (2001).
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Relation between Human Rights and
Development
• Convergence Level
• The convergence occurs in less fortuitous ways – there is a documented overlap between
human rights and development evident in the principles that are now prominent in the
mainstream of development policy.
• Principles like participation and consultation, inclusion, cohesion, good governance,
accountability and equality or equity, are well established in development discourse, but they
also constitute the tenets of a rights-based approach to development with roots in human
rights philosophy or conventions.
• This convergence and proximity underscores the question of what ‘value-added’ human
rights discourse brings, and that the answer lies in the realm of obligations.
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Relation between Human Rights and
Development
• Obligation Level
• The third ‘level’ at which development and human rights intersect relates to duty or obligation. It is
potentially the most important, but also the least established. It is common to encounter statements
that assert a link between human rights and development, or claims that development either contributes
to the realization of human rights or creates the conditions under which human rights can be realized.
• Such statements assume a positive correlation and do not address the critical dimension of duty, which
human rights necessarily entail, as well as the realm of legal obligations. An important distinguishing
feature of human rights is the specification of obligations and duty. At a philosophical level ‘rights
require correlative duties’, and without duty there is no right. In public international law terms, the
obligations or duties may have their source in the three classic sources of international law: treaties,
custom (including principles of jus cogens or obligations erga omnes and general principles of law.
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Human Right Based Approach to
Development
• Human Rights Based Approach is a conceptual and analytical approach to
development co-operation, based on the standards and principles of human
rights and which aims to incorporate these standards and principles in all
planning and implementation of development co-operation.
• It takes the view that the ultimate aim of development can be defined as the
fulfilment of all human rights. Such an approach is based on the conviction
that human rights and development are closely interrelated and mutually
reinforcing and that neither human rights nor development are prerequisites
of, or just ingredients of, the other.
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Conclusion
• The relationship between human rights and development today is arguably defined
more by its distinctions and disconnects than by its points of convergence, despite
substantial evidence of the potential for mutual reinforcement.
• Ultimately, both development and human rights movements share the same
enthusiasm and motivation to promote the freedom, well-being and dignity of
individuals. On the one hand, human development improves the capabilities and
freedoms of individuals while on the other hand human rights provide the
framework for a social arrangement that facilitates and secures capabilities and
freedoms expressed by human development.
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LECTURE 28
FOREIGN DIRECT INVESTMENTS AND
DEVELOPMENT
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Introduction
• This lecture provides broader economic underpinnings for the specific issues
relating to international discussions or negotiations on investment.
• It starts with a discussion of the effects of foreign direct investment on
development through trade, one third of which takes place within corporate
production systems.
• Then, it explores its impact on development beyond trade.
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Foreign Direct Investment
• Foreign direct investment is an investment from a party in one country into a
business or corporation in another country with the intention of establishing
a lasting interest.
• It can be made by obtaining a lasting interest or by expanding one’s business
into a foreign country. The key to foreign direct investment is the element of
control. Control represents the intent to actively manage and influence a
foreign firm’s operations.
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Types of Foreign Direct Investment
• Horizontal Foreign Direct Investment
• It is a kind of foreign direct investment whereby a business expands its domestic operations to a
foreign country. In this case, the business conducts the same activities but in a foreign country. For
example, McDonald’s opening restaurants in Japan would be considered horizontal FDI and Bakhresa
Group of Companies may open their branches in Kenya would be considered horizontal
• Vertical Foreign Direct Investment
• It is the kind of foreign direct investment whereby a business expands into a foreign country by
moving to a different level of the supply chain. In other words, a firm conducts different activities
abroad but these activities are still related to the main business. Using the same example, McDonald’s
could purchase a large-scale farm in Canada to produce meat for their restaurants.
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Forms of Foreign Direct Investment
• Conglomerate Foreign Direct Investment
• It is the form of foreign direct investment whereby a business acquires an unrelated business in a
foreign country. This is uncommon as it requires overcoming two barriers to entry: entering a foreign
country and entering a new industry or market. An example of this would be if Virgin Group, which is
based in the United Kingdom, acquired a clothing line in France.
• Platform Foreign Direct Investment
• It is the form of foreign direct investment whereby a business expands into a foreign country but the
output from the foreign operations is exported to a third country. This is also referred to as exportplatform FDI. Platform FDI commonly happens in low-cost locations inside free-trade areas. For
example, if Ford purchased manufacturing plants in Ireland with the primary purpose of exporting cars
to other countries in the EU.
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Methods of Acquiring Foreign Direct
Investment
• The foreign direct investor may acquire voting power of an enterprise in an
economy through any of the following methods:
• by incorporating a wholly owned subsidiary or company anywhere;
• by acquiring shares in an associated enterprise;
• through a merger or an acquisition of an unrelated enterprise; and
• by participating in an equity joint venture with another investor or enterprise.
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Importance of Foreign Direct Investment
• Foreign direct investment is critical for developing and emerging market
countries. Their companies need the multinationals' funding and expertise to
expand their international sales. Their countries need private investment in
infrastructure, energy, and water to increase jobs and wages.
• The developed economies, such as the European Union and the United
States, also need FDI. Their companies do it for different reasons. Most of
these countries' investments are via mergers and acquisitions between mature
companies. These global corporations' investments were for either
restructuring or refocusing on core businesses.
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Advantages of Foreign Direct Investment
• Foreign direct investment benefits the global economy, as well as investors and
recipients.
• Recipient businesses receive "best practices" management, accounting, or legal
guidance from their investors.
• Recipient countries see their standard of living rise. As the recipient company
benefits from the investment, it can pay higher taxes.
• Individual investors receive the extra benefits of lowered risk. FDI diversifies their
holdings outside of a specific country, industry, or political system. Diversification
always increases return without increasing risk.
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Disadvantages of Foreign Direct
Investment
• Countries should not allow foreign ownership of companies in strategically
important industries. That could lower the comparative advantage of the
nation, according to an IMF report.
• Second, foreign investors might strip the business of its value without adding
any. They could sell unprofitable portions of the company to local, less
sophisticated investors. They can use the company's collateral to get lowcost, local loans. Instead of reinvesting it, they lend the funds back to the
parent company.
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Foreign Direct Investment Statistics
• The U.N. Conference on Trade and Development publishes the Global
Investment Trends Monitor. It summarizes Foreign Direct Investment trends
around the world.
• The Organization for Economic Cooperation and Development publishes
quarterly FDI statistics for its member countries. It reports on both inflows
and outflows. The only statistics it doesn't capture are those between the
emerging markets themselves.
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Foreign Direct Investment Statistics
• The IMF published its first Worldwide Survey of Foreign Direct Investment
Positions in 2010. This annual worldwide survey is available as an online database. It
covers investment positions for 72 countries. The IMF received help from the
European Central Bank, Eurostat, the Organization for Economic Cooperation and
Development, and the United Nations Conference on Trade and Development.
• The Bureau of Economic Analysis reports on the FDI activities of foreign affiliates
of U.S. companies. It provides the financial and operating data of these affiliates. It
says which U.S. companies were acquired or created by foreign ones. It also
describes how much U.S. companies have invested overseas.
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Foreign Direct Investment in Tanzania
• Foreign direct investment in Tanzania and other countries reflects the foreign
ownership of production facilities. To be classified as foreign direct investment, the
share of the foreign ownership has to be equal to at least 10 per cent of the value
of the company.
• The investment could be in manufacturing, services, agriculture, or other sectors. It
could have originated as green field investment (building something new), as
acquisition (buying an existing company) or joint venture (partnership).
• The World Bank provides data for Tanzania from 1988 to 2017. The average value
for Tanzania during that period was 2.58 per cent with a minimum of 0 per cent in
1990 and a maximum of 5.66 per cent in 2010.
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Conclusion
• Foreign direct investment denotes international investment by an entity resident in
one economy in an enterprise resident in another economy that is made with the
objective of obtaining a lasting interest.
• The lasting interest implies the existence of a long-term relationship between the
direct investor and the enterprise and a significant degree of influence on the
management of the enterprise.
• Direct investment involves both the initial transaction that establishes the
relationship between the two entities and all subsequent capital transactions between
them and among affiliated enterprises, both incorporated and unincorporated
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LECTURE 29
REGIONAL INTEGRATION AND DEVELOPMENT
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Introduction
• Questions related to the roles of regionalism in development became
increasingly important beginning in the late 1980s, when regional groupings
started to become very popular as a tool of commercial policy.
• This lecture considers the implications of the emerging global trend of
economic regionalism for developing countries. It focuses on the trade and
investment effects of integration in developed countries on developing
countries.
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Regional Integration
• Regional Integration is a process in which neighbouring states enter into an
agreement in order to upgrade cooperation through common institutions and rules.
• The objectives of the agreement could range from economic, political to
environmental, although it has typically taken the form of a political economy
initiative where commercial interests are the focus for achieving broader sociopolitical and security objectives, as defined by national governments.
• Regional integration has been organized either via supranational institutional
structures or through intergovernmental decision-making, or a combination of
both.
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Functions of Regional Integration
• Regional integration initiatives, according to Van Langenhove, should fulfill at least eight
important functions:
• the strengthening of trade integration in the region;
• the creation of an appropriate enabling environment for private sector development;
• the development of infrastructure programmes in support of economic growth and regional integration;
• the development of strong public sector institutions and good governance;
• the reduction of social exclusion and the development of an inclusive civil society contribution to peace and
security in the region;
• the building of environment programmes at the regional level; and
• the strengthening of the region’s interaction with other regions of the world.
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Types of Regional Integration
• Political Integration
• Political integration refers to the integration of components within political systems. It
is the integration of political systems with economic, social, and other human systems;
and the political processes by which social, economic, and political systems.
• Economic Integration
• Economic integration is an arrangement between different regions that often includes
the reduction or elimination of trade barriers, and the coordination of monetary and
fiscal policies. Economic integration aims to reduce costs for both consumers and
producers and to increase trade between the countries involved in the agreement.
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Regional Integration in Africa
• Regional integration is a development priority for Africa. All Africans, not
just policy makers and decision makers, have a role to play in making
integration a reality for the continent.
• Integration matters in Africa. It affects what people can buy, the variety of
what is on offer at the local market and how easily citizens move between
countries. It affects where individuals travel for leisure or for work; how costeffective it is to keep in touch; where people choose to study or look for a
job; how to transfer money to family or get start-up capital for a business.
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LECTURE 30
NATIONAL DEBTS AND DEVELOPMENT
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Introduction
• The national debt level has been a significant subject of many countries’
domestic policy controversy. National debts have many effects to the
development of the countries in the world.
• This lecture explores on the fact that throughout history, which methods of
reducing government debt have proven to be the most successful.
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National Debt
• National debt is the total outstanding borrowings of a central government
comprising internal and external debt incurred in financing its expenditure.
• It plays a crucial role in a country's financial system as government securities
form an important part of the reserves of its financial institutions. Since the
government usually spends more than it takes in, the national debt continues
to rise.
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Why does the Government borrow?
• The Government spends money to finance its various activities. The activities
include building of infrastructure, defence of a country's national boundaries,
provision of social services such as health, education, maintenance of security,
payments of salaries for its employees and many others. To meet these expenditures
the Government needs to have financial resources (revenue).
• Essentially the Government would use its domestic revenue arising from tax and
non-tax sources. However, these resources may not be enough to meet these
expenditures. This means that the expenditures will be greater than revenue hence
creating a gap. This gap is a deficit. To bridge this gap the Government is compelled
to borrow from either domestic sources or external sources. This is Budget
Financing.
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Why do countries worry about debt?
• Once a country borrows, it has to pay the borrowed (loan) amount plus interest and any
associated cost. This is sometimes called debt servicing. This will therefore imply that the
Government uses resources which could be used to meet it expenditures to pay the lender.
• The impact of debt servicing is more severe for external debt than domestic debt especially
when the currency of the borrowing country is depreciating. This is because the external
debt is normally paid in foreign currency.
• If Tanzanian Shilling value depreciates (falls) it means that we have to use more Shillings to
pay the same amount of foreign currency amount, say United States Dollar. The
consequences of debt servicing are weak economic and political power, poor social services
and infrastructure and hence increasing poverty.
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Is borrowing a bad thing?
• The advantages and disadvantages of borrowing by Government depend on the situation. If the
Government does not borrow, when situations compel it to, that Government may fail to meet
critical expenditures needed by the nationals of the country concerned.
• If countries borrow to finance projects which have a bearing on economic growth, that
borrowing is rational. This is because the projects will generate additional income for the
Government (for example through additional tax revenue) in the future which will enable it to
repay the debt.
• Borrowing by a country to finance recurrent expenditures such as salaries and related benefits,
will lead to problems because the Government in the future will have to tax the nationals more to
be able to service the debt or else accumulate arrears. Tanzania experienced this situation in the
1980's and was forced to request for debt relief in the form of restructuring.
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Sustainable Debt
• In order for borrowing to be recommendable, it should always result in a
Sustainable Debt Level. In simple terms, a sustainable debt level is the level where
debt does not grow faster than the economy. This means that Government will have
enough revenue to pay the debt without having to accumulate arrears or ask for
debt restructuring.
• Debt restructuring may be done through rescheduling where the terms of the loan
are reviewed; cancellation where the debt is completely written off; Debt Buy Back
where the borrower is allowed to buy back its debt at a discounted price and debt
swap where the debt is converted into cash, equity, assets or environmental
programmes.
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How does a country know whether it has a
Sustainable Debt?
• A country knows that it has a sustainable or unsustainable debt by carrying
out a debt sustainability analysis referred to as DSA. Under the Highly
Indebted Poor Countries (HIPC) initiative there are ratios which are usually
called indicators used to show the position of a country's debt level in terms
of sustainability. Usually the IMF and World Bank conduct the DSA in
collaboration with the Official of a debtor country.
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Causes of National Debt
• Politicians and their voters become addicted to deficit spending. It's called
expansionary fiscal policy. The government expands the money supply in the
economy. It uses budgetary tools to either increase spending or cut taxes. That
provides consumers and businesses with more money to spend. It boosts economic
growth over the short-term.
• Here's how it works. The government pays for things like defence equipment, health
care, and construction. It contracts with private firms who then hire new employees.
They spend their government-subsidized wages on gasoline, groceries, and new
clothes. That boosts the economy. The same effect occurs with the employees the
government hires directly.
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What to do to reduce national debt?
• Among of the ways to reduce the debt is to either raise taxes or cut spending.
Either of those can slow economic growth. They are two of the tools of
contractionary fiscal policy.
• Cutting spending has pitfalls. Government spending is a component of
GDP. If the government cuts spending too much, economic growth will be,
slow. That leads to lower revenues and a larger deficit. The best solution is to
cut spending on areas that do not create many jobs.
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National Debt Management
• National debt management is the process of establishing and executing a
strategy for managing the government's debt in order to raise the required
amount of funding, achieve its risk and cost objectives and to meet any other
sovereign debt management goals the government may have set, such as
developing and maintaining an efficient market for government securities.
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Conclusion
• National debt denotes the obligation of a foreign country’s central
government. It can be internal debt, owed to the country’s residents, or
external debt, funded by foreign lenders. Internal debt carries lower risk
because it can theoretically be repaid by raising taxes, reducing spending, and
printing money.
• The country’s residents are repaying themselves in various forms. Repaying
debt to external lenders can be more problematic, especially if the country’s
currency suffers an adverse movement in foreign exchange markets
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