Political Economies of Development and Under-Development Political Science 202 A, Spring, 2008 Kiren Chaudhry Office Hours: Fridays 12-2:00 at 796 Barrows. Please sign up on sheet outside my door. Phone: 510.642.4659 e-mail: chaudhry@socrates.berkeley.edu Ideas about the processes, indicia and prerequisites of economic development have undergone radical change since the end of World War II. Indeed, scholars no longer agree (or perhaps even lack an interest in defining) what “development” is, who it is for and whether it is desirable. How did this happen? What does it mean? The aim of this seminar is to present students with a historically grounded genealogy of theories of development and expose them to some of the central debates in the field. The focus will be on how thinking about the relationship between political and economic processes has changed in response to the interaction of the domestic and international arenas. In addition, we will attend to the question of how the international economy itself has “evolved” over time. Special emphasis will be placed on the process of state and market creation in early and late developers and how different kinds of globalization have fundamentally transformed the relationship between the political and the economic. This is a survey course open to graduate students only. Graduate students in the Political Science Department have first priority. Requirements include critical thinking, reading and seminar participation. Seminar participation includes helping to lead discussion at least once in the term. This is a reading course. The writing component of the course, accordingly, is minimal. Students may fulfill the writing requirement by writing two 10 page essays on a cluster of readings. Those of you who are gluttons for punishment can substitute the short papers for seminar papers after consultation with me. Some people use these seminar papers as drafts for their MA essays. The reading list is daunting. However, I have found that I can get through each section devoting a whole day and evening to the reading. Do not come to seminar without doing the reading. And do not miss seminar. In the past, many graduate students have found it helpful to attend the lectures for PS 139B, the upper-division undergraduate version of this class. It’s painless. Consider yourself invited. Note: Texts marked with an * should be purchased. . Used copies are probably readily available as well. There will be a reader for the course available at Replica Copy on Oxford (at Center Street). (Note to Kiren: Insert Zyzman article; Insert new development economics article.) I. Situating the “interests” in Development *Albert Hirschman, The Passions and the Interests: Political Arguments for Capitalism Before its Triumph, (Princeton University Press, 1977). Entire Stephen Holmes, “The Secret History of Self Interest,” in Jane Masbridge, ed., Beyond Self Interest, (Chicago, 1990). *Phyllis Deane, The Evolution of Economic Ideas, (New York: Cambridge University Press, 1989). Note: Try to read the whole thing, but don’t miss pp. 1-17, 71-114, 125-142, 175-190. Ordered and received at the campus book store. Christian Chavagneux, “Economics and Politics: Some Bad Reasons for a Divorce,” Review of International Political Economy, Vol. 8, No. 4, Winter 2001, pp. 608-632. II. Unfounded Optimism: Modernization Theory and its Liberal Critics Gabriel Almond and B. Powell, Comparative Politics: A Developmental Approach, (Boston: Little Brown, 1966), pp. 1-41. Joseph Gusfield, “Tradition and Modernity,” in Jason Finkle and Richard Gable, eds., Political Development and Social Change, 2nd edition, 1971, pp. 15-26. Karl Deutsch, “Social Mobilization and Political Development,” (Ibid), pp. 384-401. David Lerner, The Passing of Traditional Society, 1958, pp. 19-42. Alex Inkeles, “The Modernization of Man,” in Myron Weiner, ed., Modernization, 1966, pp. 138-150. *Samuel P. Huntington, Political Order in Changing Societies, (Yale University Press, New Haven, 1968, millionth addition), pp. 1-93 Yousef Cohen et al., “The Paradoxical Nature of State Making: The Violent Creation of Order,” American Political Science Review, December 1981, pp. 901-910. III. The Cyclical Lineage of Development Economics W.W. Rostow, The Stages of Growth, (New York: Cambridge University Press, 1960), pp. 1-16. P.T. Bauer, “The Vicious Cycle of Poverty and the Widening Gap,” in Bauer, Dissent on Development, (Cambridge, Massachusetts: Harvard University Press, Revised edition, 1976), pp. 31-68. Albert Hirschman, “Rise and Decline of Development Economics,” in Hirschman, Essays in Trespassing, (New York: Cambridge University Press, 1981), pp. 1-24. 2 Pranab Bardhan, “Alternative Approaches to Development Economics,” Handbook of Development Economics, vol. I., H. Chenery et al., eds., pp. 40-68. Deepak Lal, The Poverty of Development Economics, (Cambridge Massachusetts: Harvard University Press, 1981), pp. 1-111. IV. Dependency, Power and the International System Karl Marx, “On Imperialism in India,” The New York Daily Tribune, June 25 and August 8, 1953. Reprinted in The Marx-Engels Reader, edited by Robert C. Tucker, (Norton, 1978), pp. 653-664. Lenin, Imperialism, the Highest Stage of Capitalism, at http://www.marx2mao.com/Lenin/IMP16.html, electronic pages 104-156. Immanuel Wallerstein, “The Rise and Future Decline of the World Capitalist System: Concepts for Comparative Analysis,” in Wallerstein, The Capitalist World Economy, (Cambridge University Press, 1979), pp. 1-37. *F. Cordoso and E. Faletto, Dependency and Development in Latin America, (Berkeley: University of California Press, 1979), pages 1-176. Giovanni Arrighi et al., “Industrial Convergence, Globalization and the Persistence of the NorthSouth Divide;” Alice Amsden, “Comment: Good-bye Dependency Theory, Hello Dependency Theory;” and “Response,” in Studies in Comparative International Development, Vol. 38, No. 1, Spring 2003, pp. 3-43. V. The East Asian Miracle and the Deconstruction of a Category Meredith Woo-Cumings, “Chalmers Johnson and the Politics of Nationalism and Development,” in Cumings, ed., The Developmental State, (Ithaca: Cornell University Press, 1999), pp. 1-31. Robert Wade, “East Asia’s Economic Success: Conflicting Perspectives, Partial Insights, Shaky Evidence,” World Politics, Volume 44, No. 2, January 1992, pp. 270-320. Peter Evans, “Class, State and Dependence in East Asia: Lessons for Latin Americanists,” in Deyo, The Political Economy of the New Asian Industrialism, (Cornell University Press: 1987), pp. 203-226. Tun-jen Cheng, “Political Regimes and Development Strategies: South Korea and Taiwan,” in Gereffi and Wyman, Manufacturing Miracles: Paths of Industrialization in Latin America and East Asia, (Center for US-Mexican Studies, 1990). Bela Belassa, “Lessons of East Asian Development: An Overview,” Economic Development and Cultural Change, vol. 36, No. 3, April 1988, Supplement, pp. S273-S290. 3 VI. Neoliberalism Ascendant: Gerschenkron Un-visited Alexander Gerschenkron, Economic Backwardness in Historical Perspective, pp. 5-30. Jeffrey Sachs, “Poland and Eastern Europe: What Is To Be Done?,” in Andras Koves and Paul Marer, eds., Foreign Economic Liberalization: Transformations in Socialist and Market Economies, (Boulder, Colorado: Westview Press, 1991). Jan S. Prybyla, “The Road From Socialism: Why, Where, What and How,” Problems of Communism, vol. XL, January-April 1991, pp. 1-17. Robert Bates, “Macropolitical Economy in the Field of Development,” in James Alt and Kenneth Shepsle, eds., Perspectives on Positive Political Economy, 1990, pp. 31-54. *Robert Bates, Markets and States in Tropical Africa, (Berkeley: University of California Press, 1981), pp. 11-132. Bela Balassa, New Directions in the World Economy, (Washington Square, N.Y.: New York University Press, 1989), Chapter 1. VII. Markets in the Minds of the Institutionalists and the Moral Economists Dieter Helm, “The Economic Borders of the State,” in Helm, ed., The Economic Borders of the State, (Oxford, 1989). Ellen Immergut, “The Theoretical Core of the New Institutionalism,” Politics and Society, vol. 26, no. 1, pp. 5-34. *Douglass North, Structure and Change in Economic History, Norton, New York, 1981. (Read till you get the point.) Jean Ensminger, Making a Market, (Cambridge: Cambridge University Press, 1993), pages TBA. William James Booth, “On the Idea of the Moral Economy,” American Political Science Review, vol. 99, No. 3, September 1994. Of interest, if you really want to be educated, but not required: Malcolm Rutherford, Institutions in Economics: The Old and the New Institutionalism, (Cambridge, 1994) and Thrainn Eggertsson, Economic Behavior and Institutions, (Cambridge 1990), pp. 247-358. VIII. Karl Polanyi’s States and Markets *Karl Polanyi, The Great Transformation, (Beacon Press, 1944), entire. **** In here is the debt crisis of the early 1980s for LA--- please attend my lectures for 139B on this topic. 4 IX. State-Building by Increment and Revolution: Nostalgia for a Bygone Era April 16th, and only because you insist. I prefer to cut. Charles Tilly, “War Making and State Making as Organized Crime,” in Evans et al., Bringing the State Back In, (Cambridge University Press, 1985), pp. 169-191. Theda Skocpol, States and Social Revolutions: A Comparative Analysis of France, Russia and China, (Cambridge University Press, Cambridge, England and New York, 1979), Chapters 1 & 2. Ellen Kay-Trimberger, “A Theory of Elite Revolution,” Studies in Comparative International Development, Fall 1972, pp. 191-207. Theda Skocpol, “Rentier State and Shi’a Islam in the Iranian Revolution,” Theory and Society, May 1982. (with comments) Good for cribbing, not required: Goldstone, “Theories of Revolution: The Third Generation,” World Politics, vol. 32, 1980. And also, I included Skocpol’s strange article on “new research” on revolutions, when it truly comes apart. “It” having many meanings. X. International Integration and Domestic Effects: General Perspectives April 23rd Richard Cooper, “Economic Interdependence and Foreign Policy in the Seventies,” World Politics, vol. 24, no 2, January 1972. Milner and Keohane, Internationalization and Domestic Politics, (Cambridge, 1997), Chapter 2, by Frieden and Rogowski. Kiren Chaudhry, “Prices, Politics, Institutions: Oil Exporters in the International Economy,” Business and Politics, Vol. 1, No. 3, 1999. Michael Shafer, Winners and Losers, (Cornell University Press, 1994), pp. 22-48 Philip Cerny, “Globalization and the Changing Logic of Collective Action,” International Organization, vol. 49, no. 4, pp. 595-625. Kiren Chaudhry, The Price of Wealth, (Cornell, 1996), Chapter 1. (If you can deal) Note: If you are confused about basic transitions in the IPE, there is a very nice historical summary of the “globalization has always been there” perspective in Barry Eichengreen, Globalizing Capital, (Princeton University Press, 1996). David Held et al., Global Transformations, (Stanford University Press, 1999), pp. 1-32; 149-283. (This is a basic introductory text. You should know it. 5 XI. Privatization: While we’re on prices, why not sell it all off? April 23rd Nicolas Van De Walle, “Privatization in Developing Countries: A Review of the Issues,” World Development, Vol. 17, No. 5, 1989, pp. 601-615 Paul Cook, “Privatization, Public Enterprise Reform and the World Bank: Has ‘Bureaucrats in Business’ Got it Right?” Journal of International Development, Vol. 9, No. 6, pp. 887-897, 1997, (Reprinted in Privatization in Developing Countries, Vol. II). Paul Cook and Colin Kirkpatrick, “Privatization, Employment and Social Protection in Developing Countries,” (Reprinted in Privatization in Developing Countries, Vol. II). Robert Wade, “Wheels within Wheels: Rethinking the Asian Crisis and the Asian Model,” Annual Review of Political Science, 2000, 3:85-115. Jeffrey Winters, “The Determinants of Financial Crisis in Asia,” in Pempel, ed., The Politics of the Asian Economic Crisis, (Cornell, 1999), pp. 79-100. David M. Woodruff, “Rules for Followers: Institutional Theory and the New Politics of Economic Backwardness in Russia,” Politics and Society, Vol. 28, No. 4, December 2000, pp. 437-482. NB: THE KEY TEXT David M. Woodruff, Money Unmade: Barter and the Fate of Russian Capitalism, (Cornell University Press, 1999), pp. 1-21; 110-176. Kiren Chaudhry, “The Myths of the Market and the Common History of Late Developers,” Politics and Society, September 1993. (WHAT INSPIRED THIS COURSE) XII. The ‘Logic’ Of Things We Don’t Understand: Financial Crises April 30th Michael Pettis, The Volatility Machine: Emerging Economies and the Threat of Financial Collapse, (Oxford University Press, 2001), pp. 3-50. Jim Glassman, “The Spaces of Economic Crisis: Asia and the Reconfiguration of Neo-Marxist Crisis Theory,” Studies in Comparative International Development, Vol. 37, No. 4, Winter 2003, pp. 31-63. Jeffrey Frankel, “The Asian Model, the Miracle, the Crisis and the Fund,” Delivered at U.S. International Trade Commission, April 16, 1998. Electronic mimeo (skim). 6 Gabriel Palma, “Three and a Half Cycles of ‘Mania, Panic, and [Asymmetric] Crash’: East Asia and Latin America Compared,” Cambridge Journal of Economics, Vol. 22, pp. 789-808. Paul Davidson, “If Markets are Efficient, Why Have There Been So Many International Financial Market Crises Since the 1970s?,” in What Global Economic Crisis?, (Palgrave, 2001), pp. 12-33. Lance Taylor, “Capital Market Crises: Liberalization, Fixed Exchange Rates, and Market-Driven Destabilization,” Cambridge Journal of Economics, Vol. 22, pp. 663-676. Robert Wade, “Wheels within Wheels: Rethinking the Asian Crisis and the Asian Model,” Annual Review of Political Science, 2000, 3:85-115. XVI. Production: Fordism, Post-Fordism, Commodity Chains Clustering May 7th David Landes, The Unbound Prometheus (Chapter 1) Henry Ford, My life and Work, chapter V, “Getting into Production” (1900) Frederick Winslow Taylor, The Principles of Scientific Management, 1911. (Read till you get the point) Antonio Gramsci, “Americanism and Fordism,” in Selections from the Prison Notebooks of Antonio Gramsci (New York: International Publishers, 1971), pp. 277-318. Paul Hirst and Jonathan Zeitlin, “Flexible Specialization versus post-Fordism: Theory, Evidence and Policy Implications,” Economy and Society, Vol. 20, no. 1, February 1991, pp. 1-56. Gary Gereffi, “Shifting Governance Structures in Global Commodity Chains, with Special Reference to the Internet,” American Behavioral Scientist, Vol. 44, no. 10, June 2001, pp. 16161637. Hubert Schmitz and Khalid Nadvi, “Clustering and Industrialization: Introduction, World Development, Vol. 27, no. 9, September 1999, pp. 1003-1514. Charles Sabel, "Flexible Specialization and the Re-emergence of Regional Economies"; in Ash Amin, Post-Fordism: A Reader, (Blackwell, 1994). VII. From Economy to Identity: Time, Gender, Family and Meaning in the “new” WorkWorld April 14th, for those who want to come. 7 *David Harvey, The Condition of Postmodernity, Chapters 10-14, inclusive. Guy Standing, “Global Feminization through Flexible Labor: A Theme Revisited,” World Development, Vol. 27, No. 3, March 1999, pp. 583-602. Kiran Mirchandani, “Practices of Global Capital: Gaps, Cracks and Ironies in Transnational Call Centers in India,” Global Networks, Vol. 4, No. 4, 2004, pp. 355-373. Sylvia Walby, “Flexibility and the Changing Sexual Division of Labour,” (pp. 127-140),in Stephen Wood, ed., The Transformation of Work? Skill, Flexibility and the Labour Process, (London: Unwin Hyman, 1989). Caitrin Lynch, “The ‘Good Girls of Sri Lankan Modernity: Moral Orders of Nationalism and Capitalism,” Identities, Vol. 6, no. 1, pp. 55-89. Chitra Joshi, “On ‘De-Industrialization’ and the Crisis of Male Identities,” International Review of Social History, 47 (2002), pp. 159-75. Barbara Steward, “Changing Times: The Meaning, Measurement and Use of Time in Teleworking,” Time and Society, Vol. 9, no. 1, 2000, pp. 57-74. Marcos Natali, “History and the Politics of Nostalgia”, Iowa Journal of Literary Studies, Vol. 5, pp 10-25, 2004. 8