What Was the Main Criticism of "Modernization Theory

question 37

Multiple Choice

What was the main criticism of "modernization theory"?

• A) It assumed that Western Europe and the United States represented models of development that less-developed countries (LDCs) should follow.
• B) It asserted the superiority of traditional social values in the achieving economic and political development.
• C) It assumed that political change would have to occur before economic modernization could take place.
• D) It advocated retaining colonial institutions in the process of economic modernization.

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Definitions:

Housing Construction

The process of building residential structures such as houses, apartments, and townhomes.

Mercantilism

The incorrect theory that a nation’s economic objective should be to accumulate precious metals in the public treasury; this theory prompted trade barriers to cut imports, but other countries retaliated, reducing trade and the gains from specialization.

Trade Gains

The benefits that countries obtain from engaging in international trade, often reflected in improvements in economic welfare, efficiency, and resource allocation.

Supply-side Shocks

Unexpected events that affect the supply side of the economy, potentially altering the cost of production and leading to changes in prices and output.