Why Might Dependency Theorists Criticize Modernization Theory

question 8

Multiple Choice

Why might dependency theorists criticize modernization theory?

• A) They would point out that the only way for traditional societies to develop is to shed their traditional ways.
• B) They would argue that modernization theory ignores the fact that markets, if freed from state intervention, will develop any society.
• C) They would point out that traditional societies are typically low income because of a history of colonialism and oppression.
• D) They would suggest that in recent history, historically exploited nations have actually become the new exploiters through global welfare schemes.

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Definitions:

Marginal Cost

The increase in total cost that arises from an extra unit of production.

Total Revenues

Total Revenues refer to the total receipts from sales of goods or services by a company before any expenses are subtracted.

Fixed Costs

These stay the same no matter how much output changes.

Marginal Cost

The additional cost incurred in the production of one more unit of a good or service.