DEVELOPMENTPRESENTED BY: PRACHI GULATI

Atul Kohli: The argument Types of states Role of markets Relative dependency Adrian Leftwich: The argument State Developmental Model Conclusion

CONTENTS

Argument:“The creation of effective states within the developing world has generally preceded the emergence of industrializing economies”.

This is because state intervention in support of investor profits has proved to be a precondition for industry to emerge and flourish among developing/peripheral nations.

ATUL KOHLI

Factors promoting or preventing development: State’s policy choices Relationship with key economic factors Institutional character of the state before

industrialization.

Two poles of the debate on disparity in development in the peripheral nations: Neo liberal, pro market position Statist position

Neo-patrimonial States:Absence of distinction between public and

private realm, weak state centralization, personalistic leadership, poor bureaucracies. E.g. Nigeria

Cohesive Capitalist State:Centralised and purposive authority with deep

penetration in society, equate economic to national security, alliance with capitalists, tight control over labour, instrument is a competent bureaucracy. E.g. South Korea, Brazil under Estado Novo

TYPES OF STATES

Fragmented Multi-class states:Middle ground, authoritative, public arena for accounting leaders, public authority is focused on class-alliance, no narrow definition of goals, several multiple goals along with industrialisation including agricultural development, economic redistribution, welfare provision and maintaining national sovereignty. E.g. India and Brazil during several periods.

*The author emphasizes that these state types are not absolute and continuous to a nation. They vary with periods of shifts between these regimes.

STATE Role of landowners

Role of indigeneous entrepreneurs

Role of work ethic and productivity of the proletariat

Role of levels of education

Authoritarian vs. democracy?

India Landowners lost in midcentury

Commercial and trading, manufacturing

Localised, fragmented politicized labour

Higher education payoffs

A mixed period of growth

S. Korea -”- Fostered by state

State/corpcreated for productivity

Type of educationProductive vs. liberal

Authoritarian progressive

Nigeria Landowners survived

Emerged without entrepreneurs

No state control over working class

Unreliable public spending

Failed

Brazil Coffee oligarchy

Immigrants

For depoliticization

Higher education payoffs

Authoritarian progressive

Outward orientation claim of the pro market claim of greater openness and competitiveness resulting in higher rates of production.

The laissez-faire claim that state intervention in the economy generates distortions that hurt the economic growth.

The role of global economy and markets, lack of substantial empirical evidence to the two claims.

THE ROLE OF MARKETS

“Developmental prospects of peripheral countries were hurt by their economic integration into the global capitalist economy”.

Reasons: Exploitative nature of foreign investment, unequal exchange of free trade, foreign control over technology.

Global economy offers opportunities and restraints.

RELATIVE DEPENDENCY

Argument:“Economic growth is not a function of common regime type. They are explained by the special character of developmental states”.

He points out certain countries that have achieved economic growth. Such as South Korea, Taiwan, Singapore, China etc. What’s interesting is that they all have varied economic policies and populations.

ADRIAN LEFTWICH

Developmentally purposive, politically driven objectives. Political factors such as nationalism, regional competition, fear of external intervention and to ‘catch up’.

Marx has been interpreted as advancing a basic notion of a developmental state with reference to ‘completely autonomous position of state’ in France under Bonaparte [Marx, 1852:238]

DEVELOPMENTAL STATE: THE CONCEPT

Key features: A determined developmental elite Relative autonomy A powerful, competent and insulated economic

bureaucracy Weak and subordinated civil society The effective management of non state

economic interest Repression, legitimacy and performance

DEVELOPMENTAL STATE MODEL

The role of state is crucial to development. State regimes whether authoritative or democratic cannot successfully move towards a comprehensive development which includes economic as well as social and political growth, without state intervention and organisation of clear developmental objectives.

CONCLUSION

Atul Kohli (2004), State-Directed Development: Political Power and Industrialisation in the Global Periphery.

Adrian Leftwich (1995), “Bringing Politics Back In: Towards a Model of the Developmental State”, Journal of Developmental Studies, 31(3).

Peter Evans (1995), Embedded Autonomy: States and Industrial Transformation.

Amartya Sen (1999), Development as Freedom

BIBLIOGRAPHY