QUESTION ONE

a) Define the term sustainable development (4 marks)

Sustainable development refers to development that meets the needs of the present without
compromising the ability of future generations to meet their own needs. It emphasizes balancing
economic growth, environmental protection, and social equity, ensuring long-term environmental
health and fairness in resource distribution.

b) Distinguish Gross National Production (GNP) and Gross Domestic Product (GDP) (6
marks)

 Gross National Production (GNP): GNP refers to the total market value of all goods
and services produced by the residents of a country, both domestically and abroad, over a
specific period of time. It includes income earned by citizens and businesses abroad but
excludes the income earned by foreign residents within the country.
 Gross Domestic Product (GDP): GDP refers to the total market value of all goods and
services produced within the borders of a country, regardless of the nationality of the
producers. It includes both domestic and foreign-owned entities operating within the
country.

c) Outline indicators of development according to the United Nations (8 marks)

The United Nations identifies several indicators of development, including:

1. Income levels: Average income and wealth distribution within a country.

2. Life expectancy: Reflects the overall health and well-being of the population.
3. Literacy rate: The percentage of the population with the ability to read and write.
4. Access to healthcare: Availability and quality of healthcare services.
5. Access to education: The availability and quality of education.
6. Infant mortality rate: The rate at which infants die before reaching one year of age.
7. Sustainable environmental practices: Measures of how environmentally sustainable the
country’s practices are.
8. Social inclusion: How well marginalized and vulnerable groups are integrated into
society.

d) Explain any three features of the dependencia theory of development (6 marks)

1. Economic Dependency: The theory argues that developing countries are dependent on
developed countries for capital, technology, and markets, which restricts their ability to
achieve independent economic growth.
2. Underdevelopment: Dependency theorists contend that underdevelopment is not a
natural stage of development but a consequence of exploitative economic relationships
between the "core" (developed countries) and the "periphery" (developing countries).
 3. Exploitation of Resources: The core countries exploit the natural resources, labor, and
markets of the periphery, leading to a transfer of wealth from developing countries to
developed ones, perpetuating a cycle of poverty.

e) Explain any three modern views on imperialism (6 marks)

1. Neocolonialism: This view suggests that imperialism has evolved into a new form where
economic and political control is exerted by multinational corporations and global
institutions (like the IMF and World Bank) rather than direct colonial rule.
2. Cultural Imperialism: This focuses on how imperialist powers impose their culture,
values, and ideologies on weaker nations, leading to cultural homogenization and loss of
indigenous cultures.
3. Global Capitalism: Modern imperialism is seen as an extension of global capitalism,
where wealthy countries and corporations dominate international markets, leading to
exploitation and inequality in developing nations.

QUESTION TWO

a) Discuss the place of import substitution strategy in promoting industrialization (10

marks)

Import substitution industrialization (ISI) is a strategy aimed at reducing a country's dependence

on foreign imports by developing domestic industries to produce goods locally. Key points:

1. Promoting Local Industry: ISI encourages the development of local industries by

protecting them from foreign competition through tariffs and subsidies. This helps
domestic businesses grow and increases employment.
2. Reduction of Foreign Dependency: By focusing on producing goods locally, countries
reduce their reliance on imported goods, conserving foreign exchange reserves.
3. Economic Diversification: This strategy fosters the growth of different sectors within
the economy, reducing the risks associated with over-reliance on a single industry or raw
material exports.
4. Challenges: The strategy has faced criticism for leading to inefficiencies and high costs
due to limited competition and lack of technological advancement. Additionally, without
export opportunities, countries can face a balance of payments crisis.
5. Success Stories: Some countries in Latin America (e.g., Brazil and Mexico) initially saw
growth through ISI, but the long-term success depends on the ability to integrate with
global markets and innovate.

b) Explain the role of elites in causing underdevelopment in a country (10 marks)

Elites in a society can play a significant role in causing underdevelopment due to:
 1. Economic Exploitation: Elites often control most of the wealth and resources in a
country, perpetuating inequality. They may exploit the labor of the poor and prevent
equitable distribution of resources.
2. Political Power: Elites may use their political influence to maintain power structures that
favor their interests, hindering meaningful political reforms and the development of
inclusive governance.
3. Corruption: The elite class may engage in corrupt practices, diverting public resources
meant for development into private hands. This stifles progress and increases poverty.
4. Impediments to Innovation: Elites often maintain the status quo and resist changes that
could lead to more equitable development, such as land reforms or industrialization
strategies that would disrupt their control.
5. Outward-Oriented Policies: Elites may prefer policies that benefit them economically,
such as keeping the country’s economy dependent on exports, which may lead to the
exploitation of the country’s resources without reinvestment in domestic growth.

QUESTION THREE

a) Explain imperialism and dependency theories as causes of underdevelopment in third

world countries (10 marks)

 Imperialism: Imperialism refers to the domination and control of weaker nations by

more powerful countries, often through colonization, military intervention, or economic
dominance. Imperialist powers extract resources from their colonies, leading to
underdevelopment by hindering local industry, education, and infrastructure
development.
 Dependency Theory: Dependency theory argues that underdevelopment is not due to
internal factors but is a result of the economic and political exploitation of developing
countries by developed countries. It asserts that the relationship between developed (core)
and developing (periphery) nations keeps the latter in a state of economic dependence,
making development impossible.

b) Describe globalization as a cause of underdevelopment in the third world countries (10

marks)

Globalization refers to the increasing interconnectedness of the world’s economies, cultures, and
populations. While it offers opportunities, it also poses challenges for third world countries:

1. Exploitation of Resources: Globalization allows multinational corporations from

developed countries to exploit the natural resources of developing countries without
significant reinvestment in the local economy.
2. Unequal Terms of Trade: Developing countries often find themselves at a disadvantage
in global trade, with raw materials being sold at low prices while finished goods from
developed countries dominate their markets.
 3. Cultural Homogenization: Globalization often leads to the erosion of local cultures,
traditions, and languages as foreign (often Western) cultural practices are imposed.
4. Economic Inequality: The benefits of globalization are often unevenly distributed, with
elites and multinational corporations benefiting disproportionately, leaving the majority
of the population in poverty.
5. Dependency on External Debt: Globalization leads to increased borrowing from
international financial institutions, which results in debt traps that hinder economic
growth and development.

QUESTION FOUR

a) Explain the core-periphery relationship as the cause of underdevelopment (10 marks)

The core-periphery relationship is a central concept in dependency theory and refers to the
economic disparity between developed (core) and underdeveloped (periphery) countries. This
relationship is a significant cause of underdevelopment in the periphery countries. Key points
include:

1. Exploitation of Resources: The core countries exploit the natural resources, labor, and
raw materials of peripheral countries, often extracting them at low costs while selling
finished goods at higher prices. This leads to a transfer of wealth from the periphery to
the core, hindering economic growth in peripheral regions.
2. Unequal Exchange: The core countries develop industries and technologies, creating
high-value-added goods, while the peripheral countries remain dependent on the export
of primary goods, which are subject to price fluctuations. This unequal exchange traps
peripheral countries in poverty.
3. Underdeveloped Infrastructure: While core countries have advanced infrastructure and
industries, peripheral countries have limited infrastructure and technology. This lack of
development infrastructure in the periphery prevents them from achieving industrial
growth and economic diversification, keeping them in a state of underdevelopment.
4. Political and Economic Control: The core countries maintain political and economic
dominance over peripheral countries through global institutions, multinational
corporations, and trade agreements that favor the core. This reinforces the dependency of
peripheral countries on core countries for markets, capital, and technology, further
entrenching underdevelopment.
5. Long-Term Impact: The continued dominance of core countries in global trade and
finance means that peripheral countries often remain locked in a cycle of
underdevelopment and poverty, as they do not have the resources or power to break free
from this exploitative relationship.

b) Explain the causes of the debt crisis in Africa (10 marks)

The debt crisis in Africa emerged primarily during the 1970s and 1980s and is a significant cause
of underdevelopment in the continent. Key causes include:
 1. External Borrowing: Many African countries took loans from foreign governments,
banks, and international financial institutions like the World Bank and IMF. These loans
were often used for development projects, but the borrowing was not always managed
effectively, leading to unsustainable debt levels.
2. High-Interest Rates: In the 1980s, the international debt market experienced rising
interest rates, which significantly increased the debt burden for many African countries.
This made it harder for these countries to service their loans, as a larger portion of their
revenue was allocated to debt repayments.
3. Fall in Commodity Prices: Many African countries are heavily dependent on the export
of raw materials and commodities (such as oil, coffee, and minerals). A drop in global
commodity prices during the 1980s and 1990s reduced the income of African countries,
making it difficult to generate the foreign exchange needed to repay external debt.
4. Economic Mismanagement: In many African countries, the government mismanaged
public funds, allocated resources inefficiently, or engaged in corruption. These factors
worsened the economic situation and exacerbated the debt crisis.
5. Structural Adjustment Programs (SAPs): In the 1980s and 1990s, the IMF and World
Bank imposed Structural Adjustment Programs (SAPs) on African countries in exchange
for financial assistance. These programs often included austerity measures, privatization
of state-owned enterprises, and cuts in public spending, which led to social and economic
instability in many countries, worsening the debt crisis.
6. Debt Cycles: Some African countries have been forced to borrow more to repay old
loans, leading to a vicious cycle of debt. This cycle prevented them from achieving long-
term economic development, as much of their budget went toward repaying foreign
creditors rather than investing in domestic projects.

QUESTION FIVE

a) Discuss the impact of popular participation in rural development in Africa (10 marks)

Popular participation refers to the involvement of local communities in the planning,

implementation, and evaluation of development projects. Its impact in rural Africa includes:

1. Empowerment of Local Communities: Popular participation helps empower rural

communities by giving them a voice in decision-making processes. This leads to a sense
of ownership and responsibility for development projects, making them more likely to
succeed.
2. Improved Resource Allocation: When communities are involved in development, they
can prioritize their needs and ensure that resources are allocated where they are most
needed, rather than relying on top-down decision-making that may be disconnected from
local realities.
3. Sustainability of Projects: Community involvement increases the chances that
development projects will be sustainable because local people are more likely to maintain
and manage projects they helped plan and implement. This leads to long-term success.
 4. Strengthened Social Cohesion: Popular participation fosters collaboration and
strengthens social cohesion within communities. It builds trust among local people and
between the community and local governments, which is essential for the success of
development initiatives.
5. Challenges in Implementation: While popular participation can bring many benefits, it
is often difficult to implement due to lack of education, political interference, or a lack of
resources. In some cases, communities may not have the technical expertise to manage
complex development projects.
6. Improved Political Accountability: When citizens actively participate in the
development process, they can hold governments accountable for their promises and
actions, leading to better governance and more responsive leadership.

b) Discuss main obstacles to development in most sub-Saharan countries (10 marks)

Sub-Saharan Africa faces numerous obstacles to development, including:

1. Poor Governance: Corruption, political instability, and weak institutions are widespread
in many sub-Saharan countries. This undermines development efforts, as funds are often
mismanaged or diverted, and political conflicts can disrupt development programs.
2. Debt Burden: As discussed previously, the high levels of external debt in many sub-
Saharan countries divert resources away from development and into debt servicing,
limiting the funds available for critical sectors like healthcare, education, and
infrastructure.
3. Weak Infrastructure: Many sub-Saharan countries lack adequate infrastructure, such as
roads, electricity, and water systems, which hinders economic growth and development.
Poor infrastructure also makes it difficult to attract foreign investment and increases the
cost of doing business.
4. Health Challenges: The prevalence of diseases like HIV/AIDS, malaria, and other
infectious diseases is a major obstacle to development. High mortality rates reduce the
workforce and drain resources that could otherwise be used for development purposes.
5. Limited Access to Education: Poor education systems contribute to low literacy rates,
which limit the skill sets of the population and hinder economic progress. Inadequate
education also reduces the potential for innovation and the development of a competitive
workforce.
6. Agricultural Dependence: Many sub-Saharan African economies are heavily reliant on
agriculture, which is vulnerable to climate change, droughts, and market volatility. This
makes economic growth unstable and limits long-term development.
7. Global Inequality: Sub-Saharan countries face challenges in global trade due to unequal
terms of trade. They primarily export raw materials at low prices while importing
manufactured goods at high prices. This results in persistent trade imbalances and
economic dependence.
8. Environmental Challenges: Environmental issues, such as deforestation, desertification,
and soil degradation, contribute to poverty and food insecurity. These challenges reduce
agricultural productivity and limit the ability of countries to sustainably develop.
 9. Conflict and Violence: Armed conflicts and civil wars in some sub-Saharan countries
disrupt development efforts, destroy infrastructure, and create displacement, further
impeding progress.
10. External Dependence: The reliance on foreign aid and external loans has been both a
cause and a result of underdevelopment. While foreign assistance is often necessary, it
can create dependency and limit the capacity for self-sustaining growth.

QUESTION ONE

a) Differentiate between development and underdevelopment (6 marks)

 Development refers to a process of economic, social, and political transformation in

which a country improves its standard of living, reduces poverty, increases income, and
creates opportunities for its citizens. Development often leads to modernization, higher
education, better health care, and technological progress.
 Underdevelopment refers to a condition where a country experiences stagnation or low
growth in key aspects like the economy, education, health, and infrastructure.
Underdeveloped nations often have high levels of poverty, inequality, and
unemployment, with limited access to basic services and low levels of industrialization.

b) Define development according to Dudley Seers (5 marks)

Dudley Seers defines development as "a process of widening the range of human choices".
According to Seers, true development should focus on improving people's quality of life by
increasing their freedom and opportunities. This includes addressing issues such as poverty,
inequality, and unemployment. Development is not just about economic growth but about
improving human welfare in a holistic sense.

c) Outline main attributes of development according to Dennis Goulet (5 marks)

Dennis Goulet identifies several key attributes of development:

1. Freedom: Development should expand individuals' freedom to choose their life goals,
providing greater personal autonomy and opportunities.
2. Sustainability: Development should be sustainable, ensuring that resources are used
wisely without compromising the ability of future generations to meet their needs.
3. Social Justice: Development must promote equity, reducing disparities in wealth, power,
and opportunities.
4. Human Welfare: Development should lead to improvements in the well-being of the
people, including health, education, and social services.
5. Cultural Change: Development should respect and foster cultural identity, ensuring that
modernization does not erode local traditions.

d) Explain the relationship between developed and underdeveloped nations according to

Marxist theory (6 marks)
According to Marxist theory, the relationship between developed (capitalist) and underdeveloped
(colonial or semi-colonial) nations is one of exploitation and dependency. The developed
nations, through colonialism, imperialism, and capitalism, extract resources, labor, and wealth
from underdeveloped countries. This leads to the creation of an economic structure where the
core (developed countries) benefits from the cheap labor, raw materials, and markets in the
periphery (underdeveloped countries). This exploitative relationship hinders the development of
the peripheral nations, keeping them trapped in poverty and underdevelopment.

e) Explain attributes of Human Development Index (HDI) as a measure of development (8

marks)

The Human Development Index (HDI) is a composite measure that evaluates the overall
development of a country based on three key dimensions:

1. Life Expectancy: A measure of health and longevity, reflecting the average number of
years a person can expect to live in a given country.
2. Education: Includes indicators such as the mean years of schooling for adults and the
expected years of schooling for children, reflecting the quality and access to education in
a country.
3. Income: Measured by Gross National Income (GNI) per capita, it reflects the economic
prosperity and standard of living in a country.

HDI combines these factors into a single index, with higher scores indicating higher levels of
human development. The HDI is used to rank countries and compare their levels of development.

QUESTION TWO

a) Using illustrations, explain main characteristics of underdeveloped countries according

to the core-periphery theory (10 marks)

The core-periphery theory explains the relationship between developed (core) and
underdeveloped (periphery) nations. Main characteristics of underdeveloped countries
(periphery) include:

1. Economic Dependence: Underdeveloped countries are dependent on core countries for

capital, technology, and market access. They often export raw materials and import
manufactured goods.
o Example: A country in sub-Saharan Africa may export minerals but rely on
Western countries for machinery and technology.
2. Exploitation of Resources: The core countries extract natural resources and cheap labor
from peripheral nations, which limits local economic growth and perpetuates poverty.
o Example: In countries like the Democratic Republic of Congo, resource extraction
by foreign corporations has led to environmental degradation without significant
reinvestment in local economies.
 3. Low Industrialization: Periphery countries have limited industrial capacity and are often
dependent on agriculture or raw material extraction, which restricts economic
diversification.
o Example: Countries like Bolivia remain heavily reliant on agricultural exports like
soybeans, with little manufacturing industry.
4. Underdeveloped Infrastructure: Peripheral countries often have poorly developed
infrastructure, making it difficult to promote industrialization or improve living
standards.
o Example: Limited road networks in rural regions of many African nations make
access to markets and services difficult.
5. Political and Economic Instability: Peripheral countries often experience political
instability, weak governance, and corruption, which further hampers their development.
o Example: Ongoing conflicts in countries like South Sudan prevent long-term
development and stability.

b) Discuss underdevelopment as an aggregate of factors according to Gourou (10 marks)

Gourou’s theory of underdevelopment views underdevelopment as a result of a combination of

internal and external factors. Some key factors include:

1. Historical Factors: Colonialism and the legacy of foreign exploitation play a major role
in underdevelopment. Colonizers focused on extracting resources rather than developing
the infrastructure or industries of colonized nations.
2. Geographical Factors: Poor geography, including unfavorable climates, lack of natural
resources, and isolation, can contribute to underdevelopment. Some regions face
challenges like desertification or lack of arable land.
3. Social Factors: Socio-cultural barriers, such as rigid social structures, inequality, and
ethnic tensions, often hinder development. Lack of social cohesion can also impede
progress.
4. Economic Factors: Underdeveloped countries may rely on a narrow economic base,
such as agriculture or resource extraction, limiting their ability to diversify and develop a
broader economy.
5. Political and Institutional Factors: Weak political institutions, poor governance, and
corruption contribute significantly to underdevelopment. The absence of stable political
environments discourages investment and economic growth.
6. External Factors: Global economic structures, including trade relations and foreign debt,
also play a crucial role. The global trading system often benefits developed countries,
leaving underdeveloped nations in a dependent position.

QUESTION THREE

a) Explain underdevelopment as an initial stage in the development process according to

Walt Rostow in 1960 (10 marks)
Walt Rostow's theory of development, outlined in his "stages of growth", views
underdevelopment as an initial stage in the process of economic development. The stages are:

1. Traditional Society: Characterized by limited technology and agricultural reliance.

These societies are underdeveloped but have the potential for growth.
2. Preconditions for Take-Off: Societies begin to develop the necessary conditions for
economic growth, such as improved infrastructure, capital accumulation, and social
changes.
3. Take-Off: Economic growth accelerates as industries expand, and social and political
structures begin to change. This marks the transition from underdevelopment to
development.
4. Drive to Maturity: As industrialization spreads, the economy diversifies, and the
country achieves higher levels of income and technology.
5. Age of High Mass Consumption: The final stage of development, where the country
experiences a high standard of living, with significant social welfare and high levels of
consumption.

Rostow believed that underdevelopment was a temporary stage and that countries would pass
through these stages with the right conditions.

b) Describe characteristics of a dual economy model of underdevelopment (10 marks)

The dual economy model suggests that underdeveloped countries have two distinct sectors: a
modern, industrialized sector and a traditional, underdeveloped sector. Characteristics include:

1. Modern Sector: This is the industrialized, often export-oriented sector that uses
advanced technology and contributes significantly to national income. It is typically
owned and controlled by foreign interests or a small local elite.
2. Traditional Sector: The traditional sector is characterized by subsistence agriculture,
low productivity, and limited technology. It often supports the majority of the population
but contributes little to national growth.
3. Income Inequality: The dual economy creates a situation of extreme income inequality,
with the modern sector concentrating wealth in the hands of a few, while the majority in
the traditional sector remain poor.
4. Labor Migration: There is often labor migration from the rural, traditional sector to
urban areas in search of work in the modern sector, leading to urbanization without full
integration of the two sectors.
5. Limited Linkages: The modern and traditional sectors are often poorly integrated, with
limited economic linkages. The benefits of industrialization do not extend to the rural
economy, which remains dependent on agriculture.

QUESTION FOUR

a) Explain main features of modernization theory (10 marks)

Modernization theory suggests that underdeveloped countries can achieve development by
adopting the economic, social, and political structures of developed nations. Key features
include:

1. Linear Stages of Growth: Modernization theory argues that countries progress through a
series of stages, from traditional societies to modern, industrialized nations.
2. Role of Westernization: The theory promotes the idea that development involves
adopting Western values, including democracy, capitalism, and individualism.
3. Economic Growth: Modernization emphasizes economic growth through
industrialization, technological advancement, and modernization of agriculture.
4. Cultural Change: The theory suggests that societies must embrace modern values,
including secularization, individual rights, and rationalism,