Assess critically A. G. Frank's 'theory of development of underdevelopment'.

Core Tenets of Frank’s Theory

Frank’s theory rests on several key propositions:

• Historical Context: Underdevelopment is not a natural state but a historically created condition resulting from centuries of colonial and neo-colonial exploitation.
• Core-Periphery Relationship: The world is divided into core nations (industrialized, technologically advanced) and peripheral nations (dependent on the core for capital, technology, and markets).
• Unequal Exchange: Trade between core and periphery is inherently unequal, with the periphery exporting raw materials at low prices and importing manufactured goods at high prices, leading to a transfer of surplus from the periphery to the core.
• Metropolis-Satellite Structure: Within peripheral nations, a similar structure exists, with urban centers (metropolises) exploiting rural areas (satellites).
• Development of Underdevelopment: The very process of development in the core actively underdevelops the periphery, as the core requires the periphery to remain a source of cheap labor and raw materials.

Critical Assessment: Strengths

Frank’s theory offered several significant contributions:

• Challenging Modernization Theory: It provided a powerful counter-narrative to the dominant modernization theories, which were often seen as justifying the status quo and ignoring historical injustices.
• Highlighting Historical Power Dynamics: It drew attention to the long-term consequences of colonialism and imperialism on the development trajectories of peripheral nations.
• Focus on Structural Factors: It emphasized the importance of structural factors, such as the global economic system, in shaping the development prospects of nations.
• Explaining Persistent Poverty: It offered a compelling explanation for the persistence of poverty and inequality in many developing countries.

Critical Assessment: Weaknesses

Despite its influence, Frank’s theory has faced considerable criticism:

• Deterministic Nature: Critics argue that the theory is overly deterministic, suggesting that peripheral nations are inevitably locked into a state of underdevelopment. It downplays the agency of peripheral nations to pursue independent development paths.
• Neglect of Internal Factors: The theory largely ignores internal factors, such as domestic policies, political institutions, and cultural norms, which can also contribute to underdevelopment.
• Empirical Limitations: The experiences of some East Asian economies (e.g., South Korea, Taiwan) – which successfully industrialized despite being historically peripheral – challenge the theory’s claim that underdevelopment is inevitable. These ‘Newly Industrialized Countries’ (NICs) demonstrate that peripheral nations *can* break free from dependency.
• Oversimplification of Core-Periphery Relationship: The core-periphery model is often seen as too simplistic, failing to account for the complexities of global economic relations and the emergence of semi-peripheral nations (e.g., Brazil, India).
• Lack of Policy Prescriptions: The theory doesn’t offer clear policy prescriptions for overcoming underdevelopment, beyond advocating for a radical restructuring of the global economic system.

Evolution of Dependency Theory & Beyond

Frank’s initial formulation of dependency theory was later refined by scholars like Fernando Henrique Cardoso and Enzo Faletto. They introduced the concept of ‘dependent development’, arguing that peripheral nations could achieve some degree of development *within* the existing global system, albeit a development that remained dependent on the core. Later critiques also emphasized the role of state capacity, institutional quality, and human capital in shaping development outcomes. The rise of globalization and the increasing interconnectedness of the world economy have further complicated the dynamics of dependency.

Theory	Key Proponent	Core Argument	Criticism
Modernization Theory	Rostow	All societies progress through stages; underdevelopment is a temporary state.	Eurocentric, ignores historical context, justifies inequality.
Dependency Theory (Frank)	Andre Gunder Frank	Underdevelopment is a consequence of core-periphery exploitation.	Deterministic, neglects internal factors, empirical limitations.
Dependent Development	Cardoso & Faletto	Peripheral nations can develop within the global system, but remain dependent.	Still emphasizes external constraints, may underestimate agency.