Development Theory in Latin America

Kay, Cristóbal. Latin American theories of development and underdevelopment / Cristóbal Kay. London ; New York : Routledge, 1989.

Kay writes a theoretical account of development research that has been done by Latin Americans in Latin America, focusing largely on the cone of South America (Argentina, Uruguay, Chile, Brasil). It turns out there is a communication disconnect between development carried out by the North and that done in the South. Oftentimes local research agencies and academic institutions are funded by the World Bank or the United Nations to carry out research, but rarely is that information made known to a broader audience since the authors are not known. Kay hopes to facilitate this transfer of information.

Kay begins by laying out two development paradigms: the structuralism and dependency theory. Structuralism comes from critiques of neoclassical analysis, while dependency theory comes from critiques of modernization theory. (p. 2).

Few underdevelop countries satisfied the assumptions underlying neoclassical and Keynesian economics. For instance, in many developing countries, money is not a universal means of exchange, and financial institutions may be limited to capital cities, a large proportion of rural subsidence farmers, limited infrastructure and access to education, etc. Of course the labor and capital markets and price mechanisms work differently there.

An interesting, more specific example is given for how dependency theory came to be. In Latin America, the Dependistas rallied during the late 1960's and early 1970's. Widespread appeal of dependency theory due to national control over development process and investment of foreign capital, possibility of making an autochthonous contribution to the social sceinces and the revoloutionary and reform aspects.

There are two types of dependistas: reformist and Marxist. Marxist fundamentally saw socialist revolution as the only way to solve the problems of dependence and underdevelopment. The reformists were more of Nationalists, pushing for more national control, but maintain that by reforming the capitalist system, system.

Reflection

So in this book we find a categorically more comprehensive counterpart to the Development Communications Sourcebook, though it is limited to Latin America. It delves into the economic side of development instead of focusing on the communications aspect. The interesting part, however, is that this book is a means of communication itself! All books may be to some extent, but this book is an attempt to increase the horizontal communication between professional development organizations.

This book is helpful for reinforcing the general theories of modernization and dependency, as well as reveal the economic acompanying these changes in theory, proving that people's perspectives were changing in general about the holistic activity that development is. Moreover, a more in-depth description is described about the shift between these two theories. The reaons given for Latin America's support of dependency theory is not as simple as that, but incorporates different factions with different motivations and goals in mind.

Clearly the situation is more complex than we can give it credit, a Tower of Babble, as Kay refers to it. Where does one start? How do you go about it? That is where communication must come in!