Development : The Essentials
Ted Trainer

For more than 20 years there has been a convincing alternative or critical position on development, arguing that conventional development theory and practice are fundamentally mistaken.  Yet this critical analysis is totally ignored by virtually all official development literature, agencies and projects.

Following is a brief summary of the critical view.

1. The Third World is not developing satisfactory.  Despite significant improvements in some indices, such as infant mortality, after 50 years of “modernisation” most Third  World people remain extremely poor and the conditions in which the most desperate one billion live became worse in the 1980s.

2. In the last 50 years there has been a huge amount of development.  But it has been grossly inappropriate development.  Cities have boomed, airports and Hilton hotels and export plantations have been built, but the developments that are most necessary to improve the living conditions of the poor majority have been largely ignored.

3. It has mostly been development in the interests of the rich.  Development has mostly benefited the few who are rich, the small urban middle class of technocrats and bureaucrats, the foreign corporations and the consumers in the rich countries.  The typical Third World country has basically been developed only into that form which give businessmen the best access to its exploitable wealth; the forests, soils and cheap labour.

4. This is the inevitable result in a global economy driven by profit, market forces and  growth.  Of course, those with capital will only want to develop the activities which maximise the return on their investments.  In other words the appalling poverty and misery of billions of people and the failure of 50 years of development to do much to solve their problems is directly due the market forces and profit.

5. Hence we can state the most important of all economic laws: GROWTH DEPRIVES!  If your development goal maximising the rate of increase in business turnover in production for sale or GNP, then you will facilitate the flow of development resources into those ventures that will produce for richer people, because that’s what will do most to increase sales and GNP.

6. The obvious fact is that very, very little ever trickles down.  After decades of this development ideology the poor majority in most Third World countries remain extremely poor while a small group has taken almost all the benefit.

7. Fundamental to the tragedy has been the warped concept of development that has been assumed.  Economic growth has been taken to be development, or to be the key to it.  Even now almost all official thought and action about development is basically only about trying to get the economy going (although they sometimes say it is not enough to have growth and they do now make some effort to attend to the problems this causes).

8. The most important point of all which the conventional economist steadfastly refuses to recognise is that there is no chance whatsoever of Third World people rising to the material living standards typical of the rich countries today.  There are nowhere near sufficient mineral, energy or biological resources to make that possible.

9. These are the absurdly impossible implications of conventional economic theory and practice.  It is difficult to understand the ideological forces which continue to blind almost all economists, politicians and journalists to the fact that conventional economic thinking has locked us into an impossible and catastrophic path.  At least 50,000 people, mostly children, die unnecessarily every day because we are pursuing a development model that does not and cannot work for the majority.

10. The saying that sums up the situation irrefutably is “The rich must live more simply so that the poor may simply live.”  Satisfactory Third World development is not possible until the rich countries stop hogging far more than their fair share of the world’s dwindling resources and move way down to resource use rates that all could have.

11. The global economic system and conventional development work in the interests of the rich, including people who live in the rich countries.  We get most of the world’s scarce resource output, about 20 times the per capita resource consumption of the poorest half of the world’s people.  We develop in the Third World the industries that will harness their resources, their capital and their cheap labour mostly to producing for us.  A great deal of rich world aid, military equipment and diplomatic activity goes into making sure that Third World countries keep to the development policies that serve us (and their ruling elites).  If they show any sign of changing to  a development strategy that might gear their resources to the needs of the people, they are very likely to be invaded by the rich countries on the pretext of stamping out communists subversion.  The most important fact of making this domination possible is the unquestioned belief that the best, indeed the only way to develop is to facilitate economic growth, i.e., to do what will get more business turnover going.

12. Most distressing of all is the fact that there is an alternative.  Once you scrap the vicious deception that development is about economic growth and start asking “What would be appropriate development for the people?”  You realise that, for rich and poor countries, development has to be about achieving (a) relatively simply but sufficient material lifestyle, (b) within small, highly self-sufficient local social control, not left to the freedom of transnational enterprise or the whims of the global market, (d) which use mainly, but not entirely, cooperative systems and above all (e) a zero growth economy; one in which we can just produce as much as we need for high quality of life on the minimum amount of work, production and resource use, with no desire to increase GNP or consumption or “living standards” year after year.


(Ted Trainer, Professional Studies, University of New South Wales).


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