Which of the following theoretical approaches argues that unequal exchange is an obstacle to development in poorer countries?
A)stunted-economy theory
B)globalization theory
C) dependency theory
D) modernization theory

Question

Quizplus · Accepted Answer

Dependency theory argues that unequal exchange, where rich countries benefit unfairly from trading with poorer countries, is a major obstacle to development in those countries. This theory posits that the global economic system is structured in a way that perpetuates underdevelopment in poorer countries and benefits wealthy countries.

Which of the Following Theoretical Approaches Argues That Unequal Exchange