With the newly found independence of European colonies in the 1950s and 1960s, for many the state, rather than the market, played a major role in their plans because dominant political thinking held that global markets and trading with wealthy countries were actually what held poor countries back. This is an example of which theory?
A) Marxist theory
B) dependency theory
C) independence theory
D) industrialization theory

Question

Quizplus · Accepted Answer

Dependency theory posits that the wealth of the world's nations is interconnected and that the poverty of some countries is due to their exploitation by wealthy countries. This theory suggests that developing countries are kept in a state of dependency by the existing global economic system, which is why the state, rather than the market, was seen as a crucial player in the development plans of newly independent countries during the 1950s and 1960s.

With the Newly Found Independence of European Colonies in the 1950s