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MODERNIZATION THEORY

MODERNIZATION THEORY. The social differentiation model – N. Smelser (1959) The economic model – W. Rostow (1960). What is modernization? . Transformation traditional society. Modern society (increase in technology, and stable economy). Emulation of Western world

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MODERNIZATION THEORY

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  1. MODERNIZATION THEORY The social differentiation model – N. Smelser (1959) The economic model – W. Rostow (1960)

  2. What is modernization? • Transformation traditional society Modern society (increase in technology, and stable economy)

  3. Emulation of Western world (Westernization of developing countries) • Utilization of more capitals

  4. Economic Growth 5 4 3 2 1 Time Development Theory by W. Rostow (1960)(This model is based on the economy of United Kingdom)

  5. Traditional Society (Masyarakat Tradisional) • Limited output in production • Low level of science and technology

  6. Fatalistic • Political power is non-centralized

  7. 2. The Preconditions for Take-Off (Persediaan untuk Pelancaran) • New initiatives for economic development, education, commerce and trade.

  8. Increases in investment in commercialization of raw materials/commodities. • Presence of ‘dualistic society’ – the gap between the rich and the poor, and between regions is high.

  9. 3. The Take–Off Stage (Peringkat Pelancaran) • Agriculture is commercialized • Growth in productivity – agriculture and industries in urban areas

  10. 4. The Drive to Maturity (Peringkat Ke Arah Kematangan) • About 20% of GDP is invested in economy • Towards involvement in international economy

  11. High use of science and technology • Production is not the outcome of social necessity, but for maximizing profits for international capitalist economy

  12. 5. Mass Consumption ( Peringkat Pengeluaran Barang Berkualiti) • Developed country status • Stable economy

  13. Production of durable goods • All basic needs are satisfied, and moves to social welfare state. • To pursue military power

  14. Question: How do you apply this theory to Malaysian development?

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