ROLE OF THEORIES AS APPLIED TO DEVELOPMENT 1 Modernization Theory

Modernization theory is a theory used to explain the process of modernization within societies. The theory looks at the internal factors of a country while assuming that, with assistance, “traditional” countries can be brought to development in the same manner more developed countries have. Modernization theorists often saw traditions as obstacles to economic growth.

Emile Durkheim proposes that there are two basic types of society, the ‘traditional’ and the ‘modern’ which have very different forms of social cohesion between their members. The people of a traditional society perform the limited tasks of a simple agrarian community based on groups of families or clans in village settlements. One village is like any other in what people do, think and believe. In these circumstances, social cohesion is based on the simple common lifestyle and beliefs that prevail within and between settlements. In a ‘traditional’ society, three crucial features are noted:

 The value of traditionalism itself is dominant: that is, people are oriented to the past and they lack the cultural ability to adjust to new circumstances;

 The kinship system is the decisive reference point for all social practices, being the primary means through which economic, political and legal relationships are

controlled. One’s position in the kinship system and hence in the society is ascribed, not achieved, but conferred by virtue of kin relationship;

 Members of the traditional society have an emotional, superstitious and fatalistic approach to the world: ‘what will be will be; ‘things have always been this way’.

In contrast, ‘modern’ society is made up completely opposite characteristics:

 People may still have traditions but they are not slaves to them and will challenge any that seem unnecessary or get in the way of continued cultural progress;

 Kinship has a very less important role in all areas of society because of the need for geographical and social mobility which weakens family ties; moreover, one’s position in the economy, polity etc., is earned through hard work and high achievement-motivation and not determined by kinship;

 Members of the modern society are not fatalistic but forward-looking and innovative, ready to overcome the obstacles they find in their way, particularly in business affairs, reflecting a strong entrepreneurial spirit and rational, scientific approach to the world.

2.10.2. Dependency theory

Dependency theory is a body of social science theories predicated on the notion that

resources flow from a “periphery” of poor and underdeveloped states to a “core” of wealthy states enriching the latter at the expense of the former. It is a contention of dependency theory that poor states are impoverished and rich ones enriched by the way poor states are integrated into the “world system.”(http://en.wikipedia.org/wiki/Dependency_theory)

Blue Crane Route Municipality is an area in the “periphery “of poor and underdeveloped region and the “core” of wealthy area which is Port Elizabeth (Nelson Mandela Metro Bay Municipality) which is draining the Blue Crane Route Municipality of its resources such human resources i.e. the more developed the Nelson Mandela Metro Bay Municipality, the more underdeveloped the surrounding areas.

The premises of dependency theory are that:

 Poor nations provide natural resources, cheap labour, a destination for obsolete technology, and markets for developed nations, without which the latter could not have the standard of living they enjoy.

 Wealthy nations actively perpetuate a state of dependence by various means. This influence may be multifaceted, involving economics, media control, politics, banking and finance, education, culture, sport, and all aspect of human resource development.

Poor nations are at a disadvantage in their market interactions with wealthy nations. There are several aspects to this. One is that a high proportion of the developing nations’ economic activity consists of exports and imports from the developed nations-in many cases with only one or few developed nations. By contrast, only a small proportion of the economic activity of the developed nations consists of trade with the developing nations; a developed nation’s

trade consists mostly of internal trade and trade with other developed nations. This asymmetry puts a poor nation in a weak bargaining position vis a vis a developed nation.

2.11. CONCLUSION

This chapter provided an account on the literature review as a systematic search of published work to find out what is already known about the intended research topic and its purpose is to publish the need to research. The chapter further provided the definition of concepts such as Local Economic Development (LED), Integrated Development Plan (IDP), public

participation, Reconstruction and Development Plan (RDP) etc.

The legal framework for local economic development in South Africa was provided for in the chapter:

 The Constitution of the Republic of South Africa of 1996  The White Paper on Local Government of 1998

 National Framework for Local Economic Development (LED) in South Africa  The Municipal Systems Act, 32 of 2000

 The Municipal Structures Act, 117 of 1998

 The Municipal Finance Management Act, 56 of 2003 etc.

The challenges of development were outlined as HIV / Aids, role of women in development, ethics, intergovernmental relations, community participation, role of capital, education and entrepreneurship.

The chapter further provided characteristics of underdevelopment, barriers to economic development and the role of theories in development.

Chapter 3 deals with the research methodology.

CHAPTER THREE: RESEARCH DESIGN AND