1. ROSTOW’S MODEL OF ECONOMIC DEVELOPMENT

2. Also called the “modernization” model.

3. TRADITIONAL SOCIETY *LIMITED TECH. *STATIC SOCIETY Countries today? Transition is triggered by external markets and influences

4. PRE-CONDITIONS FOR TAKEOFF Exploitation of agriculture and extractive industries Honduras, Malaysia An elite group initiates innovative economic activities

5. TAKE-OFF Development of a manufacturing sector *China, India, Brazil, Mexico Development of modern social, economic and political institutions

6. DRIVE TO MATURITY Development of a wider commercial and industrial base Investment in manufacturing exceeds 10% Exploitation of advantages in international trade *Eastern European countries

8. AGE OF MASS CONSUMPTION USA, Japan, Germany Economy shifts from heavy industry to consumer goods

9. Problems with Rostow’s model: * overly simplistic Myth of development that every country will reach stage five. Early starters can’t be compared to late starters – (early starters achieve stage five by exploiting late starters.) Built upon a European model.