Course Notes on Structuralist Theory of Development

Sociology of Development
Structuralist theory

Structuralist theory posits that poorer countries should limit their interaction with the global

economy in order to promote domestic economic growth. This meant that less economically

developed countries were encouraged to process their own raw materials into higher value

manufactured goods, which could be bought by the local population. This had the effect of

decreasing importation, and balancing out trade and the circulation of local capital. One example

of the structuralist method is Ghana’s Feed Ourselves campaign and its focus on developing

industries.

However, while allowing developing countries to develop their own industries, many developed

nations who had become rich by selling cheaply purchased raw materials and selling them back

at prices that were much higher were not as keen, forming trade blocks to prevent effective

structuralist policies from working in the broader economy.