Rostow's 5-stage model of economic developmentGroup of answer choicesStages of growth modelMalthusianismCore-peripheryEnvironmental determinism
Question
Rostow's 5-stage model of economic development
Group of answer choices
- Stages of growth model
- Malthusianism
- Core-periphery
- Environmental determinism
Solution
It seems like you're asking for an explanation of Rostow's 5-stage model of economic development. Here are the stages:
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Traditional Society: This is an agricultural economy of mainly subsistence farming, little of which is traded. The size of the capital stock is limited and of low quality resulting in very low labour productivity and little surplus output left to sell in domestic and overseas markets.
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Preconditions for Take-off: There is a spread of technology and advances in existing technologies which support an expansion of output in both the agricultural and manufacturing sectors. Savings and investment grow although they are still a small percentage of national income (GDP). Some external funding is required - for example in the form of overseas aid or perhaps remittance incomes from migrant workers living overseas.
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Take-off: Industrialisation increases, with workers switching from the agricultural sector to the manufacturing sector. Growth is concentrated in a few regions of the country and in one or two manufacturing industries. The level of investment reaches over 10% of GNP.
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Drive to Maturity: The economy diversifies into new areas. Technological innovation is providing a diverse range of investment opportunities. The economy is producing a wide range of goods and services and there is less reliance on imports.
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Age of High Mass Consumption: The economy is geared towards mass consumption. The consumer durable industries flourish. The service sector becomes increasingly dominant in the economy.
The other terms you mentioned - Malthusianism, Core-periphery, and Environmental determinism - are different theories or models related to economic development or geography, and are not directly related to Rostow's model.
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