Analysis: Advantages and Disadvantages of the Development State Model

2468 Words Mar 17th, 2015 10 Pages
The advantages and disadvantages of the developmental state model for achieving development goals
Introduction
The term developmental state has been widely utilised to describe any state experiencing a period of economic development and improvement in living standards (Pham, 2012). One of the most significant arguments in this scope is the performance of developmental state model. A number of scholars have attempted to investigate this issue and arguments can be divided into three categories. Proponents of state intervention indicate that the state plays an indispensable role in directing economic development and utilising the resources of the country to achieve development goals. On the contrary, those who oppose state-led model argue
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Characteristics of a developmental state
In order to understand the term ‘developmental state’, it is necessary to focus on a number of characteristics of a developmental state. Summaries can be referred to the main empirical findings of previous literatures such as Öniş (1991), Wade (1992), Polidano (2001), Huff et al. (2001), Kenny and Williams (2001), and Beeson (2014). Generally, its main factors could be summarised in the following ways:
The developmental state gives priority to economic growth rather than political reform. It is of strong ambition to develop economy;
Private enterprise and business are under the state’s guidance. It does not mean that state replaces private ownerships directly, however, it seeks to intervene and guide private sectors according to national strategies;
The developmental state has a strong and active central government. Policy instruments are formulated by a small group of qualified elites in economic policy bureaucracy;
The economic policy bureaucracy consists of a political network which offers sufficient space in initiative-taking and effective operation;
Economic nationalism is one of the characteristics, which has been observed in successful developmental states.
The developmental state generally places strong emphasis on technical education and the
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