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Critique o f Porter’s Stages o f Economic DevelopmentBoth classical and non-classical economists have presented theories regardingan economy’s ability to continue to grow or the reasons for which it is doomed tostagnate. In recent decades, theories were articulated in an attempt either to explainthe reasons behind the poor countries’ under-development or propose the necessaryprocesses necessary for their development. ‘Stage’ theories, though, were attemptingto address both of the issues mentioned above. These theories used the historicalapproach, and their main argument is that the evolution of an economy follows apattern, possibly uniform, of consecutive stages.Stage theories were extensively explored by members of the German historicalschool. They were based on the assumption that primitive economic systems are thefirst steps towards more advanced economies. They also tried to include cultural andsociological explanations regarding the transition mechanisms among the stages. Mostwell-known among these early theories is that of Karl Marx, which identifies threestages: primitive communism, feudalism, and capitalism. After analysing the factorsthat led to the creation of the third stage, capitalism, Marx predicts its eventualdownfall and its replacement by a fourth stage, communism.An alternative theory to Marx’s views and one of the best known currentstage theories, is that of Rostow, first articulated in 1961. Rostow (1961) describesfive stages in a society’s growth process: traditional society, preconditions fortakeoff, takeoff, the drive to maturity, and high mass consumption. Small economicchanges are seen as leading to inevitable fundamental shifts in a society’s economicand political institutions, especially during the ‘takeoff stage. Rostow supports histheory with ample historical details, describing the evolution of many diversesocieties. His theory has been considered a significant contribution, although it hasalso been highly criticised, especially for the inevitability of the transitions from onestage to the next.45In a general assessment of the
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