Herman Schwartz 248C
Cabell Hall / 924 7818 / hms2f@virginia.edu
Tuesday 2:00-4:30
Cabell 242 office
hrs: T/R 11-12, or appt.
The course looks at the political economy of
development by focusing on four topics:
domestic and transnational political coalitions; development strategies
of specific countries; the importance of institutions in carrying out those
strategies; the opportunities and constraints imposed by world labor, capital
and goods markets. Along the way I hope
to make sense of various orthodox and critical theories of
(under-)development. The cases will not
be limited only to the 'traditional' subjects of the development literature,
the “third world” but will also consider late development in Europe and
elsewhere. We also will be taking a
long-term perspective (what else is new?). The syllabus presumes that you are
already familiar with some of the basic late development literature (Frank,
Wallerstein, Bukharin, etc) as well as with Karl Polanyi’s Great
Transformation. If you are not, see
me.
We will not deal with democratization per se, but
interested students can ask for additional readings. The best single source is Reuschemeyer, Stephens & Stephens, Capitalist
Development and Democracy. David
Waldner occasionally teaches a course on this.
Requirements:
This class is a discussion oriented research seminar;
students will be asked to prepare critiques/explications of various weeks'
readings & to write a seminar paper on development issues, not necessarily
on one of the countries done here; if some are done on these countries, they
will be presented, perhaps in an unfinished state, during the appropriate
class, those on "outside" countries will be presented during the last
class(es). Depending on the number of
students brief presentations of seminar papers will be done in the last
class. Grading is based on the seminar
paper (40%) discussion (40%), and the critiques (20%).
You must see me before the mid-semester break to
arrange a topic for your paper. If you
don't, your grade will be under-developed.
Some good reference works are:
R. Chilcote, Theories of Development and
Underdevelopment
T. Momsen, Theories of Imperialism (a good
short into to mostly left theories of imperialism)
Paul Bairoch: Economic
Development of the Third World since 1900 and Economics and World
History (informed revisionism)
For data:
IBRD (World Bank) World debt tables (annual)
gives a good sense of the scale and types of debt from the 1970s on, and on
line data is available for 1980 on, see below.
Pre-1945 debt statistics are very shaky. The best are UN, Public Debt of Member
Nations, Cleona Lewis, Debtor and Creditor Countries 1938, 1944, and
Michael Edelstein, Overseas investment.
Lloyd Reynolds Economic Growth has excellent country
bibliographies.
UNCTAD, Commodity Trade Handbook provides detailed
country by country data on exports and also, commodity by commodity (but see
also www.intracen.org)
UNCTC, World Investment Report (annual, data on
DFI plus special reports)
Brian Mitchell, European Historical Statistics,
International Historical Statistics: Americas and Asia are where you’ll
find best source data for country as far back as it is available; plus of
course individual country’s statistical yearbooks (if any).
The following databases will be available on-line or
made available to class via email:
BIS/OECD:
Q:\data\trade on the GFA server or via toolkit for GFCP313
“Debt-Stock.xls” and “Debt-Flow.xls”
INTRACEN (International Trade Center) 6 digit SITC
level trade performance data at: http://www.intracen.org (and an older excel version of this database
is available from Q:\data\trade on the GFA server – 3 digit SITC level)). This is an excellent country by country
detailed analysis of export / imports, including growth rates and relative
value added.
Penn World Tables: online at http://pwt.econ.upenn.edu/download/download.html
or via toolkit for 313
as a ZIP file
World Bank: http://www.worldbank.org/data/
and Development Report
http://www.worldbank.org/wdr/2000/fullreport.html
For Asian economies (including hard to get data on
Taiwan) http://internotes.asiandevbank.org/notes/edr0004p/Index.htm
For the Americas, an interactive data
base: http://database.iadb.org/esdbweb/scripts/esdbweb.exe
(including 2 digit SITC trade data)
Plus via VIRGO (http://fisher.lib.virginia.edu/active_data/index.html
): IMF direction of
trade statistics; UNIDO data, World
Bank data; World Resources (environmental data)
At the bottom you will find some sector
specific suggestions.
Readings:
Students will find it convenient to own
the following books (data indicate proportion of book we will read):
1.
Alice
Amsden, Asia's Next Giant. Cornell UP 1989, (6 chs)
2.
Gary Gereffi
& M. Korzeniewicz, eds, Commodity Chains and Global Capitalism,
Praeger, (7 chapters)
3.
Stephan
Haggard, Pathways from the Periphery: Politics of Growth. Ithaca:
Cornell Univ Press 1991 (4 of 8
chs)
4.
Robert Wade,
Governing the market (6 / 11)
5.
David
Waldner, State Building and Late Development (5 / 10 chs)
ALL READINGS ARE ON RESERVE
IMPORTANT: If you don’t see a reading listed under GFIR
839, check under GFCP 313 – many readings are listed there instead; please
check the toolkit “materials” list for GFCP 313 also; “C313” after a
reading indicates it’s on the 313 Clemons reserve and T313 = 313 toolkit
materials files; C839 means it’s on the 839 Clemons reserve and 839toolkit
= 839 materials toolkit. JSTOR =
available through JSTOR (note that as of 30 Aug Cambridge J of Econ is
temporarily unavailable but it should
be up by the time we need it. Infotrac = available through Infotrac. **
indicates a reading that was supposed to be on reserve but which the library
hasn’t put up yet.
SYLLABUS
5 Sept:
Introduction
Syllabi, schmoozing.
12 Sept: What
is Development? Joe, Jeannie, Aycan // food: Hisham
C
Arghiri
Emmanuel: "Myths of development
vs. myths of under‑development."
New Left Review # 85, May 1974, pp. 61-82. **
C
Albert
Hirschman, "Rise and decline of Development Economics," in Essays
in Trespassing C313
C
F H Cardoso
& E Faletto: Dependency &
Development in Latin America (ch 1-2)
C313
C
Paul
Krugman, “The Myth of Asia’s Miracle,” Foreign Affairs Nov 1994,
73:6 infotrac
recommended:
check out the UN Development Program, Human Development Reports (annual)
also quite interesting and important from
a development perspective: Paul
Krugman, Development, Geography and Economic Theory
19 Sept:
Development, the state, and social classes
Bhavani, Ganesh, Hisham
food: Aycan
C
Alexander
Gerschenkron,"Economic
backwardness in historical perspective" (ch 1, pp. 5-30) and
"Postscript" (pp 353-364) in Economic Backwardness in Historical
Perspective C313
C
Mel Watkins,
"A Staples theory of economic growth," Canadian Journal of
Economics and Political Science 29:2, May 1963, pp 141-158 **
C
S. Haggard, Pathways
from the periphery, ch 1-2 C839
C
Kiren
Chaudhry, "Myths of the Market and the Common History of Late
Developers," Politics and Society
21:3, Sept 1993, pp. 245-274 **
C
David
Waldner, State Building and Late Development ch 1, 2, 7, 8 C313
C
P. Evans, Embedded
Autonomy ch 1-4 (cheap and dirty
versions: "Predatory,
developmental and other apparatuses: a
comparative political economy perspective on third world states" Sociological
Forum 4:4, 1989, pp. 561‑587 or "State Structures,
Business-Government Relations and Economic Transformation" ch.3 in
Maxfield/Schneider, eds., Business and the State in Developing Countries) C313
recommended strongly:
W. Lewis:
"Economic development with unlimited supplies of labour." The Manchester School Journal, 22:2,
May 1954.
L. G. Reynolds "The Spread of
Economic Growth to the Third World 1850-1980," Journal of Economic
Literature 21, Sept 1983, pp. 941-980
(or: Reynolds: Economic Growth in the 3rd World: An Introduction)
Recommended empirical example: C. Gallo, Taxes and State Power (140pp)
Resources on Imperialism:
B. Warren, Imperialism,
Pioneer of Capitalism
J. A. Hobson: Imperialism: a study
N. Bukharin: Imperialism and the Accumulation of Capital
Benjamin Cohen, Imperialism in
Question
26 Sept:
Commodity Chains, Dependence, Tools and Problems
Hisham, Sophie, Naureen
·
Robert Bates, "Government and Markets in Africa," in R.
Bates, Towards a Political Economy of Development, pp. 331‑
358 C 313
·
Paul Rosenstein Rodan, “Problems of industrialization of Eastern and
South-Eastern Europe,” The Economic Journal vol. 53 #210-211,
June-September 1943, pp. 202-211 JSTOR or 839toolkit
·
Albert Hirschman, “Political Economy of Import Substituting
Industrialization in Latin America,” Quarterly Journal of Economics
82:1, February 1968, pp 1-32 JSTOR
·
Gary Gereffi & M. Korzeniewicz, eds., Commodity Chains and
Global Capitalism, ch 1, 5, 6 C839
·
Alice Amsden, Asia’s Next Giant ch 1 C839
after you rest
the first 4, read:
N. Poulantzas,
"Internationalisation of capitalist relations", Economy &
Society # 3, 1972
3 Oct: 19th
century European state building and development
Bihn, Anne, Aycan
C
Mikulas
Teich and Roy Porter, The Industrial Revolution in National Context chapters on France, Germany, Sweden,
Hungary, USA, Belgium C313
C
Linda Weiss
and John Hobson, States and Economic Development ch 4 C313
C
Amanda
Tillotson, "Open States and Open Economies: Denmark's Contribution to a Statist Theory of Development," Comparative
Politics 21:3, April 1989, pp.
339-354 **
C
Peter Bogasen,
“Strong or Weak State: Danish Agricultural Export Policy,” Comparative
Politics 24:2, January 1992, pp. 219-227
839toolkit
Resources:
Ivan Berend and Gyorgi Ranki, Economic
Development East-Central Europe in the 19th and 20th
Centuries
Alexander Gerschenkron, Economic
Backwardness in Historical Perspective
David Good, Economic Rise of the
Habsburg Empire
W. O. Henderson, Industrialization on
the Continent and Britain & Industrial Europe 1750-1870
David Landes, The Unbound Prometheus
Sidney Pollard, Peaceful Conquest: The
Industrialization of Europe
Fritz Stern, Gold and Iron: Bismarck, Bleichroder and the Building of
the German Empire
Richard Sylla, ed., Patterns of
European Industrialization: the 19th century
10 Oct:
19th century agricultural-led development with portfolio debt
Bhavani, Haiyan
C
Ivan Berend
and Gyorgy Ranki, "Foreign Trade and the Industrialization of the European
Periphery in the 19th century," Journal of European Economic History 9:3,
Winter 1980, pp. 539-584 (or: idem, Agriculture
and the Industrialization of the European Periphery) **
C
Donald
Denoon: Settler Capitalism: Dynamics of dependent development in the
southern hemisphere. ch 1-3, 7 C839
C
Arghiri
Emmanuel: "White settler
colonialism and the myth of investment imperialism," New Left Review
# 73, May 1972, 35-57. 839toolkit
C
H.
Schwartz: "Foreign Creditors and the Politics of Development in
Australia and Argentina," International Studies Quarterly 33:3 Sept
90 (click link)
C
Albert
Fishlow: "Lessons from the
Past: capital markets during the 19th
century and interwar period," International Organization, 39:3.
(Summer, 1985), pp. 383-439. JSTOR
C
W. A. Lewis,
Tropical Development 1880-1914 ch
1 & 2 + a few empirical chapters C313
Recommended:
W A Lewis, Evolution of the
International Economy
Resources:
M. Edelstein: Overseas Investment in the Age of High
Imperialism ch 3, 5; H. Feis: Europe: the World's Banker; B Stallings, Banker
to the Third World; Schwartz, States vs Markets, ch 4-6; A. G. Ford,
The Gold Standard 1880-1914 (esp sections on inflation); H Peters, Foreign
Debt of the Argentine Republic; B. Fitzpatrick, British Empire in
Australia; E. Gallo, La Pampa Gringa; C. Waisman: Reversal of Development in Argentina ch 1-3; J. Adelman, Frontier Development:
Land, Labour and Capital on the Wheatlands of Argentina and Canada, 1890-1914.
17 Oct: 20th
century: Direct investment and
industrial-led development Young-Wan, Jose, Joe
C
Jeffry
Frieden: "Third world indebted
industrialization: international
finance and state capitalism in Mexico, Brazil, Algeria and South Korea." International Organization 35:3,
Summer 1981. pp. 407-432 JSTOR
C
Robert Wade,
Governing the Market ch 5 C839
C
Alice
Amsden, Asia's Next Giant ch
6 C839
C
Stephan
Haggard, Pathways From the Periphery, ch 8 C313
C
Edna
Bonacich and David Waller, “Mapping a Global Industry,” and “The Role of US
Apparel Manufacturers,” in Global Production chs. 2 and 5. C313
C
Rowthorn and
Kozul-Wright, “Spoilt for Choice? MNCs
and the Geography of Production,” Oxford Review of Economic Policy 14:2,
1998 infotrac
recommended: Evie H Stephens "Capitalist Development and Democracy in
South America," Politics and Society 17:3, September 1989, pp. 281-352; R Wood, From Marshall Plan
to Debt Crisis (on aid)
24
OCTOBER IS READING BREAK
31 Oct: Brazil
1: strategy and structure
Jeannie, Bihn
C
Stephan
Haggard: Pathways from the periphery,
ch 7 C313
C
Barbara
Geddes: "Building 'State' capacity
in Brazil, 1930-1964," Comparative Politics January 1990, pp. 217-235 **
C
Werner Baer,
et al: "Structural changes in
Brazil's Industrial Economy 1960-1980" World Development 15:2, 1987, pp. 275-286. **
C
Stephan
Haggard / Lee / Maxfield, Politics of Finance in Developing Countries,
ch on Brazil (Armijo) C839
C
Peter
Kingstone, Democratic Brazil ch
tba C839
7 Nov: Brazil
2: outcomes
Sophie, Haiyan
C
Jeffry
Frieden, "Brazil's borrowing experience:
miracle to debacle and back?"
Latin American Research Review 22:1, 1987, pp. 95-131. **
C
Joan Nelson,
Economic Crisis and Policy Choice, Robert Kaufman chapter C839
C
Gary
Gereffi, Commodity Chains, ch 11
C839
C
Jeffry
Frieden, "Classes, Sectors, and Foreign Debt in Latin America," Comparative
Politics 21:1, oct 1988 **
C
David Felix,
"Alternative Outcomes of the Latin American Debt Crisis," Latin
American Research Review 22:2, 1987, pp 3-46 **
C
Leslie
Armijo, “Inflation and Insouciance: The
Peculiar Brazilian Game,” Latin American Research Review 31:3, Summer
1996, pp 7-47 infotrac
recommended: Peter Evans: Embedded
Autonomy (sections on Bz)
Resources:
T. Skidmore: "Politics of economic stabilization in
postwar Latin America," in J. Malloy, Authoritarianism and Corporatism
in Latin America; A. Stepan,
ed: Authoritarian Brazil (skim! Cardoso & Skidmore chs.); A
Stepan, The Military in Politics; T Skidmore: Politics of Military
rule in Brazil 1964-85; Emmanual Adler, Power of Ideology. AA
Hofman, AStandardised
capital stock estimates in Latin America: a 1950-94 update,@ Cambridge
J of Economics 24:1 Jan 2000, 45-86. Peter Evan, Dependent Development,
Ken Sharpe, Engines of Growth, Gary Gereffi, Pharmaceuticals and the
State
14 Nov: Korea (development w/ debt?) and
Taiwan (development w/o debt?) Bihn
background:
B. Cumings: "Political economy of North East Asian..." International
Organization, 38:1 (Winter, 1984), pp. 1-40. JSTOR
C
Alice
Amsden: Asia's Next Giant, ch
2-5 C839
C
Chih Ming Ka
& M. Selden: "Original
Accumulation, equity and late industrialization: China and Taiwan." World
Development 14:10, 1986, 1293-1310. **
C
Robert Wade,
Governing the Market ch 4, 6, 7, 10
C313
C
Stephan
Haggard / Lee/ Maxfield: Politics of
Finance chs on SK and Taiwan C839
C
David
Waldner, State Building and Late Development, ch 6 C313
C
Tun-Jen Cheng, Stephan Haggard and David Kang, “Institutions
and growth in Korea and Taiwan: the bureaucracy.” J
of Development Studies August 1998 34:6 p87-112 infotrac
21 nov:
Korea and Taiwan: Facing the
1990s Ray, Young-Wan, Jose
C
Yun-han
Chu: "State Structure and Economic
Adjustment in East Asia, " International Organization 43:4, autumn
1989, pp. 647-672 JSTOR
C
Gary Gerrefi,
Global Commodity Chains, ch 8, 9, 12, 14 C313
C
Gregory W.
Noble “Trojan Horse or Boomerang:
Two-Tiered Investment in the Asian Auto Complex,” BRIE Working Paper 90
November 1996 (only via 839 TOOLKIT)
C
David Kang, “Asia's
Next Giant: South Korea and Late Industrialization,” International
Organization, 49:3, Summer 1995 pp. 555-587 JSTOR
C
Ha-Joon
Chang, etc “Interpreting the Korean Financial Crisis,” Cambridge J of Economics 22, 1998, pp 735-746
JSTOR
C
John Mathews, “Fashioning
a New Korean Model out of the Crisis,” Cambridge J of Economics 22,
1998, pp 747-759 JSTOR
C
Robert Wade,
“East Asia's Economic Success:
Conflicting Perspectives, Partial Insights, Shaky Evidence," World
Politics 44, January 1992, pp. 270-320 JSTOR
C
OR Robert Wade, “From Miracle to Cronyism,” Cambridge
J of Economics 22, 1998, pp 693-706 313toolkit as
Wade-Miracle-to-Crony.pdf or JSTOR
Recommended:
Robert Wade and Frank Veneroso, “The
gathering world slump and the battle over capital controls,” New Left Review
Sept-Oct 1998 #231 pp. 13-
Resources:
F Deyo, Dependent
Development and Industrial Order, Jung En Woo, Race to the Swift, Walter
Hatch and Kozo Yamamura, Asia in Japan’s Embrace, Ping Chun Hsiung, Living
Rooms as Factories, World Bank, The East Asian Miracle
28 nov:
Rebuilding States in the 1990s Ganesh, Anne, Naureen
C
John
Williamson, Political Economy of Policy Reform ch 1, 2, 10, 11, 12 C839
C
John Toye,
“Fiscal Crisis and Fiscal Reform in Developing Countries,” Cambridge J of
Economics 24:1 January 2000, pp.
21-44 JSTOR
C
Joan Nelson,
Economic Crisis and Policy Choice, ch by M. Kahler C839
C
Ben
Schneider, “Introduction” Administrative Reform in Latin America (only via 313 TOOLKIT)
C
Robert
Kaufman, “Conclusion” Administrative Reform in Latin America (only via 839 TOOLKIT)
5 dec: Student
papers due [and/or, perhaps, Africa or Eastern Europe]
NOTE:
no exam for this class
Resources on Electronics:
Martin Fransman, Technology and
economic development, and Machinery and economic development plus
articles
Fabio Stephano Erber, "The
Development of the 'Electronics Complex' and Government Policies in
Brazil," World Development 15:3, March 1985, pp. 293‑310
Raphael Kaplinski, various articles.
Staffan Jacobsson, "Technical Change
and Industrial Policy: The Case of
Computer Numerically Controlled Lathes in Argentina, Korea and Taiwan," World
Development 13:3, March 1985, pp. 353‑370
Resources on Automobiles:
Raphael Kaplinski, Driving force: the
global restructuring of technology, labour, and investment in the automobile
and components industries
Fred Deyo, Social Reconstruction of the
World Automobile Industry