Modernization theory

Rostow's Modernization theory says that all countries begin at the traditional underdevelopment state and that less developed countries (LDCs) are poor because they are in the process of becoming more developed countries (MDCs). In order to do this, they need to let go of their traditional values and adopt western values from MDCs. According to the theory, modernization takes place in five stages which are; the traditional society, preconditions for take-off, take-off, drive to maturity, and high mass consumption. The development of a country is measured using economic growth using indices such as Growth Development Product and Human Development Index.

Dependency theory

Frank's Dependency theory says that the development and expansion of MDCs are at the expense of LCDs.The development of MDCs can impact the development of LDCs either negatively and positively. The underdevelopment of countries is seen as a product of colonialism and imperialism in the global capitalist framework. The dependency theory occurs in two levels, which are; the national and international levels. 

• At the national level, it occurs in rural and urban areas. Resources are extracted from the rural and sent to urban areas, which leaves rural areas with a shortage of resources.  
• At the international level, it occurs between MDCs and LDCs, where trade rules are unequal. Hard labour and resources are provided by LCDs then they are exploited by MDCs. Leading to more growth and development towards  MDCs.