Compare and contrast modernization and dependency theories

The dependency theory coincides with the conflict viewpoint, as it focuses on ways that poor nations have been wronged by rich nations. It was created in part as a response to Western centric mindset of modernization theory. It states that global inequality is primarily caused by core nations (Metropolis) exploiting semi-peripheral and peripheral nations (Satellite) which creates a cycle of dependence. As long as low income nations are dependent on core nations for economic stimulus and access to a larger piece of the global economy, they will never achieve stable and consistent economic growth. It challenged the basic tenet of Modernization theory that countries fail to modernize because they lack the values that first world countries possess which lead to modernization. Its theorists argue that third world countries are poor because they have been and continue to be exploited by the first world countries and this exploitation evolved from colonialism. The dependency theory focuses on the fact that resources flow from the poor and underdeveloped states to the already developed states while enriching the latter while the poorer states continue to suffer..

Modernization theory holds that increases in technology will increase wealth throughout the globe, and that low income nations can follow the path taken by wealthier, modernized nations. It focuses on the social elements which facilitate social progress and development of societies and further explain the process of social evolution. There are five stages to modernization: the traditional society, preconditions for take off, take off, the drive to maturity and high mass consumption.

In stark contrast to modernization theory, dependency theory underlines that relationships between developing and developed countries are based not on growing cooperation between them but rather on the dependence of developing countries on developed ones. The modernization theory and dependency theory are similar in their views on the modern world, both theories admit the leadership of western countries and their currently dominant position in the modern world, while underdeveloped countries are characterized by socio-economic and political backwardness. At the same time , the two theories agree that the cooperation between  western countries and developing countries is constantly growing and leads to their integration