Integration of the economies of developing countries into the world economy
Gradually, the economy of the developing world became an integral part of the world economic system. The tendencies and directions of the social and economic development of many countries after the acquisition of their political independence were greatly influenced by the colonial legacy. Monoculture, backwardness, one-sided economic ties with the former metropolises, in fact, served (and in many countries continue to serve now) factors that reproduce their dependent position in relation to the industrialized countries.
Essential factors in this respect were the incompleteness of the processes of social differentiation characteristic of these countries, the survivability of traditional pre-capitalist and patriarchal relations and ties. To achieve the goals of economic development, many developing countries have implemented a set of reforms, of which nationalization of foreign enterprises, the creation and development of the public sector of the economy, agrarian reform, the creation of cooperatives, etc. were of great importance.
First of all, the property of large foreign companies, including the Suez Canal company in Egypt, the Iraq Petroleum, the international oil consortium controlling Iranian oil, etc., was nationalized. In a number of countries, the property of the local bourgeoisie was partially nationalized. State property also grew through the construction of new enterprises, especially in the heavy industry.
After liberation from the colonial yoke, the developing countries made efforts but overcoming their economic and financial dependence on the West. They launched a struggle to change the nature of economic ties with developed countries. As a result, the latter were forced to renew their relationship with the Afro-Asian world, trying to tie it to themselves, not by forceful methods of military and non-economic coercion, but by more skillful political and diplomatic maneuvers, more disguised cultural and propaganda expansion. The main place was given to economic methods of subordination of developing countries.
In the mid-1970's. the countries of the third world achieved the adoption by the UN General Assembly of the Declaration on the Establishment of a New International Order and the Charter of Economic Rights and Duties of States, which provides for the elimination of inequalities in trade, the restructuring of the monetary system, and the changing principles of the provision of economic assistance. In the 60-70's. XX century. the countries that exported oil jointly managed to achieve a significant increase in the price of oil sold to industrialized countries.
On the scale of the whole third world, certain successes were achieved in the sphere of industrial production. On average, the production of steel, cars, tractors, turbines, and electric power increased by 25-30%. Hundreds and thousands of new large enterprises were built. Much progress has been made in meeting the vital needs of the population. A number of East and South-East Asian countries, such as South Korea, Taiwan, Singapore, Hong Kong, Thailand, Malaysia, Indonesia and the Philippines, have achieved impressive economic successes for a relatively short period of time by historical standards. They adopted and rather effectively used Western economic, industrial, technological and organizational methods and structures.
The following fact is the best evidence of the trends in the development of the economies of these countries, for example, in the 1960s. national per capita income in South Korea was on the same level as Ghana (about $ 230), but now it is almost 12 times higher than in Ghana. In terms of economic development, the above-mentioned countries, in fact, have emerged from the developing category and have approached the developed world in many ways. Some oil producing countries in the Middle East have made some progress in improving the living standards of their peoples.
These processes and trends have become so widespread and irreversible that many specialists predict the formation of a homogeneous global market space based on the liberalization of international economic relations, subject to uniform laws, with a single means of payment, etc. All this in aggregate contributes to reducing the differences between countries within individual regions in terms of the level of organization and production efficiency.
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