Midterm Examination
Issues and Theories of Development
U T D Fall 2014
There are in all four questions. Total pages should be six to eight, so about two pages
each. Base your answers on the readings and class discussion and indicate who you are
referring to agreeing with or disagreeing with, but don't worry about putting in detailed
footnotes. The basic idea is to demonstrate that you have digested the material and
formulated analytic, critical, responses. If you quote somebody from the readings it is in
enough to put the reference in parentheses. If you quote something outside of the
readings, however, give a reference. The exams are due at class time November 19. Also
send me a digital copy as an email attachment. If you cannot get to class that day, let me
know and I will print from the digital copy. The points indicate relative weight as a guide
in spending your time. Total is 100. The Questions:
1. What aspects of the Marshall Plan could be successfully translated into development
practices today? Assume the solution would be region-specific. Name the region and
describe how a Marshall-plan-like program for it could be developed and carried out. (25
points)
2. Two related questions. Your readings reflect three major approaches to creating
accelerated development that were dominant sequentially in the twentieth century. The
first was Fascism (including Nazism) and Communism. (Theoretically, these were both
competing versions of socialism.) The second was "managed competition" of the
American New Deal which led to policies and approaches that carried into the post-war
Marshall Plan. The Third is the post-war period dominated by the Cold War until about
1990. There is now a fourth period, beginning with the collapse of the Soviet Union and
of Maoist authoritarianism in China, which is dominated by the problem of converting
centrally planned economies to modern market economies, but we have not yet gotten to
these readings.
2. A. Describe the kind of government structure and powers that the New Deal and
Marshall plan theory assumes or requires. (25 points)
2. B. Describe the kind of governmental structure and powers that the post-war economic
theories assume or require--meaning any one or more of the theories reviewed by
Copestake or the other class readings his review covers (This would be the theories
described by Friedman, Hayek, Rostow, Ehrlich, and Hardin). (25 points)
3. Corruption is a barrier to development. This is from an article by Transparency
International describing their Corruption Perception Index. This is a chart that relates the
CPI to the HDI:
The article is here. The question: As the films we saw argued, the World Bank is
widely accused of following policies that encourage corruption. As you read, the
Marshall Plan seems to have able to prevent this. How did it do so and how could the
Marshal Plan measures be adopted by the World Bank? (20 points)