EXTERNAL CAUSES OF UNDERDEVELOPMENT

UNBALANCED DEVELOPMENT

Strategy

Buy raw materials cheaply and sell their manufactures at a high price

Resulted in

International division of labour

Cause

Poor countries grow progresively poorer

Land

Badly distributed

Most of the plantations owned by rich local families or multinationals

Land is cultivated using imported technollogy

Production for importation

Underdeveloped countries posses very little industry

COLONIALISM

When

Nineteenth and twentieth century colonialism

Causes

Favoured single-crop economies to produce raw materials

Destroyed local economic structures