Which model explains global inequality in terms of the historical exploitation of poor nations by rich nations?

Which model explains global inequality in terms of the historical exploitation of poor nations by rich nations?

• A. Dependency Theory
• B. Structuralist Theory
• C. Neoliberal Policies
• D. HDI

Answer: (A)

Global inequality is best explained by Dependency Theory, which centers on a long history of wealth extraction by rich nations from poorer ones. This view shows how colonialism laid down structures where resources and profits flow from the periphery to the core, creating and maintaining unequal power and wealth relationships. Over time, these patterns persist through trade rules, debt, and multinational corporations, so that development in wealthy countries goes hand in hand with persistent underdevelopment in poorer ones. Because the theory ties current gaps to intentional, historic exploitation and the ongoing power dynamics of the international system, it offers a direct explanation for why inequality endures beyond domestic factors or simple market-friendly reforms. In contrast, structuralist ideas focus more on internal constraints, neoliberals emphasize free-market policies, and the HDI is just a development metric, not a theory of why inequality exists.

Global inequality is best explained by Dependency Theory, which centers on a long history of wealth extraction by rich nations from poorer ones. This view shows how colonialism laid down structures where resources and profits flow from the periphery to the core, creating and maintaining unequal power and wealth relationships. Over time, these patterns persist through trade rules, debt, and multinational corporations, so that development in wealthy countries goes hand in hand with persistent underdevelopment in poorer ones. Because the theory ties current gaps to intentional, historic exploitation and the ongoing power dynamics of the international system, it offers a direct explanation for why inequality endures beyond domestic factors or simple market-friendly reforms. In contrast, structuralist ideas focus more on internal constraints, neoliberals emphasize free-market policies, and the HDI is just a development metric, not a theory of why inequality exists.