Analysis of the unequal trade to selected developing economies according to the theory of dependence For the period 2002-2015

Abstract

Abstract The economic growth and development of developed economies has not led to corresponding growth in the developing economies that are their direct trading partners. On the contrary, often this uneven trade has led to serious economic, social and political problems in most developing countries, The theory of dependency that emerged from the Latin American group explained this phenomenon that the rate of growth in the advanced industrial countries is inversely proportional to the rate of growth in the developing countries. The latter exports raw materials and cheap labor to industrial countries, And on the other hand import manufactured goods and services that achieve a great added value compared to the added value of the primary products that are involved in the production of those products. Therefore, developing countries do not gain from their exports sufficient revenues to pay for their imports, and this deterioration in the conditions of foreign trade frustrates economic development opportunities in the Developing economies. The principle of economic dependence is on the Arab countries, which suffer from the failure of economic development efforts because of the apparent lack of the necessary capabilities and expertise to promote the economy, Although dependency theory is one of the theories that emerged in the 1960s and 1970s, it is still appropriate to explain the economic conditions of most developing countries that are still unable to emerge from the dependency problem of developed industrial nations.