periphery (developing countries) -Core exploits periphery + has interest in maintaining this imbalance o Evidence
Developing countries
High tariffs (tax) to protect industries (often on imports)
Overvalued currencies which made importation of inputs cheaper - - - Subsidised industries Consequences: High levels of borrowing Corruption Pressure to change strategies to Neoliberal theories
Sound infrastructure
Government policies freeing up markets o Stable institutions Knowledge economy