Core-periphery model

Definition

The core-periphery model is an economic and spatial framework that describes the relationship between developed 'core' regions and underdeveloped 'periphery' regions. This model illustrates how resources, wealth, and development are concentrated in the core, while the periphery remains marginalized and dependent on the core for economic growth and stability. It emphasizes the unequal distribution of resources and the resulting socio-economic disparities.

5 Must Know Facts For Your Next Test

1. The core regions typically include industrialized nations with advanced economies, such as the United States, Western Europe, and Japan.
2. Peripheral regions are often characterized by low levels of industrialization, high levels of poverty, and a reliance on exporting raw materials.
3. The model suggests that the core benefits from the exploitation of the periphery's resources, leading to wealth accumulation in the core at the expense of peripheral nations.
4. Neo-Marxist approaches critique this model by highlighting how political power dynamics further entrench inequalities between core and peripheral regions.
5. Understanding the core-periphery model is crucial for addressing global inequalities and informing policies aimed at sustainable development in marginalized regions.

Review Questions

• How does the core-periphery model explain the economic disparities between developed and underdeveloped regions?
  • The core-periphery model illustrates that developed regions, or 'core' areas, concentrate wealth and resources while underdeveloped regions, or 'peripheries', remain economically marginalized. This relationship results in a dependency where peripheral regions rely on the core for investment, technology, and markets. Consequently, the economic growth of peripheral areas is stunted due to this unequal exchange dynamic.
• Discuss how globalization impacts the relationships outlined in the core-periphery model.
  • Globalization can both exacerbate and challenge the relationships depicted in the core-periphery model. While globalization often reinforces existing inequalities by allowing core nations to dominate trade and investment flows, it also opens up opportunities for peripheral regions to access global markets. This dual effect can lead to increased economic activity in some peripheral areas while others may continue to struggle with dependency and exploitation.
• Evaluate how neo-Marxist critiques enhance our understanding of the core-periphery model's implications for sustainable development.
  • Neo-Marxist critiques provide a deeper analysis of how power dynamics shape the relationships between core and peripheral regions. They emphasize that political and economic structures perpetuate inequalities and hinder sustainable development efforts in peripheral areas. By focusing on issues like imperialism and social justice, these critiques highlight the need for policies that not only address economic disparities but also empower marginalized communities to break free from cycles of dependency.

Related terms

Globalization: The process of increased interconnectedness among countries, driven by trade, investment, technology, and cultural exchange.

World Systems Theory: A sociological perspective that categorizes countries into core, semi-periphery, and periphery nations to explain the global economic system.

Dependency Theory:

A theory that explains how resource-rich peripheral countries remain economically dependent on developed countries, hindering their own growth.