ckaihatsu wrote:If Third Worldism is post-Cold-War out-of-date, then isn't 'developmental state' theory *also* out-of-date as well?
Yes dependency theory is a bit out of date too, hence my addition "to an extent".
How should presently underdeveloped countries / economies be handled, do you think?
I'm not really sure about two-stage theory, since no country has arguably had a very successful communist economy it's hard to say. China kind of did the reverse - communism, then capitalism or mixed-system.
As I said, for underdeveloped economic countries I go with the "developmental state". Which says a developing state, within a capitalist economy (globally and domestically), needs to have a strong government with strong gov institutions in order to guide their economy an trade, regulate it, and keep foreign investment from harshly exploiting the country. This was the mistake of neoliberalism decades ago in developing countries: too much free-market capitalism.
If you look at China, they have been open to capitalist reforms, but they also control what kind of foreign investment/trade is or isn't allowed to protect certain industries etc. They don't let any and all foreign corporations come in destroy domestic industries or suck out all the resources. South Korea also had strong state guidance during its growth the last several decades.