The process of cumulative causation was put forward by which author?

Correct option is C

The concept of cumulative causation was put forward by Gunnar Myrdal. This theory refers to the process by which the initial advantages in certain regions or countries tend to amplify over time, leading to a widening gap between developed and underdeveloped areas.

Myrdal used the concept of cumulative causation to explain the persistent poverty and underdevelopment in certain regions. According to his theory, economic development in one region attracts investment, improves infrastructure, and enhances social welfare, which, in turn, creates more opportunities and accelerates the growth in that region. This process leads to a self-reinforcing cycle, often referred to as the "vicious circle of poverty" for underdeveloped areas and the "virtuous circle" for developed regions.

The Cumulative Causation Theory was put forward by Gunnar Myrdal in his seminal work Economic Theory and Underdeveloped Regions (1957). This theory explains how economic development in one region or sector can lead to a self-reinforcing cycle, either promoting further development or exacerbating existing disparities. The concept focuses on the feedback loops created by development processes that can lead to inequality between regions and nations.

1. Self-Perpetuating Cycle:

   • Cumulative causation refers to a self-reinforcing process where initial growth in one area can trigger a series of positive feedback effects, leading to further growth in that area. This cycle can create a virtuous circle of growth in developed regions or a vicious circle of poverty in underdeveloped regions.

2. Uneven Regional Development:

   • Myrdal argued that economic growth is not a uniform process, and it tends to be concentrated in certain regions. As development occurs in one area (often an urban or industrial center), it attracts investment, resources, labor, and infrastructure improvements. These factors, in turn, stimulate further economic activities, leading to a continuous cycle of growth in that area.

   • On the other hand, in regions that are already economically backward or marginalized, the lack of initial investment and resources creates a negative cycle, leading to further stagnation and underdevelopment.

3. Positive and Negative Feedback Loops:

   • Positive feedback loops: In developed areas, growth leads to more growth. For example, increased industrialization leads to more employment, higher wages, and greater demand for goods, which in turn fosters further industrial expansion.

   • Negative feedback loops: In underdeveloped areas, lack of investment, low educational standards, and poor infrastructure lead to low productivity, fewer opportunities for economic growth, and continued poverty, which further widens the gap between rich and poor areas.

4. Regional Disparities:

   • Cumulative causation explains why economic disparities emerge between different regions or countries. Developed regions continue to attract resources and investment, making them more prosperous, while less developed regions fall behind.

   • Myrdal also introduced the concept of "backwash effects," where the development of a region can have negative impacts on surrounding areas. For example, when a core region grows, it may drain resources such as labor and capital from the surrounding peripheral areas, exacerbating inequalities.

5. Policy Implications:

   • According to the theory, policies that promote balanced development across regions are necessary to break the cycle of cumulative causation. Myrdal advocated for government intervention to support underdeveloped regions through targeted investments, infrastructure development, and social programs to prevent the marginalization of poorer areas.

6. The Role of Institutions and Infrastructure:

   • The role of institutions and infrastructure is central to cumulative causation. Developed regions often have better institutions, infrastructure, and access to capital, which contribute to further growth. In contrast, less developed regions lack these advantages, which limits their potential for development.

• Albert Hirschmann: While Albert Hirschmann is a well-known figure in development economics, particularly for his theory of unbalanced growth, he did not propose the concept of cumulative causation. Hirschmann’s ideas were focused on creating initial conditions for development by making strategic investments that would lead to broader economic growth.

• John Friedmann: John Friedmann was also an influential figure in the field of regional planning and development. He is well known for his work on the concept of "regional development" and "economic development." However, he is not associated with the theory of cumulative causation.

• W. Rostow: Walt Rostow is best known for his stages of economic growth theory, which outlines a linear path of development that countries go through as they move from traditional societies to modern economic systems. However, his work does not include the theory of cumulative causation.