What theory suggests that industrialized nations exploit developing countries for their own benefit?

Dependency theory is grounded in the idea that industrialized nations engage in practices that perpetuate a cycle of dependency in developing countries, ultimately benefiting the former at the expense of the latter. This theory posits that resources flow from the periphery (developing nations) to the core (industrialized nations), leading to the exploitation of the peripheral nations. As a result, developing countries remain in a state of economic dependency, which hampers their ability to grow and develop independently.

This perspective emerged as a critique of more optimistic views, such as modernization theory, which suggests that all countries can achieve industrialization and development by adopting the same practices as wealthy nations. Unlike this approach, dependency theory emphasizes the structural inequalities and historical contexts that create imbalances in power and resources between nations.

While world-systems theory also addresses global inequality, it encompasses a broader framework that includes core, semi-peripheral, and peripheral nations, looking at the complex interrelations and dynamics among them. Globalization theory focuses on the interconnectedness and integration of economies and cultures, often highlighting the benefits of such connections rather than exploitation.

Dependency theory captures the essence of the exploitation relationship between industrialized and developing nations, making it the most fitting choice in this context.