What Are the Main Strengths and Weaknesses of the Theories of Capitalist Imperialism Proposed by Hobson?

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What are the main strengths and weaknesses of the theories of capitalist Imperialism proposed by Hobson? Imperialism has been the most powerful force in world history over the last four or five centuries. And by 'Imperialism' I mean the process whereby dominant politico-economic interests of one nation expropriate for their own enrichment the land, labour, raw materials and markets of another people. These Imperial powers saw the Third World (Americas, Africa, Asia, Pacific etc.) as not only a source of raw materials and slaves, but a market for manufactured goods. By the late nineteenth and early twentieth century the Industrial nations were exporting not only goods but capital in the form of machinery, technology, investment and loans. This Capitalist Imperialism differs from the earlier forms in the way it systematically accumulates capital through the organised exploitation of labour and the penetration of overseas markets. John A. Hobson has given a thesis as to the reasons why this has occurred, I will use this essay to explain the theory in detail by analyzing its three aspects. Then I will use the second part of the essay to examine the weaknesses and strengths to his theory. NB I will be focusing more on the weaknesses as I believe they are far more convincing than the strengths. In the first part of the essay I would examine the theory of capitalist Imperialism proposed by Hobson. But before I go on with that, it is important to note what was happening socio-politically at that time. This was a period of great depression (1878-1906) which led to a massive unemployment situation and a huge inequality in wealth. There was also a rise in social awareness of poverty. Firstly, Hobson argues that the main source of poverty at that time was the Laissez-faire policy the country had adopted. He states that it promotes 'over investment' which then leads to 'under

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